Mobile advertizing (world market)

2016

IHS Markit: A third of revenue of online advertizing in Europe is the share of mobile devices

The market of online advertizing in Europe in the first half of the year 2016 grew by 13.4% in comparison with indicators of last year – from 16.4 billion euros to 18.6 billion, analysts of IHS Markit counted.

"Steady growth of economy in the five of the largest markets of Europe for the first time since 2010 supported surge in online advertizing in the first six months 2016, - the senior analyst of the agency Eleni Marouli reported. – We see rise in all formats, since 2015".

The volume of mobile advertizing was 3.8 billion euros in the first half of the year, having distributed approximately equally between search (32%) and display (32.8%) advertizing.

"1 of 3 euros in Europe is the share of mobile advertizing. We expect that this segment will play a key role in the European market of online advertizing, and measure values of its growth in 2016 will remain two-digit", - Marouli noted.

Display advertizing grew more than by 61%, search – for 57%. Especially noticeable growth of a display segment was in Central and Eastern Europe – more than 100% for the first half of the year in comparison with last year. Mature market of display advertizing in Western Europe grew by more modest 13%.

"We expect that costs for online advertizing will grow more than by 10% across the whole Europe in 2016, - the senior director of IHS Technology Daniel Knapp told. – Eventually, advertizing infrastructure, instruments of measurement and volume of available stock will meet in one place for advertisers. The companies will correct the costs, using that factor that users spend more and more time in online media".

J’son & Partners Consulting and ZenithOptimedia: Forecast of 2012

The world market of mobile advertizing by 2016 will reach 30.11 billion dollars, having increased by 4 times in comparison with results of the current year. These data are provided in a research of J'son & Partners Consulting company (November, 2012). North America and Europe will be drivers of growth of this market. The Russian segment of this market by 2015 will grow by 3.5 times and will make 215.8 million dollars. For comparison, by the end of this year it will reach a point of 60.8 million dollars.

The main conditions of market development of mobile advertizing are growth of penetration of smartphones and tablet computers and also development of mobile payment systems and mobile banking.

The most perspective in the market of mobile advertizing is the segment of on-screen-advertizing. Besides, experts expect significant growth in such type of mobile marketing as advertizing in applications.

Advertizing on smartphones and tablets will make 36% of the increased global advertizing revenues within the next three years, said in a new research of ZenithOptimedia company. Growth of the mobile advertizing sector will happen not at the expense of traditional media, such as television or newspapers, and in addition to them^[1]

As experts note, in it mobile advertizing significantly differs from display and contextual online advertizing which endures the boom within the last ten years thanks to rapid growth of number of computers and notebooks and the world. If online advertizing growth substantially happens against the background of fall of income of the print media, then the mobile market has no negative impact on income in other spheres. "It is the first case for the last 20 years when the new platform expands general consumption of media without collecting of income at other media of platforms", – Jonathan Barnard, the head of ZenithOptimedia of forecasts noted.

By 2016, according to this forecast, mobile advertizing will become the fourth in value global media market, and its total amount will reach $45 billion, having outstripped such industries as radio ($37 billion), cinema ($34 billion) and outdoor advertizing ($40 billion).

In 2013 the total amount of the world advertizing market should reach $500 billion. In 2014 growth in the amount of 5.3% whereas during 2015 and 2016 growth should increase to 6% within every year is expected. By 2016 the volume of the global advertizing market should reach already $590 billion. "Mobile technologies will just become the basic driver of growth", – Johnathan Barnard emphasized. TV advertizing which share will make 34% should become the second in value of revenue growth within the next three years the advertizing market. On the third place there will be a display advertizing on the PC and notebooks which share in the general indicators of growth made 25%.

2014

J’son & Partners Consulting

According to the research J'son & Partners Consulting, the volume of the world market of mobile advertizing grew by 81.8% in 2014 and is estimated at 32.65 billion dollars that makes about a quarter of size of the market of Digital Signage in the world in general.

On structure of the market of mobile advertizing the format of display advertizing (on-screen) – the most considerable segment of the market which and will remain in the nearest future to like that is in the lead. It should be noted separately that significant increase in category of video advertizing in connection with growth in sales of tablet PCs which are mainly main terminal for this format of advertizing is expected.

The advertizing format based on search services and cards will win thanks to growth of use of location-based services. Thanks to this type of services information on location of users or by means of automatic functions of position fix in phone, or thanks to activity of people who note the location can be collected, using Foursquare and Pinterest.

eMarketer

According to analysts of EMarketer, in 2012 market size was estimated at 8.76 billion dollars whereas at the end of 2011 more than doubled. In 2014 it can achieve 31.45 billion dollars — 75% more, than the previous year — and to make nearly a quarter of all market of digital-advertizing, and by 2018 to reach a point of 94.9 billion dollars, predict in eMarketer. However growth rates of the market will inevitably decrease — from nearly 120% in 2012 to 22% in 2018.

