Mobile advertising will continue to grow over the next five years and is expected to hit $5.7 billion by 2014, according to Juniper Research. The analysts predict that a need for engagement with the customer and a quantifiable return on investment will drive growth in mobile advertising, but big brands are still doubtful that “mobile has sufficient reach to warrant substantive ad spend”...obviously mobile phones have a great reach, but people using them in a way that they’ll see mobile advertising is a different issue. By 2014, mobile will account for only 1.5 percent of total global ads pend, reckons Juniper.

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However, the Juniper mobile advertising report stressed that, while this was encouraging, the level of growth had to be put into context – that mobile advertising still remained very much a nascent medium, and even by 2014 it would only account for up to 1.5% of total global ad spend. This year will see the mobile internet become the most popular delivery channel for advertisers, but the Cost Per Clickthrough (CPC) and Cost Per Million Thousand (CPM) have fallen sharply over the past year due to the negative impact of the economic downturn. Response rates in mobile advertising remain substantially higher than those in other media. (release)

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