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Mobile Ad Effectiveness Helps Drive Investment

Will the novelty of mobile ads wear off, and with it, effectiveness?

October 24, 2011

Whether or not the “year of mobile” ever comes—or has already passed—mobile ad spending is on the rise, largely due to the increasing smartphone and mobile web populations.

Mobile display ad effectiveness is another factor driving marketer investment. Studies from InsightExpress, MediaMind (formerly Eyeblaster), and, as of Q3 2011, Dynamic Logic, have all demonstrated mobile display advertising to be more effective than online display advertising.

Mobile Display and Online Display Advertising's Effect on Brand Metrics in the US, Q3 2011 (average delta* above control)

In a press release, Dynamic Logic noted that mobile advertising’s effectiveness is driven in large part by its relative novelty. However, the digital insights and solutions firm pointed to three additional key factors:

  • The larger proportion of the mobile screen that is devoted to ads relative to online
  • Generally more focused messaging and content due to screen size and overall technology constraints
  • Better targeting than most other media

Still, with the wide discrepancy between the best- and worst-performing campaigns sampled, Dynamic Logic concluded that as the novelty of mobile display ads wears off, compelling creative and relevant messaging will become more important for continued ad effectiveness.

eMarketer expects mobile ad spending in the US to reach $1.23 billion this year, 65% more than in 2010. Growth rates will moderate as the medium matures.

US Mobile Ad Spending, 2010-2015 (millions and % change)

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Check out today’s other article, “Personalized Online Video Ads Boost Branding.”

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