TV advertisers embrace digital video as total online ad expenditure surges towards $4.5nb
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- Agosto 1º, 2014
Video advertising has been confirmed as the industry darling for FMCG, retail and finance brands, growing 76 percent year on year to reach $196m for the financial year ended 30th June 2014.FMCG is the dominant industry in video advertising with 18.2 percent share, more than 2.5 times higher than its 7.2 percent share of general display advertising, according to video advertising category data included for the first time in IAB Australia’s quarterly Online Advertising Expenditure Report (OAER). Together, FMCG, retail and finance accounts for 43 percent of all video advertising. This is ahead of Metro TV advertising, where these three sectors account for 40 percent of advertising.
In the June quarter 2014, total online advertising increased eight percent from the prior quarter, to reach $1.185m. Expenditure increased across the three categories, with general display experiencing its strongest growth ever at 17.9 percent on the March 2014 quarter, while search and directories increased
3.8 percent and classifieds increased 5.6 percent compared to the immediate prior quarter (March 2014). Says Gai Le Roy, IAB Australia’s research director: “General display is undeniably enjoying a renaissance thanks to the keen interest of FMCG and retail brands in particular. We expect this trend will continue strongly over the coming quarters.” Motor vehicles, finance and real estate continue to be the top three dominant industry categories for the financial year 2014, representing 39.7 percent of the reported general display advertising market. Retail was however the big mover for the financial year, increasing its category share from 7.6 percent to 9.1 percent and its expenditure share by 1.5 percentage points.
The OAER is supported by the most recently released CEASA report which reported that digital advertising has increased to 31 percent of all advertising spend, continuing ahead of both free to air television and newspapers.
(Images: 1. Video Advertising Expenditure by Quarter; 2. Online Advertising Expenditure in FY 2014 compared to FY 2013; 3. Online Advertising Expenditure in June Quarter 2014; 4. Top five industry categories by expenditure share for twelve months ending 30 June 2014)
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