Local Mobile Ad Spending To Double in 2013

According to Borrell Associates, 2013 local mobile ad spending is projected to double to $3.2 billion in 2013. 2012 Local mobile ad spending came in at an impressive $1.5 billion. Equally impressive is the 34% growth in total mobile ad spending projected for 2013.


2012 Local online advertising totaled $18.5 billion. Mobile ad spending took only 8% of the local online advertising pie in 2012. In 2013, local online advertising is projected to reach $24.3 billion. Mobile ad spending should take a larger share of the pie at 13%.

“Local businesses are buying mobile marketing at a faster rate than the huge uptick we saw for local online advertising in 2004, when household Internet access hit critical mass,” remarked Gordon Borrell, CEO of Borrell Associates.

The rise in local mobile ad spending is being attributed to the increase in attention marketers are paying to mobile advertising. On the local front, marketers have been noticing how mobile advertising is an effective tool for reaching consumers. As they integrate more mobile marketing into their plans, the percentage of online advertising taken up by mobile marketing will continue to grow.

Mobile marketing has been a more national game with 13% of all mobile spending directed locally in 2012. This is expected to change in 2013, when the focus of mobile ad spending is expected to start shifting toward a more local focus and 20% of all mobile spending will be local.

More companies are willing to try mobile advertising in 2013 as well. Thirty-seven percent (37%) of small and medium sized businesses (SMBs) who have not yet tried mobile marketing have expressed interest in starting a mobile marketing campaign this year. Of those who have already begun mobile marketing, 83% were likely to continue advertising.

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