Online display advertising expenditure is on the rise across Australia, and the real estate industry is leading the charge.
According to a report by IAB Australia and PricewaterhouseCoopers, online display advertising increased by 18 per cent to account for 21.6 per cent of total advertising revenue in the first quarter of 2012.
“The continued growth of online reflects the strengthening confidence of marketers and agencies that online is their medium of choice,” Paul Fisher, chief executive of IAB Australia, said.
“In this challenging economic environment they look to online to provide measurability, reach, frequency, brand and direct response messaging – and they aren’t being disappointed.”
Peter Brewer, general manager of inlinemedia, said the real estate industry favoured the use of online advertising because it enabled an agent to target a specific audience.
“For years traditional advertising has involved the local newspaper that goes out to 25,000-50,000 people with no way to target down a specific market,” he told Real Estate Business.
“Now a business owner can sit down and say I want this advertisement to go to females [aged] 25-35, who are first home buyers. It is now possible to build your marketing campaign around that target audience, and with click through monitors an agent can determine if they are reaching their audience.”
According to the report, within the overall display figures, email advertising experienced a contraction from $9.6 million to $7 million, whereas video saw a modest improvement from $11 million to $11.6 million.
Cost per thousand remains the primary form of pricing for general display ads, supplying 74 per cent of expenditure, while direct response provided 26 per cent of returns.
Financial services, automotive and real estate made up the top three categories where display was concerned, delivering 41.6 per cent of sales, as computers and communications fell out of this group.