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Mobile Ad Revenue Explodes While Desktop Searches Sees First Decline

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Mobile Ad Revenue Explodes While Desktop Searches Sees First Decline

Los Angeles Advertising Agency

The first half of 2016 saw a 19% increase in digital advertising revenue to $32.7 billion, according to the Interactive Advertising Bureau. Smartphone and tablet advertising grew from $8.2 billion in the first six months of 2015 to $15.5 billion in the same period for this year, marking the seventh consecutive year revenue from digital advertising revenue has increased by double digits.

Interestingly, the only increase in desktop advertising formats came with video, growing by 13% to $2.3 billion. As a whole, however, search advertising via desktop went down for the first time, falling 12% to $8.9 billion. At the same time, ads on mobile devices more than doubled, jumping from $3.6 billion to $7.4 billion.

Considerable increase in mobile ad revenue is “reflective of where people are conducting their searches,” according to David Silverman, a partner with PwC.

While experts are unsure how advertisements on mobile apps such as Amazon or Pinterest will likely affect future trends, it is well-known that revenue from social media advertising has gone up dramatically, a 57% increase between the first half of this year compared with last.

It is almost unquestioned that digital advertising will continue to be a larger and larger share of overall revenue generation for businesses. Ad Leverage develops marketing campaigns across the spectrum of media—from digital to TV to radio—focusing on bringing positive ROI while building brand recognition.

To read the rest of this article, check out https://adage.com/article/digital/iab-digital-ad-revenue-breaks-record/306557/.

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