Online publishing agencies are failing to capitalize on the burgeoning mobile market, according to the latest Content and Trends Census from the Association of Online Publishers (AOP).
While more consumers than ever before are accessing content via tablets and smartphones, ad revenues simply aren’t moving to mobile at a commensurate rate.
The news should make stirring food for thought for any innovative account manager, art director or copywriter, especially those working in fledging agencies looking to boost their company’s fortunes. The biggest obstacle to revenue growth from mobile, the Census found, was attitude – many ad agencies have been concentrating on traditional online platforms to the neglect of smartphones.
Wanted: a change of attitude
The finding should come as a timely wake-up call. The trends, and the potentially lucrative revenues, are plain to see for those willing to look. As we reported recently, 72 percent of small-to-medium-sized enterprises in the U.S. are planning to maintain or increase their spending on mobile advertising in the coming year. And those intending to increase their ad budgets plan to do so by as much as 30 percent.
The good news is that if anyone is capable of changing attitudes, it’s the creative talent populating innovative ad agencies. Capable of lending their formidable inventiveness to any product, even bone marrow, a switch of focus to mobile should be well within their imaginative capabilities.
A mobile gold rush beckons
91 percent of the publishers surveyed in the AOP Census identified tablets as the biggest source of revenue growth in the next twelve months (85 percent identified smartphones). Well over half (62 percent) said they would optimize the majority of their portfolio for mobile over the next year as a result.
AOP’s Director, Lee Baker, said, “We are going to see some fundamental changes to the mobile ad market over the coming year as ad agency attitudes catch up with publisher investment and mobile audience size.”
Once ad agencies recognize the mobile market’s potential, revenues are projected to explode, doubling within 12 months. Publishers will increasingly turn to technology that automatically adapts content to different platforms rather than creating format-specific content and, with the rise of sophisticated new micro payment models, third party distribution platforms such as NYT and Flipboard will facilitate “content snacking” more widely.