A new report by eMarketer looking at UK ad spend has confirmed our belief that mobile will become the dominant advertising format – and it’s going to happen soon.
The study which looked at UK ad spend, predicts mobile ad spend will rise to £4.4 billion in 2016, accounting for 25.5% of total media spend. TV on the other hand, despite growing to £4.2 billion, will lose its status as the largest ad format, taking 24.8% of total UK media ad spend.
Mobile domination is inevitable, it will become the world’s largest ad medium as users across the globe continue smartphone adoption.
The next question is which format will dominate mobile advertising? Mobile banners, the very earliest form of mobile advertising, are not the answer. They simply can’t scale effectively to smaller, handheld devices. The same goes for MPUs, Banners or Skyscrapers.
So what is the future of mobile? The answer is to look back at the former goliath of advertising – television. The reason television has been, and will continue to be, such a successful medium is the combination of huge reach with video.
Mobile advertising offers a far greater reach than television, with consumers glued to handsets for the entire day, rather than a few hours in the evening. Video advertising transitions beautifully to mobile devices. The high resolution screens, which are increasing in size, are the perfect medium for video advertising. The combination of audio and visual which proved so powerful for television, seamlessly transfers to mobile and is incredibly simple to scale.
Mobile video advertising is already growing at an unprecedented rate, with ad spend increasing 142% in the UK last year, and it will only continue its ascent as mobile becomes the world’s dominant advertising medium.