Local ad spend on mobile and social advertising forecasted to grow at a compound annual growth rate (CAGR) of 5.6% from 2018 to 2023. $1.39 billion was spent on mobile local advertising by businesses in 2018, with that number increasing to $1.8 billion in 2023. What businesses are heavy users of mobile ads? Entertainment businesses (theater, race tracks, sports events, movie theaters, amusement parks, caterer/hotel, etc.) are particularly mobile location-aware and mobile search, according to SAM™ BIA’s Survey of Advertising and Marketing. While their social media adoption is bigger, mobile growth continues to be big, especially location-targeted ads.
The good news for mobile advertising sellers is that entertainment businesses are the ones most likely to increase their ad spend in 2019, followed by financial services, according to the SAM™ survey. Consumers are watching videos and looking for entertainment on their mobile devices when they’re not at home. Make sure advertisers have a solid mobile strategy (search, geofencing) to get consumers through their doors. Businesses like the targeting (geographic and behavioral) opportunities that mobile offers. Show how your product supports or supplements their need to reach the right customers where they are in need.
The SAM™ survey data as well as our local forecast data is available through BIA’s local advertising dashboard, BIA ADVantage and is offered in a searchable, downloadable format. Insights and analytical reports from the survey are also provided. Additional information about BIA’s SAM study can be found here.