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IAB Australia
The Australian digital advertising and ad tech industry is refining its talent strategy in response to deepening cost pressures and the advancing integration of AI, according to IAB Australia’s 2025 Digital Advertising and Ad Tech Talent Review released today. As organisations seek to balance operational efficiency with capability growth, workforce planning has become more selective, structured and strategically aligned.
IAB Australia has announced the appointment of Sarah Kruger as its Director of Policy and Regulatory Affairs effective immediately. Sarah will work with IAB member organisations, other trade associations, policy makers and the global IAB network, with the primary goal of distilling and navigating the myriads of local and global regulatory frameworks that underpin the digital advertising ecosystem today and into the future.
Cost-of-living pressures ease slightly but value-seeking behaviours persist
Australian consumers are continuing to shop online in high numbers, but they are expanding the ways they discover and evaluate products according to the Australian and New Zealand Commerce Report 2025 which was released today by IAB and Pureprofile. The Report also found that while cost-of-living pressures have eased slightly, shoppers remain highly value-conscious with 72% of consumers actively cutting back on non-essential items, down from 75% in 2024.
Significant generational differences across online shopper behaviour and expectations were identified in the Report, particularly around convenience, reward, sustainability and transparency. This has resulted in considerable variations in how consumers discover brands and source products.
The Report found that across a broad range of product discovery sources assessed, online shoppers used an average of 4.8 touchpoints, with online search, retailers own stores and content, shoppers' personal connections, other consumers and social media being some of the most important sources. This breadth makes it critical for marketers to consider using a multi-channel strategy and loyalty programs to deepen their engagement in the competitive market.
Search remains the top discovery tool overall, particularly for over 50s (64%). Social media and influencers are key to millennial and gen z online shoppers, with 59% of 18-39’s saying social media is important to how they find products to buy, and 75% having discovered brand information from an influencer or content creator that they follow. Retailer owned assets and content were also identified as increasingly important.
Gai Le Roy, CEO of IAB Australia commented “Retailers and marketers must review their distribution and investment strategies to ensure they show up wherever their audience is seeking inspiration. Brand discovery is now happening across a growing number of environments, from social scrolls to second-hand marketplaces.”
Martin Filz, CEO of Pureprofile said “People are getting smarter about how they shop. They want value, but increasingly that means something different to different groups, whether it’s free shipping, finding unique pre-loved items, or discovering a brand via a TikTok creator. Marketers need to stay on top of these audience behaviours and motivations to think more holistically about what value looks like and where their audiences are making those judgments.”
The Report notes that transparency in data usage and consumer understanding of the data exchange is critical. It found that while 75% of online shoppers are aware that their personal data is used for targeting advertising, 73% remain concerned about how retailers use their data. Most consumers are open to sharing information when there’s a clear benefit with 93% of online shoppers saying they are willing to share personal data in exchange for tangible rewards like discounts, free delivery, loyalty points or cashback offers. However, they demand clear communication and trustworthy handling of their data.
Key points for retailers
Free shipping thresholds (61%), easy and free returns (57%), and fast shipping (40%) rank as very important retailer offerings.
48% of online shoppers say real-time product availability information is very important along with 41% who rate real time delivery tracking as very important, underscoring the rising expectation for immediacy and responsiveness.
Younger online shoppers place greater importance on retailers having fast shipping options (same-day, next-day, 2-day) with 48% of 18-29s rating fast shipping as important, compared to 40% of all online shoppers.
There are a range of different types of loyalty programs that are identified as valuable to online shoppers. 86% of online shoppers find free to join loyalty or rewards programs valuable, with 36% finding them very valuable.
4 in 10 Australian online shoppers (41%) have increased buying second-hand goods over the last few years. While 48% say sustainability is a reason for this increase, saving money (74%) is the predominant motivator.
While purchasing ethical and sustainable brands is important to 50% of shoppers, only 36% are willing to pay more, highlighting a tension between values and price sensitivity.
Marketplaces and supermarkets dominate the retail landscape, however online stores of traditional retailers, food delivery, subscriptions and purchasing directly from social media platforms are also thriving
The IAB Pureprofile Commerce Report is based on research conducted with 1,000 Australian and 850 New Zealand online shoppers aged 18 – 70 who have shopped online at least once in the last twelve months. It examines how consumer attitudes, behaviours and expectations are influencing shopping and commerce trends in Australia and New Zealand. This is the fifth annual Commerce
Report for the Australian market and the second year for New Zealand. Past reports are available to download from the IAB Australia website.
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About the Interactive Advertising Bureau
IAB an independent industry association with nearly 9,000 members globally spanning media owners, publishers, technology companies, agencies, and advertisers. It works to align industry stakeholders to develop solutions for the issues faced by the market and develop standards that are integral to the operation of digital advertising.
As one of 45 IAB offices globally, the role of the IAB is to support sustainable and diverse investment in digital advertising across all platforms in Australia as well as demonstrating to marketers and agencies the many ways digital advertising can deliver on business objectives.
About Pureprofile
Pureprofile’s vision is to deliver more value from the world’s information.
We are a global data and insights organisation providing industry-leading online research solutions to agencies, marketers, researchers and brands & businesses.
Our research delivers rich insights into real human behaviour and provides the “Why” behind the “What” through our unique ResTech and SaaS solutions. We build in-depth profiles of consumers via our proprietary and partner panels and give businesses the ability to understand, target, and ultimately engage with their audiences.
The Company, founded in 2000 and based in Surry Hills, Australia, now operates in North America, Europe and APAC and has delivered solutions for over 850 clients.
