We’ve said it before, and you can be sure that we’ll say it again. There’s money to be made in the mobile market. Especially if you’re Google, who benefitted from a staggering rise in revenue from adverts shown on tablets.
A report published by Marin Software, a leading advertising company, shows that Google could generate as much as $5bn worldwide in 2013, just from tablet users clicking on AdWords adverts.
During 2012, mobile paid-search budgets increased by a staggering 94% – and smartphone and tablet adverts now account for nearly 20% of the UK PPC market. This is due in part to the widespread adoption of technology such as the Apple iPad, and the fact that the majority of the population now use smartphones from Apple and Android. But it’s also driven by the fact that search advertising is beginning to deliver high conversion rates for lower prices.
Average UK Cost-per-clicks in 2012
- £0.15 – Smartphones
- £0.28 – Tablets
- £0.30 – Desktop Computers
Average UK Click-through-rates in 2012
- 4.1% – Desktop Computers
- 2.6% – Tablets
- 1.6% – Smartphones
The data shows that you’re currently paying less for a less reliable smartphone advert, but the report has shown that both prices and CTRs are on the rise on tablets.
By the end of the year, both costs-per-click and conversion rates on tablets will equal those of their desktop counterparts, which will see the value of the tablet advertising market rise. And that means that the end of desktop dominance could now be over:
“There has been a significant uptake of smartphones and tablets in the UK, and this country now leads Europe in terms of consumer engagement with mobile advertising as we all increasingly shop online on mobile devices.
While the rise of tablets is no secret, what’s interesting is based on our report, tablet users engage with search ads more than ads on desktops. A high user involvement combined with favorable performance characteristics make search ads on tablets hard to resist for advertisers.”
Jon Myers – Commercial Director, Marin Software
So if you’re considering a PPC campaign, it could well be worth asking your consultant about targeting tablet users. Because the future, as has so often been claimed, is mobile.
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