Mediabrands: Programmatic 'more than half' of Australian ad buying by 2016

By AdNews | 31 October 2013

Australia is becoming one of the global hotspot for programmatic trading.

A month after IPG Mediabrands reaffirmed its commitment to conduct at least half of its media buying programmatically within three years, Magna Global's local unit has predicted more than half of Australian display, video and mobile ad spend will come through the channel by 2016.

The call follows a worldwide research program which suggests Australia lags only the USA, Netherlands and the UK in maturity.

“Programmatic trading had a relatively slow start in Australia because it took time for the technology infrastructure from the US to be set up,” said Magna Global Australia managing director Victor Corones.

“Now we expect in 2013 it will account for 28% of spend, up from 19% in 2012. It is clearly one of the most dynamic sectors in media.”

Cadreon is Mediabrands' programmatic platform and general manager Marc Lomas said publishers were now on board to the extent that "it is possible to run an entire digital media buy programmatically and we are going to see this become the norm".

Magna Global predicted that global growth in programmatic buying will be higher than the forecasts for Australia. The research estimates that globally US$7.6 billion was spent in the channel last year, rising to US$12 billion in 2013 and on to $32.5 billion by 2017.

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