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Mobile Ad Spending Projections: 2016 and Beyond

Mobile Ad Spending Projections: 2016 and Beyond

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With Americans now spending an average of nearly three hours on mobile devices per day, and with the global number of smartphone users expected to surpass 2 billion by 2016 (according to E-Marketer), mobile ad spending is on the rise. Here are a few of the latest projections:

Mobile display revenue will surpass desktop by 2018.

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Mobile ad spend is booming, and the growth of desktop ad spend is growing at a much slower pace and will eventually plateau. By 2018, mobile ad spend will overtake that of desktop, according to a recent report from PwC.

Mobile spend is speeding up, while television’s is slowing down.

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Television’s global mobile ad revenue will surpass $208 billion while the global mobile ad revenue will hit $68 billion, but it’s important to note the growth of each medium. Mobile ad revenue is expected to climb 52% this year, while television ad revenue will increase just 1.2%, according to a new report from Magna Global.

Mary Meeker: $25 billion gap in ad spending 

Mary Meeker’s Internet Trends Report references the mobile monetization gap: While Americans spend 24% of their time using mobile devices, only 8% of ad dollars go to the format. That represents a gap of $25 billion, according to Meeker. Contrast that with newspapers, which command 18% of ad spending despite the fact that Americans spend only 4% of their time on the format.

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