Mobile ad spending to approach $40 billion annually by 2018
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Mobile ad spending to approach $40 billion annually by 2018

A new report from Juniper Research (www.juniperresearch.com) has found that increased utilization of analytics platforms, allied to the introduction of innovative ad formats and purchasing mechanisms, will push global mobile ad spend beyond US$39 billion in 2018, up from $13 billion this year.

Mobile now contributes 41% to its overall advertising revenue. Facebook recently announced that it is going to begin rolling out video ads, a move illustrative of the wider industry trend for interactive rich media ads, away from underperforming mobile banner adverts.

What's more, the Juniper report observed that the growth of Real-Time Bidding (RTB), a mechanism which lets advertisers buy impressions in real-time, means that publishers will be able to more easily sell their advertising inventory, which will thereby boost overall mobile ad spend. However the research group also pointed out that some brands still remain wary of the mobile channel due to concerns that mobile advertisements may be perceived as inappropriate or intrusive. Indeed, the report noted the disproportionately low spend on mobile advertising, versus other mediums, relative to the high engagement levels that

"We are witnessing a change in consumer perceptions of mobile advertising as advertisers begin to use opt-in, or reward-style advertising; by harnessing big data and location information, mobile ads are being better targeted to users," says report author Sian Rowland.

 

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