Video makes up 17% of online ad spend in Australia: study

Expenditure on online video advertising is predicted to significantly outperform other categories, according to a Frost & Sullivan report.
December 1, 2014

Video is the fastest-growing category of online advertising spend in Australia, according to a new study.

Titled “Australian Online General and Mobile Advertising Market 2014,” the report from market research analysts Frost & Sullivan states that overall online advertising in Australia was worth U.S. $1 billion (AUD $1.2 billion) in 2014. Online ad spend is expected to increase to U.S. $2.06 billion (AUD $2.43 billion) in 2018.

Video inventory is rising quickly: the category saw a growth rate of 60% in 2014 over last year. And online video now accounts for 17% of overall online general advertising expenditure, the study finds.

“Expenditure on online video advertising is predicted to significantly outperform other online general advertising segments,” according to an executive summary of the report.

“Sponsorships, integrated site content and in particular native advertising grew as online publishers increased their range of offerings,” said Phil Harpur, senior research manager, Frost & Sullivan Australia & New Zealand, in a statement.

Study respondents also said they’re seeing better ROI from social media advertising: 72% of Australian organizations that advertised on social media channels in the previous year report a positive ROI, compared to 63% in 2013.

“Most online publishers have also seen significant growth in online video ad sales over the last 12 months,” the report states.

About The Author
Melita Kuburas is the editor of StreamDaily. You can reach her directly at press[at] or on Twitter @melitakuburas

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