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NZ's Online Advertising Spend Shows Sustained Growth

27 Aug 2012

The latest release of the Interactive Advertising Bureau's quarterly survey (carried out by PricewaterhouseCoopers) continues to paint a picture of strong growth for online advertising in New Zealand, with online ad spend up 16% on the previous quarter.

While all categories of online spending recorded substantial growth (search and directories up 14.8%, display ad spending up 28.48%, and classifieds growing 6.87%), mobile ad expenditure's growth of 150% was one of the standout findings of the survey. The growth in mobile ad spend reflects what we are seeing in other related areas, with smartphone penetration rising in New Zealand and more New Zealand businesses subsequently adopting strategies aimed at making the most of our uptake of mobile technology.

Graph showing growth on online advertising spend in NZ

According to Chris Perree (Partner at PwC) "Advertisers continue to follow consumers online and are experiencing the value of having an online presence in their respective channels to deliver messages to targeted audiences. Social media and mobile channels continue to attract online advertising and demonstrate the growth potential in mobile advertising."

Although a significant proportion of New Zealanders' mobile use is currently SMS and voice based, a quick check of Google Analytics data for our clients suggests that Internet browsing on mobile devices is also growing strongly. For the March 12 - June 12 quarter more than 10% of visits to our clients' websites were from mobile devices - a huge jump from the figure of 2.8% for same quarter in 2011 and a trend that business owners cannot ignore.

Written by
Mark is our Digital Marketing Manager and has worked in the online marketing space since 2005. Before joining us he plied his trade in various traditional marketing roles abroad and in New Zealand, yet nowadays much prefers the highly measurable and transparent nature of online marketing.

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