Terry Koh from Venture Beat shared his take on the trends of mobile advertising for 2015, and the years to come. Koh notes that mobile devices actually outnumber people, and levels of web traffic from mobile devices is higher than that of desktops. The growth in the mobile space over the last decade has been astronomical, and will likely continue as much of the developing world gains access to mobile devices their production costs decrease.
A Comscore report from 2011 predicted ad spending in the mobile space to surpass $2.5 billion by 2014. The actual figure for that year sits at just shy of $30 billion. Here are some of the trends that Koh outlines.
Ad Spend in Mobile will surpass that of Desktop
In 2014, desktop advertisement leads that of mobile by the relatively small margin of 1 billion. Mobile will undoubtedly eclipse desktop soon as many industry experts are forecasting mobile ad spend to soar as high as $50 billion. Koh points out that it isn’t a zero-sum game as the digital space is growing as a whole. That said, many are predicting that mobile keeps up this growth pace and will account for about three-quarter of total ad spend by 2019.
Mobile Web will lose to in-app ads
Consumers spend much more time in apps on their mobile devices than they do on the web.Brands are coming to the realization that they need to allocate more to in-app ads in order to fully capitalize on this trend.
Video on Mobile to Become Increasingly Important
Video in the mobile space is one of the fastest growing sectors of digital ads already. Brands have been investing heavily in video as they discovered that this format is quite effective in engaging consumers.
India is next
India and Southeast Asia as a whole is slated to become one of the most important smartphone markets on the globe. Although broadband internet is hard to come by in India, experts predict that India will reach a quarter of a billion mobile devices in 2015.