Current Issue:

Current Issue

On The Cover:
Cumulus Chairman Jeff Marcus

Click here to subscribe to Radio Ink.

Radio Ink Writers

BIA/Kelsey Predicts $5.8 Billion In Mobile Revenue


BIA/Kelsey is forecasting U.S. mobile local advertising revenues will grow from $664 million in 2011 to $5.8 billion in 2016, a compound annual growth rate of 54.2 percent. BIA/Kelsey's Michael Boland says, Growth drivers include smartphone penetration, location data, ad targeting innovation and advertiser evolution to utilize these factors for higher-performing mobile local ad campaigns. New mobile ad formats will also drive demand including Facebooks quickly evolving options like sponsored stories and app install ads currently accounting for 14 percent of Facebooks revenues and quickly growing.

Boland will moderate a SuperForum on mobile local media at BIA/Kelseys upcoming Interactive Local Media West conference, Dec. 4-6, in Los Angeles. Hell present highlights from the forecast during a session titled, Mobiles Impact on Interactive Local Media: National to Local. He will also present forecast highlights to the Los Angeles venture community on Nov. 15, during a one-day event hosted by the Los Angeles Venture Association (LAVA).

BIA/Kelseys projected mobile local ad revenues represent a subset of overall U.S. mobile ad spending, which the firm forecasts to grow from $1.62 billion in 2011 to $9.92 billion in 2016. This puts locally targeted mobile ads at 41 percent of overall U.S. mobile ad spending in 2011, growing to 58 percent in 2016.