Mobile Ad Industry Maintains 80% Growth Rate, IDC Finds
As mobile ad spending almost doubled since last year, the digital ad industry may soon be a lot less computer-centric.
Mobile ad spend reached nearly $14 billion in 2014, which is almost double the $7.7 billion spent in 2013. The share of ad funding budgeted to mobile ads also increased from 16.6 percent to 25.8 percent between 2013 and 2014, indicating that more marketers have realized the importance of reaching customers where they live: on their smart devices.
The report also spotlights the five top companies in terms of mobile advertising revenue share: Google (46 percent of market), Microsoft (11 percent), Twitter (10 percent), Yahoo (8 percent), and YP (7 percent).
Among the report’s many promising projections, the IDC forecasts that $20 billion will be spent on mobile ads in the next year.
As we detailed in April, as consumers’ time-spent with their portable devices has exploded, ad spending is finally starting to follow with a huge leaps being made in both spending and revenue every year. The growth rate currently sits at around 80 percent for the second year in a row, with the projected percentage of ad spending on mobile at 32 percent.
IDC also offers some other predictions for the mobile ad industry over the next few years: Search advertising will decline somewhat, but it will be made up for by a surge in display ads. Google will continue to dominate the market as Facebook expands its control.
Mobile advertising growth rates will continue to expand as well, though the explosive growth may slow down a bit after the recent upshoots. But even at a more tempered pace, mobile ads will continue to become pro