The State of Mobile Advertising

Mobile Commerce Daily has released their Classic Guide, State of Mobile Advertising 2011 and of course everything is pointing to mobile. The report covers every aspect of mobile advertising including where it’s at, where it’s headed, various vehicles, measurements, buying and external factors. There are also in-depth case studies.

Below are some points directly from their report. One key point is that 50 percent of mobile searches are local based and users will want to find that product, service, restaurant, or business right now. Another key factor is mobile content has already outpaced desktop content.

Click here to download the full report for free (It has a cover price of $495).

As of December 2010, 302.9 million Americans reported that they own a mobile device, making the U.S. wireless penetration 96 percent, according to CTIA – The Wireless Association.

26.6 percent of U.S. households are mobile-only,63.2 million own a smartphone, according to comScore.

About 35 percent of smartphone users access the mobile Internet from their device

U.S. mobile advertising spend was estimated at $743.1 million in 2010, according to eMarketer. This number is expected to reach $2.5 billion by 2014

Messaging – SMS or MMS – will make up 24 percent of total U.S. ad spend in 2014, down from 44 percent in 2010, according to eMarketer

There will be over 7 trillion SMS messages sent in the US alone.

Display mobile advertising spend – rich media and static banners that run in mobile apps and on the mobile Web – will reach $334.5 million in total ad spend by the end of 2011, up from $202.5 million in 2010 and $91.4 million in 2009,

iOS and Android devices are seeing the best results when it comes to mobile advertising response rates

When it comes to mobile Internet display ads, Google is tied at first place with Apple, with 19 percent market share

ads delivered via mobile apps in the U.S. will explode from $305 million in 2010 to $685 million in 2011 and more than $8 billion by 2015, with $1.2 billion of that coming from local advertisers.

iPad interstitials performing above average.

Mobile search advertising spend will reach $295.1 million in 2011, up from $185 million in 2010 and $83.2 million in 2009. EMarketer expects mobile advertising spend to increase to $201.3 million in 2014. Google is currently in the lead…

50 percent of search queries on mobile have a local intent, with users searching for restaurants, movies

When people are on their desktop, they are in research mode. But when they are on their mobile device, they just want to ask one thing and get an answer.

Over the past two years, Google’s mobile search traffic has grown fivefold.

Mobile video advertising spend– whether it be pre- or post-roll, in-stream or in-ad unit executions – will reach $50.8 million in 2011, up from $28.3 million in 2010 and $12.6 million in 2009. By 2014, spend on mobile video advertising is expected to reach $201.3 million

Mobile video has higher viewer retention than online video,

The rate of global mobile Web content growth over two years has outpaced the growth of the desktop Internet over that same period

150,000 mobile-ready Web sites, while the 2010 study showed approximately 3.01 million sites, representing an incredible two-year growth of more than 2,000 percent.
And that growth level significantly outpaces early desktop growth.

between 1996 and 1998, the size of the desktop Web grew from 150,000 sites to 1 million sites, a growth rate of 1,333 percent, compared to the mobile Web’s 2,000 percent growth in the equivalent time-frame.

the mobile phone is a personal device. It enables in-your-face advertising. The ads are more personal than on the PC.

IDC expects there will be more mobile Internet traffic than the desktop, meaning mobile display and mobile search will outgrow their PC Internet counterparts.

Consumers are actually becoming comfortable viewing mobile ads on their devices, 25 percent said that they were getting used to seeing mobile ads.

iAd interactivity ushered in a new age of mobile advertising opportunities. The platform gave content creators designing browser-based ads an additional opportunity in the mobile ad space, allowing them to create animated, interactive ads.

InsightExpress found that mobile advertising is four-to-five times more effective than online advertising

A third of mobile owners own a smartphone

ages 25-34, about 50 percent of them have smartphones

82 percent of consumers have used their mobile phones in a store, 55 percent in a doctor’s office or hospital, 17 percent during a movie at the theater, 14 percent while flying on a plane and 7 percent during church service. Around 17 percent of mobile users have shown a clerk in a store a picture of a product on their mobile phone, saying in effect, “I want this please,”

Forty-five percent of users check their mobile devices first thing in the morning

Google found that only about 21 percent of its largest advertisers have a mobile-optimized Web presence

one in three mobile searches have local intent.

mobile will be the No. 1 Internet access device by 2013.

8 percent of total ecommerce sales will come from mobile by 2014.

nearly one-third of all mobile users already actively engage with Web content on their mobile phones, and 53 percent of smartphone users routinely engage in mobile Web browsing activities.

iPhone users are more likely to respond to a mobile Web ad than owners of other smartphones.

Mobile’s biggest advantage is that it gives legs to other channels such as catalog, retail store, direct response television and ecommerce.


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