IAB Canada released the results of its annual Internet Advertising Revenue Survey, with data compiled directly from information supplied by Canadian Publishers who sell advertising on Canadian Websites, Online/Mobile Ad Networks and Exchanges who sell advertising on both the Canadian and U.S. and the following release.
The full 2014 report is available for download through the IAB website.
TORONTO - June 29, 2015 - IAB Canada has released the results of its annual Internet Advertising Revenue Survey. According to the report, Canadian Internet advertising revenue saw 11% YoY growth reaching $3.79 billion in 2014. This broadens Internet advertising’s lead to 13% ahead of Television revenue and garnering 34% share of major media ad revenue this year in Canada, compared to TV’s 30%*. An 11% increase to $4.2 Billion is Forecasted for 2015.
With a staggering triple-digit growth rate for the second consecutive year Mobile is driving the Internet’s overall expansion hitting nearly $1 billion in revenue in 2014.
“Consumers’ hearts and minds are deeply ensconced in the multi-screen experience. IAB Canada’s Annual Internet Advertising Revenue Report underscores the importance of this new reality with clear shifts towards Mobile and Video formats. Forecasts for 2015 point towards a lessening gap between consumer behavior and brand marketing expenditures for mobile and video.” Said Sonia Carreno, President IAB Canada.
Double digit growth in advertising on the internet is anticipated to continue for the foreseeable future.
The report also highlights strengths in Search, Display and Email. Search dominated with 14% growth reaching $2.1 Billion and was followed by Display at $1.3 Billion, which saw 17% growth. While these two formats dominate with almost 90% share of digital advertising, Video is moving up to join the top 3 formats after experiencing strong growth (28%). In addition, Email advertising grew slightly (8%) after a year of preparation for CASL, which went into effect in July 2014.
Almost 50% of Ad revenue is being generated by 4 Categories in the following order: CPG, Auto, Retail and Financial.
French language Internet revenue represents 18% of total Canada and in 2014 grew overall by 4% to $679 Million, with Mobile growth driving lifts in Search and Video. French revenue is forecasted to grow 10% in 2015.
“We continue to observe technological innovation enabling audience’s consumption patterns to evolve, including an increasing use of new digital platforms. These trends support the expectation that double digit growth in advertising on the internet is anticipated to continue for the foreseeable future and that the 2015 forecast growth of 11% is not just attainable, however may be considered a conservative estimate.” Said Martin Lundie, Canadian Media and Technology Leader, EY (Ernst & Young LLP)
“Equipping the media and marketing industry with tools to thrive in the digital economy is at the heart of what we do, and the IAB Canada annual revenue survey is a long-standing example of this commitment,” said Joe Strolz, IAB Canada Chairman and General Manager of AOL Canada. “It is critical for marketers, agencies and publishers to have an objective and shared view of what is driving Internet advertising growth in order to inform marketing strategy, and help our members prepare for the future while succeeding in the present.”