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‘Fuelled by federal election’ Digital advertising spend growth shows signs of slowing

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‘Fuelled by federal election’ Digital advertising spend growth shows signs of slowing

The Australian online advertising market grew 22% to $13.9 billion in the year toi June, according the IAB Australia Online Advertising Expenditure Report (OAER) prepared by PwC.

All categories, fuelled by a federal election as well as both the summer and winter Olympics, recorded double digit growth with video advertising peaking at 58% share of general display advertising.

However, the data shows more modest growth of 10.6% in the June quarter, reflecting market changes and a recalibration of activity.


Within the quarter, retail strengthened its leading position, with automotive, finance and FMCG advertising remaining consistent and entertainment entering the top five industry categories.

The total online advertising market in the June quarter represented $3.631 billion, with all categories recording year on year growth and general display, driven by video advertising, increasing its share of the advertising spend by 3%.

IAB Aust june q 2022

Gai Le Roy, CEO of IAB Australia: “Although revenue for the Australian digital advertising market in the June quarter was softer than the previous three quarters, growth was still robust at 10.6%.”

For the financial year, classifieds investment was up 30.1% and increased its share of online advertising one point to 17% ($2.414 billionb) with growth across all categories but particularly driven by a surge in recruitment advertisements.

Search and directories share decreased slightly to 44% from 45% of the market ($6.068 billion), though the category recorded double digit growth for the second consecutive year.

General display advertising remained consistent at 39% share of spend ($5.432 billion).

Mobile advertising regained ground for the financial year as mobility increased post-pandemic, while CTV video advertising’s share of spend softened slightly though it still represents the largest share of video device revenue.

Programmatic buying of general display advertising for content publishers’ inventory remained steady at 70%, with a shift towards guaranteed deals.

iab aust year to june 2022


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