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Showing posts with label Mobile spends. Show all posts
Showing posts with label Mobile spends. Show all posts

November 28, 2010

US Mobile Advertising Spending Trends :The 5$ Billion Question

US Mobile Advertising Trends : Smaato WhitepaperDownload

Smaato Inc., the leading mobile ad optimizer and mobile advertising company released its latest mobile advertising whitepaper about the US market in association with MobileSQUARED

The US is the second largest market globally in terms of mobile advertising spending behind Japan. Until end of this year the US mobile advertising market size is expected to be worth $797,6 million.l Presently, the US is the second largest mobile advertising market in the world, behind Japan. In 2010, the US mobile advertising market will be worth $797.6 million, rising to $5.04 billion in 2015.

49 Million
Already engaged with an advertisement

12.3 Million
Users clicked on the ad and purchased an item

28.86 Million
Users clicked on the ad but did not bought it

The US mobile population exceeding 300 million, and a mobile internet user base on the verge of surpassing 100 million. With this level of scale, mobile advertising budgets are high with the average mobile advertising campaign in the US between $75,000-100,000.

Consumer research for mobileSQUARED by Lightspeed Research reveals that 53% of US mobile users claimed not to have seen an advert on their mobile. User engagement with mobile advertising will inevitably increase. The US has a population approaching 310.6 million, and there are a fraction over 300 million active mobile subscriptions in the US, of which, almost one-third use their mobile phone to browse

Yet mobile remains a fraction of total advertising spend in the US.According to ZenithOptimedia part of the Publicis Groupe, the US is set for a 2.4% increase in advertising spend to $151.5 billion in 2010 – with global ad spend for 2010 expected to be worth $449.5 billion. For the US advertising industry, mobile represents 1% of total spend.

Aside from the phenomenal increase in mobile advertising activity during the forecast period, as a medium, mobile is yet to penetrate over 50% of the US mobile population in terms of advertising. Around one-sixth of US mobile users (49 million), have engaged with some kind of an advertisement on their mobile phone.

A breakdown of those users reveals that 12.3 million mobile users “have clicked on the advertisement and went on to purchase an item,” 28.86 million users have “clicked on the advertisement and looked at the item advertised but did not buy it,” while a further 7.82 million mobile users have “clicked on the advertisement and looked at the item advertised on their mobile phone and ended up buying it online using their PC/MAC.”