Skip to main content

Huge Upside for Advertiser-Supported Mobile Apps

Still think that advetising via mobile phones is a passing fad? Think again. While it's true that in 2009 well under half a billion dollars were spent on mobile marketing and advertising, it's just the beginning of what's to come.

Over the next five years -- leading up to the end of 2015 -- that expenditure will grow at a compound annual rate of more than 40 percent, according to the latest market study by ABI Research.

This robust growth will be fostered by several factors. According to ABI's mobile marketing strategies practice director, Neil Strother , "Compared to campaigns in more traditional media, mobile marketing can be relatively inexpensive. Moreover, ads can be highly targeted and naturally paired with rich mobile content that growing numbers of consumers are accessing through smart mobile devices."

Mobile applications are typically very engaging and offer a fast-track to potential customers. More than three billion apps have been downloaded from Apple's store alone.

While not all mobile apps are ad-supported, some are, and some brands are creating their own apps. Also, the advent of HTML 5 will enable brands to offer Web-based apps and services aimed at wider mobile audiences.

Mobile ad networks such AdMob, Millennial Media and JumpTap are helping advertisers and marketers to reach large audiences that are to some extent demographically defined.

However, some factors still constrain this market. Mobile is still fragmented by the lack of standardized device platforms, networks, and web browsers, and the need for different campaign formats for different kinds of messages.

Other inhibitors include reluctant (mobile ad-resistant) users, limited mobile ad budgets, and a lack of marketer and agency experience with this emerging medium.

What steps does Strother recommend for fledgling mobile marketers?

He said "Establish your objectives. Know your customer's mobile behavior. Devise a simple, sound mobile plan. Choose your tools wisely. Measure results regularly. And remember -- mobile advertising is always a bit of both art and science."

Popular posts from this blog

Digital Talent Demand Exceeds Supply in Asia-Pac

Even the savviest CEO's desire for a digital transformation advantage has to face the global market reality -- there simply isn't enough skilled and experienced talent available to meet demand. According to the latest market study by IDC, around 60-80 percent of Asia-Pacific (AP) organizations find it "difficult" or "extremely difficult" to fill many IT roles -- including cybersecurity, software development, and data insight professionals. Major consequences of the skills shortage are increased workload on remaining digital business and IT employees, increased security risks, and loss of "hard-to-replace" critical transformation knowledge. Digital Business Talent Market Development Although big tech companies' layoffs are making headlines, they are not representative of the overall global marketplace. Ongoing difficulty to fill key practitioner vacancies is still among the top issues faced by leaders across industries. "Skills are difficul

Global Digital Business and IT Consulting Outlook

Across the globe, CEOs and their leadership teams continue to seek information and guidance about planned Digital Transformation initiatives and the most effective enterprise organization change management practices. Worldwide IT and Business Services revenue will grow from $1.13 trillion in 2022 to $1.2 trillion in 2023 -- that's a 5.7 percent year-over-year growth, according to the latest market study by International Data Corporation (IDC). The mid-term to long-term outlook for the market has also increased -- the five-year CAGR is forecast at 5.2 percent, compared to the previous 4.9 percent. Digital Sevices & Consulting Market Development IDC has raised the growth projection despite a weak economic outlook, because of vendor performances across 2022, growth indicators from adjacent markets, increased government funding, and inflation impacts. The actual 2022 market growth was 6.7 percent (in constant currency), which was 87 basis points higher than forecast last year, alth

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year