FORECAST: Mobile Will Grow Faster Than Any Other Ad Medium In The US As Digital Catches Up To TV

Mobile ads will be the fastest-growing U.S. advertising medium in revenue terms, according to a new BI Intelligence forecast.

Overall, digital ad revenue will grow by a five-year compound annual growth rate (CAGR) of 12.9%, while non-digital ad revenue will decline at a compound annual rate of -5.7% between 2013 and 2018.

  • Mobile will grow over 2X faster than any other ad medium in the next five years. Mobile ad revenue will reach $US42 billion in the U.S. at the end of 2018, and see a five-year CAGR of 42.6%.
  • Online video ads will be the second-fastest growing format. Annual revenue from online video advertisements will top $US5.6 billion by the end of 2018, and the format will see a five-year CAGR of 15.1%.
  • Revenue from more traditional mediums like TV and radio will decline during the same period. TV ad revenue will decrease by a five-year compound annual rate of -2.8%, and radio -16.8%.
  • Digital, including mobile, will surpass TV ad revenue in 2017. In that year, TV ads will be responsible for $US66 billion in revenue while all digital formats will drive $US72 billion.

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