The Media in Figures: Tablet ownership and UK digital advertising spend

OVER one in four British consumers now owns a tablet, as advertisers spent a record £6.3 billion in 2013 to reach people surfing the internet across an increasing array of devices, according to research published last week.

Says the latest Internet Advertising Bureau UK digital adspend report, over one third (36 per cent) of people accessing the internet are now doing so via tablets, as tablet ownership grew 63 per cent year-on-year from 11.0 million to 17.9 million Britons in February this year.

It adds: “Due to the proliferation of new devices, two-thirds of people online now access the internet using a PC/laptop and one other device – such as a smartphone or tablet.”

The research was conducted by PwC.

Other findings include:

* Almost six in ten (57 per cent) tablet owners online say it’s their ‘go-to; device to surf the internet at home. Two-thirds of owners (66 per cent) say it’s easier to go online using a tablet. Almost two-thirds (65 per cent) like to use them while watching TV.

* Banking/finance is the area of people’s lives that would be most affected without the internet or mobile phone – cited by almost half (48 per cent) of Britons online – followed by keeping up with current affairs (37 per cent) and relationships with friends and family (35 per cent).

* IAB/PwC data shows that advertising on the internet and mobile phones overall increased, like-for-like, by 15.2 per cent or £853 million to £6.30 billion in 2013 – up from £5.45 billion in 2012.

* Among media owners who submitted revenue figures to the IAB/PwC, tablet-dedicated advertising has grown over 400 per cent to reach at least £34.4 million in 2013; up from £6.8 million in 2012.

* With smartphones now accounting for over three-quarters (76 per cent) of handsets, advertisers are continuing to invest more in mobile advertising. It grew, like-for-like, by 93 per cent to £1.03 billion in 2013 from £529 million in 2012. Mobile now accounts for 16 per cent of all digital advertising spend – £1 in every £6 – compared to ten per cent in 2012.

* Social media advertising spend on mobile increased to £221.8 million in 2013. Across digital overall, social media advertising grew 71 per cent to £588.4 million. Consequently, mobile now accounts for over one third (35 per cent) of total digital social media advertising.

* Video advertising grew by 62 per cent year-on-year, to £324.9 million. Video now accounts for 18 per cent of all online and mobile display advertising.

* Driven by mobile display and video, the consumer goods sector continued its dominance as the biggest spender on digital display advertising, overall – accounting for 18 per cent in 2013 compared to 16 per cent in 2012.

* Boosted by video and social media, display advertising across the internet and mobile grew above the overall (15 per cent) digital rate at 22 per cent on a like-for-like basis to £1.86 billion.

* With mobile display growing by 180 per cent on a like-for-like basis, to £432.4 million in 2013, mobile now accounts for 23 per cent of total digital display advertising.

* Paid-for search marketing increased 14 per cent on a like-for-like basis to £3.49 billion.

* Classifieds – including recruitment, property and automotive listings – grew nine per cent like-for-like to £886.5 million – accounting for 14 per cent of digital ad spend.

Source: Internet Advertising Bureau, April 8 2014.