US Mobile Media Revenue Growth to Outpace 17% Global Average

by MarketingCharts staff

US to Outpace Global Average

Data from Strategy Analytic’s “Global Mobile Media Forecast” indicates that consumer spend on mobile media in the US will grow 15.5% year-over-year, 14% faster than the 13.4% global average. US advertiser spending growth will outpace the global average by an even greater amount, forecast to grow 128.9%, 51% more than the 85.4% global average.

The forecast for US advertising revenue growth could even be seen as slightly conservative, at least when compared to the recently-released IAB and PricewaterhouseCoopers (PwC) report, which found that mobile advertising revenues in the US jumped 149% in 2011.

Overall, according to Strategy Analytics’ forecast, total US mobile media revenues will grow 22.1% this year, compared to the 17% global average.

Mobile Operators to Benefit; Apps to Blossom

strategyanalytics-global-mobile-media-revenues-april2012.jpgRoughly 60% of global consumers’ spending will be on data plans and web browsing this year, handing mobile operators revenues of $82.8 billion, up 9.5% from 2011. Applications are expected to account for 18.9% of global consumer spend, or $26.1 billion, rising 30.7% from last year. Meanwhile, although revenues will remain relatively flat, music will continue to be a strong category, accounting for 11.6% of consumer spend, or $16 billion. By contrast, video will account for just 2% of consumer spend globally.

Mobile App Revenues to Grow Quickly in the US

US consumers are projected to spend $6.7 billion on mobile apps this year, representing a 24.6% increase from 2011, and accounting for 20% of all US consumer mobile spend. Advertising revenue on mobile apps is expected to reach $1.2 billion, marking a 118% increase.

Other Findings:

  • Revenue related to social networking content, apps, and services on mobiles is projected to grow 16.1% to $17.6 billion, holding 11.8% share of global mobile media revenues.
  • Consumer access to social networks via their handset will only generate $412.7 million in revenues for social networks in the US this year, or $3.48 per mobile user.
  • Mobile media revenue growth among the major Western European markets is expected to outperform the global average, at 20.3%. Advertising revenue will increase 107.4%, while consumer spend will rise 14.1%.