Mobile Advertising Enters The Race
Have The Tides Finally Turned on Television Advertising?
Television advertising has been on a constant increase in market share for ad spending over the past few decades, all the way through 2013—despite claims that TV ads are dead. Industry forecasters, however, claim that TV is finally about to lose a little ground. Not much, but a little. Should it affect your marketing strategy?
Thirty years ago, TV was struggling to grab one third of advertising spending. Last year, it finally broke the 40 percent mark. Forecasters predict that over the next couple of years, that number will dip back under 40 percent. That still leaves TV advertising as the king of the mountain. It’s just a tiny bit lower on the podium.
So what media is TV losing its share of the pie to? Mobile advertising. No surprises there. But don’t let the shift fool you into thinking that mobile advertising has taken over the industry overnight. Right now, it only holds a hair over two and quarter percent of spending on ads. Predictions claim that this percentage will climb to more than seven and half percent by 2016. That puts mobile advertising in a position to surpass both magazine and radio advertising expenditures in the next couple of years. TV is still sitting atop its throne in the advertising kingdom. Desktop is the closest competitor with an expected increase from 17.9 to 18.9 percent of ad spending between the 2013 and 2016 calendar years.
So what does this mean for your business? Clearly, it’s not time to pull out of TV. This is still the number one way to reach your audience. That having been said, the biggest growth will be in digital advertising, and primarily in the mobile arena, as the world’s eyes become more and more firmly affixed to their smartphones and tablets.