Australian brands spent $9.4 billion on digital ads in 2019

Chris Pash
By Chris Pash | 18 February 2020

Australian brands spent a total of $US6.32 billion (AUD9.4 billion) on digital ads in 2019, up 7.1% on the previous year, according to Hootsuite and We Are Social’s Digital 2020 Report

Digital search ads, $US2.36 billion (AUD3.5 billion), a 4.8% increase, and social media ads $US1.60 billion (AUD2.38 billion) got the most spend.

In 2019 Instagram’s advertising reach increased by 4.3% with Snapchat following at 3.8%. Twitter’s advertising reach decreased by 3.3%, while Facebook has remained unchanged.

However, only 26% of Australian internet users say they discovered a brand on social media, suggesting brands need to be better allocating their efforts and budget.

Insights from the Digital 2020 report:

  • Search engines and TV ads were the top sources of brand discovery for internet users at 42%, followed by word-of-mouth recommendations at 38% and social media ads at 26%.
  • Topping the list of most used social media platforms was YouTube and Facebook, both at 80%, with Instagram coming - 53%, Pinterest - 28% and Snapchat - 27%.
  • In 2019, Australia exceeded 18 million active social media users, with a 71% penetration rate of the nation's population.
  • 25-34 year olds make up the biggest share of social media advertising audience at 13.2% for both males and females.
  • Facebook adverts have the potential to reach 15 million Australian internet users, followed by Instagram at 9.7 million, Snapchat at 6.85 million and Twitter at 6.23 million.
  • Australia now has 32.89 million mobile connections and 22.31 million Internet users.

Heather Cook, general manager APAC, Hootsuite: "Brands must ensure that safeguarding consumer trust remains paramount, as 63% of internet users aged 16-64 are concerned about what's real and what is fake online. Organisations should focus on creating authentic messages that resonate with audiences, whilst conveying value, which will foster trust and improve customer loyalty."

Suzie Shaw, managing director, Sydney, We Are Social: “Marketers have recognised how social media not only allows them to be always-on and reach their audience at scale, but also to hyper-target their messaging to ensure both effectiveness and efficiency so that their media budget works harder to achieve their business goals. As a result, social media spend in Australia recorded double-digit growth in the past year, which is remarkable.”

Social media platforms:

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