Once again, all the major online ad companies (REA, Domain, Carsales and Seek) continue to have a significant increase of their revenue per ad : . + 18 % for Domain, . + 19 % for REA, . double digit growth for Seek, . I was not able to find a figure for carsales*, but it is probably a similar trend given their qualitative comment. This regular increase for revenue per ad is due both to price increase and mix improvement (ability to push their customers towards more expensive ad categories).
What surprises me with this model : even when volumes have a significant decline, companies keep having a large increase of their revenue per ad : - in FY 23, REA had a large decrease of its volume of new buy listings (- 12 %) which was almost fully offset by the revenue per buy listing (+ 11 %) driven by price increase and mix, - in FY 24, it was the same story for Seek (decrease for job ads volume, partly offset by a double digit increase for the revenue per ad).
* carsales indicates that private yield in Australia (for private sellers) had a CAGR of 11 % between FY 16 and FY 24.
