Global mobile advertising spend is expected to reach $105 billion by 2019, up from an estimated $51 billion this year, as per a new study by Juniper Research.
The research titled Digital Advertising: Online, Mobile & Wearables 2015-2019 states that this increase in advertising spend is attributable to an attitude shift amongst brands and retailers who now use mobile as a core channel for consumer engagement. 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% of global mobile advertising spend in 2019. The report stressed on the need for consumers to be ‘opted-in’ to any data sharing to avoid both potential litigation and adverse publicity for the brands.
According to Juniper, most of the growth across the digital space will be driven by programmatic advertising (which is the Real Time Bidding of advertising space). Video advertising is also expected to see progressive growth due to the higher engagement rates of the medium.