eMarketer predicted that in 2016, mobile advertising will hit a milestone with $101.37 billion spent on mobile ads. In 2014, mobile ad revenue was $42.63 billion with digital advertisements accounting for 29.4%. In 2016, this percentage will rise to 51.1% of total mobile ad spending.
These numbers exemplify the ever-changing trends in the mobile advertising industry. By the end of the year, mobile ad spending is expected to reach $68 billion with digital ads accounting for around 40%. A few years back this seemed impossible, but with the large global increase in mobile users, companies have started investing in mobile advertising.This global revolution is bringing new trends to the market. Let’s have a look at some of the future trends we expect to see in the mobile advertising industry.
Desktop vs. Mobile
In-App Will Overpower Mobile Web
Increased Video Advertising
Southeast Asia To Dominate The Ad Market
Network providers are evolving to meet the expectations of their users. Location-based ads can be the best way to meet this requirement. This feature is currently hindered by lack of accurate location information and inventory to support this data. Products like Apple Watch have shown ways to improve this feature. Experts are busy cracking the code and are working to take this to a new level.
They are already including location based technology, like GPS and Internet of Things to increase real-time ad relevancy. As this improves and evolves, ad spending on location-based ads will increase as well. It is expected thatlocation-based ads will increase to $15 billion in 2018 from $4.9 billion in 2014. As the popularity of wearables is increasing, it is expected that by the end of this year, location based ads will claim 25% of total mobile ads.
Acquisitions And RTB
Fight Between OS’s
Technology To Increase Mobile Ad Buys
(Source by http://www.msktc.org/infoneeds/reach-your-audience/Creating-User-Friendly-Web-Sites)
Mobile Games To Dominate
Ad Views Calculation
Improved App Promotion
The number of apps may be increasing but the problem of app promotion remains unsolved. It is tough for an app, today, to obtain a decent audience amongst the millions of other apps. Perhaps, leading brands and experts can work together to solve this problem and come up with some better ways to promote apps. The arrival of app promotion and app install ads is just one step towards organizing the entire process. As per eMarketer, the app install ad spending for US mobiles was $1.67 billion in 2014, which is expected to be at $3 billion by the end of the year.
Mobile ad revenue is increasing which certainly increases advertisers’ return on investment hopes. Market experts are working towards improving user based experience, thus trying to tap into opportunities in the mobile ad sector. These are a few trends that we can expect in the mobile ad industry which, in a way, will change the entire user experience.