Innovation in the local mobile category was a hot topic at BIA/Kelsey’s DMS ’10 conference earlier this month, and for very good reason. As consumers increasingly adopt mobile, our industry has an unprecedented opportunity to generate new advertising revenue in the space.
Adding to the excitement over local mobile is BIA/Kelsey’s new projection, announced this week, that U.S. mobile local advertising revenues will increase from $213 million in 2009 to $2.02 billion in 2014, representing a compound annual growth rate (RAGR) of 56.9%.
According to BIA/Kelsey, mobile local advertising includes advertising targeted based on a user’s location and/or advertising that is locally actionable. The release notes that “location targeted ads will command premiums over non-local advertising, due to the higher immediacy, consumer buying intent, and conversation levels.”
This news comes just weeks after BIA/Kelsey said that overall, local advertising is growing slightly faster in 2010 compared with previous estimates, and will likely reach $133.3 billion in 2010, up 2.9% over 2009.
I’m excited about the positive growth outlook for local, both generally and in mobile, and the ongoing efforts of our industry to play a central role in its ongoing evolution.