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
Roughly 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.
- 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%.