Home |  site-map |  indonesia |  indonesian-single-source-articles |  asteroid-user-registration |

Roy Morgan OZ Panel Login  |  Mail Diary Panel Login |   careers |  contact-us |

 Search:  Entire Site Polls Press Releases 

The Internet Bureau / Roy Morgan Research: Internet Advertising Intentions and Attitudes Survey

In New Zealand, in 2006 an estimated 7% of total advertising agency dollars were spent on online advertising, with 8% forecast to be spent in 2007, according to the latest analysis of The Internet Bureau/Roy Morgan Research Internet Advertising Intentions and Attitudes Survey.

This survey investigated the online advertising spend of 41 advertising and media agency representatives from New Zealand, who in combination allocated close to NZ$1 billion on advertising in 2006. Due to the high level of interest from the New Zealand market, further details of New Zealand advertising agencies’ online advertising spend are described below.

The agencies surveyed were asked the question, “Thinking about the total dollar value of the advertising your company placed across all media for the 2006 calendar year, what percentage of that spend was allocated to internet advertising?” Agencies surveyed reported allocating an average of 15% of their total advertising budget to online advertising(1) , see Table 2. However, not all agencies are equal and an analysis of agencies’ reported dollar spend on total advertising against their spend on online advertising, shows that 7% of total advertising agency dollars were spent on online advertising in 2006 and 8% of total advertising agency dollars were forecast to be spent on online advertising in 2007.

Table 1. Total Advertising and Internet Advertising Expenditure by Agencies in 2006 and 2007

“Please indicate your company’s approximate internet advertising expenditure, placed on behalf of your clients, during the 2006 calendar year”
“Please indicate your company’s approximate total expenditure on all advertising (including internet advertising), placed on behalf of your clients, during the 2006 calendar year”
“Please indicate what is likely to be your company’s approximate internet advertising expenditure, to be placed on behalf of your clients, in the 2007 calendar year.”
“Please indicate what is likely to be your company’s approximate total expenditure on all advertising (including internet advertising), placed on behalf of your clients, during the 2007 calendar year”

	2006 n=41	2007 n=41
Average Total Advertising Expenditure	$21,373,000	$23,766,000
Average Expenditure on Online Advertising	$1,512,000	$1,971,000
Percentage of Expenditure Spent Online	7%	8%

Table 2. Agency Estimates of the Proportion of Dollars Allocated to Internet Advertising in 2006 and 2007

“Thinking about the total dollar value of the advertising your company placed across all media for the 2006 calendar year, what percentage of that spend was allocated to internet advertising?”
“Thinking about the total dollar value of the advertising your company will place across all media for the 2007 calendar year, what percentage of that spend are you likely to allocate to internet advertising?”

	2006 n=41	2007 n=41
Less than 5%	17%	7%
5-10%	46%	42%
11-60%	25%	39%
Over 60%	5%	5%
Can’t Say	7%	7%
Average Percentage Spend	15%	18%

Of the advertising agencies surveyed, in general the larger agencies (with larger advertising expenditure) allocated a smaller proportion of their advertising budget online, while the smaller agencies allocated a greater proportion of their advertising budget online. Essentially, the agencies with smaller advertising budgets are spending proportionally more on online advertising than the agencies with larger advertising budgets.

April 13, 2007

(1) As the sample represented a great variety of advertising agencies with different sized budgets, this figure cannot be taken to mean that 15% of all advertising dollars in New Zealand were spent on online advertising in 2006. Instead, this figure represents the average of all respondents’ proportion of their available budget that was spent online.

For more information contact:

© 2007 Roy Morgan Research. All Rights Reserved
privacy-statement