Search Marketing Influencer Series – Kristina Sruoginis (Part 1)

Nov
23
2015

Kristina Sruoginis is the Director of Digital Research at the Interactive Advertising Bureau (IAB), the U.S. trade association representing over 650 leading media and technology companies responsible for selling, delivering, and optimizing digital marketing campaigns.

Prior to joining the IAB, Kristina was the Director of Digital Research at MTV, VH1, CMT, and Logo where she oversaw digital research initiatives and produced studies ranging from usability and consumer insights to qualitative ad effectiveness analysis.

What is the IAB’s current revenue outlook on search?
We recently released our latest interactive ad revenue figures. U.S. digital advertising revenue surged 19% to $27.5 billion during the first six months of 2015.

We’ve been reporting on digital ad spend since 1996, including search’s contribution. In 1996, search represented roughly 10% of digital. Today, the figure hovers around 37% at $10.1 billion, representing the largest category of interactive advertising revenue in the U.S. Inclusive of mobile-related search, the share is even higher at 50%, totaling $13.7 billion of HY 2015 ad revenue.

SMIS - Kristine Sruoginis 1

Based on these figures, we’re noticing a significant increase in mobile ad spend. Do you see mobile taking share away from search?
The rise in mobile is more a reflection of platform integration and evolving cross screen behavior than a decline in search or other ad categories. Consumers use multiple screens for search interchangeably based on location and specific tasks.

As the gap narrows between mobile media usage and ad spend, mobile ad revenues continue to gain share, representing 30% of total HY 2015 revenues, as compared to 23% in HY 2014. As a result, non-mobile Search, Banner Ads, Classifieds, Lead Generation, and Rich Media are all down slightly as a percentage of total revenue due to the substantial growth of Mobile.​

SMIS - Kristine Sruoginis 2

Search is still massive and remains the top revenue category. While we do see mobile taking a more prominent role in the digital ad space overall, it’s taking share not just from search, but from all other categories as well.

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