Global giants such as Facebook, Snap and Google have placed a large portion of their bets on mobile advertising, pointing to a bright future indeed for this market, according to Persistence Market Research.
Mobile advertising — which includes search, social, programmatic, and video ads — is important in both developed and emerging economies, especially so in the latter as millions of people often come online there for the first time primarily on smartphones.
The explosion of social networks and media sharing has immensely benefited the mobile advertising market as mobile-impressions and clicks have been major drivers of digital advertising. No wonder the mobile advertising market is poised to record an exponential growth of 18.8% for the period 2017 – 2022.
Display and Search Segment Key in the Mobile Advertising Market
The display and search segment account for virtually the entire revenue in the mobile advertising market and companies are advised to focus their attention on these advertising mediums. While both segments have an extraordinarily high CAGR, a growth rate of more than 20% is anticipated in the search segment of the mobile advertising market. Although North America has the largest regional contribution to the search segment in the mobile advertising market, APEJ should grow at a much faster rate and almost be equal to North America at the end of the forecast period.
Messaging a Niche Segment in the Mobile Advertising Market
Messaging accounts for a single-digit revenue share in the mobile advertising market and is nowhere close to either the display or search segment in value terms. Several studies have shown that customers do not read advertising messages and this explains why this segment is anticipated to lose BPS over the duration of the study. Nonetheless, an absolute dollar opportunity of over US$ 2.3 billion exists in messaging segment of the mobile advertising market from 2017 to 2022 and key stakeholders with customized go-to-market strategies may be able to profit.
Target Arts & Entertainment in the Mobile Advertising Market
The arts & entertainment segment accounted for a revenue share of more than half by category segment in the mobile advertising market and is unlikely to cede this dominant position anytime soon. Companies would do well to channel their investment in either North America or APEJ as these two regions are predicted to push past a value of US$ 20 billion by end 2022, making them larger than all other regions by a substantial margin. Hobbies & interests are a considerably smaller opportunity as they represent a revenue share of approx. a sixth in the mobile advertising market by category. Consumers in North America and Europe have a greater disposable income and more leisure time to focus on their hobbies and that is where the mobile advertising revenue lies as well. The style & fashion segment has a marginal revenue share in the mobile advertising market but should gain share over the five-year study period.
Competition Dashboard in the Mobile Advertising Market
The companies profiled in the mobile advertising market report are Google, Facebook, Chartboost, Twitter, Pandora Media, Millennial Media, InMobi Technologies Private Limited, Smaato Inc., Tune, and Amobee. These companies are predicted to remain active in the mobile advertising market during the forecast period.
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Source: Persistence Market Research