Sabre Thinking

03 Jun / Mobile Advertising: A Growing Portion of Digital Advertising?

Mobile AdsThanks to the extreme popularity and growth of smartphones and tablets, mobile advertising is one of the fastest-growing areas of digital advertising. According to Nielsen research, as of February 2012, almost half of all mobile phones in the U.S. were smartphones. Furthermore, about one third of Americans own a tablet and a growing number of internet surfers are now relying solely on mobile web. So, it’s no surprise then that mobile advertising would be so popular.

In 2012, it was reported that companies spent $37 billion on digital advertising, and part of that was due to the large growth in mobile advertising. Last year, mobile ad spending more than doubled to $3.4 billion from $1.6 billion in the previous year. Marketers are clearly realizing that consumers spend a great deal of time on the mobile web and are capitalizing on that prime ad space.

Part of the allure of mobile advertising is the immediacy of mobile web. Consumers often use their devices to determine which businesses are in close proximity, and ads can be programmed to pop up at the opportune moment when consumers are more likely to drop in. Another possible reason why mobile ads have become so popular is their span across multiple media outlets. Mobile ads don’t just pop up in browsers but in mobile applications, social networks and email as well.

Mobile advertising has at least doubled in revenue every year since 2010, and it doesn’t look like the mobile ad sector will be slowing down anytime soon. With a continued shift to mobile web and the growing popularity—and accessibility—of smartphones and tablets, mobile ad growth is expected to grow exponentially over the next five years.

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