News Feed Item

Global Mobile Advertising Revenue Hits $19.3 Billion (€14.6 Billion) in 2013 Nearly Doubling from Previous Year, According to IAB, IAB Europe and IHS

The U.S. IAB Mobile Marketing Center of Excellence, IAB Europe, and IHS Technology revealed today their global figures for mobile advertising revenue which soared a massive 92 percent to $19.3bn (€14.6bn) in 2013 from $10.1bn (€7.6bn) in 2012, confirming the adoption of mobile as an essential element of the marketer’s toolkit.

Mobile display shows the highest growth at 123.4 percent, and mobile search, up 92.1 percent, flourishes mainly driven by smartphone penetration as affordable data plans fuel location-based search-on-the-go. Messaging, itself up 19.4 percent, might not be sharing as much robust growth due to migration from operator-owned messaging services (e.g. SMS and MMS) to alternative platforms. Successful messaging innovation, particularly in Asia, reinforces the commonly held industry belief that mobile players need to be ahead of the curve.

Search remains the dominant segment representing 48.9 percent of the total global mobile advertising revenue in 2013 at $9.5bn (€7.1bn), while display approaches parity with a 41.5 percent share at $8bn (€6bn), and messaging takes a 9.6 percent share at $1.9bn (€1.4bn).

The share by region of the global figure of $19.3m (€14.6m) for 2013 is:

• North America: 41.9% ($8,100m / €6,099m)

• Asia-Pacific: 38.9% ($7,525m / €5,666m)

• Europe: 17.3% ($3,346m / €2,519m)

• Middle East & Africa: 1.2% ($225m / €170m)

• Latin America: 0.7% ($144m / €109m)

Growth year-over-year was strong across the board, led by Latin America, which saw a massive 215 percent leap over the 2012 figures. North America and Europe also saw major increases:

• Latin America – 215%

• North America – 122%

• Europe – 90%

• Asia-Pacific – 69%

• Middle-East and Africa – 45%

“These powerhouse numbers directly reflect mobile’s rapidly increasing role as a vital part of the marketing media mix,” said Anna Bager, Vice President and General Manager, Mobile Marketing Center of Excellence, IAB. “In particular, as mobile ad campaigns become easier to plan, create, buy, and measure – in great part due to programmatic strategies – these operational efficiencies are spurring the growth of the mobile display ad market. And, this impressive rise in mobile advertising is unquestionably a worldwide phenomenon, with strong year-over-year upticks being seen in every corner of the globe.”

“The Global Mobile Advertising revenue study emphasises the importance and adoption of the mobile platform, both in Europe and globally,” said Townsend Feehan, CEO, IAB Europe. “Businesses of all sizes are now able to engage their customers via mobile and demonstrating a clear opportunity for publishers to take advantage of. However many publishers still need to hone their mobile advertising strategies and acquire mobile skillsets as growth has been largely driven through in-app and native advertising whilst the delivery of a qualified audience at scale with demonstrable campaign impact is still a work-in-progress in some markets.”

“This year’s global mobile revenue sizing reveals that growth is driven by a diverse array of developments in the mobile advertising ecosystem,” said Daniel Knapp, Director Advertising Research, IHS, and author of the report. “Improvements in marketing technology have enhanced targeting and measurement of mobile advertising, while consolidation among market participants simplifies the process of reaching large audiences. The most technologically advanced markets, and those that have concentrated mobile advertising spend on fewer players, have grown above average in 2013. Rising smartphone penetration is extending the addressable market and is inducing a shift from messaging to display-based formats, although messaging remains strong in emerging markets. More fundamentally, the pervasiveness of mobile consumption has sparked a change in the mindset of marketers. Increasingly, they come to realize mobile as a medium in its own right that rewards abandoning engrained desktop-based marketing principles with new creative, tactical and strategic opportunities.”

To review the complete report, please visit www.iab.net/globalmobilerevenue.

Definition of Mobile Advertising Formats:

• Display: Any display advertising viewed or read on a mobile phone including rich media and video advertising. This could be browser-based as well as in-app.

