Latest quarterly figures from IAB/PwC show digital video and mobile are gaining share
Digital video and mobile are continuing their ascent as preferred online advertising channels for Australian brands, chalking up 43.8 per cent and 56.6 per cent year-on-year growth respectively, IAB’s latest research has found.
According to the latest Interactive Advertising Bureau (IAB) Australia and PricewaterhouseCoopers Online Advertising Expenditure Report, total local online advertising spend reached $1.88 billion in the three months to 30 September, a 3.7 per cent gain quarter-on-quarter and a 20.3 per cent lift year-on-year.
IAB said its latest data was in line with the Commercial Economic Advisory of Australia report, which showed digital media representing more than 48 per cent of total Australian advertising expenditure for the first half of the 2016 financial year.
One of the more notable trends highlighted by the IAB in the latest quarterly report was the rise in video advertising expenditure, particularly from FMCG brands. The report found FMCG advertisers were responsible for 23.5 per cent of total video expenditure during Q3, and spent almost three times as much on video as general display advertising (8.2 per cent). Total expenditure on video during this period was $184m.
“The dominance of FMCG in video shows marketers are warming to the longer-term effects of cross device, and even cross-media campaigns that are underpinned by digital video,” commented IAB Australia CEO, Vijay Solanki.
“Marketers understand relationship building and its value and they are re-investing dollars where they can realise strong, measurable ROI and brand recall. The spend on digital video in these major industry categories speaks volumes in that regard.”
Solanki also noted that almost two-thirds of the market has now moved to screens, including out-of-home, proof of the dominance of screens in the way advertising is now consumed.
Mobile was another strong performer in the report, with a 5 per cent quarterly rise in spend to $570.7m, or 56.6 per cent increase year-on-year. Of those, smartphones made up 64 per cent of expenditure.
This doesn’t seem to have come at the cost of general display and search and directories, however, which both reported steady year-on-year gains of 20.3 per cent and 22.8 per cent, respectively.
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
Big brands were once protected from small brands by high barriers to entry. Big brands had the resources to employ big agencies, to crack big ideas and to invest in big campaigns. They had the luxury of time to debate strategies and work on long-term innovation pipelines. Retailers used to partner with big brands.
According to the World Economic Forum in its most recent The Future of Jobs report, the most important skills for the future are not technical, task-oriented skills, but higher-order skills such as creativity, social influence, active learning, and analytical thinking.
Businesses continue to highly value the attention they buy through paid media, yet at the same time, many continue to disregard and under-value opportunities to connect with customers using their owned media.
In this bonus last episode of this new podcast series, BrandHook MD, Pip Stocks, talks with former ANZ group general manager of marketing, Louise Eyres, talks about the importance of thinking like a customer and using intuition to solve customer painpoints.
Well written Vanessa!! Agreed with your view that human experience is marketing's next frontier. Those businesses who are focused on the ...
Clyde Griffith
Forget customer experience, human experience is marketing's next frontier
Great tips for tops skills need to develop and stay competitive
Nick
The top skills needed to stay competitive in a rapidly changing workforce
The popularity of loyalty programs is diminishing, though I'd say it is because customers are savvy enough to recognise when a loyalty pr...
Heather
It’s time for marketers to rethink their approach to ‘loyalty’
Thanks Nadia for sharing this blog. It has really useful and amazing information about Salesforce Commerce Cloud and digital engagement w...
Holly Smith
Adidas taps data and technology smarts to build personalised digital engagement with consumers
clearly someone who's jealous and only comments from the safety of being behind their keyboard
Peter Sibson
The purpose of purpose - Brand science - CMO Australia