27% CAGR growth in Search Advertising in Singapore

In the first half of 2011, companies paid S$60.31million (US$48 million) for digital ads here, making up 8% of the total advertising expenditure in Singapore.

Jointly commissioned by the Media Development Authority (MDA) and the IAB SE Asia, Singapore Chapter, the IAB online advertising revenue report for first half of 2011 was compiled by PricewaterhouseCoopers.

For Display advertising (banners etc), CAGR growth was at 15% over the 24-months period ended 30 June, 2011.

Technology and telecommunications, travel and leisure, financial services, business services, and property sectors especially found online advertising useful. This is likely because their target customers are more likely online.

The share of ‘digital marketing market’ to the ‘total advertising market’ (including traditional and digital media) in Singapore is comparatively lower than the other developed markets including the UK, US, Australia and Japan.

Search advertising at 39.80% is now close to Display advertising at 51.05%, which to me is a good sign that companies are starting to appreciate the better targeting of search advertising.