Mobile ad spend set to grow faster than any other marketing channel

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A new report from BI Intelligence reveals that traditional advertisements are already being trumped by digital campaigns and mobile is poised to become the fastest growing digital channel. The US Digital Media Ad Spend Report predicts that over the coming five years marketers are to drive up mobile ad spend for search, display and video formats. Mobile is to be the fastest growing ad channel with revenues rising 26.5% CAGR by 2020. US video revenue is expected to rise by 21.9% annually, followed by social at 14.9%. Meanwhile, newspaper and magazine ads are losing between 2.5% to 1.5% respectively.

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Other key findings include the rise of mobile search ad spending which is projected to grow by 25.2% CAGR. Desktop searches are to decline during the same period. By 2017, mobile display ads such as banners and rich media will be ahead of desktop display spending. In addition, social media ads are seeing rapid adoption at a CAGR of almost 15%.

Programmatic transactions have been embraced by the industry and are growing fast with ads bought programmatically making up the majority of US digital ad spending in 2015.

Traditional ad revenue meanwhile remains flat throughout 2020. Total ad revenue will rise by 0.4% between 2015 and 2020.