Pros with media jobs in mobile advertising agencies are beginning to wake up to the potential of in-app advertising, but they’re still not fully capitalizing on it yet. So says Marc Parrish, an adviser at the New York mobile relationship management agency, Appboy. And he’s not alone: his not-too-distant neighbor, Shouvik Paul, of digital publishing platform MAZ New York, agrees that in-app advertising is the way to go.
The app stampede
Recent research by MAZ found that consumers are now spending 40 percent more of their time reading content in apps than they do on websites. And yet mobile advertising agencies and other marketers are still hesitating about diverting more funding into in-app spending. The picture is starting to change, however, according to Juniper Research. By 2018, it predicts, spending on in-app mobile advertising will approach $17 billion.
Marc Parrish notes that the mobile app market is vast, with more than a million apps available, 102 billion downloads and $26 billion in revenue. Not bad for an industry that simply wasn’t there at all five years ago. As far as Parrish is concerned, if you’re working in media jobs in mobile advertising and you’re not planning to boost spending on this channel, you’ve got your head in the sand. He says:
“Most marketers don’t even know that in-app ads exist as a format. Facebook is the forcing function, educating the marketing that there is money to be made in mobile ads.
“Facebook’s mobile monthly average users increased 45 percent in just a year, from 604 million monthly average users in the second quarter of 2012 to 874 million monthly average users in the third quarter of 2013. That’s serious growth.”
Time to go app
Data from MAZ, which powers over 600 apps in Google Play, Apple’s App Store and Amazon Appstore, consumers return to apps containing entertainment industry content from American Media’s Star Magazine, Soap Opera Digest and Country Week as many as twelve times with each weekly issue.
Shouvik Paul, the firm’s VP of Business Development, is firmly persuaded that people are spending more time than ever before on mobile devices and that most of that time is spent on apps. These days, he observes, few people open their browsers and type in facebook.com; they just go directly to their Twitter or Facebook apps.