Mobile Advertising Will Surpass Radio, Magazines And Newspap

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Mobile Advertising Will Surpass Radio, Magazines And Newspap

Postby radiofan » Thu Jul 03, 2014 10:01 am

eMarketer Finds Mobile Advertising Will Surpass Radio, Magazines And Newspapers This Year
July 3, 2014 at 3:57 AM (PT)

From All Access


Total media ad spending in the US this year will see its largest increase in a decade, according to new figures from eMARKETER. On the strength of gains in mobile and TV advertising, total ad investments will jump 5.3% to reach $180.12 billion, achieving 5% growth for the first time since 2004, when ad spending increased 6.7%.
Radio's share of the advertising pie will shrink through 2018 eMERKETER found. In 2012, radio got 9.3% of annual ad buys. That dropped to 8.9% in 2013, is forcast to be 8.6% this year, 8.2% in 2015, 7.8% in 2016, 7.5% in 2017 and 7.1% in 2018.

Mobile will lead this year’s rise in total media ad spending in the U.S., and advertisers will spend 83.0% more on tablets and smartphones than they did in 2013 -- an increase of $8.04 billion. By the end of this year, mobile will represent nearly 10% of all media ad spending, surpassing newspapers, magazines and radio for the first time to become the third-largest individual advertising venue, only trailing TV and desktops/laptops. Though investments in TV advertising will rise just 3.3%, advertisers will spend $2.19 billion more on the medium than they did in 2013, making it the second-leading category in terms of year-over-year dollar growth.

The surge in mobile advertising is chiefly attributable to the fact that consumers are spending more and more time with their tablets and smartphones. According to eMARKETER’s latest estimates, U.S. adults will spend an average of 2 hours 51 minutes per day with mobile devices this year. In 2013, daily time spent on mobile devices and on desktops and laptops was equal, totaling 2 hours 19 minutes, but this year, time with desktops and laptops will drop slightly to 2 hours 12 minutes, while mobile time will increase significantly. TV remains by far the largest beneficiary of adults’ media time, at 4 hours 28 minutes in 2014, hence its persistent lead as the top category for advertising spending.

Strong, steady growth in mobile advertising will push digital ads to represent nearly 30% of all U.S. ad spending this year. Advertisers will invest more than $50 billion in digital channels in 2014 for the first time, an increase of 17.7% over 2013. Just over one-third of that will come from mobile, but by 2018, mobile will account for more than 70% of digital ad spending.

The accelerated rise in ad spending is being influenced in part by growing revenues from leading internet media companies, particularly those that are capitalizing on mobile revenues. eMARKETER projects advertising revenues for a handful of the top US digital ad-selling companies, which collectively will represent 18.2% of total media ad spending this year—led by GOOGLE and FACEBOOK. GOOGLE alone already accounts for more than 10% of all advertising spending in the U.S., and in 2016, together GOOGLE and FACEBOOK will take a 15.0% share of the $200.00 billion total media advertising market. Mobile ads on FACEBOOK will total 68.0% of its US ad revenues this year, up from 46.7% last year, eMARKETER estimates, and while Google’s ad revenues in the U.S. won’t flip to majority-mobile until 2016, they’re shifting quickly. This year, GOOGLE’s U.S. mobile revenues will comprise only 36.8% of its overall ad revenues, but by 2016, the medium will account for 65.8%.

- See more at: http://www.allaccess.com/net-news/archi ... O32in.dpuf
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby tuned » Thu Jul 03, 2014 10:17 am

Interesting. I live on my iphone and I can't remember a single, solitary ad that I've seen on it. On my "Score" app there are little tiny banners on the bottom that are easy to ignore. I really consider my phone to be ad free. The headline makes it seem that mobile advertising is a bigger business than radio, tv, magazines and newspapers when it isn't. The article is so full of misleading and distorted numbers that it's completely useless.
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby Jack Bennest » Thu Jul 03, 2014 12:57 pm

Would like to see $ and share of

Internet advertising vs

radio
tv
newspaper
magazines

not having a mobile telephone I don't see ads there but the amount of advertising on internet is surely increasing.
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby jon » Thu Jul 03, 2014 2:48 pm

tuned wrote:Interesting. I live on my iphone and I can't remember a single, solitary ad that I've seen on it. On my "Score" app there are little tiny banners on the bottom that are easy to ignore. I really consider my phone to be ad free. The headline makes it seem that mobile advertising is a bigger business than radio, tv, magazines and newspapers when it isn't. The article is so full of misleading and distorted numbers that it's completely useless.

