Daniel Yomtobian Explains Predictions for Mobile Advertising Spend

Oct 18, 2023

Key Takeaways

  • The total advertising expenditure is estimated to shrink by $20 billion in 2020 to $691.7 billion, but the mobile segment is expected to recover faster than the rest.
  • The pandemic has led to an increase in mobile device usage and digital content consumption, allowing the mobile advertising segment to avoid excessive disturbance.
  • According to an analysis by PubMatic, mobile's share of global ad spending reached 51% in the first quarter of 2020, while desktop ad spending dropped by 25%.
  • eMarketer projects a minimum 6% drop in US mobile ad spending in the second quarter of 2020, with a 10% year-on-year decline as more likely.
  • Despite the current subdued mood, marketing professionals do not expect severe disruption to their brand and content strategies, according to a survey by Bynder.

“While total advertising expenditure in 2020 is estimated to shrink by roughly $20 billion to $691.7 billion, there are indications that the mobile segment will fare better and recover faster than the rest.”

Los Angeles, California, United States - October 18, 2023 /MarketersMEDIA/ —

Over the last 10 years, digital advertising has seen a rise, its future getting more and more hopeful during the explosion of e-commerce, video streaming sites, and socials. However, the most crucial contributor to the robust growth of the digital ads market has undoubtedly been the accelerating shift to mobile devices, which prompted marketers to embrace strategies that prioritize this channel. “Mobile has become the primary focus of brand campaigns, and analysts have been consistently upbeat about the outlook for this market segment. Unfortunately, the current pandemic has forced a sharp downward revision of financial projections across all industries as many companies struggle to stay afloat and take drastic measures to weather the coming recession,” comments Daniel Yomtobian, a prominent entrepreneur and business leader in the online media space. “While total advertising expenditure in 2020 is estimated to shrink by roughly $20 billion to $691.7 billion, there are indications that the mobile segment will fare better and recover faster than the rest.”

Lockdowns and social distancing measures have led to an even greater reliance on mobile devices and further boosted digital content consumption, which has allowed the mobile advertising segment to avoid excessive disturbance, Daniel Yomtobian notes. According to an analysis by PubMatic, the pandemic “has shifted consumer behavior towards mobile,” pushing its share of global ad spending to 51% in the first quarter of 2020. Moreover, it fell by 15% versus a 25% drop for desktop ad spending. “While recent surges in viewership will likely recede through the summer and as stay-at-home orders ease, the preference for mobile will remain, which will drive advertisers to mobile over the long term,” commented PubMatic senior executive Paulina Klimenko.

Influential analytics group eMarketer has been keeping a close watch on the advertising market, adjusting its forecasts periodically to reflect the impact of the pandemic. Its most recent revision features a projected drop of minimum 6% in US mobile ad spending during the second quarter of 2020 although the company sees a 10% year-on-year decline as more likely, and its expectations for the rest of the year are also significantly tempered. “Even so, the relative share of different platforms and formats will likely not dramatically change from our March 6 forecast […] Prior to the coronavirus, we expected US mobile ad spend to grow 20.7% to $105.34 billion in 2020, which would mean that mobile ad spend would account for more than two thirds (68.1%) of digital ad spend. We now believe any growth this year in mobile ad spend will be small, if it happens at all.” Despite the subdued mood at present, the majority of marketing professionals do not foresee severe disruption to their brand and content strategies, Daniel Yomtobian points out, citing the results of a survey conducted by Bynder. According to it, 57% of respondents are bracing for a lasting impact, but they do not expect it to be a transformative one. 

Starting out as a web designer, Daniel Yomtobian quickly realized that his true passion is online advertising. Considered a pioneer and innovator in this space, he has led several business ventures to success, of particular note being Advertise.com – a PPC network dedicated to helping advertisers and publishers maximize their ROI and monetize their solutions. In 2014, C-Suite Quarterly described him as a “…young leader [who] will continue to play an important role in shaping the online world of tomorrow.” Among his other accolades is the SFV Business Journal Top 40 Under 40 Award. Daniel Yomtobian studied business marketing at California State University-Northridge. 

Daniel Yomtobian Advertise.com CEO – Dedicated to Helping Advertisers and Publishers: http://www.DanielYomtobianAdvertiseCEO.com

Daniel Yomtobian Joins Board of Directors at YPO Beverly Hills as Membership Vice Officer: https://www.yahoo.com/now/daniel-yomtobian-joins-board-directors-175200356.html

Daniel Yomtobian - Explores the Benefits of Innovative Ad Formats: https://www.yahoo.com/now/daniel-yomtobian-explores-benefits-innovative-211500329.html

Contact Info:
Name: Daniel Yomtobian
Email: Send Email
Organization: Advertise.com
Address: 15303 Ventura Blvd Ste 1150 Sherman Oaks, CA 91403
Phone: +1-800-710-7009
Website: https://www.advertise.com

Video URL: https://www.youtube.com/watch?v=J2fvpsHCFg0

Release ID: 89110675

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