Tablets, smartphones to fuel doubling of mobile marketing revenues
The explosion of tablet and smartphone use has spurred the migration of e-commerce to m-commerce, particularly in North America and Western Europe.
Retailers are predicted to spend $55 billion annually on mobile marketing by 2015, double the amount expected this year, according to a new report from Juniper Research.
In addition, couponing apps have become an increasingly popular way to distribute and store coupons, the report noted. In addition, mobile devices are being integrated into in-store retail strategies through augmented reality and near field communications.
At the same time, many retailers have not optimized their sites for mobile browsing, registration or payment.
"If retailers truly want to maximize the mobile monetization opportunity, then optimization is critical. If you are using mobile advertising for consumer acquisition, you need to push users to a site with which they can comfortably interact; retailers that fail to respond to consumer demand will fall behind," commented report author Windsor Holden.
Holden advised brands to integrate their marketing campaigns across mobile social networking sites such as Facebook (NASDAQ: FB) and Foursquare and to limit mobile ad frequency, and to prevent overexposure.
In a report released earlier this month, Gartner predicted that mobile ad revenue would reach $24.5 billion in 2016, creating opportunities for mobile app developers and platform providers, as well as specialty agencies, ad networks and communications service providers.
Andrew Frank, research vice president at Gartner, agreed with Holden that tablets and smartphones are fueling the mobile advertising market "in more and more geographies as an increasing population of users spends an increasing share of its time with these devices."
It's time for mobile app developers and platform providers to tap into the opportunities being created by mobile advertising, whether delivered through the Internet or in the store through NFC.