According to this new report, (reported first in fierceCMO) mobile will account for a majority of spending on social advertising in the U.S. by 2017, reaching $7.6 billion, and surpassing spending on desktop a scant year later.
BIA/Kelsey said the spike can be attributed to Facebook and Twitter’s growing mobile business combined with the rise of native advertising.
Which is precisely what my clients have been doing recently on social and doing really well with it in the UK.
Meanwhile according to futurologists at BIA, in the “U.S. native social advertising, spurred primarily by Facebook’s News Feed ads and Twitter’s Promoted Tweets, will surge to $9.4 billion in 2018, up from $1.8 billion in 2013. In 2015, BIA/Kelsey said it expects native social advertising to eclipse social display for the first time.
“We were initially skeptical about the social-mobile market’s ability to capture optimal wallet share because of mobile’s limitations, such as smaller screen size, limited ad inventory and static creative,” said Jed Williams, VP of consulting at BIA/Kelsey. “Over the past years, however, Facebook, Twitter and other networks have generated dramatic revenue growth, primarily as a function of mobile ad acceleration and largely through natively integrated mobile ad formats. We expect this growth to continue throughout the forecast period.”
Meanwhile, BIA/Kelsey projected that total U.S. social media advertising revenues will grow from $5.1 billion in 2013 to $15 billion in 2018. This year represents the greatest year-over-year jump in social media ad revenues, growing to $8.4 billion in 2014, largely because of increases in mobile and native advertising, BIA/Kelsey said.