Mobile advertising spending has reached record levels of over £500m, it has been unveiled this week due of the growth in the popularity of smartphones and the use of apps.
In the latest report from the Internet Advertising Bureau UK, this new figure shows that the spending has grown by 148% since 2011, going from £203m to £526m at the beginning of 2012, with the figure going up even more for the later part of last year.
Apps have played a massive part in the increase, proven by looking back to 2008 before Apple’s app store was released when mobile advertising was worth just £25m. This, along with the growth in popularity of the smartphone, 64% of the UK’s population now own a smartphone, has been credited as the reason for the massive expansion of the UK’s mobile advertising.
Ths £322m rise has accounted for more than half of the overall digital advertising spend between 2011 and 2012. Mobile alone now makes up 9.7% of the total digital advertising spend, whereas it only took up 1.1% in 2009.
Tim Elkington, the IAB’s Director of Research and Strategy, explains why mobile advertising has grown so rapidly: ‘There’s simply so much buzz around mobile. Mobile has reached this milestone because marketers are becoming more attuned to the ‘always on’ nature of consumers who expect to engage with content wherever they are. Consequently, advertisers are increasingly buying integrated campaigns across online and mobile rather than regarding mobile as an afterthought.’
It has also been suggested that mobile advertising is set to grow even more throughout 2013, because of the rapid roll out of 4G services across the UK.