Search Still Dominates But Mobile on the Rise – Q2 IAB Digital Ad Spend Report

September 11, 2016 by

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The Q2 2016 IAB NZ ad spend report is out and mobile advertising is the big mover again.

Digital had overall year-on-year (YOY) growth of 14% when compared to the same period last year; mobile leading the way with 65% growth.

Summary of Q2 2016 quarters results:

  • $218.76m for the Quarter – largest Q2 Ever!
  • 2016 Q2 — $218.76m  13.55% YoY growth 2016 H1 Revenue – $422.26m 11.34% YoY growth
  • 2016 Projected Interactive Revenue — $850m to $900m
  • Mobile is the fastest growing channel (but still lags behind US, UK and Australia)
  • Online Video will soon account for 12.8% of the total Interactive ad spend market by 2017
  • Mobile Internet advertising to overtake Desktop in 2017
  • Mobile Internet consumption to grow 28% in 2016

Q2 IAB Digital Ad Spend 2016

Mobile may have had the biggest growth but Search & Directories still dominates with 54% and $118.8M in ad spend. While this channel may have slowed to 13% growth, that 13% growth is greater than the entire mobile ad spend.

Digital Mix Q2 2016

 

In a chart that looks scarily like that of the growth of the Auckland housing market, digital ad spend has increased by around 250% over the last five years.

Annual YOY Growth Chart IAB

A closer look at mobile shows an 86% increase in ad spend on tablets.

Mobile Digital Ad Spend Breakdown Q2 2016

Display Advertising is up slightly and, not surprisingly the Food, Government, Travel and Finance sectors lead the way in ad spend.

Display Advertising Breakdown Q2 2016


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