2013

eMarketer

Global market of Internet advertizing grew at the end of 2013 by 105%, to 17.96 billion dollars, stimulated by successful sales in this sector from the companies Google and Facebook, data of EMarketer analytical company demonstrate in March, 2014.

At the end of 2013 Google remains the leader of the world market of mobile advertizing, however its share in consolidated revenues decreased from 52.6% to 49.3%. The share of Facebook social network, on the contrary, grew from 5.4% in 2012 to 17.5%. In total the companies control more than two thirds of all market of mobile advertizing.

This year the trend will proceed, speak in eMarketer. So, the share of Google in consolidated revenues of the market can fall up to 46.8%, and — grow up an indicator of Facebook to 21.7%. In own revenue of Facebook mobile advertizing will generate 63.4% in 2014, and in revenues of Google — 33.8%, both indicators will exceed values of 2013. Top three at the end of 2013 also included the Twitter microblogging service to which share in 2013 2.4% of income of the market fell.

2013: Mobile advertizing of only 3% of marketing budgets

Change in a consumer behavior (migration of users from stationary PCs on smartphones and tablets) for August, 2013 already thoroughly stirred up the advertizing market. Google announced stronger, than it was expected, falling of the average price on Internet advertizing in the II quarter 2013 because of movement of consumers of mobile devices. Declarations on the same smartphones usually cost cheaper, than those that are shown on computers with the big screen. And on the contrary: stocks of Facebook flew up after the company announced bigger, than it was expected, revenue from mobile advertizing.

Meanwhile advertizing money obviously lags behind consumers. Marketing specialists gradually move budgets — after attention of users, but expenses on TV commercial continue to dominate in global market. According to the forecast of EMarketer, in 2013 around the world will spend $205 billion for TV commercial of the company, and on promotion in digital media — it is almost twice less. In particular, the market of mobile advertizing in 2013 will grow by 80% to $15.8 billion, but these are only 3% of all expenses on promotion.

To attract advertisers, the Internet companies release all new and new products. For example, Facebook in the coming months will begin to post videos on pages of users.

TV companies also try to turn a situation in own favor. CBS which owns the biggest cable network in the USA for the last year began to cooperate much more actively with video services, offering content to users via various devices. In particular, thanks to it revenue of the company in the II quarter 2013 grew by 11% to $3.7 billion. The website of this TV company has much more visitors, than at the websites of other TV companies, its revenue in the II quarter increased by 35%^[2] at once^[2].

Russia took the 7th place in the world on demand for mobile advertizing

Russia in the third quarter took 2013 the 7th place in the world by amount of requests and demonstrations of mobile advertizing, says Opera company.

According to the overview of the market of mobile advertizing for the third quarter 2013 Russia concedes only to the USA, Great Britain, Indonesia, India, Italy and Canada.

The overview is based on data of the Opera Mediaworks platform providing demonstrations of advertizing on 13 thousand mobile websites and applications with a monthly scope more than 400 million users. As reported Digit.ru in the company, the number of demonstrations of mobile advertizing in the third quarter grew to more than 60 billion in comparison with more than 40 billion in the third quarter last year and from more than 50 billion demonstrations in the first quarter the current year.

About 44% of all demonstrations of mobile advertizing and 50% of total income of demonstrations of mobile advertizing are the share of IOS devices whereas 31% of demonstrations and 28% of total income are the share of Android devices.

Experts note that if not to take a segment of iPad tablets into consideration, then shares of iPhone and Android smartphones in the total amount of demonstrations are comparable and make 31% and 30.3% respectively. IPad and Android tablets tablets in total provide nearly 10% of all demonstrations of mobile advertizing. In the third quarter last year only 5% of a total quantity of demonstrations were the share of tablets.

The category "Music, Video and Media" returned itself leadership in profitability which last quarter belonged to category "Sport". In the third quarter 20 cents from each dollar spent for mobile advertizing are the share of this category. It is in the lead also on the volume of demonstrations from 23% of a total quantity of demonstrations of mobile advertizing, the report says.

2012

According to analysts of EMarketer, in 2012 market size was estimated at 8.76 billion dollars whereas according to the results of last year more than doubled

See Also

• Mobile advertizing (market of Russia)
• Advertizing (market of Russia)

Notes