BIA/Kelsey Forecasts U.S. Mobile Local Ad Revenues To Grow To $5.8B In 2016
November 5, 2012 at 4:04 AM (PT)
BIA/KELSEY forecasts U.S. mobile local advertising revenues to grow from $664 million in 2011 to $5.8 billion in 2016, representing a compound annual growth rate of 54.2%.
BIA/KELSEY's projected mobile local ad revenues represent a subset of overall U.S. mobile ad spending, which the firm forecasts to grow from $1.62 billion in 2011 to $9.92 billion in 2016. This puts locally targeted mobile ads at 41% of overall U.S. mobile ad spending in 2011, growing to 58% in 2016.
"Growth drivers include smartphone penetration, location data, ad targeting innovation and advertiser evolution to utilize these factors for higher-performing mobile local ad campaigns," said BIA/KELSEY Program Director/Mobile Local Media MICHAEL BOLAND. "New mobile ad formats will also drive demand including FACEBOOK's quickly evolving options like sponsored stories and app install ads -- currently accounting for 14% of FACEBOOK's revenues and quickly growing."
BOLAND will moderate a SuperForum on mobile local media at BIA/KELSEY's upcoming Interactive Local Media West (ILM West) conference, DEC. 4-6, in LOS ANGELES. He'll present highlights from the forecast during a session titled, "Mobile's Impact on Interactive Local Media: National to Local." He will also present forecast highlights to the LOS ANGELES venture community on NOV. 15, during a one-day event hosted by the LOS ANGELES VENTURE ASSOCIATION (LAVA). Details about the ILM West conference, including speakers, agenda, sponsors and online registration are available at www.biakelsey.com/ilmwest2012.