The annual global advertising spend on mobile devices is expected to reach $105 billion (£67 billion) by 2019, up from an estimated $51 billion (£32 billion) this year, a new study by analyst house Juniper Research has revealed.
Mobile has become the core channel for consumer engagement among brands and retailers, the research – Digital Advertising: Online, Mobile & Wearables 2014 – 2019 suggests.
It argues that the ability of smartphones to deliver targeted, personalised and timely advertising – allied to the media-stacking trends amongst consumers – means that mobile advertising offers both high visibility and high response rates.
The research also observes a marked uplift in ad spend within the Far East & China region, fuelled by the dramatic adoption of mCommerce retail activity within China, and claims that the region is expected to account for 43 per cent of global mobile advertising spend in 2019.
The research also highlighted what we already know – that there are major (and increasing) concerns around consumer privacy, with consumers fearing advertisers are keen to exploit ‘Big Data’ analytics to gain an insight into consumer online and offline behaviour, including purchasing patterns.
It observed that when the device user’s information is shared for advertising purposes, without their prior consent, consumers may feel a violation of their rights has occurred. It therefore stressed the need for consumers to be ‘opted-in’ to any data sharing to avoid both potential litigation and adverse publicity for the brands.
The whitepaper, Digital Advertising Gets Personal, is available to download from the Juniper Research website together with further details of the research and interactive dataset.