Key Developments &

Strategic Issues for Digital Advertising

Nick Stringer, Director of Regulatory Affairs – 11 November 2014

What does the IAB do?www.iabuk.net

The IAB seeks to help marketers find the

best role for online and mobile

advertising, to engage customers and

build their brands.

The IAB seeks to protect the medium by

developing & promoting good practice /

self-regulation.

Consumer behaviour is changing

0%

Source – IAB and UKOM, comScore MMX MP

25%42% 58% 69%

5%13% 28%

76%

37%

2010 2011 2012 2013 2014

Three-quarters of mobile users now own a smartphone…

TV & smartphone

TV & tablet

TV & laptop

TV & at least one other device 66%

25%

20%

11%

Q. And when you are watching TV do you often also use any of the following devices in addition? Base. Total Respondents – 1376

…and we’re using mobile (and other devices) while watching TV

50%make a

purchase on

their mobile

monthly

(25% weekly)

Mobiles play a vital role in people’s shopping

47%used their

mobile to find

out more about

a product, brand

or service in the

last week

Q26: How often would you say you use your mobile to get more information about a brand, service or product? Q27: How often would you say you use your mobile to make a

purchase (e.g. via the internet or an app)? 2,001 UK Smartphone Users

Advertising is adapting to this change

The digital media mix - % share of revenues H1 2014

SOURCE: IAB / PwC Digital Adspend H1 2014

Category H1 2013 Share

Search 57%

Display 27%

Classified 15%

Mobile now accounts for 20% of all digital advertising

SOURCE: IAB / PwC Digital Adspend H1 2014

0.8% 1.1%2.0%

4.2%

9.7%

16.4%

20%

2008 2009 2010 2011 2012 2013 H1 2014

20%of total Search

31%of total Display

1%of total Other (incl.

Classifieds)

Social media display grows 73% year on year

SOURCE: IAB / PwC Digital Adspend H1 2014

£0

£50

£100

£150

£200

£250

£300

£350

£400

£450

H12010

H22010

H12011

H22011

H12012

H22012

H12013

H22013

H12014

Social Media

Advertising:

£ M

illio

ns

Data = better customisation & greater efficiency

Data – driving the consumer‘s digital experience

Consumer data enables greater customisation, creating the most relevant ad for the right audience

In 2013, 28% of the total UK online display market was

traded programmatically

Mobile (display and

video)

£0.47bn

Online display

£1.14bn

28%programmatic

(c. £500m)

Online video

£0.25bn

Mobile (display and

video)

£0.47bn

Online display

£1.14bn

Key Public Policy Challenges

Delivering greater transparency & user control in mobile

Getting Data Protection Right

Thanks!

nick@iabuk.net

@nickstringer

www.iabuk.net/policy