Australian internet advertising revenue reached $4.9 billion in the March quarter, up 15.3% year on year and close to the record December 2025 quarter, removing the usual seasonal decline. Video grew 20.4% to $1.4 billion, with social video rising 29.4% and BVOD increasing 10.1%. Video represented 73.2% of total display expenditure. Search and Directories remained the largest segment at $2.16 billion, up 13.9%, while classifieds rose to $787 million. Audio increased to $83.5 million, with podcasting outperforming streaming audio. Growth came from a broader advertiser base, including SMEs and new international entrants, while spend remained concentrated in a limited set of environments. Automotive and retail gained share, while health and beauty, entertainment and media, and FMCG declined.
"The Australian internet advertising market recorded its strongest March quarter, up 15.3 per cent to $4.9 billion, according to the IAB Australia’s Internet Advertising Revenue Report prepared by PwC. The result is within 1 per cent of the record December 2025 quarter, effectively eliminating the traditional seasonal March quarter pullback."
"Video was the fastest growing major segment, up 20.4 per cent to $1.4 billion, with social video the fastest growing sub-segment at 29.4 per cent. BVOD grew 10.1 per cent. Video now accounts for 73.2 per cent of total display expenditure."
"“Video continues to be the standout performer and search is also accelerating, however the results suggest advertisers are continuing to concentrate spend in a relatively narrow set of environments, despite the important role broader premium content ecosystems play in long-term brand growth and reaching audiences in trusted contexts,” she said."
"Meanwhile, Search and Directories remained the largest segment at $2.16 billion, up 13.9 per cent - the fastest growth rate since the 2022 COVID recovery - representing about 44 per cent of the total market. Classifieds grew 13.9 per cent to $787 million."
#internet-advertising #video-advertising #search-and-directories #audio-and-podcasts #australian-digital-media
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