European online advertising grows to €22bn

Online advertising grew 11.5% to €22.2 billion between H1 2016 and H1 2017, according to a new report from IAB Europe and IHS Markit.

The study shows that mobile display grew by 45.9% while desktop advertising decreased by 1.4%. Total mobile also outpaced all other ad formats with a growth rate of 41.4% to a value of €7bn, compared to search which grew by 12.8%.

“Digital has played a huge role in innovating the advertising industry,” said Rupert Staines, managing director international at RhythmOne. “This year has been one of increased confidence and investment, which we can see through the double-digit growth highlighted.

“Mobile and video are instrumental in driving this change, a trend we expect to see continue across all media as the industry moves into a programmatic era.”

Online video grew 3.2 times faster than non-video display, reaching €1.7bn in H1 2017. It now accounts for 20% of total display spend.

Display advertising grew by 13.1% and search by 12.8%. Display reached over €8bn in H1 2017 representing 37% of total online advertising whilst search accounted for 48%.

Commenting on the figures, Daniel Knapp, executive director at IHS Markit said: “A stable macro-economic environment in the Eurozone has fuelled advertising demand, and our data shows that political uncertainty in other countries has not impacted growth to date.”