Report: Australian digital advertising spend rebounds in Q3, 2020

Latest IAB Australia figures show online ad spend across general display, search and classified all up against a COVID-hit Q2

The latest Interactive Advertising Bureau (IAB) Australia digital advertising figures show ad spending is rebounding, with an 11.3 per cent increase between Q2 and Q3, 2020.

According to the latest quarterly IAB Australia Online Advertising Expenditure Report, digital advertising chalked up 11.3 per cent growth in the three months to 30 September 2020 to reach $2.26 billion. The report found all advertising categories to have achieved growth against Q2, which was hit by the negative impact of the COVID-19 crisis on advertising overall.

The largest share of spend in Q3 was search and directories, representing 45 per cent of all expenditure or $1 billion in spend over the quarter. This was followed by general display at 38 per cent and worth $871m, then classifieds (17 per cent and $386m). Year-on-year, general display was up 0.9 per cent, while search and directories and classified sectors were both down by -6.9 per cent and -11.5 per cent respectively.

IAB said all general display formats including video, standard display and infeed/native advertising, experienced double-digit growth at 11 per cent, 10 per cent and 19 per cent respectively. Mobile represented two-thirds of general display advertising and 63 per cent of search and directories.

Video advertising was also seen to be shifting towards pre-pandemic results with CTV inventory rising the highest growth across digital screens.

“It’s been a challenging year, but the growth this quarter in terms of digital formats signals the industry is bouncing back,” commented IAG Australia CEO, Gai Le Roy. “We are now entering what is traditional considered the industry’s strongest quarter and we anticipate continuation of the growth through to the end of the year.”

In terms of sectors, IAB found retail reflected 10.3 per cent of Q3 2020 general display spend, up nearly a full per cent year-on-year, while automotive, which represented 14.1 per cent, was down from 22.4 per cent in Q3, 2019. Finance was another increased spender, up to 9.5 per cent of share in Q3, 2020, compared to 6.6 per cent in Q3, 2019.

According to IAB’s Q2, 2020 report, Australia’s online advertising revenue across the April – June quarter declined by 12 per cent year-on-year, a reflection of the COVBID-19 impact on marketing spend nationally. The biggest area to be hit was classifieds, down 22. 7 per cent over the period.

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, follow our regular updates via CMO Australia's Linkedin company page, or join us on Facebook: https://www.facebook.com/CMOAustralia.

 

 

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Latest Videos

Conversations over a cuppa with CMO: Microsoft's Pip Arthur

​In this latest episode of our conversations over a cuppa with CMO, we catch up with the delightful Pip Arthur, Microsoft Australia's chief marketing officer and communications director, to talk about thinking differently, delivering on B2B connection in the crisis, brand purpose and marketing transformation.

More Videos

Great content and well explained. Everything you need to know about Digital Design, this article has got you covered. You may also check ...

Ryota Miyagi

Why the art of human-centred design has become a vital CX tool

Read more

Interested in virtual events? If you are looking for an amazing virtual booth, this is definitely worth checking https://virtualbooth.ad...

Cecille Pabon

Report: Covid effect sees digital events on the rise long-term

Read more

Thank you so much for sharing such an informative article. It’s really impressive.Click Here & Create Status and share with family

Sanwataram

Predictions: 14 digital marketing predictions for 2021

Read more

Nice!https://www.live-radio-onli...

OmiljeniRadio RadioStanice Uzi

Google+ and Blogger cozy up with new comment system

Read more

Awesome and well written article. The examples and elements are good and valuable for all brand identity designs. Speaking of awesome, ch...

Ryota Miyagi

Why customer trust is more vital to brand survival than it's ever been

Read more

Blog Posts

A Brand for social justice

In 2020, brands did something they’d never done before: They spoke up about race.

Dipanjan Chatterjee and Xiaofeng Wang

VP and principal analyst and senior analyst, Forrester

Determining our Humanity

‘Business as unusual’ is a term my organisation has adopted to describe the professional aftermath of COVID-19 and the rest of the tragic events this year. Social distancing, perspex screens at counters and masks in all manner of situations have introduced us to a world we were never familiar with. But, as we keep being reminded, this is the new normal. This is the world we created. Yet we also have the opportunity to create something else.

Katja Forbes

Managing director of Designit, Australia and New Zealand

Should your business go back to the future?

In times of uncertainty, people gravitate towards the familiar. How can businesses capitalise on this to overcome the recessionary conditions brought on by COVID? Craig Flanders explains.

Craig Flanders

CEO, Spinach

Sign in