The Mobile Ad Spend Gap

Ad spend should go to where the consumer spends his or her time. But so far, there seems to be a disconnect. According to figures compiled by KPCB, a lot of ad spend still is invested in legacy media, whereas the time spent by consumers with that media is dropping. The Statista chart shows the proportion of ad spend invested into specific media channels, compared to the time spent with that media by consumers.

The internet as such is already well saturated, as the proportion of ad spend invested almost correlates with time spent on the web, on PCs, laptops or similar devices. However, in the US alone there still seems to be a huge opening in form of a spending opportunity, which is estimated to amount to $22bn specifically for mobile devices.

This chart was published by FIPP.

Description

Percent of time spent by consumers with media & percent of ad spend allocated to media

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Time distribution spent with selected digital media per day compared to the percentage of advertising spending in the United States in 2014
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Share of mobile games in mobile advertising spending vs. share of mobile games in mobile time spent in the United States from 2020 to 2025
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Advertising spending vs. consumer time spent on media in Canada in 2019, by medium
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Global spending on digital advertising from 2012 to 2018 (in billions of U.S. dollars)
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Distribution of daily time spent using selected digital media compared to the share of advertising expenditures in the United States in 2014
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Share of mobile advertising spending worldwide in 2nd half 2018, by industry

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