A new report by Outsell has shown that digital ad budgets will rise, while print ad spending will fall.
Outsell has now released a report that has shown that digital and mobile advertising budgets will be increasing in 2016 while at the same time the amount of budget dedicated to print ads will be on their way down.
The research looked into the spending preferences of marketers, finding that top priority went to companies’ own sites.
After websites, the next largest amount of the ad budget went to television and e-mail marketing. That said, the report pointed out that social marketing was a growing trend. Mobile advertising would be seeing a significant boost in the amount companies were dedicating specifically to that channel, as well. That said, on the flip side of the coin, non-digital methods of advertising, such as custom print, direct mail, print directories, and ads placed in newspapers and magazines are all continuing to droop due to a growing consumer dependence on digital techniques for placing brands and messages in front of consumers.
Mobile advertising comes with the significant advantage of placing ads in front of consumers at any time.
This is something that print simply cannot achieve. Social is particularly effective in that effort, especially over platforms such as Facebook and Twitter as companies seek to boost engagement with their target market through the new social brand building and lead generation tools that are now easily accessible to businesses of all size.
Outsell’s report predicted that mobile marketing advertising spending could increase by 38 percent by the close of the year. Social ad spending will also be increasing, but by 15 percent.
Mobile advertising will have risen to $23 billion in spending and is now considered to be the fifth largest form of digital marketing, immediately after social and search. Marketers appear to have made the discovery of its true value in 2015 and are now scrambling to use this channel to be able to reach consumers through a range of different ad formats. Fifty four percent of marketers have said they will be focusing their mobile ad spend on various types that reach consumers by way of apps.
The posts seen by users of iPhones and iPads will now be peppered with a new kind of advertising.
From now on, there will be a new mobile ad format that will be making their way into the Apple News feeds, which will appear in the form of sponsored posts that will appear along with other articles.
Apple announced the new mobile marketing format as a part of the March mobile advertising platform updates.
According to the document in which the announcement of the changes was made, the new format for the mobile ad display will show them “directly in the content feeds, in line with the News articles”. This will be occurring in both the iPad and iPhone version of Apple News. These advertisements are not meant to stand out very much from the rest of the articles in the feeds, as the same font will be used for the ads and articles.
That said, each mobile ad will have a small “sponsored” tag that will allow users to identify them.
Still, it is evident that these mobile ads are being designed to blend in and look like the rest of the articles being displayed in the feed, according to the developer document in which the new format was announced.
The idea behind this new mobile advertising format is to provide marketers with a fresh way to promote sponsored posts and sell those spots. While this can provide an advantage, it’s not without its drawbacks for advertisers, as well. It remains the same downside as with advertising through any other format on the iAd platform, which is that Apple takes the same 30 percent cut from all revenue generated through those ads.
Yet with about 40 million users recorded for the Apple news mobile app in January, the opportunity for advertisers is not a small one. Despite the fact that the mobile ad tag that indicates that it was sponsored is quite small, it still complies with the regulations from the FTC that require that all sponsored content be clearly marked. It is expected that the new format will be a part of the update going into effect this week.
