Paid Search, Display and Video Increases in Expenditure Over 2012

Sunday, October 14, 2012
Grant Whiteside

Reading through the Digital advertising formats in the latest UK advertising spend figures from the IAB’s survey conducted by PWC, its clear that paid search is still thriving regardless of the economic climate. There have been so many changes in the last year with more advertising choices and granular reporting coupled with countless algorithm changes and page layout changes, its probably fair to say that many advertisers really have had to use paid search.

However with a 15.9% increase on a like-for-like basis to £1,527 million from £1,318 million its still proving be a medium that can bring excellent rewards when done well and it’s normally the easiest route to visibility.

It was also a good year for display advertising because of the increase of mobile and because brands have latched onto video and banners using social media channels, growing by 10.6% year-on-year on a like-for-like basis to £590.9 million from £534.7 million, representing a 23% share of digital ad spend in the first half of 2012.

In the first 6 months of 2012, digital videos advertising share increased from 9% to 12% for the same time period across 2011 to 2012. This is an increase of 43% to £69.8 million from £49.0 million reflecting the growing demand for video content. Banners in social media platforms increased 36% to £134.2 million, accounting for 23% of display ad spend, up from 19%, demonstrating a better understanding the alignment of brand awareness and how it plays part of the bigger picture.

Other interesting headlines include; Classifieds grew 7.2% like-for-like to £427.1 million from £391.5 million; accounting for 16% of digital ad spend in the first half of 2012.

And it was encouraging to see that Recruitment classifieds had increased they are now at 149.8 million in H1 2012 compared to 135.4 million in H2 2011; up 11% which is its highest level since the first half of 2008.