• Search: Advertising appearing on specific word requests on search engines, viewed on a mobile device.

• SMS/MMS: 3rd party ads in SMS and outbound SMS only - this includes advertising either within the body copy of an SMS / MMS message, or outbound messaging.

Market Sizing Methodology:

Market size is gross, defined as after discounts, before agency commissions. Global market sizing and format split is based on reported data by local IABs, and a statistical and econometric model. Reported data has been harmonized to adjust for discounts and agency commissions. Modelled data is based on variables such as smartphone penetration, 3G subscriptions, messaging volume. The model has been refined based on benchmarking variables such as ad spend per capita, mobile subscriptions and 3G/4G penetration as well as through interviews with key players across the mobile advertising ecosystem. Model also takes into account typology of mobile ad markets in terms of maturity and format proliferation.

Adjustments to the previously released 2012 data are due to a number of factors including:

• The use of a 2013 constant exchange rate local currency to USD for both 2012 and 2013 in order to eliminate currency effects on the growth rate

• Estimates previously used are now replaced with actuals

• Changed methodology in local markets

• Smartphone forecasts replaced by actuals (model uses smartphone penetration as one of several independent variables)

About the IAB

The Interactive Advertising Bureau (IAB) is comprised of more than 600 leading media and technology companies that are responsible for selling 86% of online advertising in the United States. The IAB empowers the media and marketing industries to thrive in the digital economy. The organization educates marketers, agencies, media companies, and the wider business community about the value of interactive advertising. The organization educates marketers, agencies, media companies and the wider business community about the value of interactive advertising. Working with its member companies, the IAB evaluates and recommends standards and practices and fields critical research on interactive advertising. Founded in 1996, the IAB is headquartered in New York City with a Public Policy office in Washington, D.C. For more information, please visit www.iab.net

About IAB Europe

IAB Europe is the voice of digital business and the leading European-level industry association for the interactive advertising ecosystem. Its mission is to promote the development of this young and innovative sector by shaping the regulatory environment, investing in research and education, and developing and facilitating the uptake of business standards. Together with its members – companies and national trade associations – IAB Europe represents over 5,500 organisations. www.iabeurope.eu

About IHS

IHS (NYSE:IHS) is the leading source of information, insight and analytics in critical areas that shape today’s business landscape. Businesses and governments in more than 165 countries around the globe rely on the comprehensive content, expert independent analysis and flexible delivery methods of IHS to make high-impact decisions and develop strategies with speed and confidence. IHS has been in business since 1959 and became a publicly traded company on the New York Stock Exchange in 2005. Headquartered in Englewood, Colorado, USA, IHS is committed to sustainable, profitable growth and employs more than 8,000 people in 31 countries around the world.

