SMI Data: Aussie Ad Spends Hit Record $8.8 Billion In 21/22 Financial Year

SMI Data: Aussie Ad Spends Hit Record $8.8 Billion In 21/22 Financial Year
SHARE
THIS



Australia’s media agency market has emerged stronger and more confident from the COVID pandemic, with SMI’s end of financial year ad spend revealing record levels of ad spend for the month of June, the June quarter and the 2021/22 financial year.

Total June ad spend lifted 0.4 per cent from last year’s record level to a new record level of $775 million, which in turn fed into a 7.1 per cent increase in June quarter ad spend to a record $2.26 billion (up $150 million on Q2 2021) and calendar year growth of 10.6 per cent to a record $4.2 billion.

SMI AU/NZ managing firector Jane Ractliffe said that all resulted in an extraordinary 2021/22 financial year result, with total agency billings growing $1.1 billion over the previous FY to $8.8 billion representing growth of 14.5 per cent.

“The latest SMI financial year ad spend detail confirms the Australian market has moved well beyond the COVID period, with the total financial year ad spend now 6.4 per cent or $528 million larger than in the pre-COVID 2018/19 period,’’ she said.

“The data also affirms the ongoing growth of agency ad spend in Australia, with the market arguably on track to hit $9 billion in size next year, having grown by more than 35 per cent – or by $2.3 billion – in the past 10 years (since FY2011/12).’’

Ractliffe said the financial year record also remained when government category ad spend was removed to normalise the data for all federal elections, with total growth in ad spend still up 7.4 per cent on that basis.

Ractliffe also said the SMI data proved the Australian and NZ markets were also more resilient in June than their global counterparts, with NZ also reporting a small increase in June ad spend (+0.2 per cent) while in contrast SMI’s US data has just revealed the first decline in that market in 22 months (-3 per cent YOY); while in Canada the market fell four per cent in June and in the UK the decline was 13 per cent.

“Clearly advertisers in our region are more confident in the future than those in the northern hemisphere as they are continuing to invest strongly in their media investment,’’ she said.

In Australia, the key product category trend this year has clearly been the phenomenal growth in government ad spend, with the total growing $200 million from the previous FY to more than $550 million, overtaking the automotive brand category as our market’s second largest.

Another key trend has been the return of travel category ad spend, with the total growing by 31 per cent this financial year and continuing to lift its ranking each period such that by the month of June travel emerged as the market’s fourth largest, up 36.6 per cent year-on-year.

Among the major media, standalone digital media is reporting the strongest gains in both June and across the financial year (+10.9 per cent and +25 per cent) with video media growing 7.7 per cent over the financial year, audio ad spend lifting 11.2 per cent, news media ad spend lifting 3.3 per cent; magazine revenues have grown 5.7 per cent and cinema ad spend has more than doubled this financial year to $59.3 million.

“But while all the traditional media are continuing to grow their digital-related ad spend, it’s clear the biggest change of the COVID pandemic has been the further growth of the standalone Digital media with total ad spend moving to standalone digital since the FY 2019/20 period now just above $900 million,’’ Ractliffe said.

Please login with linkedin to comment

SMI Data

Latest News

Why Are We Still Banging Our Heads Against The Glass Ceiling?
  • Media
  • Opinion

Why Are We Still Banging Our Heads Against The Glass Ceiling?

In this guest post, Azadeh Williams, the founder and managing director of AZK Media. Candidly shares with B&T how she’s gone up against the glass ceiling and what she has learned. Williams (main photo) has consistently been recognised as B&T’s Women in Media and Women Leading Technology. She’s a force within the industry, with a […]

InsideOut PR Wins Prestige InHome Care Account
  • Media

InsideOut PR Wins Prestige InHome Care Account

Sydney PR agency InsideOut PR has been appointed for Prestige InHome Care, an in-home aged care service with a focus on media relations. InsideOut PR worked with Prestige Inhome Care back in 2013 and again in 2017 launching their public relations and advertising program; and supporting their growing profile in the market. Founder and CEO […]

We Are Social Names Susie Hogarth As Global Head Of Cultural Insights
  • Technology

We Are Social Names Susie Hogarth As Global Head Of Cultural Insights

We Are Social is bolstering its cultural insights offering with the promotion of Susie Hogarth (lead image) to the role of global head of cultural insights. Hogarth, the former senior research and cultural insights director for We Are Social UK, takes over the global role from Lore Oxford who has left the company. Hogarth will […]

Blockheads Rejoice! The Official Block Podcast Is Here
  • Media

Blockheads Rejoice! The Official Block Podcast Is Here

In the wake of The Block returning on Sunday night, 9Podcasts has announced the launch of The Official Block Podcast, hosted by Shelley Craft. The new production will run alongside the 18th season of The Block, in which five teams must each build a 500-square metre homestead, with a room reveal every Sunday night. The […]

Behaviour Change – Expecting The Unexpected
  • Marketing
  • Partner Content

Behaviour Change – Expecting The Unexpected

Here's pro tips for brands looking for behavioural change. Could possibly also work on lazy, cleaning-phobic partners.

Partner Content

by B&T Magazine

B&T Magazine
TBWA\Melbourne, Thinkerbell & More Announced As Finalists For The Rigg Design Prize 2022
  • Media

TBWA\Melbourne, Thinkerbell & More Announced As Finalists For The Rigg Design Prize 2022

The first major exhibition of advertising and communication design in the NGV’s history, The Rigg Design Prize 2022 highlights the creativity underpinning the work of eight leading Australian-based agencies. For the exhibition, each agency will develop a suite of campaign assets – including billboards, street posters and moving image – to celebrate how creativity can […]

Queen Charles Launches In Sydney, Aiming To Shake Up The Consultancy Market
  • Marketing

Queen Charles Launches In Sydney, Aiming To Shake Up The Consultancy Market

After 11 months of quietly building up their new business Queen Charles, Alex Carr (pictured, left) and Jon Kelly (pictured, right) have finally found enough time to launch their brand and experience consultancy to the wider market. Based in Sydney, Queen Charles aims to help businesses of all shapes and sizes consistently stand out and […]

Michael Bass Named New Chief Trading Officer For Dentsu APAC
  • Media

Michael Bass Named New Chief Trading Officer For Dentsu APAC

Dentsu International has announced the appointment of Michael Bass (pictured) as chief trading officer, media, Dentsu Asia Pacific. With over 20 years’ experience, Bass’ career has included a range of senior investment and trading roles across the media sector. Bass spent seven years at IPG Mediabrands as trading director of Initiative and subsequently moved on […]