Australian Digital Advertising Reaches $11bn Milestone

Australian Digital Advertising Reaches $11bn Milestone
SHARE
THIS



The Australian digital advertising market has shrugged off any pandemic advertising woes to record 24.2 per cent growth, the strongest since 2016, reaching $11.4bn online advertising expenditure for the 2021 financial year.

The data, which is drawn from the IAB Australia Online Advertising Expenditure Report (OAER) and prepared by PwC, confirms that while the overall advertising market has rebounded, digital advertising is leading the charge and now dominates expenditure.

In the 12 months ending 30 June 2021, all sectors of online advertising experienced double-digit growth.  Video advertising jumped 38.8 per cent year on year to reach $2.4bn, general display grew 29.7 per cent to $4.4bn, search and directories grew 22.3 per cent to $5.1bn and classifieds grew 17.4 per cent to $1.9bn.

The report found that for FY21, retail was the top advertising category with 16 per cent of all display advertising, up from 11.4 per cent share in FY20 with expenditure coming from both traditional and ecommerce retailers.  Across other categories, FMCG and technology expenditure increased their share for the period to 7.2 per cent and 6.4 per cent respectively for the period, while finance share remained flat. Perhaps not surprisingly given the impact of the pandemic, both automotive and travel advertising expenditure both decreased year on year.

Gai Le Roy, CEO of IAB Australia commented: “The growth in digital ad investment over the last year has been extraordinary and it’s clear that marketers are confident using it as a key growth engine for their businesses across the broad range of available formats and environments.

“While the evolution of retailing has become a major driver of investment in digital advertising and we expect some shopping will return to physical stores in the future, the broad reach, deep engagement and data rich offerings will ensure retailers continue to place digital at the heart of their advertising and marketing plans,” said Le Roy.

Changing media consumption patterns, accelerated by COVID lockdowns, resulted in strong growth for connected TV spend (increasing share of all video spend from 38 per cent to 47 per cent year-on-year), while desktop share decreased from 36 per cent to 32 per cent and mobile from 26 per cent to 21 per cent for FY21.

Programmatic trading continued to hold strong with slight growth from 41 per cent to 43 per cent share of expenditure for FY21, against 41 per cent of inventory purchased via agency and 16 per cent direct.

Please login with linkedin to comment

IAB

Latest News

GoDaddy Australia Launches GoDaddy Studios To Support Creative Content By Small Business
  • Marketing
  • Technology

GoDaddy Australia Launches GoDaddy Studios To Support Creative Content By Small Business

GoDaddy Inc. has today announced the Australian launch of GoDaddy Studio, a new content creation tool designed for small and medium businesses to create beautiful visual content for their business for all platforms. Compatible on both iOS and Android mobile apps and desktop, GoDaddy Studio includes thousands of customisable templates and easy-to-use tools, providing small […]

Why Microsoft Searches For Insurance Have Lifted During COVID (And How This Affects Advertisers)
  • Partner Content

Why Microsoft Searches For Insurance Have Lifted During COVID (And How This Affects Advertisers)

COVID-19 continues to affect our lives in many ways. One of those most noticeable is how economies have reacted to the implications of the pandemic globally. Taking from lessons learnt historically, a shift in economic security typically sparks financial pressure, threatening to destabilise our sense of security. This has the potential to disrupt our comfort […]

Partner Content

by msft advertising

Microsoft Advertising
Seismic Announces New Zealand Partnerships To Empower Businesses And Workers
  • Technology

Seismic Announces New Zealand Partnerships To Empower Businesses And Workers

Seismic has announced an expanded New Zealand (NZ) presence to support the transformation of sales and marketing teams, and enable the nation’s employers to focus on upskilling their workforces to overcome a digital skills shortage. The company has also signed NZ-based specialist consultancies, Fresh Perspective Sales (FPS) and Jumping Fox Interactive, as its first two […]

Ray White Goes In-House For New “Proudly” Campaign Just In Time For Spring Selling Season
  • Campaigns

Ray White Goes In-House For New “Proudly” Campaign Just In Time For Spring Selling Season

Australasia’s largest real estate agency has released its biggest brand campaign ever that was all done in-house. The spring campaign, “Proudly Ray White”, was created to help service the more than 730 Australian offices under the leading group’s umbrella. Spearheaded by Ray White marketing manager Todd Alexander and brand manager David Williamson, the campaign was […]

Booktopia’s Alex Huntley On Partnering With SaaS Platform Freshworks And Tackling The Pandemic
  • Marketing

Booktopia’s Alex Huntley On Partnering With SaaS Platform Freshworks And Tackling The Pandemic

Alex Huntley, Booktopia’s head of customer experience, recently appeared at software company Freshworks’ recent digital CX summit RE:SOLVE. During the summit, Huntley shared his thoughts on future-proofing customer service architecture.Huntley sat down with B&T to discuss Booktopia’s partnership with Freshworks and how it has helped their platform develop. B&T: Why did Booktopia first decide to partner […]

Nestlé Oceania Adds The Edison Agency To Strategic Design Roster
  • Marketing

Nestlé Oceania Adds The Edison Agency To Strategic Design Roster

The Edison Agency has made four new appointments in its Sydney office to service the continued growth across key account The Arnott’s Group and the recent appointment to Nestlé Oceania’s strategic packaging design roster. Over the past 12 months, the culmination of strategic and creative work across the Uncle Toby’s brand and continued growth of […]

SCA Launches Smart Speaker Experience Tom & Olly’s Guide To Lockdown
  • Media

SCA Launches Smart Speaker Experience Tom & Olly’s Guide To Lockdown

SCA has announced a new smart speaker experience for the Hit Network, with Tom and Olly’s Guide to Lockdown. A voice-activated way to get inspiration and information on fun activities that can be done at home, the guide is curated to appeal to a wide audience. Smart speaker users will find a range of ideas […]