IHS is a registered trademark of IHS Inc. All other company and product names may be trademarks of their respective owners. © 2014 IHS Inc. All rights reserved.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
DevOps theory promotes a culture of continuous improvement built on collaboration, empowerment, systems thinking, and feedback loops. But how do you collaborate effectively across the traditional silos? How can you make decisions without system-wide visibility? How can you see the whole system when it is spread across teams and locations? How do you close feedback loops across teams and activities delivering complex multi-tier, cloud, container, serverless, and/or API-based services?
SYS-CON Media announced today that @WebRTCSummit Blog, the largest WebRTC resource in the world, has been launched. @WebRTCSummit Blog offers top articles, news stories, and blog posts from the world's well-known experts and guarantees better exposure for its authors than any other publication. @WebRTCSummit Blog can be bookmarked ▸ Here @WebRTCSummit conference site can be bookmarked ▸ Here
SYS-CON Events announced today that Streamlyzer will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Streamlyzer is a powerful analytics for video streaming service that enables video streaming providers to monitor and analyze QoE (Quality-of-Experience) from end-user devices in real time.
You have great SaaS business app ideas. You want to turn your idea quickly into a functional and engaging proof of concept. You need to be able to modify it to meet customers' needs, and you need to deliver a complete and secure SaaS application. How could you achieve all the above and yet avoid unforeseen IT requirements that add unnecessary cost and complexity? You also want your app to be responsive in any device at any time. In his session at 19th Cloud Expo, Mark Allen, General Manager of...
One of biggest questions about Big Data is “How do we harness all that information for business use quickly and effectively?” Geographic Information Systems (GIS) or spatial technology is about more than making maps, but adding critical context and meaning to data of all types, coming from all different channels – even sensors. In his session at @ThingsExpo, William (Bill) Meehan, director of utility solutions for Esri, will take a closer look at the current state of spatial technology and ar...
SYS-CON Events announced today that SoftNet Solutions will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. SoftNet Solutions specializes in Enterprise Solutions for Hadoop and Big Data. It offers customers the most open, robust, and value-conscious portfolio of solutions, services, and tools for the shortest route to success with Big Data. The unique differentiator is the ability to architect and ...
The IoT industry is now at a crossroads, between the fast-paced innovation of technologies and the pending mass adoption by global enterprises. The complexity of combining rapidly evolving technologies and the need to establish practices for market acceleration pose a strong challenge to global enterprises as well as IoT vendors. In his session at @ThingsExpo, Clark Smith, senior product manager for Numerex, will discuss how Numerex, as an experienced, established IoT provider, has embraced a ...
Without lifecycle traceability and visibility across the tool chain, stakeholders from Planning-to-Ops have limited insight and answers to who, what, when, why and how across the DevOps lifecycle. This impacts the ability to deliver high quality software at the needed velocity to drive positive business outcomes. In his session at @DevOpsSummit 19th Cloud Expo, Eric Robertson, General Manager at CollabNet, will show how customers are able to achieve a level of transparency that enables everyon...
Today every business relies on software to drive the innovation necessary for a competitive edge in the Application Economy. This is why collaboration between development and operations, or DevOps, has become IT’s number one priority. Whether you are in Dev or Ops, understanding how to implement a DevOps strategy can deliver faster development cycles, improved software quality, reduced deployment times and overall better experiences for your customers.
Cloud based infrastructure deployment is becoming more and more appealing to customers, from Fortune 500 companies to SMEs due to its pay-as-you-go model. Enterprise storage vendors are able to reach out to these customers by integrating in cloud based deployments; this needs adaptability and interoperability of the products confirming to cloud standards such as OpenStack, CloudStack, or Azure. As compared to off the shelf commodity storage, enterprise storages by its reliability, high-availabil...
Donna Yasay, President of HomeGrid Forum, today discussed with a panel of technology peers how certification programs are at the forefront of interoperability, and the answer for vendors looking to keep up with today's growing industry for smart home innovation. "To ensure multi-vendor interoperability, accredited industry certification programs should be used for every product to provide credibility and quality assurance for retail and carrier based customers looking to add ever increasing num...
@DevOpsSummit has been named the ‘Top DevOps Influencer' by iTrend. iTrend processes millions of conversations, tweets, interactions, news articles, press releases, blog posts - and extract meaning form them and analyzes mobile and desktop software platforms used to communicate, various metadata (such as geo location), and automation tools. In overall placement, @DevOpsSummit ranked as the number one ‘DevOps Influencer' followed by @CloudExpo at third, and @MicroservicesE at 24th.
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in Embedded and IoT solutions, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 7-9, 2017, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and ...
“Media Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. CloudBerry Backup is a leading cross-platform cloud backup and disaster recovery solution integrated with major public cloud services, such as Amazon Web Services, Microsoft Azure and Google Cloud Platform.
In the next forty months – just over three years – businesses will undergo extraordinary changes. The exponential growth of digitization and machine learning will see a step function change in how businesses create value, satisfy customers, and outperform their competition. In the next forty months companies will take the actions that will see them get to the next level of the game called Capitalism. Or they won’t – game over. The winners of today and tomorrow think differently, follow different...