eMarketer Says Mobile Video Spend Not There Yet

Last week at AdAge Digital in New York, all the talk was about storytelling and cross-platform campaigns (when it wasn’t about fraud and viewability). But for us the most interesting part of the conference was eMarketer’s new numbers about the mobile consumer. We like eMarketer, because it does a meta-analysis of everyone else’s data and thus usually has larger sample sizes.

Here’s what they found: the average American consumer spends 12 hours and 4 minutes a day consuming some form of media. Before you dismiss that as impossible, consider the fact that now it is possible to consume media on two platforms simultaneously, and that at least one piece of the consumption puzzle is mobile.

Over the past five years, indeed since the launch of the iPad, mobile media consumption has done nothing but increase. In 2013, time spent consuming media on mobile devices passed that spent on desktops, and now mobile devices account for half an hour more of consumption than desktop.

Much of that time is spent consuming mobile video. While time spent on TV is declining slowly, losing about 7 minutes a year, time spent on mobile has skyrocketed. Digital isn’t destroying TV — it’s accompanying TV.

“Normal” people spend 2:2 hours on their desktops and laptops, and then 2:5 hours on mobile devices.

What this has meant for marketers is an entire re-think of strategies, and they’re only beginning to catch up. By 2019, according to the talk I heard at Ad Age Digital, mobile ad spending will top $66 billion, and desktop spending will be only $25 billion.

Even in 2015, spending will already be 50-50.

However, digital video spend is not as large as you might suppose. Digital video gets 23% of video viewing time, but only 10% of the spend, and mobile video makes up 12% of time spent but only 3% of the spend.

Take a look at the slide below to see where things are headed.