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Global mobile ad revenues surge

News, 14 August 2015

GLOBAL: Global mobile advertising revenue surged 65% between 2013 and 2014 to reach a total of $31.9bn according to new data, driven by continued shifts in consumer usage patterns and industry innovations.

The figures, released by the Interactive Advertising Bureau (IAB) and its Mobile Marketing Center of Excellence, IAB Europe, and IHS Technology, are based on data reported by local IABs and a statistical and econometric model.

North America accounted for the greatest share, the $14.32bn spent there accounting for 44.9% of the total, followed by Asia-Pacific where spending of $11.63bn made up 36.5%.

At $5.31bn, European mobile ad revenues were less than half those of Asia-Pacific and took a 16.6% share. The Middle East & Africa followed with spending of $379m (1.2%) and finally Latin America on $239m (0.8%).

North America was also the fastest-growing region, with revenues up 76.8% on 2013. All other regions grew significantly as well – the Middle East & Africa by 68.5%, Latin America by 66.1%, Europe by 58.6% and Asia-Pacific by 54.5%.

Within these overall figures mobile display showed the highest growth at 88.1% and has now overtaken search as the dominant segment.

Display represented 47.4% of total global mobile advertising revenue in 2014 at $15.1bn. Mobile search followed, growing 55.2% and taking a 46.1% share worth $14.7bn.

Messaging grew at a much slower rate – 13% – but its 6.6% share, worth $2.1bn, is likely to increase as users migrate from operator-owned messaging services to app-based messaging platforms.

"Mobile devices are at the centre of consumers' lives across the globe and these numbers reflect brands' increasing recognition that this medium holds great power," said Anna Bager, svp/IAB and general manager/IAB Mobile Marketing Center.

"It's important that advertisers, agencies and publishers fully understand consumer behaviour as the differences between the devices diminish and the potential for engagement with digital content grows," added Townsend Feehan, ceo, IAB Europe.

Data sourced from IAB; additional content by Warc staff