CFOtech Australia - Technology news for CFOs & financial decision-makers
Australia
Australia's social ad spend to hit USD $6.15 billion

Australia's social ad spend to hit USD $6.15 billion

Wed, 4th Nov 2026 (Today)
Karen Joy Bacudo
KAREN JOY BACUDO Finance Editor

Social advertising spend in Australia is set to reach USD $6.15 billion in 2026, according to new figures from Meltwater and We Are Social. That would mark annual growth of 16.5% - roughly three times the rate of the wider digital advertising market.

Overall digital advertising growth in Australia stands at 5.5%, while social now accounts for more than 36% of national digital ad spend. Australia also ranks third globally for social advertising spend per user identity at USD $272, or about AUD $387 a year.

The rise comes as social media use remains widespread. Australia has 22.6 million social media user identities, up 7.6% year on year and equal to nearly 83% of the population. Meanwhile, 85% of internet users aged 16 and over use social media every week.

Time spent on digital platforms also continues to outpace traditional television. Australians spend an average of 16 hours and 52 minutes a week across social platforms, including 9 hours and 16 minutes watching online videos and 7 hours and 35 minutes on social media. That compares with 7 hours and 8 minutes spent watching linear TV.

Streaming has also become central to media consumption. The figures show 78.8% of Australians watch streaming content each week, while 45.5% pay for television and movie streaming services. That compares with 32.4% globally, placing Australia fourth worldwide on that measure.

Ad budget shift

The data points to a broader shift in how brands allocate marketing budgets as consumers spend more time on social and digital video. More than half of internet users aged 16 and over also use social media to research brands and products, giving these platforms a larger role in purchase decisions.

Yet higher spend is not necessarily producing better results for advertisers. Almost three in ten Australian internet users use ad blockers, while only one in ten says they feel represented in the advertising they see and hear online.

Those figures suggest a disconnect between investment levels and consumer response. They also point to growing pressure on marketers to make advertising more relevant to audience interests and experiences.

Platform habits

Facebook remains Australia's most popular social platform by preference, with 26% of social media users naming it as their favourite. It also drives more than three-quarters of all social referral traffic, underlining its role in directing users to other websites and online destinations.

Instagram and TikTok lead in engagement by time spent. Active Instagram users spend an average of 1 hour and 47 minutes on the app each day and open it 18.2 times a day, while TikTok users spend 1 hour and 45 minutes daily across 13.5 sessions.

YouTube has the largest reported potential advertising reach among social platforms in Australia at 22.6 million users, or more than 93% of Australian adults. Facebook follows at 17.8 million, with Instagram at 15.7 million.

AI and discovery

The report also highlights growing use of generative AI in Australia, adding another route through which consumers search for information and encounter brands. More than seven in ten internet users said they had used generative AI in the past month.

Among those users, 46% had used AI tools to search for information, 16% had used them to research brands or potential purchases, and 8% had discovered new brands or products through AI. Even so, attitudes remain cautious, with only one in four saying they feel comfortable using AI tools.

"The real story in this year's data is where brand discovery is heading next, and how quickly it's getting there. More than seven in ten Australians have used generative AI in the past month, nearly half to search for information, and a growing share to research brands and find new products. Reputation is no longer just how a brand is perceived. It's the data AI uses to decide whether it gets recommended at all. That makes AI visibility a core part of reputation management. As the landscape becomes more complex and fragmented, unified intelligence is a strategic necessity. Brands need to connect what's being said in media and social with how AI tools represent them, so they can spot gaps, correct the narrative and build credibility. The brands that measure and manage this now won't just track the conversation. They'll shape what AI says about them," Ross Candido, Vice President ANZ at Meltwater, said.

The findings also point to a changing role for social media in media planning and creative work, as platforms take a larger share of consumer attention and online discovery.

"The numbers in this year's report make one thing undeniable: social is no longer a supporting channel, it is the primary channel of consumer attention and brand discovery in Australia. Brands increasing their social ad spend at three times the rate of the broader digital market are responding to a fundamental shift; Australians are spending more time on social feeds than watching linear television, and over half rely on these platforms to research products. So simply scaling budget isn't enough. With high ad-blocker usage and low consumer feelings of representation, the real advantage belongs to brands that invest in culturally resonant, platform-native creative that drives genuine engagement and earns brands cultural relevance," said Suzie Shaw, APAC Chief Executive Officer at We Are Social.