The IAB Online Advertising Expenditure Report for the last financial year shows strong growth in online advertising expenditure across all categories, including a record-breaking second quarter of this year. The search and directories segment displayed the strongest growth during the year ended June 30 2008 compared to the year ended June 30 2007
Online advertising expenditure in Australia for the last quarter of the financial year (three months to June) totalled $412.5 million, the largest second-quarter ever recorded. This is an increase of $28 million, or 7.3% from the first-quarter of 2008.
Online advertising expenditure in Australia for the 12 months to June 30 2008 totalled $1,523.5 million. This is the first time the market has exceeded $1.5 billion in a 12 month period, representing an increase of $324 million, or 27% from the 12 months to June 30 2007.
All expenditure types recorded strong growth, with general advertising accounting for 27%, classifieds advertising accounting for 27%, while search and directories advertising accounted for 46% of the market.
Online advertising expenditure in Australia for the first six months of 2008 was $797m, an increase of $70.5m, or 9.7% on the last six months of 2007. The results show the finance, computers and communications and motor vehicles sectors continue to be the dominant industries using general display advertising, equalling more than 50% of the general display spending.
The June quarter continues the historical trend of an increase on the March quarter, which has occurred in all years. The report, prepared by PricewaterhouseCoopers (PwC) uses data and information reported directly to PwC by online advertisement selling companies representing more than 1000 web sites.