While your point is well taken, I use the Internet browser on my phone a lot more than any other application, and probably see more ads than I do on my desktop machine at home. It may be my imagination, or just an optical illusion caused by the small screen, but I think there are more ads on newspaper and other information web sites' mobile pages than there are on their regular pages.

As for other mobile apps, several I have used over the last year and a half since I got my smartphone are the free versions of pay apps and they do have a lot of ads, though they don't take up too much of the screen real estate.

I also get, on my smartphone, perhaps once a month, one each of a kind of spam: telemarketer call and text message.
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby hagopian » Thu Jul 03, 2014 3:11 pm

This says it ALL:

Hello people over 30. You had record collections, tapes, CDs. Then you downloaded music into your computers or devices. Well, guess what? Kids today don’t want any of that. They’re happy to pay an annual fee and “stream” it all. They are not buying CD or downloading anything. What the heck am I supposed to do with twenty boxes of 45s and a room full of CDs????

According to Nielsen, during the first six months of 2014, sales of all albums both physical and digital were down 14.9%. And sales just of digital downloads (from iTunes mostly) were down 11.6%.

But dig this: sales of CDs were down 19.6%.

What was up? Streaming jumped 50%. And sales of vinyl LPs were up 40%.

I’d say this is crazy. But how many times have I played music on my computer or phone via Spotify because it was right here, and convenient? A lot. Too much.

And listen, this is felt everywhere. There are almost no CD players made now. They’re like Gramaphones. And when I walked into the last little record shop on West 8th St. in Greenwich Village, and asked for Chrissie Hynde’s new album, the clerk asked if I could spell her name. SPELL Chrissie Hynde. Chrissie woulda punched him.

Nielsen: from reading their stats I gleaned a few other things: Katy Perry is the current biggest pop star. Justin Bieber does not exist in the music world. Country music remains huge. Only physical CD in the top sold more than 400,000 copies– the “Frozen” soundtrack, with 1.7 million.

And vinyl? Among the top 10 was the only legacy act– The Beatles with “Abbey Road.”

The most played record on radio? “Happy” by Pharrell Williams.

All of this why Apple is pushing iTunes radio. All these streaming music businesses better get their acts together and start paying artists and writers properly. If streaming is the future, it’s not going to the rape of the people who made the product. Or I’m going to have lots of stories to write for a new generation.

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Last edited by hagopian on Thu Jul 03, 2014 3:13 pm, edited 1 time in total.
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby pave » Thu Jul 03, 2014 3:11 pm

I have a suspicion. This is a far cry from a "vision" and not even in the same neighbourhood as an epiphany.

I believe these decisions to advertise on the devices will not be paying off - short or long term.

My rationale: These devices require interactivity on the part of the user. Radio, being a passive medium, does not. Unfortunately, because of the arbitrary popularity of advertising on the devices, radio will suffer. Further, because of radio's refusal to "up its own game", so to speak, it will continue to suffer.

The opportunity for radio then, is in taking the time and making the effort to massively improve the quality - affect and appeal - of the commercial content.

Generally, I would bet against any such undertaking being undertookin'. :rha:
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby Mike Cleaver » Thu Jul 03, 2014 6:44 pm

Ads go away with Adblock or any of it's brothers, sisters or cousins.
Most are free.
It does work on your computer and your mobile devices.
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54 years experience at some of Canada's Premier Broadcasting Stations
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Re: Mobile Advertising Will Surpass Radio, Magazines And New

Postby tuned » Fri Jul 04, 2014 3:48 pm

Another more take on mobile advertising....

"An industry source with access to massive amounts of advertising data tells me mobile ads are a disaster. He has seen detailed reports from large publishers and ad networks that show advertising on mobile platforms is generating as little as one-tenth the revenue compared with desktop advertising."

http://www.zdnet.com/the-media-industry ... 000030309/
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