A report released today by the US Interactive Advertising Bureau shows that last year online advertising spend in the USA hit an all-time high and for the first time ever exceeded the amount of money advertisers spent on broadcast television.
A staggering $42.8B was spent on online advertising, with most of this being spent on search (43%), followed by display (30%). Not suprisingly the area of biggest growth was in mobile advertising which doubled and accounted for 17% of total spend.
This is not the first time online advertising has overtaken TV. It happened in UK back in 2009 and also in Australia last year.
It’s not a question of if, but when the same thing will happen in NZ.
Last year 1 in 5 advertising dollars in New Zealand was spent online – the only areas where more money was invested was in TV and newspaper advertising. However the NZ IAB expects online ad spend will overtake newspapers later this year and that by 2018 it will eclipse TV.
If your business is still budgeting more on offline advertising than online then it’s time for a big rethink before you get left in the dust by competitors.