New Facebook, Twitter ads boost mobile revenues

December 18, 2012
New ad products from Facebook and Twitter have given US mobile advertising a boost, bringing revenues for the sector to more than $4 billion this year, a research firm said Monday.

New ad products from Facebook and Twitter have given US mobile advertising a boost, bringing revenues for the sector to more than $4 billion this year, a research firm said Monday.

The eMarketer report said US mobile ad spending is growing more quickly than previously expected, helped by 's mobile newsfeed ads and Twitter's Promoted Products.

With the new offerings, eMarketer expects overall spending on mobile advertising in the US, including display, search and messaging-based ads served to mobile phones and tablets, will rise 180 percent this year to more than $4 billion.

That compares with a forecast in September 2012 of just $2.61 billion.

Now eMarketer expects US mobile ad spending to reach $7.19 billion next year and nearly $21 billion by 2016, a big upward revision.

Facebook's mobile performance in the third quarter is one major reason for the change, eMarketer said.

Before Facebook's call, most researchers and analysts expected US mobile ad revenues of roughly $45 to $100 million, according to figures examined by eMarketer. Most analysts now estimates Facebook's US mobile ad revenues will hit $339 million in 2012.

Google also posted better-than-expected mobile ad growth in the past quarter and now controls 56.6 percent of the US market, eMarketer estimates.

Most of Google's mobile ad revenues come from search, and eMarketer estimates maintains a 93.3 percent share of the overall $1.99 billion US mobile search ad market.

The report said 's 2012 US mobile ad revenues have also been revised upward to $134.9 million from $116.8 million expected as of September, and gives the group some 3.5 percent of the total US mobile ad market.

Apple currently holds an estimated 6.7 percent of the US mobile display ad market, and has the potential to increase that as it sells more iPads and iPhones.

Mobile still accounts for just 2.4 percent of total ad spending in the US this year but will reach 11 percent by 2016, when it will overtake radio but still be below print, eMarketer said.

Explore further: Online ad spend overtakes newspapers: eMarketer

Related Stories

Facebook to pass Yahoo! in display ad revenue

June 20, 2011

Facebook is on track to pass Yahoo! in US display advertising revenue this year while Google will also gain market share, according to a forecast published on Monday by digital marketing firm eMarketer.

Google becomes online advertising king: study

September 19, 2012

Google has become the US market leader in online display ads, and now leads all categories for Internet advertising including search and mobile, a market research firm said Wednesday.

Recommended for you

Software turns smartphones into tools for medical research

July 27, 2015

Jody Kearns doesn't like to spend time obsessing about her Parkinson's disease. The 56-year-old dietitian from Syracuse, New York, had to give up bicycling because the disorder affected her balance. But she still works, drives ...

Where is solar power headed?

July 22, 2015

Most experts agree that to have a shot at curbing the worst impacts of climate change, we need to extricate our society from fossil fuels and ramp up our use of renewable energy.

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.