Mobile Spending To Increase As Revenue Surges
- by Ben Frederick @mp_benfred, August 28, 2015
North America was the fastest-growing region, growing 76.8% year-over-year and holding almost a 45% share of the $32 billion total. eMarketer estimates that number will increase by 50% to $28.72 billion in 2015.
Mobile display ads grew 88.1%, and represented $15.1 billion or 47.4% of total global mobile advertising revenue in 2014.
Social giants Facebook and Twitter reported that mobile revenue in Q2 made up 76% and 88% of their total revenue.
A CMO survey of 255 marketing leaders indicated that while current spend on mobile marketing makes up only 6% of their budgets, that number is expected to increase 160% to 15.6%. The survey did not ask how marketers plan to allocate all the additional funds expected in coming years.
Despite the projected growth, however, the CMO survey points out that much of the impact of mobile marketing is still difficult to measure, and that marketers would do well to achieve a deeper understanding of its limitations and points of strength.
Nearly eight in 10 U,S. marketers said they would increase spending in mobile if they could track return on investment (ROI) better, according to an April 2015 Millward Brown Digital survey.
As cross-device measurement becomes more accurate, marketers are realizing the value of mobile as a research tool, but the ultimate goal for many advertisers is to make the total mobile experience frictionless both for advertisers and consumers.
This is good news for publishers, assuming the law of supply and demand holds true. Proving the effectiveness of mobile, yeah, still a hurdle but slowly improving. The same goes for finding target audiences on mobile apps. Facebook does that very well. Everybody else...not yet.