• Marketing Land
  • Sections
    • CMO
    • Social
    • SEM
    • SEO
    • Analytics
    • Display
    • Retail
    • MarTech
    • Resources
    • More
    • Home
  • Follow Us
    • Follow
  • Marketing Land
  • CMO
  • Social
  • SEM
  • SEO
  • Analytics
  • Display
  • Retail
  • MarTech
  • Resources
  • More
    • Follow
  • SUBSCRIBE

Marketing Land

Marketing Land
  • CMO
  • Social
  • SEM
  • SEO
  • Analytics
  • Display
  • Retail
  • MarTech
  • Resources
  • More
  • Home
  • Newsletters
  • Home
CMO Zone

IAB: Mobile made up nearly half of $32.7 billion record internet revenues in first half of 2016

Mobile growth seen in all ad formats to account for 47 percent of all digital ad revenues between January to June 2016.

Ginny Marvin on November 1, 2016 at 12:18 pm
  • More
iab-logo3-1920

Internet revenues surpassed another record high in the first half of 2016 to hit $32.7 billion, according to the IAB report conducted by PwC. That’s a 19-percent increase over the $27.5 billion reported for the first half of 2015. Digital growth is outpacing other media when compared to Nielsen data, thanks to mobile.

Mobile ad revenues jumped 89 percent year over year to $15.5 billion in the first half of 2016. Mobile represented 47 percent of all internet ad revenues, up from 30 percent a year ago. Mobile growth has consistently been in double digits since 2012 and has seen increases across all formats this year:

  • Mobile search revenues increased 105 percent to 7.4 billion.
  • Mobile video rose 178 percent to 1.6 billion.
  • Mobile display banner ad revenue rose 62 percent to 6 billion. iab-fh-2016-formats-marketshare

Search continued to account for 50 percent of all internet ad revenues across mobile and desktop. Search revenues reached $16.3 billion in the first half of the year across mobile and desktop, an increase of 19 percent year over year. Video’s share of ad revenues grew from 9 percent to 12 percent year over year.iab-fh-2016-formats-withmobile-marketshare

The report does not break out social as a percentage of mobile, but PwC says social media was a key driver of growth for mobile video and banner, accounting for nearly 100 percent of non-search growth in the industry. Social media ad revenues hit $7 billion in the first half of the year, up 57 percent year over year. Total social media revenue, including both mobile and desktop, has increased over 50 percent every half-year since 2012.

The IAB Internet Advertising Revenue Report is prepared by PwC US. “These numbers demonstrate the growing importance of mobile, showing us the increasing demand for digital video and search, available anytime, anywhere, in the palm of your hand,” said David Silverman, a partner at PwC US.

Display ad CPMs increased about three percent in first half of 2016. In-stream video CPMs were down two percent but continue to remain much higher than display. Two-thirds of digital advertising is sold on a performance basis and one-third on a CPM basis.

The core portion of the survey conducted by PwC comes from companies selling ads and is supplemented with public information. PwC does not release any information about which companies participate but noted that the concentration of revenues continues to be dominated by a small number of companies. Ten companies generated 74 percent of digital advertising revenues in the first half of the year. The next 15 companies made up 10 percent of revenues. (The report does not mention or break out Google and Facebook, but these two companies, of course, overwhelmingly underpin the growth story.)

On a quarterly basis, Q2 ad revenues increased 18 percent to $16.9 billion, up from $14.3 billion in Q2 2015. The full report is available here.


Opinions expressed in this article are those of the guest author and not necessarily Marketing Land. Staff authors are listed here.



About The Author

Ginny Marvin
Ginny Marvin is Third Door Media’s Editor-in-Chief, running the day to day editorial operations across all publications and overseeing paid media coverage. Ginny Marvin writes about paid digital advertising and analytics news and trends for Search Engine Land, Marketing Land and MarTech Today. With more than 15 years of marketing experience, Ginny has held both in-house and agency management positions. She can be found on Twitter as @ginnymarvin.

Related Topics

Channel: CMO ZoneDisplay AdvertisingSocial Media Marketing: AdvertisingStatisticsStatistics: Online Advertising

We're listening.

Have something to say about this article? Share it with us on Facebook, Twitter or our LinkedIn Group.

Get the daily newsletter digital marketers rely on.
See terms.

ATTEND OUR EVENTS

MarTech 2021: March 16-17

MarTech 2021: Sept. 14-15

MarTech 2020: Watch On-Demand

×

Attend MarTech - Click Here


Learn More About Our MarTech Events

February 23, 2021: SMX Report

April 13, 2021: SMX Create

May 18-19, 2021: SMX London

June 8-9, 2021: SMX Paris

June 15-16, 2021: SMX Advanced

August 17, 2021: SMX Convert

November 9-10, 2021: SMX Next

October 2021: SMX Advanced Europe

December17, 2021: SMX Code

Available On-Demand: SMX

×


Learn More About Our SMX Events

White Papers

  • The State of Local Marketing Report 2020-2021
  • Quality CRM Data: The Key to Delivering Great Customer Experiences
  • How the Microsoft Search Network Can Maximize Your Search Campaigns
  • The Marketer’s Playbook for Customer Acquisition
  • How To Optimize SEO With UGC
See More Whitepapers

Webinars

  • How to Avoid the Digital Transformation Trap
  • How to Build a Marketing System of Record
  • Meet BIMI: The brand-boosting email security marketers must have for 2021
See More Webinars

Research Reports

  • Local Marketing Solutions for Multi-Location Businesses
  • Enterprise Digital Asset Management Platforms
  • Identity Resolution Platforms
  • Customer Data Platforms
  • B2B Marketing Automation Platforms
  • Call Analytics Platforms
See More Research

h
Receive daily marketing news & analysis.
Marketing Land
Download the Marketing Land app on iTunes Download the Marketing Land App on Google Play

Channels

  • MarTech
  • CMO
  • Social
  • SEM
  • SEO
  • Mobile
  • Analytics
  • Retail
  • Display

Our Events

  • MarTech
  • SMX

Resources

  • White Papers
  • Research
  • Webinars
  • MarTech Conference
  • Search Marketing Expo

About

  • About Us
  • Contact
  • Privacy
  • Marketing Opportunities
  • Staff
  • Connect With Us

Follow Us

  • Facebook
  • Twitter
  • LinkedIn
  • Newsletters
  • Instagram
  • RSS
  • Youtube
  • iOS App
  • Google Play

© 2021 Third Door Media, Inc. All rights reserved.

Your privacy means the world to us. We share your personal information only when you give us explicit permission to do so, and confirm we have your permission each time. Learn more by viewing our privacy policy.Ok