Changes In Mobile Ads Are Impacting Digital Publishers
In KPCB’s 2015 Internet Trends Report, Mary Meeker noted that the amount of advertising budgets allocated to mobile was poised for growth. The figures available at that time were from 2014 and indicated that although 24% of total media consumption time was spent on mobile devices, only 8% of advertising spending was spent on mobile ads. So, how are changing mobile ads impacting digital publishers?
Note that these percentages are based on all forms of media advertising, including print, radio, television, internet and mobile. When you restrict the same data to just looking at Internet advertising, mobile accounted for approximately 25% of all Internet ad revenue or $12.5 billion of a total $49.5 billion. That’s still quite a disparity when you consider that almost half of an average adult’s daily Internet usage time was spent on mobile devices in 2014.
Since that time, we have seen the gap between mobile media usage and ad spending starting to narrow. In 2015, mobile devices accounted for slightly more than 50% of average daily usage time, while data from the first half of the year shows mobile being responsible for about 30% of total Internet ad revenue.
There’s still quite a bit of room to grow, but if trends continue in the direction they’re currently going, we could see mobile ads taking over the top slot within a couple of years. In fact, PwC forecasts that mobile advertising will exceed display advertising in 2018 and account for almost $56 billion in ad revenue. Continue reading “How Changes In Mobile Ads Are Impacting Digital Publishers”