BIA/Kelsey Forecasts U.S. Mobile Local Ad Revenues to Grow from $664M in 2011 to $5.8B in 2016

Forecast highlights will be presented at 'Interactive Local Media West,' Dec. 4-6, in Los Angeles

Nov 05, 2012, 03:00 ET from BIA/Kelsey

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CHANTILLY, Va., Nov. 5, 2012 /PRNewswire/ -- BIA/Kelsey, advisor to companies in the local media industry, forecasts U.S. mobile local advertising revenues to grow from $664 million in 2011 to $5.8 billion in 2016, representing a compound annual growth rate of 54.2 percent.


BIA/Kelsey's projected mobile local ad revenues represent a subset of overall U.S. mobile ad spending, which the firm forecasts to grow from $1.62 billion in 2011 to $9.92 billion in 2016. This puts locally targeted mobile ads at 41 percent of overall U.S. mobile ad spending in 2011, growing to 58 percent in 2016.

"Growth drivers include smartphone penetration, location data, ad targeting innovation and advertiser evolution to utilize these factors for higher-performing mobile local ad campaigns," said Michael Boland, program director, mobile local media, BIA/Kelsey. "New mobile ad formats will also drive demand including Facebook's quickly evolving options like sponsored stories and app install ads – currently accounting for 14 percent of Facebook's revenues and quickly growing."

Boland will moderate a SuperForum on mobile local media at BIA/Kelsey's upcoming Interactive Local Media West (ILM West) conference, Dec. 4-6, in Los Angeles. He'll present highlights from the forecast during a session titled, "Mobile's Impact on Interactive Local Media: National to Local." He will also present forecast highlights to the Los Angeles venture community on Nov. 15, during a one-day event hosted by the Los Angeles Venture Association (LAVA).

The U.S. Mobile Local Media Forecast (2011-2016) drills down into many other areas and market segmentations such as ad revenues by format (search, display, SMS, etc.). The complete forecast is available to clients of BIA/Kelsey's Mobile Local Media advisory service. For information on becoming an advisory services client, call (800) 331-5086 or email

Details about the ILM West conference, including speakers, agenda, sponsors and online registration are available at

Definitions and Methodology

BIA/Kelsey defines the local media advertising marketplace as those media that provide local audiences to all types of advertisers. Mobile local advertising is defined as advertising that is targeted based on a user's location.

In addition to interviews and company reports, BIA/Kelsey's mobile forecast is based on usage trends, mobile ad spending across various formats, consumer adoption patterns, advertiser penetration and ad performance measurements such as clickthrough and cost-per-click rates, and other benchmarks in online media. These data are vetted against aggregate revenues of top players in each mobile advertising segment (i.e., mobile ad networks). Traditional definitions of ad spending apply to this forecast. At present, it does not include marketing or promotional expenditures such as coupons.

About BIA/Kelsey

BIA/Kelsey advises companies in the local media space through consulting and valuation services, research, Continuous Advisory Services and conferences. Since 1983 BIA/Kelsey has been a resource to the media, mobile advertising, telecommunications, Yellow Pages and electronic directory markets, as well as to government agencies, law firms and investment companies looking to understand trends and revenue drivers. BIA/Kelsey's annual conferences draw executives from across industries seeking expert guidance on how companies are finding innovative ways to grow. Additional information is available at, on the company's Local Media Watch blog, Twitter ( and Facebook (

For more information contact:
Eileen Pacheco
For BIA/Kelsey
(508) 888-7478

Robert Udowitz
For BIA/Kelsey
(703) 621-8060