Video and social media advertising up eight-fold since 2008
Video advertising and social media advertising has grown over eight-fold since 2008, according to the latest IAB advertising expenditure report, with advertising on the internet increasing by 14.4% in 2011, up to £4,784m.
Search marketing grew to £2,767m, taking a 58% share of online advertising spend; while advertising on mobile devices rose by 157% in 2011, up to £203m.
Tim Elkington, director of research and strategy at the IAB, said: “Online and mobile advertising have experienced staggering growth since this study began in 1997. The 2011 results are full of breakthroughs for digital; with online display passing the £1billion barrier for the first time, proving that advertisers increasingly recognise the central role that online plays in their marketing campaigns.”
The research, conducted by PwC, found that video advertising now accounts for 10% of all online display advertising, with expenditure doubling from 2010 to £109m in 2011.
In 2011, banner ads on social media platforms such as Facebook, YouTube and LinkedIn, increased by 75% to £240m.
Anna Bartz, strategy manager at PwC, said: “This year’s results reflect the continued appeal of digital media – on desktop, mobile or tablet – to advertisers for both brand advertising and direct response. All formats grew, with strongest increases in video and social media, and in search. Internet adspend's 14.4% growth is exceptional when compared to an estimated advertising growth of less than 2% across all media in 2011.”