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UK IAB/PriceWaterhouseCooper (PwC) Report on Mobile Spend: An InMobi Perspective

Posted on March 24, 2011
By James Lamberti

IAB/PwC announced their latest report this week including detailed figures on mobile spending. The report shows spending doubling in the past year to £83 million with the display business up 61% to £29 million. We always appreciate the IAB/PwC work in this areand supported the efforts with our data. We felt an InMobi perspective would be helpful for our partners, press, and analysts. Here is our take on key trends from the report:

  • The share of growth among automotive, finance and consumer goods categories offers strong indication of the next stage of growth for mobile.
    • These are large ad categories, well entrenched in older, more established medichannels and are taking share from the categories that originally helped to establish mobile - namely mobile content and entertainment.
    • This diverse spread of share demonstrates that broader base of ad spending is emerging.
  • Performance is seen as the key motivator for advertisers ahead of branding.
    • 4 of the top 5 categories are all "brand performance" driven - i.e. entertainment, autos, finance and telecoms.
    • This is typical in this phase of emerging digital mediums.
  • The emergence of the Consumer Goods category is the strongest signal of new erin mobile spending.
  • Creative power is necessity for these categories, and creative opportunities in mobile are now apparent to advertisers.
  • The IAB/PwC report, while directionally sound, is likely underestimating the display portion of ad spend.
    • InMobi, has seen over 500% growth in the past year in display ad revenue in the UK.
  • The IAB/PwC methodology is missing massive, new emerging category of spending related to developers and the app economy.

Tweet or comment and we'll respond to any questions or ideas. Thanks for reading. Best, James Lamberti