Mobile advertising continues to set records. At the end of 2016, it first attracted more than half of the digital budgets in the US. American advertisers have spent $36.6 billion on mobile advertising, almost 50.5% of the national online advertising spending. The volume of the digital advertising market also reached a record of $72.5 billion, according to a study by IAB and PwC US.
Both the market in general and its mobile segment grew at double-digit rates, by 22% and 77% respectively. In a short time, mobile advertising managed to increase its share by almost 1.5 times - in 2015 it accounted for 35% of the budget. IAB Executive Vice-President David Doty considers such a balance to be logical, as the modern world can be called mobile. Marketers are already fit to talk not mobile-first, but mobile-only. The report also notes the success of online video advertising, which has become an effective way to attract interested viewers.
Now the digital landscape defines mobile, social networks, video and software. Together, they offer unprecedented reach to the audience, says PwC US partner David Silverman. There is a great potential for online audio advertising - in 2016 the volume of said segment amounted to $1.1 billion. Emergence of new formats will allow marketers to find audience at home in their spare time, experts say.
According to IAB, mobile advertising grew due to contextual and media advertising. In a year, the share of the contextual marketing decreased from 34% to 24.5%, the display one - from 23% to 19%. Cost of video advertising increased by 53%, to a record $9.1 billion, cost of promotion in social media increased by 50% and amounted to $16.3 billion. The largest categories in the US digital market are retail (21.3%), financial sector (13.3%) and automobile (12.5%).
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