Mobile Advertising Costs Expected To Climb In 2018
Mobile advertising rates are expected to increase 45 percent or more by 2019, says programmatic advertising solutions provider Goodway Group, in its second annual Insider’s Guide to Programmatic Pricing. Growth of nearly four percent month over month is expected in the coming year. This prediction includes display and video ads served on any mobile device, either in-app or in-browser. In contrast, the study forecasts desktop advertising to increase one to three percent by 2019.
“Mobile advertising has been historically undervalued because it has been siloed or considered secondary to desktop. However, with consumer behavior shifting to mobile and advertisers shifting to people-based marketing efforts, it’s no surprise that prices for mobile ads are going way up next year,” says Jay Friedman, COO, Goodway Group.
The report also expects several trends to factor significantly into the marketplace’s behavior. These trends include a greater focus on optimizing campaign performance through audience, frequency and site, a shift towards valuing impressions individually through machine learning, and the rise of combinatorial bidding.
“Machine learning has taken programmatic bidding to the next level, allowing marketers to determine the best value for each impression. Advanced algorithms can crack the infinite number of possibilities that exist in programmatic auctions today,” adds Friedman. “Looking ahead, the emergence of these trends and innovations will allow digital media to continue to evolve.”