Here’s something that will test the foresight of even the so-called best Internet marketing company.
According to a fearless forecast done by BIA/Kelsey – a media research and consulting firm – more money will be spent on mobile ads in the coming years than ever before. In 2011, $784 million was spent on mobile ads with a local focus. A staggering amount indeed, yet the firm predict that there will be a 539% increase from this number amounting to $5.01 billion by 2016.
The statistics may be overwhelming yet they are somewhat expected. Judging by the number of consumers consulting their mobile phones for what seems to be anything under the sun; it’s understandable how media companies will stop at nothing to answer their needs. Studies have shown that searchers who use their mobile phone are after local businesses – a bookstore, a coffee shop or a nice pair of heels – in their vicinity. By 2016 mobile searches will completely overtake desktop searches by the hundreds of millions.
If you’re still not convinced, here are some more numbers to ponder on, divided into the 4 formats used in mobile advertising:
· In 2011, local paid search ad spending was at $390 million; by 2016 it will appreciate to $3.21 billion.
· In 2011, local display ad spending peak was at $299 million; by 2016, it will reach $1.32 million.
· In 2011, local text ad spending hit $81million; by 2016 BIA/Kelsey predicts it will be around $182 million.
· And last but not the least, local video ad spending was at $14 million in 2011 but it’s estimated to reach $292 billion in 2016.
If you’re still reading this article after all those numbers we’ve given, then you’ve probably figured out the simple point we’re making: jump on the mobile ad bandwagon. Think about this too: In the next five years, smart phones will most probably be as common as today’s ordinary mobile; hence more consumers will have access to mobile ads. Now would the perfect time to start thinking about the steps you need to take to optimize your local mobile ad campaign and visualize where you see your business in 2016.