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Mobile advertising revenue Rose by 82% in 2012

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Global mobile advertising revenue jumped by 82.8% to USD8.9 billion in 2012 from $5.3 billion in 2011. With growth rates of 88.8% in search, 87.3% in display and 40.2% in messaging at a global level, ad spend in these formats reflects bullish growth in the sector.

­Mobile advertising revenue continues to be dominated by the search segment, which represented 52.8% of total global mobile advertising revenue, or US$4.7 billion in 2012. Display advertising accounted for 38.7% and messaging 8.5%.

The share by regions for 2012 is:

  • •Asia-Pacific: 40.2% $3,558mn
  • North America: 39.8% $3,525mn
  • Western Europe: 16.9% $1,499mn
  • Central Europe: 1.3% $112mn
  • Middle East & Africa: 1.2% $109mn
  • Latin America: 0.6% $50mn

Growth year-over-year was strong across the board, led by North America, which saw a 111% surge over 2011 figures. Western Europe also saw a major  increase, 91% over the previous year. Other year-over-year upswings include:

  • Latin America - 71%
  • Central Europe - 69%
  • Middle-East and Africa - 68%
  • Asia-Pacific - 60%

"From a creative and communication standpoint, mobile advertising is hyper-personal. But more so than other media, from a business perspective, it is global. Mobile advertising is being planned, bought and sold across national borders and regions. This makes a global market sizing initiative ever more urgent" says Daniel Knapp, Director Advertising Research at IHS, and author of the research.

Key factors for the increase in mobile advertising revenue are rising smart phone adoption/ 3G and 4G penetration, more time spent on mobile devices, better advertising monetisation through targeting ad inventory consolidation. "We have seen a shift from a very fragmented landscape to one that is becoming more networked, " explains Knapp. "Technological innovation has simplified buying mobile inventory at scale, enabling advertisers to better reach larger audiences across multiple publishers and advertising networks," he continues.

Revenue Gains by Format

Mobile Ad Revenues by Region

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Tags: mobile advertising