Global Mobile Ad Spending Market 2016-2020

Overview of the global mobile ad spending market

Research analysts at Technavio predict steady growth in the global mobile ad spending market and estimate that the market will post an impressive CAGR of around 10% by 2020. One of the major factors fostering growth in the mobile ad spending market will be the rapid growth in social media. Social media acts as a larger platform for advertisers and companies to promote and interact with customers online. Customers’ interests, feedback, and rating will be easily analyzed with the help of social media. Users share posts and updates available on the brand’s homepage, creating more interaction and awareness. These tactics will help companies to create a market presence for their products with a larger customer base. Some research results show that approximately 50% of the customers buy mobile phones after acquiring brand information from social media in developed countries. Social media has helped companies to gain a larger customer base and brand loyalty, and this trend will continue to aid in the growth of the mobile ad spending market during the forecast.

The recent trend in the mobile ad spending market is the adoption of virtual reality (VR) techniques to promote brands. VR techniques create a new experience for the customer and help spread awareness of various aspects of the product. Major airlines like Qantas partnered with Samsung to create VRtechniques for in-flight viewing to promote tourism. At present, it has been observed that VR is not just restricted to video gaming anymore; for instance, Facebook has started endorsing 360-degree video ads for better customer experiences.

Competitive Landscape and key vendors

The increasing use of smartphones, apps, and the availability of low-cost data services have prompted an increase in mobile advertisements. To gain market shares, vendors have started investing in app developers and agencies specializing in designing, planning, and branding. The market is highly competitive, and vendors will have to maintain an attractive price range, varied portfolios, and products to survive in the market. The analyst estimates the level of competition to be fairly high during the forecast period.

Key vendors in the mobile ad spending market are:

• AdMob
• Chartboost
• Flurry
• InMobi
• Millennial Media
• MoPub

The other prominent vendors in the market are AppNexus, Byyd, Convertro, Criteo, Fiksu, iAd, Kiip, Matomy Media, Mobile Network Group, MobPartner, Tapjoy, PubMatic, RevMob Mobile Ad Network, and RockYou.

Market segmentation by type and analysis of the mobile ad spending market

• Search ads
• Display ads
• SMS ads

During 2015, search ads were the most popular mobile advertising mode and accounted for more than 52% of the market share. Search engine giants like Google and Yahoo are investing in technologies to improve frequently asked questions and keyword searches to facilitate more ads in the web-based platforms. This will help in the optimization of digital marketing, and market researchers predict that this trend will continue to grow during the forecast period.

Market segmentation by geography and the analysis of the mobile ad spending market

• Americas
• APAC
• EMEA

Experts at Technavio predict that the Americas will dominate the market and post a CAGR of about 7% by 2020. Modernization will be the key factor contributing to the rising demand for digital marketing in this region. This will result in consumers rapidly shifting towards online shopping. For instance, Walmart has ventured into the online shopping market space to maintain their large customer base and market shares.

Key questions answered in the report include

• What will the market size and the growth rate be in 2020?
• What are the key factors driving the global mobile ad spending market?
• What are the key market trends impacting the growth of the global mobile ad spending market?
• What are the challenges to market growth?
• Who are the key vendors in the global mobile ad spending market?
• What are the market opportunities and threats faced by the vendors in the global mobile ad spending market?
• Trending factors influencing the market shares of the Americas, APAC, and EMEA.
• What are the key outcomes of the five forces analysis of the global mobile ad spending market?