Is Facebook, and Mobile Advertising, at an Inflection Point?

Is U.S. mobile advertising at an inflection point? During 2012, ad spending for mobile campaigns grew about 180 percent, mostly because Facebook seems to be reaching a potential inflection point for its own advertising efforts. 

Facebook’s third quarter seems to have been decisive.  Facebook offered no mobile ad inventory at the beginning of 2012 but grew its mobile business at an astonishing rate.

Research firm eMarketer expects overall spending on mobile advertising in the United States, including display, search and messaging-based ads served to mobile phones and tablets, will have risen 180 percent in 2012 to top $4 billion.

As recently as September 2012, eMarketer though market growth would be "only" 80 percent. Now eMarketer expects US mobile ad spending to reach $7.19 billion next year and nearly $21 billion by 2016, a significant upward revision.

U.S. mobile ad spending is growing more quickly than previously expected, due in large part to the success of so-called “native” ad formats like Facebook’s mobile news feed ads and Twitter’s "Promoted Products."




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