Some trends are easier to spot than others, but we aren’t missing this one. Advertising spend is projected to increase over the next few years—and although growth is slowing down for traditional advertising, it is increasing for mobile ads. Another recent trend reveals that smartphone users turn to the various apps on their phones more often than to their mobile browsers.
Greg Sterling is on top of it over at Marketland. In Report: Mobile users start with social apps, then move on to browsers and search, Sterling explains the latest data. Mobile users tend to begin sessions with social media apps, and then gravitate toward search and/or utility apps. In addition, “consumers who engage with more than four apps per mobile device session has increased by 10 percent, from 121 million to 143 million adults.”
In keeping with this trend, as reported in Forecast: US display advertising to grow 70% by 2021, with social and mobile drivers, Forrester Research is projecting that social media ad spending will grow to $40 billion by 2021. The firm asserts that non-social display advertising will be dominated by mobile ads, and especially in-app video ads, during that time period.
According to Forrester, “close to two out of every three mobile ad dollars” will be spent on in-app mobile display advertising. However, this trend primarily benefits Google and Facebook, since the two companies control eight out of the top ten apps in the U.S., and it can be difficult for advertisers to stand out in the crowd. Also, average mobile app retention in 2016 was just 20% after three months. Consumers keep the apps that are most useful to them, and either abandon or uninstall the apps that don’t prove lasting value.
Advertisers will need to reach a highly engaged audience and maximize the stickiness of their ads in an environment of fierce competition. For our clients, we are not just another application they tack onto their app. Our opt-in model provides the opportunity for consumers to see your ads, save them for later, and for you to re-target them using geo-location when they are near your business.
With our model, we extend ad campaigns through Apple Pay, Android Pay, and Microsoft Pay, so you can reach consumers no matter what applications they’re using. As consumers jump from app to app, you can get the most from your ads by incorporating them into the tools people use every day.