Australian ad market slips 5.2%, but outdoor, cinema and social find growth

Australia’s media agency market recorded a 5.2% year-on-year decline in March advertising bookings, though the result was heavily impacted by comparisons against the record federal election-driven surge seen in March 2025.

According to Guideline SMI, total March bookings were still only 1.4% below March 2024 levels, pointing to relatively solid underlying advertiser demand despite continued market uncertainty.

The March quarter finished down 2%, with late bookings helping lift February back into positive territory.

Guideline SMI APAC managing director Jane Ractliffe said brands remain increasingly cautious, with geopolitical instability and weaker consumer confidence continuing to delay ad commitments.

“Apart from the Election-fuelled record level of ad spend in March last year, our market is plagued by the ongoing global geopolitical uncertainty which is in turn impacting consumer confidence and therefore advertising budgets,” Ractliffe said.

Outdoor once again emerged as one of the strongest sectors, rising 1.4% in March on the back of strong billboard and retail outdoor demand. Cinema was also a standout, climbing 11.1%, while video sites and streaming bookings surged 16% for the month and 20% across the quarter, now accounting for more than 10% of all digital ad spend.

The data also marked a notable digital milestone, with social media bookings overtaking search for the first time.

Search, historically the largest digital channel by agency spend, now trails both programmatic and social media.

“Given the growth trajectory of social it may soon deliver larger ad spend than the whole programmatic market,” Ractliffe said.

Linear TV bookings declined 10.1% in March, while radio fell 6.4%, although metro radio’s decline softened to 3.2%.

Regional press continued to outperform within print, rising 38.3%, even as broader newspaper and magazine sectors remained under pressure.

For marketers, the figures reinforce a familiar shift: while macroeconomic caution is slowing broader spend, investment continues to concentrate around performance-led, retail-connected and digitally scalable media channels.