A report by the Internet Advertising Bureau in Australia has concluded that the online advertising market is increasing at a rate of 25 percent year on year, with revenues topping $1 billion in a single quarter for the first time.
The report was produced by Price Waterhouse Coopers.
“This report and the recent CEASA data confirm that the overall health of the online advertising market is very robust,” said Alice Manners, CEO of IAB Australia.
“We expect that by the end of this calendar year the online advertising sector will exceed 30 percent of the total advertising market.
“Digital is now an accepted and integral component of advertising and is being embraced by a broad range of advertisers. As advertising formats and approaches evolve and our ability to deliver full transparency and accountability continues to improve, there is no doubt that growth will continue and we expect that by the end of this year marketers will be spending around one third of their total budgets on digital advertising,” she said.
Gai Le Roy, Director of Research for IAB Australia added: “In September we released the results of our State of the Video Industry Report with Adap.tv which found that nine out of 10 agencies and marketers had increased their video ad spend over the past 12 months, while 60 percent of ad buyers were buying mobile video ads. Today’s PwC Report shows that mobile and video continues to captivate advertisers and we expect to see the growth in these sectors maintained for some time to come.”
A recent CEASA report also concluded that between January and June 2013, online advertising represented 28.6 percent of the total advertising market.
Video advertising expenditure has also doubledand now represents 15 percent of the total display advertising market.