Stephen Upstone, CEO & Co Founder LoopMe
Recent eMarketer research announced that mobile advertising will account for 20% of total UK ad spend this year, overtaking print for the first time. But print isn’t the only medium to topple. The goliath of media, television, will be supplanted by mobile advertising as early as next year.
The study predicts that by 2016 TV’s share of total UK media ad spend will drop to 24.8% (£4.27 billion) while mobile advertising will rise to 25.5% (£4.4 billion). It may not seem like a large difference but by 2019 the gap is set to be a mile wide, with mobile worth a staggering £7.8 billion to TV’s steady £4.4 billion.
The proposed trend is a direct reflection of consumer habits. The GSMA predicts there will be 5.9 billion smartphones in circulation worldwide by 2020 – illustrating the huge popularity of mobile worldwide and the reach mobile advertising has to offer.
The move to mobile is driven by a need to target users in the environments where they actually spend their time. Recent US research by Nielsen shows that the average millennial spends 63% less time watching TV and 73% more time on their smartphones than the average adult audience. And where eyeballs go ad dollars must follow. To reach this smartphone-loving audience it is essential for advertisers to funnel more money into mobile advertising.
But into which type? Mobile advertising is an incredibly broad term, covering everything from SMS marketing and banners to interstitials and search. Which area of mobile will drive the sector’s growth and prove to be the most effective?
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