DUBLIN, Oct. 28, 2021 /PRNewswire/ —
The mobile advertising market is evaluated at US$180.610 billion for the year 2019 and is projected to grow at a CAGR of 21.95% to reach a market size of US$724.460 billion by the year 2026.
Companies and service providers are expanding their expenditure in advertising their products and services through popular media platforms in response to rising consumer spending on media and entertainment. Mobile devices have become the fastest growing platform for advertising in recent years, thanks to significant growth in the number of mobile devices as well as the number of hours spent by consumers on their smartphones and tablets.
The growing number of mobile subscribers, the availability of less expensive smartphones and tablets, reasonable data plans, and rapid development in 4G/5G subscriptions have all contributed to the increased usage of mobile devices for entertainment and information. Advertisers may be able to market their products and services through mobile advertising because of this.
Increasing smartphone penetration to drive the market growth
Smartphones are being embraced at a rapid rate throughout the world in today’s technology-driven environment. As a result, it is altering people’s socializing and communication patterns. Smartphone users may utilize the internet to access a variety of services and information via a variety of apps. They can also do things like play games, visit the web, view movies, read e-books, use social networking platforms, and listen to music. Apps like this may be found in both the Play Store and the App Store for Android and iOS users. Furthermore, these applications allow users to buy furniture, clothes, and even groceries.
Advertisers can obtain access to many layers of information about a user’s favorite brands, hobbies, and shopping preferences thanks to the aforementioned reasons. They also utilize the enormous quantity of data to display ads for connected products and services to a specific smartphone user in the form of pictures, videos, and banners. In games, they offer in-app advertising by promising the player additional gaming time, incentives, and other benefits.
The market is to grow due to increased demand for apps that allow users to access social media, music, and eBooks
Smartphone usage is transforming the way people interact and socialize. Apps allow smartphone users to access internet information and services. People use numerous applications accessible on all app stores to do various functions such as reading e-books, listening to music, watching movies, accessing social media, playing games, shopping, and so on. People may also buy food, clothes, and even furniture using smartphone applications, thanks to technological developments. Smartphone users spend the majority of their time on applications that allow them to access the web.
The brand wants to be present in the places where its customers are. As users use these applications, advertisers get access to many layers of information about them, including shopping preferences, hobbies, favorite brands, and more. Advertisers utilize this information to show consumers similar items or services in the form of ads, videos, and pictures, among other things. In-app advertising in games is booming, and marketers are putting a lot of money into it. For watching thirty seconds of video commercials, mobile in-app marketers are giving credits such as prizes, longer gaming time, and other benefits. This is one of the industry trends in mobile advertising that is predicted to boost sales.
Market innovations are to be driven by location-based technology
Advances in location-based technology have opened up a slew of new prospects in a variety of different industries. Location-based technology is being used by the mobile advertising sector to provide enhanced customer care by providing information about nearby items and services. Advertisers collect consumer location data to provide helpful recommendations based on surrounding areas. This enables them to market their content to clients with the appropriate message at the appropriate time and location. Advertisers may utilize location intelligence to track the impact of their ads and the responses they receive from users. Customers can be attracted to local companies by using location-based advertising to promote their product discounts anytime they are in the area. Overall, consumers will be targeted through various techniques and receive more relevant and tailored information because of location-based ads. Google LLC is one of the first companies to offer location-based mobile ads. Users can obtain tailored suggestions using Google’s location-based advertising platform’s opt-in functionality.
Rapidly increasing fascination towards video ads to propel market growth
The advent of video ad formats such as vertical videos, 360-degree videos, and videos that enable augmented reality and virtual reality is projected to propel the mobile video advertising (ads) industry to new heights. Customers will have an engaging and immersive experience thanks to the use of the formats indicated above. For example, service companies such as travel & tourism, fashion stores, and entertainment providers can give high-quality video advertising by presenting views of virtual holiday locations, product samples, or movie trailers in 360 degree or vertical videos. This will also aid in the development of a huge client base and the generation of additional leads. Advertisers are delivering such advanced video ad formats because of increased consumer emphasis on content viewability, which is resulting in a better user experience and higher conversions than still forms. As a result, mobile video advertising is now the most popular and one of the hottest trends. In addition, films may be used to tell a company’s narrative, resulting in an emotional connection between the business and the customer. This will also aid in the development of a relationship between the brand and its viewers, as well as the development of a loyal client base for the firm.
Because of the great interest in advertising shown by business groups in North America, it captures the largest share of the market. Because of the presence of a large population of mobile phone clients, the availability of solid organization capabilities, and the high notoriety of versatile showcasing in those countries, countries such as the United States and Canada dominate the market. The location has prompted accessibility for 4G and 3G information administrations, which helps the portable publicizing industry develop, thanks to its established framework and propensity for technical advancements.
Another important regional segment in the market is the Asia Pacific, which is growing at the fastest rate. Building portable promotional workouts necessitates the presence of a massive consumer population and more disposable income due to growing urbanization. Furthermore, mobile phones have become extremely popular because of the extensive availability of various brands across all price ranges, as well as the availability of inexpensive internet connections. Because of the great freedoms to deliver customers new promotional experiences, the area addresses the high potential for market growth.