The rapid adoption of smartphones and mobile media consumption has prompted analysts to put a projected value of more than $76 billion on the mobile marketing industry by 2018. A report from market research company Markets and Markets claims the current value of $15.13 billion will explode to $76.57 billion in five years, with an anticipated Compound Annual Growth Rate (CAGR) of 38.3%.
The market for mobile and cross-channel advertising is doubling year on year, according to the report, which analyzed data from all the major vendors of web advertising space, including Google, Apple, Jumptap, Yahoo, Microsoft Drawbridge.
The research looked at various regional markets, comparing mobile advertising trends in North America, Europe, Asia and the Pacific, the Middle East and Africa and Latin America. It also broke down data according to solutions; services; devices; advertising types; verticals and organization size. The biggest growth region is expected to be Asia and the Pacific, with emerging digital economies in Africa and the Middle East not far behind. Cross-platform marketing is prising open the world economy for corners of the earth that were simply unable to compete on the global stage, even ten years ago.
The latest buzzword in digital marketing it may be, but ‘cross-platform advertising’ is really helping consumers break new ground in the way they work, rest and play. Multiscreen, multi-device access to cloud-based data has opened the door for advertisers to target customers on phones, tablets, laptops and desktop computers.
Throw location-based marketing into the mix, and you have the potential to target the plugged-in, switched-on, youth demographic who are rarely without at least one device. Text messaging campaigns can send promotions to customers based on their preferences and locations, allowing for more personalized offers and greater engagement.
Whether it’s a small startup in Nairobi, or an international tech firm in Silicon Valley, the cross-platform market is booming. Retail. Food. Technology. Businesses of all stripes and nationalities are taking up these new marketing tools because they provide an affordable way to reach out to new business and loyal clients alike.
It’s an exciting time for any business currently planning their next big marketing push. There is a caveat in the Markets and Markets report, however. They sound a warning note regarding the challenges posed by cross-platform and location-based marketing, referring to privacy as one of the ‘major issues’ facing this new combination of technologies. The ability to track consumers using GPS places a much greater responsibility on companies to act ethically and with explicit customer consent. SMS marketing and web marketing firms should be alert to the need for opt-in checkboxes and easy opt-out options. For mobile marketers who launch their strategies from a point of mutual trust and clear consent, the future looks very bright indeed.