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Six Reasons Why Mobile Advertisement Funding is Increasing

Mobile advertising expenditures have increased rapidly—and for several reasons. U.S-based mobile advertising expenditures, alone, are slated to increase by approximately 55.3 percent this year, alongside online video’s 15 percent raise. Increasing data has determined the predicted rise, revealing mobile advertisement expenditures to be highly lucrative.

To survive the marketplace, advertisers need empowering tactics. Check out why mobile ad spending is on the rise, and why marketers should keep their eyes peeled.

Reason One: Increasing Value

Mobile marketing’s value has greatly increased in recent years. Increasing promotional value guarantees effective ads. Effective ads garner more expenditures. Mobile advertisements have gotten better, and they’re highly effective when held up next to other good and service promotions. Bundled services warrant special offers, and mobile’s great promotional capabilities keeps it ahead in the race.

Mobile Consumption

Reason Two: Increasing Mobile Media Consumption

While mobile advertisement expenditures actually follow behind media consumption, media consumption, itself, is on the rise. Mobile media time has increased, and advertisement expenditures have followed. Mobile advertising, historically, has piggybacked on mobile media use—and for good reason:

  • Mobile media has overtaken print media’s popularity.
  • Mobile media is a $25-billion U.S opportunity.
  • Mobile media enables ad hosting.

Reason Three: Mobile App Development

Mobile apps are a recent marketing boon for decision makers. Monthly mobile app use is at an all-time high, and many mobile users have taken advantage of the many benefits derived from quick app access. While internet access is still used by consumers, web apps have excelled in terms of:

  • Feasibility
  • Low cost
  • Platform uniformity
  • Constant upgrades

In essence, mobile apps have begun replacing web-based platforms. Because mobile apps remain ‘close to home’ on mobile software, mobile-based advertising benefits from higher connectivity. The expenditures are justified, too, as local mobile advertising expenditures currently represent 50 percent of total mobile marketing expenditures.

Power to the people

Reason Four: Small Business Uses

Mobile devices are highly useful to small business owners. In fact, a majority of mobile advertisement expenses are derived from local agencies, brands and connected advertisers. Existing online strategies are easily transferred to mobile platforms, creating excellent solutions for beginning businesses.

Likely, mobile ad spending will account for a large slice of small business expenditures in future years. Local ads offer incredibly relevance—relevance small business owners thrive on to survive.

Reason Five: Location-Based Services

Speaking of small businesses, location-based services have become a justifiable cause of increased mobile ad spending. Business check-ins, location-based promotions and special offer, currently, run a good segment of the business world. Consumers, again, love relevancy, and location-based advertisements will only get better as technology increases. Now, business owners have funneled fiscal resources into mobile advertising for the sole purpose of on-location amenity promotions.


Reason Six: Numbers

That’s right: numbers. The smartphone continues to dominate the world’s communication industry, and about one quarter of the world’s population currently owns, relies and updates a smartphone. Mobile use is expanding, and decision makers are taking notice.

Mobile dominates consumer information access points. Modern buyers can browse products, check reviews, contact others and purchase goods on a single platform. The mobile device has become a marketer’s Swizz Army knife, ripe with potential utility. A connected customer will stay connected, and the mobile boom’s personable approach to the sales funnel is undeniable.

Mobile ad spending has increased because it needs to. Mobile marketing runs the industry, and it’ll only expand in upcoming years. Of course, benefits drive commerce, and continual technological escalation is needed to sustain growth and scale. As digital advertising increases, the world will likely experience new arrivals, new products, new services and new amenities. Expansion follows innovation, and innovation, currently, fills the advertisement industry.

Sophorn Chhay

Sophorn is an inbound marketer specializing in attracting targeted visitors and generated sales qualified leads. Through Trumpia’s SMS and marketing automation solution he helps businesses and organizations communicate effectively with their customers or members.


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