Advertising spending in Australia 2015-2020

Advertising spending is necessary in a country where competition can be fierce, and consumers are becoming more connected to digital platforms. In 2015, advertising spending across various formats including digital, magazines, newspapers and out-of-home mediums amounted to over ten billion U.S. dollars in Australia. The multi-billion-dollar industry was forecasted to continue increasing to over 12 billion U.S. dollars by 2020.

Rise of digital advertising

The share of internet advertising spend was projected to increase in 2021, with non-digital advertising formats expected to become less and less common. This reflects changes in target audiences; increasing penetration of digital devices such as smartphones may result in a greater expenditure on mobile internet advertising. As of 2016, Australia had the highest digital ad spend per user worldwide, and growth in this segment is not expected to slow anytime soon.

How are consumers responding?

According to Australian consumers, the most influential online advertising media were advertising delivered through social media platforms and sponsored search engine result advertising. With 69 percent of the population active social media users in 2018, it’s unsurprising that many businesses use at least one form of social media to advertise their products or services. A threat to digital advertising is the use of ad blocking software, which more Australians are starting to use. In fact, Australia has the world’s lowest click-through rate, which may affect digital ad budgets in the future.

Advertising spending in Australia from 2015 to 2020

Spending in billion U.S. dollars
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Source

Release date

October 2016

Region

Australia

Survey time period

2015

Special properties

includes digital (desktop/laptop, mobile and other internet-connected devices), directories, magazines, newspapers, out-of-home, radio and TV

Supplementary notes

* Forecast.

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