Mobile accounts for more than half the cost of digital advertising in 2015
This year will be a new advertising milestone in the United States, because for the first time in all time, the cost of a mobile overtakes the cost of a desktop, eMarketer reports . Mobile will account for 51.9% of all digital expenses in 2015. This figure is higher than eMarketer forecasted earlier this year.
Costs for mobile advertising in the USA, 2014-2019, Billions
A slow reduction in the share of desktop advertising is expected by 2019, and the share of mobile advertising will increase significantly. eMarketer expects mobile advertising to grow to 59% in 2015, a higher figure than projected in March, in eMarketer's latest U.S. spending report. Meanwhile, long-term growth by 2019 will turn in the direction of a slight decrease.
“Brands and marketers continue to see the growing value of mobile advertising in reaching consumers,” says eMarketer analyst Martin Uteras. “Some cash flows come organically from the costs of digital advertising, but we also see additional movement of dollars from traditional media and new money coming from local advertising and small business. "
The transition to the cost of mobile advertising is pushed mainly due to its demand from consumers. eMarketer estimates the time spent by adults in the United States at 2 hours 51 minutes per day on a mobile device.
Costs for mobile advertising in the USA, by formats, 2014-2019, Billions
When checking formats in mobile, eMarketer found that all indicators are growing in 2015. Display advertising continues to account for the largest share of the mobile advertising market, accounting for 51.1% or $ 15.5 billion. Display advertising, banners, Rich media, etc. amount to 12.77 billion dollars, and video 2.78 billion dollars, and in both cases, the figures are much higher than predicted. Search advertising is the second largest with 44.7%, or $ 13.62 billion. The assessment of SMS, e-mail and lead generation also increased in 2015, but a slight decrease is expected by 2019. SMS will account for 0.9% of advertising costs, while most of the costs will go to thematic ads and e-mail - 3.4%.
Costs for mobile advertising in the USA, by sources, 2014-2019, Billions
It is also important that in 2015, eMarketer expects the mobile to overtake print ads in a fraction of the advertising market much faster than predicted. The share of print advertising began to decline, and now makes up 15.8% of the total market. At the same time, eMarketer points to the growth of mobile up to 16.6%.
“Consumers are growing in demand for using media via mobile devices - combining this with improvements in targeting and return on invested capital - we get dollars taken from advertising in magazines and newspapers,” says Uteras.
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