Small Business News

Mobile Ad Revenue Is Off The Charts

Mobile ad revenue in 2012 was up a whopping 82.8% hitting $8.9 billion, according to newly released findings from the U.S. IAB Mobile Marketing Center of Excellence, IAB Europe and IHS. In 2011 it was just $5.3 billion.

Search led the pack in 2012 with a growth rate of 88.8%, closely followed by display at 87.3% growth, then messaging with 40.2% growth. The numbers for actual revenue aren’t as close as the growth percentages. Search dominated at 52.8% of total global mobile ad revenue ($4.7 billion). Display accounted for 38.7% and messaging 8.5%.

Here’s a look at share by region:

Share by region

“Mobile is coming into its own as a powerhouse advertising medium,” says Anna Bager, VP and GM at the Mobile Marketing Center of Excellence, U.S. IAB. “Today’s advertising is happening in a world where ad campaigns can be planned and bought across global networks on multiple media, but the massive and continuing acceleration of mobile’s international impact provides new and exciting frontiers for content and communication.”

“This study is extremely relevant to advertisers as it assists companies to make investment decisions and accurately access market opportunities as we experience a monumental shift across communication platforms,” says IAB Europe CEO Kimon Zorbas. “In Europe we are still experiencing significant economic turmoil and unemployment. Despite this reality, our sector is a positive beacon for recovery and growth. The message to European policy makers is they should take into careful consideration the promising opportunities our sector offers and focus on removing barriers to growth.”

“From a creative and communication standpoint, mobile advertising is hyper-personal. But more so than other media, from a business perspective, it is global. Mobile advertising is being planned, bought and sold across national borders and regions. This makes a global market sizing initiative ever more urgent,” says Daniel Knapp, Director Advertising Research at IHS, and author of the research.

North America saw a 111% increase over 2011 mobile ad revenue figures, while Western Europe saw a 81% year-over-year increase. Latin America saw a 71% increase, Central Europe grew by 69%, Middle-East and Africa grew 68% and Asia-Pacific grew 60%.

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