PwC forecasts advertising investments to reach $16.4 billion by 2019

This week, PwC published their 14th edition of The Australian Entertainment and Media Outook 2015 – 2019.  The study forecasts advertising spends to increase by 4.8% from 12.9 billions in 2014 to $16.4 billions and internet advertising set to account for more than 50% of the total Australian advertising market by 2019.

Innovation through disruption is a key focus for the success and growth of the industry where start-ups have potential to contribute $109 billion or 4% of GDP to the economy by 2033*. Despite innovation being pretty poor in Australia due to multiple hurdles from the lack of investment in R&D to universities not delivering enough quality research, the study gives a voice to some significant entrepreneurs and investors who are trying to inspire that change in the economy.

‘While technology underpins nearly all disruptive start-ups, innovation goes beyond technology and can be applied to service, relationships, content, distribution, business models and funding.’

In the feature on the emergence and usage of mobile in the society, PwC describes how much technology has influenced business models from brands urging them to shift to consumer-centric solutions, as well as publishing and advertising landscape being shaken by agile ad-tech players, revealing how data is becoming a competitive advantage to survive on this market.

The study also provides a rich list of resources such as the summary of the key players in entertainment and media, operating in Australia produced by MediaScope.

*‘The start-up economy: How to support tech start-ups and accelerate Australian innovation’, PwC, April 2013

Source & copyright: PwC

PWC_Entertainment media outlook

32% of Australians share a news story via email or social media

The Reuters Institute just released their Digital News Report 2015* giving an overview of consumption in each country which includes Australia.  The survey gives detailed data tables and statistics around the use of smartphone and tablets and the role of different social networks for news. Overall key trends show a fast development of social and mobile news, a decline in desktop internet, and a significant growth in video new consumption online intensifying battle for global audiences online.

Interestingly, 32% of Australians share a news story via email or social media, ranking 4th/12 – on part with the US and before the UK ranking 10th/12 (19%). Similarly, 32% say the smartphone is the main way of accessing online news in AU, positioning Australians as early adopters of new technology and avid digital news consumers compared to their US & UK counterparts, respectively at 26% and 27%.

SourceNews

Without too much surprise, the data show that Facebook is becoming increasingly dominant, with 41% (+6) using the network to find, read, watch, share, or comment on the news each week – more than twice the usage of its nearest rival. In Australia, 48% use it weekly, followed by YouTube (15%), Google+, Twitter (7%) and LinkedIn (5%) at the back of the pack. Facebook is without doubt the channel of choice for finding, discussing and sharing news, with owned channels such as Instagram & WhatsApp playing a big role amongst younger groups. Acknowledging these averages mask significant differences between genders, ages, and countries in terms of the networks used. 18–24s continue to use Facebook and Twitter but have also adopted other networks and messaging apps for more private conversations, sharing pictures, and a different tone in term of devices usage, we can see that Apple ranks almost equal to other devices (31% vs. 30%) for smartphones whilst being the preference for tablets (25% vs. 11%).topsocialSourceAge

The survey also reveals second & third-screen devices becoming mainstream: 45% using two or more digital devices (58% for AU) and 16% using three or more digital devices. 15% say tablet is the main way of accessing online news versus 10% in the US and 18% in the UK). When asked Which, if any, of the following devices have you used to access news in the last week, 59% of Aussies said they used their smartphone, ranking #1 before most European countries included in the survey as well as the US and Japan.

Despite the traditional media industry in Australia, some pure digital players launched in the past 3 years such as the Guardian, the Mail Online, as well as Buzzfeed and the Huffington Post most recently counting on this strong usage of digital in Australia.

*Source & copyright: Reuters Institute

 

IAB Australia reveals 2015 Mobile Industry Trends

The IAB presented on the 21st April the results of their annual Mobile Landscape Survey*. Key takeouts for the mobile advertising industry in 2015:

  • 66% of respondents use programmatic buying and a further 23% are planning to use it this year.
  • Audience size, case studies and insights are the current pain points for marketers with 77% saying they’d like to be able to see more case studies.
  • 50% of people are using native advertising and 75% plan to use it in the next 12 months.
  • Media buyers are expecting to use mobile video in 43% of their mobile campaigns in the next 12 months.
  • Satisfaction from media buyers on the effectiveness of mobile advertising has increased YOY to 93%.
  • 50% of top AU companies still don’t have a mobile site.
  • 41% of the market now see mobile as a significant part of their marketing for 2015.

 

The panel composed of  Yahoo 7, Mi9, Big Mobile & AdRoll representatives raised the following topics of interests:
  • publishers need to get better at selling mobile so that it’s compelling
  • mobile first campaigns are emerging
  • 5 key trends in mobile creativity: utility, new platforms, revenue / margin, creation and showcasing technology & reach
  • campaigns will become more about users and less about the device
  • focus will be on video and targeting.

     

    *Source: IAB Australia