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BizReport : Mobile Marketing : January 16, 2012

eMarketer: Ad-supported content to skyrocket through 2015

The general buzz about smartphones and tablet is primarily about how retailers can engage and how consumers will shop through the devices in upcoming years. But more brands should pay attention to mobile content finds a new eMarketer report. According to their data ad supported content will increase to account for nearly one-third of the mobile revenue share.

by Kristina Knight

According to eMarketer content revenues for mobile may surpass $1 billion by 2015 - much of that growth is estimated to come from mobile video ads.

In 2011 mobile video ad revenue reached $37.5 million; more than $213 million is expected to be spent by advertisers by 2015. Other hot mobile properties include gaming ($269 million in advertising), music ($591 million by 2015)

"A major revenue driver for mobile advertising is mobile-native rich media creative that fits within high-value content, like video," said Victor Milligan, CMO of mobile ad exchange Nexage. "This completes the circle for mobile advertising where high value creative - targeted to the right consumer to create relevance - seamlessly fits into high value content. It certainly creates the ingredients for rapid growth."

Currently most mobile content revenue comes from paid subscriptions and the like (82%) with only about 17% coming from ad-supported areas. By 2015 paid revenue is expected to account for 70% of the revenue share while ad-supported will account for nearly 30%.

comScore reports that in November 91.4 million US consumers owned a smartphone; 72% used text messaging, 44% downloaded apps and 44% used mobile browsers. One-third (33%) accessed social networks and 29% played mobile games.

Tags: comScore, eMarketer, m:commerce, mobile commerce, mobile content, mobile marketing, Nexage

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