Online advertising nearly cracks $6 billion in 2015

Latest IAB/PwC figures show digital advertising grew by 24 per cent between 2014 and 2015

Australia’s online advertising reached nearly $6 billion last year and grew by nearly a quarter over the previous year, the latest Interactive Advertising Bureau/PricewaterhouseCoopers report has revealed.

Online advertising including general display, classified advertising and search and directories, climbed to $5.9 billion for the 12 months to 31 December 2015, a rise of 24 per cent on 2014 and the fifth consecutive year of double-digit growth for the industry.

Growth was led by general display spend, which rose by 46 per cent in 2015 to $2.1bn. Classified advertising also grew 22 per cent to $1.1bn, while search and directories recorded 14 per cent growth to $2.8bn.

Mobile advertising was clearly a fast-growth area, with expenditure increasing by 81 per cent year-on-year to reach $595m in 2015. Out of this, 65 per cent of spend was on smartphones and 35 per cent on tablets. Mobile advertising now accounts for 40 per cent of all general display advertising, up from 25.5 per cent in 2014.

Video was the other stellar performer, growing by 75 per cent year-on-year to reach spend of $484m in 2015 and representing 23 per cent of general display advertising.

“This is an outstanding result for the industry,” said outgoing IAB CEO, Alice Manners. “When the IAB first started recording online ad expenditure just nine years ago, it was at $1.3 billion and today we are poised to break the $6 billion barrier.

“We have come a long way, but there is still much room for improvement and we are already looking forward to the next major milestone being achieved.”

Across industries, retail, real estate and motor vehicles led the pack for general display spend, with real estate posting the largest gain of share, growing from 10 per cent in 2014 to 12.2 per cent in 2015.

For Q4, online advertising expenditure reached $1.7bn, an increase of 28 per cent year-on-year and a 9.2 per cent on Q3 results.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+: google.com/+CmoAu

Join the newsletter!

Error: Please check your email address.
Show Comments

Blog Posts

How to become the customer experience custodian

The number one objective enterprises give for embarking on a digital transformation is to improve customer experiences with new engagement models, according to IDC’s 2017 global study.

Fear not: It's only a robot

Every time I pass through the automated border controls at the Sydney airport I walk away with a feeling of exasperation on the one hand and relief on the other. Exasperation, because the face recognition technology inevitably always fails to recognise me. Relief, because we seem to be safely years away from the Orwellian reality of states controlling every aspect of our lives; something the media is keenly warning us against each day.

Dan Kalinski

CEO, iProspect Australia and New Zealand

To DMP or not to DMP?

There are plenty of brands that can benefit from plugging into a data management platform. But should you engage an agency to run one or bring it in-house?

Ben Willee and Richard Taylor

Spinach Advertising

I worked at Momentum when the transformation started way back in 2013 (not 2015 as stated in the article). It was a painfully slow and co...

Jay

How Momentum Energy has transformed its entire business to be customer-led

Read more

Another buzzword thoughtlessly latched onto, without any thought for the implications on the organisations that have to lumber through th...

Tired

Rolling out agile marketing at Deakin

Read more

Useful., also don’t miss out on these 5 features of Adobe Experience Cloud - Visit here > http://www.softcrylic.com/b...

Sunil Joseph

Adobe debuts Advertising Cloud, Experience Cloud

Read more

the systems that run these things are teachable just like a car, theres stuff still yet to come out to bring up the automation grade, b...

Magnus Robert Carl Wootton

Fear not: It's only a robot - Big data delivery - CMO Australia

Read more

Marin Software’s digital marketing solution as a short way of streamlining and finding a scalable solution...

Al Drazhev

How BizCover is boosting search advertising success

Read more

Latest Podcast

More podcasts

Sign in