Report shows strong growth in digital advertising revenue
An influential new report has revealed a buoyant digital advertising market – with expenditure on all sectors significantly up year-on-year.
The report – from the Internet Advertising Bureau UK (IAB) – found that expenditure on advertising in UK digital media as a whole increased by 12.6 per cent year on year for the first six months of 2012 – reaching a total spend for that period of £2.59bn. The comparative figure for the first half of 2011 had been £2.3bn.
The most significant growth was found in the mobile sphere, with advertising spend via this medium totalling £181.5m – an increase of 132 per cent on spending for the first half of 2011. The report found that mobile ad spending currently represents seven per cent of total expenditure on digital advertising.
The combined spending of advertising on the Internet and mobiles was found to have reached £590.9m – an increase of 56.2m, or 10.6 per cent over the same period in 2011.
Meanwhile, video advertisements via digital media also showed an increase according to the report – with expenditure in this area rising 43 per cent year on year, from £49m to £69.8m.
Paid search was also found to be well-represented, with spending in this area compared with that in the same period in 2011 growing by 15.9 per cent to £1.52bn. The report says that paid search now accounts for 59 per cent of total digital advertising spend.
Finally, classified spend across digital media was found to have risen 7.2 per cent year on year – from £391.5m to £427.1m – with growth in classified recruitment advertising being particularly high.