According to IAB Australia Data, Digital Advertising has Maintained its Strong Growth
Anurag Khadkikar | May 24, 2021
The Australian digital advertising market has maintained its high growth rate, rising 25.8% year on year to $2,883 million in the March quarter of 2021. According to the data from the IAB Australia Online Advertising Expenditure Report (OAER) prepared by PwC, retail advertising is on the rise, while classified advertising is on the rebound, reflecting the general health of the Australian economy and growing customer trust.
“Digital advertising continues apace, and we're seeing a diversification of the spend into a wider spectrum of opportunities through diverse digital offerings,” said Gai Le Roy, CEO of IAB Australia. There is no question that the Australian economy is recovering, but there is still plenty of space for expansion, with hopes that as borders reopen and supply chains improve, both the travel and automobile segments will increase investment in digital advertising.”
All categories saw double-digital growth in the March quarter of 2020, with search and directories up 26.5%, general display up 28.9%, and classifieds up 18.5%.
Although retail advertising has maintained a record share of display advertising investment over the last two quarters, it has continued to expand, now accounting for 16.4% of display advertising investment and leading video advertising investment. Finance advertising has also grown in popularity, and real estate has climbed to the top five industry sectors. Travel advertising has begun to recover as a result of the increase in domestic tourism, with both it and automotive advertising slightly higher than in previous quarters.
Total video advertisement spending dropped marginally to $572 million in the March quarter, following a record $645 million in the December 2020 quarter. Meanwhile, programmatic trading of content publishers' video inventory rose in the March quarter, reaching 61% of total spending, compared to 34% bought through agencies.
As an independent industry association with more than 150 members in Australia and approximately 9,000 globally spanning media owners, publishers, technology providers, agencies, and advertisers, the IAB aims to unite industry stakeholders to develop solutions to market issues and standards that are essential for the operation of digital advertising.