Mobile ad spending is finally taking off. The Forrester Research Mobile Advertising Forecast, 2013 To 2018 (US) predicts that mobile ad spend (smartphones plus tablets) will represent more than 29% of the total online ad spend in the US by 2018. The forecast looks at mobile device ownership in the US, trends in device usage, and mobile advertising supply-side data to fix the current and future market size for display, search, and social spending.
The drivers behind this take-off of mobile ad spending are:
- Increased device ownership, particularly of tablets. Smartphone installed base growth in 2012 was more than 35%, while tablet installed base growth exceeded 120%. By 2016, tablet sales will overtake the sales of desktop and laptop PCs.
- The intensity of online tablet use. Despite tablets representing less than 30% of the mobile device market in the US, they represent more than 40% of total mobile page views. In addition, the majority of tablet users watch video on their tablet, compared with about a third of smartphone users.