BERLIN: The European online advertising market has doubled in five years, according to new figures from IAB Europe which show it grew 11.6% last year to reach a value of €30.7bn
The AdEx Benchmark 2014 report covers 27 European markets and showed that all of these recorded positive growth while 20 achieved double-digit growth.
And without the contribution of online advertising the report said that the overall European advertising market would have declined 1.6% last year.
The strongest growth came in Central and Eastern Europe, which increased 13.8% as it benefitted from improvements in broadband infrastructure and the increase in broadband penetration in these markets, which in turn is brining more addressable audiences online.
But in terms of overall value it is the mature online advertising markets in Western Europe that are generating euros, particularly the big three of the UK, Germany and France which together account for 58.8% of the total.
This, said IAB Europe, was "a direct result of investment in formats and targeting capabilities and developing data strategies in a cross-device environment".
Mobile and video ad spend continued on their strong growth curves and are now a significant proportion of display and search ad spend.
Mobile now accounts for 17.7% of the display market, with a growth rate of 72.5% compared with 2013, while online video advertising also showed strong growth, now representing 15.1% of the display market.
"The rise of mobile and video is a reflection of the investment and innovation of the online advertising industry to meet advertiser needs, not just a reaction to shifts in consumption trends," said Eleni Marouli, a senior analyst at IHS and author of the report.
Display advertising in total outperformed other categories with a growth rate of 15.2% to reach a value of €10.9bn.
Search showed growth slowed to 10.8% but it remains the largest online advertising format in terms of revenue, worth €14.7bn.
The third component, Classifieds and Directories, grew 5.8% to €4.9bn, its slower rate of increase reflecting the challenge from Paid-for-search and Data-driven Display in competition for advertising budgets.
Data sourced from IAB Europe; additional content by Warc staff