NEW YORK, USA: New advertising in Facebook and Twitter have given the US mobile market a boost, bringing revenues for the sector to more than US$4bn this year, a research firm says.
The eMarketer report said US mobile spending on advertising is growing more quickly than previously expected, helped by Facebook's mobile newsfeed ads and Twitter's Promoted Products.
With the new offerings, eMarketer expects overall spending on mobile advertising in the US, including display, search and messaging-based ads served to mobile phones and tablets, will rise 180% this year to more than US$4bn.
That compares with a forecast in September of just US$2.6bn.
Now eMarketer expects US mobile ad spend to reach US$7.2bn next year and nearly US$21bn by 2016.
Facebook's mobile performance in the third quarter is one major reason for the change, eMarketer said.
Before Facebook's earnings call, most researchers and analysts expected US mobile ad revenues of between US$45m to US$100m, according to figures examined by eMarketer. Most analysts now estimates Facebook's US mobile ad revenues will hit US$339m this year.
Google also posted better-than-expected mobile ad growth in the past quarter and now controls 56.6% of the US mobile advertising market, eMarketer estimates.
Most of Google's mobile ad revenues come from its search services and eMarketer estimates Google holds 93.3% of the overall US$2bn US mobile search ad market.
The report said Twitter's 2012 US mobile ad revenues have also been revised upward to US$135m from US$116.8m forecast in September and gives the group some 3.5% of the total US mobile ad market.
Apple currently holds an estimated 6.7% of the US mobile display ad market and has the potential to increase that as it sells more iPads and iPhones.
Mobile still accounts for just 2.4% of total ad spending in the US this year but will reach 11% by 2016, when it will overtake radio but still be below print, eMarketer said.
Source: AFP via I-Net Bridge
I-Net Bridge For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.
We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field. Go to: http://www.inet.co.za
LEGAL DISCLAIMER: This Message Board accepts no liability of legal consequences that arise from the Message Boards (e.g. defamation, slander, or other such crimes). All posted messages are the sole property of their respective authors. The maintainer does retain the right to remove any message posts for whatever reasons. People that post messages to this forum are not to libel/slander nor in any other way depict a company, entity, individual(s), or service in a false light; should they do so, the legal consequences are theirs alone. Bizcommunity.com will disclose authors' IP addresses to authorities if compelled to do so by a court of law.