Talking About Mobile
by Calli Cox
Everyone is talking about mobile, which leaves no question that the industry is taking off. According to In-Stat’s research last year, an estimated 48 billion mobile application downloads are expected by 2015. This goes hand in hand with the fact that the smartphone and tablet industry are booming. While In-Stat reports 23 percent of all phone shipments were smartphones in 2010, that number is expected to reach nearly half in the next three years. Tablets are soaring too, with 3 million iPad3’s by Apple selling over their opening weekend alone. According to eMarketer, one in three online consumers will be using a tablet device by 2014. With the mobile industry skyrocketing, a tremendous opportunity for new streams of revenue has been created for online publishers.
The traditional online display tactics for advertisers are evolving to accommodate this new platform. Smartphones and tablets have become a personalized companion for your everyday activities, whether you are using the device for your on-the-go needs, such as looking up the nearest Starbucks, or if you have some down time during the day and turn to your device for entertainment by reading a few news articles or playing Words With Friends. While there may be similarities, the digital landscape for PC’s cannot simply be applied to the mobile world. It will have to mold to fit the way consumers use these devices. Here are a few options that can be applied for display advertising: Text Ads, Graphical Banners, Text Links, and Video PreRoll. Text messaging has also been at the forefront of new creative formats applied for this new landscape. Something else to keep in mind is the large growth of local targeting that the mobile platform provides. As I mentioned before, many consumers use their smartphone or tablet in this “need it now” scenario. They are looking up consumer reviews while they are in-store, instead of researching on their PC for future reference. According to Google, mobile search actually accounts for half of all mobile dollars, staying in tune with the device being a companion in your everyday routine.
In 2011, mobile ad spending in the U.S. was forecasted at $1.45 billion according to eMarketer. This is up 89 percent from 2010, and is expected to grow another 80 percent in 2012 to $2.61 billion. There are also projections of this jumping all the way to $5.78 billion by the end of 2012, as reported by Smaato.
So what’s the moral of the story here? You should jump on the mobile bandwagon now to keep your online revenue soaring.