The post lockdown advertising jobs boom is officially over as caution, in an uncertain economy, replaces frenzy in the talent market.
Digital advertising and adtech job vacancy rates plunged to 4.5% in July from 11.8% in the same month last year, according to the IAB Australia-2023 Industry Talent Report.
Demand for entry level jobs also fell hard to 14% from 27% but more experienced sales professionals are still in demand.
The latest numbers from the IAB confirm reports from recruiters that the jobs market in advertising and media has cooled.
And some redundancies have been reported as agencies pull back in an uncertain economic environment, with rising interest rates and falling consumer confidence.
The IAB report shows the majority of open roles are currently for sales managers and sales strategists, as companies focus on driving revenue and seeking to stand out from competitors.
“The 2023 digital industry and ad tech talent market has undergone a significant shift in the last year, moving from a market that was desperate for talent last year to vacancy rates that are close to 2020 levels,” says Gai Le Roy, CEO of IAB Australia.
“Most companies are currently focused on hiring gun talent that can drive commercial outcomes however the intent is to open more roles in coming months.”
The IAB found no evidence of any organisations planning to significantly increase their workforce over the next six months.
However, it did find cautious optimism, with more than half of companies looking to make modest increases to staff levels.
The average salary, despite job vacancy rates dropping, increased 4.2% in the 12 months to July, down from 7.6% in the preceding year.
The IAB says the rise shows Australia remains a premium job market thanks to the cumulative increases in digital advertising specialist salaries over the last few years.
The impact of AI on the industry is already being felt with more than half of all organisations working on using AI to increase the productivity of their current team or to improve their products.
One in ten organisations anticipate staff reductions or restructuring over the next 12 months as a result of integrating AI-driven efficiencies in their organisations.
The report found the number of women holding senior management roles increased to 38% from 26% in 2022.
Across commercial roles there is roughly parity with 49% women.
The number if women in technical and engineering roles increased to 18% from 13%, while women in product roles hit 44%, up from 36%.
“On a personal note I am thrilled with the continued growth of women in senior leaderships roles in the industry as well as so many companies following through on their intentions to introduce environmental and sustainability policies,” says Le Roy.
Diversity, equity, and inclusion (DE&I) policies are held n 86% of organisations. Those that do not yet have policies in place tend to be smaller or newer.
Gender is the most common factor and neurodiversity is the least, followed by age.
Environmental and sustainability policies have been adopted by 75%, up from 41% in 2022. A further 15% are planning to introduce a policy shortly.
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