Smartphone E-commerce Is Increasing While Digital Ad Spending Outpaces Traditional Formats

Smartphone E-commerce Is Increasing While Digital Ad Spending Outpaces Traditional Format
Spread the love
  •  
  •  
  •  
  •  
  •  
  •  

But along with these discoveries come two other necessary factors. First, the rise in digital ad spend at least, in the U.S. is mostly spent on mobile ads. And with that, other studies reveal, comes an uptick in mobile commerce sales.

Could these factors have a relationship? And in the context of platforms altering the way they manage and approach ads in the face of growing scrutiny — how much longer will it matter?

Mobile Ads and Mobile (E)Commerce

In February, eMarketer projected that, in the U.S., two-thirds of digital ad spend will be spent uniquely on mobile ads in 2019, which raises a question: into which services and product categories do these ads fall – and where are advertisers desiring for the transaction to take place?

The reply to those questions could broadly depend on where, exactly, the ads appear, and in what way. If they appear on a channel like Amazon, for example, one likely end goal is an e-commerce sale.

Here’s where that behavior becomes particularly interesting.

eMarketers published findings that two-thirds of U.S consumers look for new product and service information on Amazon, not too long before publishing its m-commerce sales report.

Remember: Amazon ranks third among U.S. digital ad platforms, lagging behind the Google-Facebook duopoly by about 53% in 2018. However, it outpaces search engines — likely including Google — in the category of product searches.

Because an increasing number of consumers use their mobile devices to either look for products or purchase them on “mobile retail apps,” it is sensible that over half of digital ad spends in the U.S. is moving towards advertisements that are shown on mobile platforms.

At the time of Code Commerce last fall, however, Andrea Leigh of Ideoclick pointed to one potential flaw: Amazon’s then-tendency to utilize prime advertising real estate for its own, private-label products

About a year ago, Facebook came under attack for the alleged misuse of personally identifiable user data to target ads, and faces continuous criticism among discoveries that its ads tools still might still permit discriminatory targeting.

The increasing amount of overhauling placed on these tech giants, by lawmakers and consumers alike, could gradually be transforming the way these companies approach their monetization models and their businesses — or at least say they do.

  •  
  •  
  •  
  •  
  •  
  •  

Leave a Reply

Your email address will not be published. Required fields are marked *