8/14/2014 11:45:00 AM
Global mobile ad spend hit £11.5bn in 2013 - IAB
Global mobile advertising revenue jumped 92% to £11.5bn ($19.3bn) in 2013, up from £6bn ($10.1bn) in 2012, according to latest figures released by AB Europe, the IAB Mobile Marketing Centre of Excellence and IHS Technology.
Revenues from mobile display soared 123.4% while mobile search advertising was up 92.1% for the year. The dramatic increase in advertising spend was driven by increased smartphone ownership and users using location-based search technology.
Meanwhile, messaging-related advertising rose by 19.4%, highlighting how consumers are moving away from network messaging services to free messaging applications.
The IAB report revealed how search represented 48.9% of the total worldwide mobile advertising revenue for the year at £5.7bn ($9.5bn) while display held a 41.5% share at £4.7bn ($8bn). The messaging spend of £1.1bn ($1.9bn) accounted for 9.6% of the overall revenue.
'The Global Mobile Advertising revenue study emphasises the importance and adoption of the mobile platform, both in Europe and globally,' said Townsend Feehan, CEO of IAB Europe.
'These powerhouse numbers directly reflect mobile’s rapidly increasing role as a vital part of the marketing media mix,' added Anna Bager, vice president and general manager, mobile marketing centre of excellence, IAB.
Daniel Knapp, director of advertising research at IHS and author of the report said that the year's global mobile revenue sizing reveals how growth is driven by a diverse array of developments in the mobile advertising ecosystem.
'Rising smartphone penetration is extending the addressable market and is inducing a shift from messaging to display-based formats, although messaging remains strong in emerging markets,' he said.