Mobile advertising expected to hit US$115 billion by 2018

According to ZenithOptimedia’s recently published “Advertising Expenditure Forecasts”, global ad spend will increase 4.6% in 2016, hitting US$579 billion by end of the year, and reach US$600 billion in 2017. With the global ad market growing steadily since 2011 at 4% to 5% a year, it is expected that the pace will remain for the rest of 2016.


Global advertising expenditure by medium

Undisputedly, digital is still the fastest growing medium out of all advertising mediums, according to the forecast report. Digital ad expenditure was estimated to have grown 19% year on year in 2015, and has an average growth rate of 13% a year from 2015 to 2018.

ZenithOptimedia estimated that digital advertising took up 29.5% of global ad spend in 2015, which is a 25.8% increase as compared to 2014. Digital advertising is expected to attract 37.6% of global advertising by 2018, where it has surpassed television in ad spending.

With a 15% annual growth forecast till 2018, display ads is the fastest growing type of digital ad, including traditional display (banners), online videos and social media. Traditional display banners is expected to have an average annual growth of 6% a year from 2015 to 2018, while online video has a forecast annual growth of 21% and 23% from 2015 to 2018.

With the amount of time consumers spend watching online videos growing by 17% a year, new and engaging ad formats must be introduced to keep the level of engagement high for consumers.


Mobile to be the main driver

Mobile advertising grew by 72% in 2015. From 2015 to 2018, an average annual growth rate of 32% a year was forecasted. This would be driven by the rapid growth of mobile devices and improvements in user experience. On the contrary, digital advertising in desktop is predicted to grow at only an average of 2% a year.

According to ZenithOptimedia, the global ad spend on mobile advertising is estimated to be at US$50 billion in 2015, which took up 31.3% of digital ad spend, and 9.2% of total ad expenditure. Mobile advertising is expected to hit US$115 billion by 2018, which is slightly below desktop’s predicted ad spend of US$116 billion. Additionally, mobile is predicted to represent 49.6% of digital ad spend and 18.7% of the total ad expenditure.

Mobile would be the main driver pushing the growth of global ad spend in the near future, where it is predicted that mobile would contribute 92% of all the extra ad expenditure from 2015 to 2018.

As mobile usage by consumers increases, more mobile advertising opportunities will be created. Mobile is the ideal platform that allows brands to better communicate with consumers.



YOOSE is the market leader in location based advertising solutions in Asia-Pacific and Europe. An early pioneer in location based technology, YOOSE has been delivering powerful mobile campaigns for global brands since 2008. YOOSE understands how location based technology is changing the way mobile consumers behave and interact with brands; it employs its deep expertise, wide experience and passion to help brands capture the opportunities that the rapidly evolving area of location based advertising can bring.

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