Retail media advertising is now an integral part of holistic media planning according to the IAB Australia Retail Media State of the Nation 2025 Report, which was released today. The Report found that seven in ten advertisers and agencies using retail media have increased their investment in the last twelve months and 77% now work with three or more retail media networks, up from 58% last year. However, the Report also notes that as the sector scales, brands and agencies are seeking more transparency and consistency, along with better data access, consistent metrics and unified measurement frameworks across retail networks.
IAB Australia announced today that Mitchell Greenway, Managing Director APAC at OpenX has been appointed as the Chair of its Executive Technology Council (ETC) and now becomes the ETC representative on the IAB Australia board. Greenway replaces Nicole Prior, who was most recently Head of Media and Adtech Solutions APAC at Microsoft Advertising.
Video advertising in Australia is continuing to surge with 27.5% of all online advertising investment now allocated to video. This is despite marketers flagging macro-economic conditions, cross channel media measurement and AI as key challenges to advertising and marketing investment in 2025. According to IAB Australia’s 2025 Video Advertising State of the Nation Report, which was released today, brand safety and suitability also remains a concern, as well as understanding how consumer viewing is evolving.
The Australian internet advertising market has continued to grow, reaching $4.2bn for the March 2025 quarter, an increase of 11.6% year on year. The data which comes from the IAB Australia Internet Advertising Revenue Report (IARR) released today, also showed that the local market experienced a much softer than usual seasonal decline in spend from the December quarter at -1.8% in 2025 versus -4.2% in 2024.
IAB Australia is inviting the industry to make speaker submissions for MeasureUp 2025, Australia’s premier media measurement and marketing science event. Returning in September for its 9th year, MeasureUp brings together advertising and agency professionals, marketers, academics, and vendors.
IAB Australia has launched its AI Working Group to support the needs of publishers, platforms, ad tech, agencies and marketers. The Group will have a strong focus on providing practical guidance for the industry and will collaborate on key policy topics and initiatives with The AI Council of Experts which was recently launched by AANA, MFA and ACA.
Industry interest and support for IAB Australia continues to grow, with 13 new members joining the industry body in the first four months of this year. The new members who include brands, publishers, agencies and adtech companies, were drawn to the IAB by the opportunity to engage in industry discussions and initiatives, either through participation in Councils and Working Groups or as general members. The ability to access policy advice on regulatory issues, industry best practice guidelines and advertising and measurement standards, as well as attend all IAB events free of charge are other popular benefits of membership.
Affiliate and partnership marketing activity is increasing in Australia, with 89% of advertisers and agencies who use the channel flagging their intention to maintain or increase their investment over the coming year. The data, which comes from the IAB Australia Affiliate and Partnership Marketing Report, also found that as the industry grows, marketers are looking for greater guidance on measurement, tracking, effectiveness, payment models and best practices.
IAB Australia announced today that Nicole Prior, Head of Media and Adtech Solutions APAC at Microsoft Advertising has been appointed as the Chair of its Executive Technology Council (ETC) and also become the ETC representative on the IAB Australia board. Prior replaces Adele Wieser, MD of Index Exchange, who has completed her two-year stint as Chair.
Podcast advertising is firming up as an agency favourite for 2025, according to IAB Australia’s Australian Audio State of the Nation Report, with 79% of agencies intending to increase their podcast investments this year. Streaming music (65%) and streaming radio (56%) will also see increases in spend according to the Report, with audio’s ability to offer incremental reach on other media and to compliment the media mix, flagged as the key drivers of growth.
The Australian internet advertising market has grown 11.1% year-on-year to reach $16.4bn spend for the full calendar year 2024 according to the IAB Australia Internet Advertising Revenue Report (IARR) which was released today.
IAB Australia today announced that Suzie Cardwell, Nine’s Chief Data Officer, has been appointed Chair of the IAB Australia Board, while Sarah Myers , GM Audience and Marketing at REA Group has been appointed Deputy Chair.
IAB Australia’s Video Council has today launched a video ad format matrix designed to help buyers and planners more easily understand which environments specific video assets can run. It is hoped that the matrix, which offers a simple visual summary of the formats and the media environments they are offered, as well as a listing of the market’s SSPs, DSPs and Ad Servers, will support the industry and ensure a breadth of investment across multiple channels.
IAB Australia is inviting up and coming industry talent with less than 10 years’ experience in the digital advertising industry to apply now for the next round of its mentoring program. The Mentorship Program, which has launched in 2019 by the IAB Executive Tech Council, is regarded as the industry’s preeminent professional development and mentoring program and has supported more than 450 mentees to date.
Online advertising expenditure has increased 12.1 % year-on-year according to data released today in the IAB Australia Internet Advertising Revenue Report prepared by PwC Australia. Total advertising expenditure for the quarter ended 30th September 2024 was $4.2bn, with robust growth in video, classifieds, search & directories and audio.
IAB Australia has outlined its intention to strengthen its resolve to ensure responsible frameworks are in place to meet marketer, consumer and Government expectations through 2025, while also exploring new market needs and dynamics. The details are included in the IAB Australia Annual Report, which was released today at the inaugural IAB Australia Leadership Summit. The Report also includes an overview of the last year’s activities, including education, talent and mentoring programs, industry events and the work of the seven councils and seven working groups.
IAB Australia’s Ad Effectiveness Council has today released a research synthesis, “Elevating brands through multi-channel excellence”. The paper, which is a collaborative effort of the members of the council, provides evidence for marketers of why multi-channel advertising campaigns are more effective at delivering business outcomes and offers guidance for creating and measuring successful multi-channel campaigns.
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