A clerk arranges Apple's iPhone 5C phones on racks bearing the logo of China Mobile, at a mobile phone shop in Beijing December 23, 2013. Apple Inc said it has signed a long-awaited agreement with China Mobile Ltd to sell iPhones through the world&
IN PHOTO: A clerk arranges Apple's iPhone 5C phones on racks bearing the logo of China Mobile, at a mobile phone shop in Beijing December 23, 2013. Apple Inc said it has signed a long-awaited agreement with China Mobile Ltd to sell iPhones through the world's biggest network of mobile phone users. REUTERS/Kim Kyung-Hoon

A massive explosion in the global advertising spending on mobile devices will be witnessed in the next five years. The total global spend will jump year by year from an estimated $51 billion this year to $105 billion by 2019 and the reason could be partly attributed to the approach to advertising by major brands, according to reports.

As per a recently published report by Juniper Research, the vast increase in advertising spend over the forthcoming five years is, in large part, attributable to an attitude shift amongst retailers and brands who are now using mobile as an important channel for consumer engagement, reports IT Wire.

The capability of smartphones to provide targeted, personalized and timely advertising combined with the media stacking trends among consumers means that mobile advertising delivers both high visibility and high response rates, according to Juniper Research.

As per Juniper Research’s report, Big Data brings in concerns about consumer privacy as advertisers would exploit ‘Big Data Analytics’ to get an understanding about consumers’ online and offline behavior. The research firm feels, the device user’s details are shared for advertising purposes without the permission of the consumers.

The Juniper Research report also points out that ‘Programmatic advertising’ will fuel growth in digital advertising as the technology advances in the forthcoming years. Due to higher engagement rates, ‘Video advertising’ is likely to see progressive growth. The research firm also suggested that the industry should be ready to address viewability concerns, according to the report released by Juniper Research.

Mobile advertising segment

Social networking giants, Facebook and Twitter have already been providing better ways to reach target audience through smartphones and tablets. According to a Forbes report, Google has also taken cognizance of the competition it faces from Facebook and Twitter.

Recently Google announced new interactive ad formats, cross device conversion abilities, ad-creation tools and expansion of in-store sales as the search engine giant figured out that more number of users are searching from tablets and smartphones than from desktops or laptops.

As per the Forbes report, mobile native formats like Facebook’s app install ads are advancing on search ads when it comes to smartphones or tablets.

(For feedback/comments, mail the writer at pragyan.ibtimes@gmail.com)

RELATED STORIES