Tag: mobile advertising

Advertisers set sights on mobile games

Mobile games are getting more attention in the marketing sector

Mobile games have come to represent some of the highest rates of consumer engagement within the mobile sector. Consumers throughout the world have proven that they have an insatiable appetite for mobile games and the popularity of these games continues to grow rapidly. Mobile games are not only growing more popular with consumers, of course, and advertisers are beginning to look at these games as ideal platforms through which to connect with consumers.

Report shows that advertisers are beginning to favor mobile platforms

Advertisers are beginning to focus on mobile games more heavily around the world. A new report from App Annie and IDC notes that as mobile games grow among consumers, so too does the amount of money that advertisers are spending on such games. Advertisers do not typically invest in the development of games, but they do purchase marketing space within that game. Marketing in console games has been tricky due to the fact that consumers can rarely engage typical in-game marketing. This is where mobile games shine for advertisers.

advertisers set sights on mobile gamesMobile games could be ideal marketing tools

Mobile games are, essentially, nothing more than applications for mobile devices. These applications are lightweight programs that are somewhat fluid when it comes to the features that they offer. This means that it is relatively simple to include some kind of advertisement into these applications. Moreover, these advertisements can actually be interacted with by consumers, making them quite effective when it comes to consumer engagement. Mobile games, which already involve consumer participation, have proven to be effective marketing platforms due to the fact that consumers will often interact with ads they see in their mobile games.

Advertising revenue in the mobile games sector to reach $12 billion this year

According to the report from App Annie and IDC, the total advertising revenue coming from the mobile games space is expected to reach $12 billion this year. Advertisers are likely to continue focusing more heavily on mobile games in the future in order to engage a new generation of consumers. Consumers have, thus far, been relatively welcoming to the advertisements that they see in mobile games, though some argue that these ads detract from the gaming experience.

Mobile marketing makes up 1 in 3 digital ad dollars

One third of online ad spending is directed toward smartphone and tablet using consumers.

According to the latest eMarketer study that has created a profile of the global industry for the first time ever, mobile marketing is an industry that is now worth $16 billion globally, and Google has the lion’s share of it at 55 percent.

The report also indicated that advertising over this channel represents a third of all of the global digital spending.

The eMarketer report indicated that in fiscal 2013, Google brought in over $8.8 billion in from mobile marketing. In second place, far behind Google, was Facebook, which drew $2 billion, which was an increase of just under a half billion from the year before. The third largest was Pandora, followed by the online version of Yellow Pages, YP. Last among the top five was Twitter.

As companies see increasing benefits from mobile marketing, they are redirecting their online spend toward that channel.

Mobile marketing digital ad dollarseMarketer pointed out in its mobile marketing report that “After making nearly half a billion dollars worldwide on mobile ads last year, Facebook—which had no mobile revenue in 2011—is expected to increase mobile revenues by more than 333% to just over $2 billion in 2013.”

This most recent year represented the middle of a new and powerful online and mobile marketing push for Twitter, which was seeing a global market share of less than 2 percent. This is expected to increase to the point that it will break the 2 percent mark this year. However, in the United States, it will hold a much larger space at 3.6 percent.

The mobile marketing dominance at Google has recently been the focus of the FTC and its competition regulators. As that massive company continues to grow and expand, it is also absorbing a larger amount of the advertising business over smartphone and tablet channels. At the same time, it is managing to keep a solid hold over to portion of the desktop advertising business.

eMarketer’s global mobile marketing report pointed out that Google will be boosting its revenues faster than the overall market’s growth over the upcoming year as a result of “continued monetization of YouTube and growing adoption of mobile advertising.”