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2013 Mobile Advertising Spend.

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2013 Mobile Advertising Spend.

News / 28.6.13

Since 2012, there has been a 112% increase in mobile PPC spend. Unsurprisingly, this means that mobile search advertising has grown and continues to grow at a significant pace, with an estimated 75% increase in advertising spend for 2013 compared to 2012.

Mobile Advertising

On average clicks and impressions from mobile advertising have also increased, meaning advertisers are now targeting customers searching for content at all times of the day, be it in work, during their lunch hour or during their commute to work.

With 2013 being suggested as the year of mobile, it is no surprise that more and more advertisers are buying in to mobile and allocating mobile budgets. However, a recent study suggests that the recent growth in mobile is coming from a reallocation of existing marketing budgets rather than a new mobile allocated budget. This suggests advertisers are yet to be convinced by mobile advertising.

Below is an example of how advertisers are investing their budgets and the results they are seeing:

Mobile CPC

You will notice that mobile spend V’s mobile CPC outperforms their share of advertising spend by more than double, compared to the computer spend, suggesting that mobile budget investment is key for ROI.

Impact of Google Enhanced Campaigns on Mobile Budget:
Since the launch of the Google Enhanced Campaign, mobile has become a much more competitive market with Enhanced driving advertisers into mobile and tablet, and therefore directing advertisers to increase their budgets to ensure they remain at the position and continue with the previous levels of traffic pre-Enhanced.

Focusing solely on mobile cost and activity since the launch of the enhanced campaign, you will notice below that ‘pre-enhanced’ advertising were investing less in a less competitive market and seeing fewer results. However, with the new enhanced campaigns mobile has gone from making up 10.2% of total spend to 16.8% and an overall increase in campaign performance too.

Pre Enhanced and Post Enhanced

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Sources:
IgnitionOne
Emarketer
PPC Hero

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