It’s already huge, but mobile marketing is expected to become even more prolific and sophisticated in the next few years as its value is further optimized.
U.S. mobile ad spend is slated to reach $40 billion this year and $65 billion by 2020, says BIA/Kelsey. In fact, on-the-go consumers this year are expected to view by mobile 75 percent of all the online content they absorb, according to media buying agency Zenith.
“The technological underpinnings of the industry are advancing by leaps and bounds, demanding that marketers learn more, learn faster and reach farther for campaign strategy, tactics and results,” writes Julie Bernard in AdAge.
More mobile marketing predictions for 2017 from industry analysts:
- More strategic mixing of digital media and in-person resources to maximize conversions as marketers anticipate customer preferences. For example, in what’s being called the “Amazon Effect,” companies’ mobile and brick-and-mortar functions are working in conjunction to boost each other’s sales. Overall, shoppers will increasingly use smartphones as tools for in-store shopping, allowing for targeted promotions.
- Marketers will better fine-tune programmatic advertising strategies to continually adjust to consumer behavior in real time. Slated spending on mobile programmatic in 2017? $20 billion.
- More vendor accreditation and use of software development kits (SDAs) will minimize the need for self-developing unique code.
- The industry will push for new vendor-tag solutions.
- We’ll see more augmented, virtual, IoT and natural-interface user experiences.
- Beacon technology will increasingly detect customer movement, both online and in stores. Location services will be used for functions like push notifications. Some companies are already using geo-fences such as iBeacon, Apple’s Bluetooth-powered location system.
- Marketers will aim for less-intrusive mobile ads that align with viewers’ locations and activities.
- Video will become an even more important engagement tool within mobile ads, with spending projected to exceed $6.7 billion by year’s end.
- Mobile ad spend will ramp up toward overtaking TV ad spend by 2020.
- The smartphone will increasingly become the hub for consumers’ digital lives, both online and offline.
- More companies will focus on omnichannel capabilities to cater to customer preferences. In a recent survey, DMNews determined 53 percent of U.S. customers want retailers to recognize them across channels and devices.
- Mobile will be used more for brand loyalty programs.
- Costly and little-used apps may be replaced by one-time, single-use apps like Google’s Instant Apps, which can be consumed easily and effectively.
- Native ad formats will increasingly replace display ad formats as a hedge against ad blocking, but creators will continue to struggle with adjustments for each new format and platform.
- Messaging apps will evolve into active marketing/commerce platforms. “Marketers should look to jump on as quickly as possible, as moving transactions and engagement onto messaging platforms is likely to have seismic and long-lasting impact on mobile,” advises Ritesh Bhavnani on MobileMarketer.com.
- Ad fraud will devalue click-throughs as advertising currency; action-based payment structures such as purchases will be considered more valid metrics.
- Security and privacy issues will remain problematic across mobile.