The other local media that make up the forecast include radio, TV, newspapers, Yellow pages, and online/interactive.
Looking further at the growth forecast, BIA/Kelsey predicts local mobile ad spend to almost double this year to $2.3 billion, before growing by another 70% in 2014. Growth rates will then slow, though remain greater than 25% for the following years.
The forecast represents a significant expansion from last year’s report, issued in November. That forecast called for mobile local ad spend to grow to $5.8 billion in 2016, while this update sees spending at $7.2 billion that year.
The expanded forecast is a result of greater demand, ad performance and advertising rates. The researchers note that inventory growth is currently exceeding demand, but expect that to change in later years. “Stronger guidance from mobile ad networks and ad share leaders” will also drive increased spending.