Smartphones are versatile gadgets and it is no wonder they have taken the market by storm. The same thing is now happening with tablets, which have their own irresistible attractions. But can you imagine either of those devices without apps?
Mobile apps have themselves become a huge market and their popularity is constantly growing. This in turn is driving up spending on in-app advertising, which is predicted to reach USD7.1bn by 2015.
This prognosis comes from a new report prepared by Juniper Research, entitled “Mobile Advertising: Messaging, In-App and Mobile Internet Strategies”. The projected 2015 figure represents a massive increase on the amount marketers are expected to funnel this year into in-app advertising. According to Juniper, USD2.4bn will be spent to that end in 2012. This dramatic increase will fuel growth in total mobile advertising, which is predicted to triple by 2017.
The market research firm attributes the surge in in-app ad spend to the combination of constantly rising app usage and the increase in rich media consumption. Juniper’s report is yet another reminder that mobile advertising has become a crucial marketing segment and any slacking in that department will cost brands dearly. Juniper said many companies were yet to develop mobile-optimised websites and were thus wasting a golden opportunity to connect with consumers. This is a serious omission considering that response rates for mobile are higher compared to other channels.
Charlotte Miller, the author of the report, said that mobile advertising allows marketers to reach their audience on the most personal level afforded by any type of advertising. This makes it particularly important to deliver immersive and entertaining content to engage app-loving consumers, Miller added.