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Internet marketing spend in Australia for 2007

Annual data on Internet advertising spend from the Internet Advertising Bureau uses data compiled by PricewaterhouseCoopers and shows that overall growth in this advertising sector has slowed over the previous year. However, there was still a 34.5% growth from 2006 to $1.34 billion in 2007, with the market on course to achieve sales of $1.7 billion in 2008.

The latest Internet advertising spend figures for Australia were published in February 2008 and, despite a slower pace of growth over the past 12 months, it remains a very healthy marketing sector, with search advertising continuing to grow at the fastest rate and now almost achieving half of the total spend.

During 2007 the report says that the search and directories category - which is dominated by Google - has increased its level of spend at a rate that's double the figures seen for display advertising and classifieds. These figures remain an estimate however, since Google refuses to reveal their actual numbers, yet the search advertising sector was reported to have grown by 56% to $622.2 million, compared with a growth of 21% for display ($367m) and 19% for classifieds ($356m).

All 3 sectors are still showing good signs of continuing growth, although the search sector demonstrates the ongoing recognition of this market as a powerful marketing technique and a popular method of online advertising for many companies. Despite previous annual growth rates of around 60% for the Internet advertising sector as a whole, the increase of 35% in 2007 is seen as a slowdown for the market but still a healthy and sustainable growth pattern.

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