South Africans spend more time online than any other nation, and advertising money is starting to flow into online publishers and social media platforms.

This was one of the findings of the IAB South Africa Internet Advertising Revenue Report, also known as the Online AdSpend Report.

Paula Hulley, online revenue report project lead for the IAB South Africa’s Research and Measurement Council, shared details about the research findings.

Hulley said Meltwater’s Global Digital Report ranks South Africa as number one globally for time spent using the internet at nine hours and 24 minutes per day.

This encouraged many South African businesses to dedicate more money to online advertising to optimise their marketing spend.

Online advertising also offers targeted reach, measurable results, and engaging formats and provides the best return on investment.

“As businesses continue to recognise the power of online channels to connect with consumers, the investment in digital advertising continues to soar,” Hulley said

South Africa’s digital marketing landscape showed a remarkable 21.5% year-on-year (YoY) growth in 2023, reaching a new high of 40% of the advertising market.

The 40% achieved in 2023 is much higher than the 36% in 2022 to 34% in 2021, and the trend is accelerating.

“Digital ad spending has experienced double-digit growth over the past few years, reflecting a shift in consumer behaviour towards online channels,” Hulley said.

“As the end of 2024 nears, the digital advertising landscape in South Africa is poised for continued growth,” she said.

She explained that the increased online advertising spending is driven by factors such as increasing internet penetration and the rise of e-commerce.

“Businesses must continue adapting to the changing consumer landscape, and digital advertising will play an increasingly important role in their marketing strategies,” she said.