Mobile Advertising Showing Steady Growth

By on October 22, 2012

The Digital Index report this week says paid search is on the rise, primarily due to social media and mobile technology. 4G technology, now being adopted by many mobile smartphones as well as tablets, is considered a main factor in the growth of the mobile advertising industry. 4G, with load times as much as 5 times the speed of 3G, is due much credit for this growth. The faster connection speed makes browsing the internet from a mobile device much more pleasing to the consumer, and also creates room for new opportunity for advertisers. 4G makes it possible for advertisers to use video ads all over the mobile web, a type of advertising that has shown much more promising ROI than traditional search and web banner ads. Not to say those types haven’t been enjoying the mobile boom as well; to date in 2012, U.S. search spending has grown by 11 percent, with ROI improving by 26 percent. Google’s average cost-per-click was down by 10 percent, which many experts attribute to the increasing share of mobile clicks, which are less expensive than desktop clicks.

Mobile traffic is on the rise, and is predicted to account for 1 in 5 paid search clicks. This gives more of a reason for marketers to begin designing advertising campaigns that are tailored to the mobile user.

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