According to BIA/Kelsey‘s new report, US mobile ad spending will grow from $33 billion in 2016 to $72 billion by 2021 (a 17 percent compound annual growth rate). Furthermore the located targeted portion of overall mobile ad spend is predicted to grow from $12.4 billion (2016) to $32.4 billion in 2021. In other words, this growth translates to 38% of mobile ad revenues today, growing to 45% by 2021.
Having seen this report, I was interested in finding out how companies were making the most of mobile ad spend.
Snapchat will contribute to this targeted mobile ad spend by teaming up with Nielson‘s mobile digital ad ratings unit (AdWeek). Snapchat’s advertisers will be able to buy guaranteed audiences by age and gender. This move will be giving brands another purchasing option; the other Snapchat campaign buying method, via its ads API,will remain available.
Google have also followed trend and are making YouTube a better place for advertiser. Over 50% of YouTube views now happen on mobile, so Google are now focusing on building scalable solutions that will work across screens (Google).
Google announced on 20th January 2017 that they will be developing a new, cloud-based measurement solution over the next year. This solution will allow advertisers and agencies better insights from their YouTube campaigns. Brands will be able to reach their audience on YouTube across screens so they can gain a better understanding on their highest-value customers.
Furthermore, Google will also be investing money in targeting audiences on mobile. Information from activity associated with users’ Google accounts may be used to influence the ads those users see on YouTube. Users will continue to have control over what ads they see on YouTube.
Find out more about mobile’s advertising growth potential here.