Mobile digital ad spend soars; on desktop, video ad revenue still strong

By Jim O'Neill on Dec 16 2013 at 8:00 AM

Brands are upping their ad spend on mobile devices, generally cannibalizing spending on desktop formats to make the move.

Still, desktop video advertising will remain one of only a couple of bright spots for that segment of the industry in 2013, eMarketer reported.

The company said mobile ad spend will be up 120% this year to $9.6 billion, compared to $4.36 billion a year ago. eMarketer forecast that overall digital ad spend will hit $42.58 billion this year, up 15.7%.

The growth is expected to continue through 2017, with mobile ad spend, $35.6 billion, exceeding desktop spend of $27.2 billion.

Last week, eMarketer reported that spending on YouTube, for example, would see huge growth in its U.S. video ad revenues in 2014 to $1.22 billion, from $850 million in 2013. That growth, eMarketer said, was indicative of the increased consumer demand for video content on al devices.

Worldwide, it said, YouTube ad revenues are expected to top $5.6 billion this year.

Ooyala last week rolled out its Q3 2013 Global Video Index that showe3d mobile and tablet share of online video viewing has more than doubled in the past year. The 133% year-over-year growth is being driven by consumers’ insatiable appetite for content, increasingly long-form video that is at the heart of the evolution of the video ecosystem.

The Index showed a rising number of viewers are watching long-form, premium streaming media on all connected screens.

Tablet viewers, for example, spent 25% of their time watching video more than an hour long; connected TV viewers spent nearly one third (31%) of their time watching videos longer than one hour.


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