Today’s column is written by Phil Barrett, senior vice president at Purch.
Mobile advertising is growing faster than all other forms of digital advertising, predicted to reach nearly $42 billion in the U.S. by 2018.
There’s been a general “premium” on this relatively young channel, as the inherent qualities of mobile offer more advanced opportunities for targeting and direct action and have proven to engage users in a way that desktop just can’t. These distinct qualities require a different approach from publishers with regard to creative – ads that become a seamless part of the user’s experience perform better.
This, coupled with the increased demand for mobile ad space, will only raise the premium on mobile, as advertisers will be willing and able to pay more for this limited inventory because their work will ultimately produce a better ROI.
Demand for mobile advertising is surging, yet the smaller screen necessitates a cleaner and less distracting presentation, meaning fewer ads. Publishers are learning a lesson from desktop days – the same approach cannot translate to mobile, as crowding its small screen with too many ads kills the experience.
This limited inventory will create a noticeable shift toward higher-quality ads that actually enhance the user experience. While some of the best-performing desktop ads are often interruptive, it’s the opposite on mobile. Ads on mobile must be part of the overall experience and must be integrated with content, otherwise users will quickly abandon a site or app. Better creative and integration, and a much more seasoned approach to serving the user, will also increase the value – and cost – of mobile ads, as they will be increasingly accepted as a part of the mobile experience.
Read the full article here: http://adexchanger.com/the-sell-sider/publishers-see-rising-premium-on-mobile-advertising/