IAB Europe, in association with IHS Technology, launched AdEx Benchmark 2013 Report, which is showing the state of European online advertising market. The report shows that online advertising grew 11.9% to a market value of Euro 27.3BN in 2013. The development isn’t lead only by developing markets, but also by mature markets which have benefited from innovation in online advertising technology.
Russia (+26.8%), Turkey (24.3%) and Slovakia (17.3%) lead in terms of y.o.y. growth, followed by UK (16.2%), Hungary (16.0%), Austria (15.7%), Norway (14.7%), Serbia (13.4%), Italy (13.3%) and Romania (13.0%).
According to IAB Europe AdEx Benchmark 2013 the digital advertising growth across Europe is robust, the increased digital advertising spend is driven by innovation in mobile and video advertising, while programmatic trading, developing markets continue to increase their share of total media spend.
Online remains second largest media category in Europe for the second year in a row and the gap between online and newspapers is expected to widen in 2014.
All formats saw an increase of online in 2013 and new spend, mainly from brand advertisers, came due to format standardisation, advancements in targeting and the upsurge of online video advertising, which also helped boosting confidence in display.
Display advertising had the highest level of growth (+14.9% compared to 2012), driven by social media and mobile. Also, last year, mobile accounted for 11.8% of total display ad spend and is now an integral part of advertiser’s budgets.
The report shows not only continued migration of some traditional media spend to digital, but more importantly the creation of new advertising opportunities within digital via the increasing penetration and sophistication of programmatic trading, mobile and video advertising. As brand advertisers realise the potential of the online channel IAB Europe envisages an increase in programmatic trading of premium digital advertising, including video.
CEO IAB Europe
Online video advertising went up by 45.4% in 2013, to almost Euro 1.2BN, as it is attracting more brand advertisers online with video ads resembling TV advertising in terms of creative format, campaign objectives and measurement metrics.
Online advertising is more resilient against macroeconomic turmoil than other media. Total advertising across all media declined 2.9% in Europe in 2013, but would have experienced a steeper fall at 8.3% without the contribution of online. Performance-based models, increase in brand spend and the use of data-driven targeting and automation along with the rise of mobile and social media advertising has enabled online to outperform other media even in tough economic times
Director of Advertising Research IHS Technology & author of the research
The data for IAB Europe’s AdEx Benchmark Report was compiled by IAB Europe based on information provided by the national IAB offices around Europe and than processed and analysed by IHS Technology. The report includes market size and value information for the full membership of IAB Europe in 2013 including Austria, Belgium, Bulgaria, Croatia, Czech Republic, Denmark, Finland, France, Germany, Greece, Hungary, Ireland, Italy, the Netherlands, Norway, Poland, Slovenia, Romania, Russia, Spain, Slovakia, Serbia, Turkey, Sweden, Switzerland and the UK. The data represents the calendar year 2013 January- December.