Display Ads Drive Digital Growth in Canada - eMarketer

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Display Ads Drive Digital Growth in Canada

Search still has more share, but display is closing the gap

September 18, 2015

Digital ad spending will grow 15.0% this year in Canada, a solid growth rate for an advanced market. Digital display ads, especially video, will help drive that growth—along with mobile—according to eMarketer’s latest forecast.

Digital Ad Spending in Canada, 2014-2019 (billions of C$ and % change)

eMarketer estimates advertisers in Canada will spend C$4.36 billion on paid digital media this year, or 34.0% of total paid media spending in the country. Growth rates for digital will decline over the next few years, dropping into the single digits in 2017. But digital’s share of total media ad spending in Canada will continue to rise, reaching 41.7% by 2019.

Much of that rise will be driven by mobile, which this year accounts for just 11.6% of total ad spending. By 2019, its share will reach 28.8%.

Digital Ad Spending Growth in Canada, by Format, 2014-2019 (% change)

Display, regardless of channel, is the fastest-growing digital format. From banner ads delivered to desktop PCs to mobile rich media placements served to smartphone screens, digital display accounts for 42.1% of digital ad spending this year. That puts it below search, but it’s gaining steadily. Digital video ads in particular are driving display growth, but traditional display is also growing at double-digit rates.

In Canada, most display advertising still goes toward the desktop. This year, eMarketer estimates, 38.1% of digital display ad spending went to purchasing ads served to smartphones, tablets and other internet-connected mobile devices. By by 2019, 70.8% of display spending will be mobile, including 72.3% of traditional display spending and 64.1% of video spending.

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