More App Revs To Come From Ads
Mobile advertising will grow from 18% to 23% of revenue generated by iOS and Android apps, according to a new analysis by app advertising and analytics firm Flurry. The firm forecasts that app ad revenue will more than double in 2012 to $2 billion. The bulk of the $8.7 billion in projected revenue this year, up 60% from 2011, will still come from paid apps and in-app purchases. The Flurry study also predicts long-tail apps will account for a growing share of app revenue. To reach that conclusion, the company compared app rankings on iOS and Android in 2010 and 2012 in three segments: the top 25; those ranked 26-100; and those below the top 100.
By the end of this year, Flurry estimates revenue from the top 25 will contract from 28% to 15%, and those in the mid-tier will shrink from 27% to 17%. Conversely, revenue generated by the long tail of apps beyond the top 100 will grow from 45% to more than two-thirds (68%). Combined with a marketplace that reduces the power of brand recognition (e.g., apps are free for consumers to try risk free), market wealth unexpectedly continues to shift to the long tail, funding continued R&D, advertising budgets and other activities that increase their competitive strength,” stated Flurry in a blog post today. “The age of middle-class app developer has arrived.”
Recent Online Media Daily Articles
-
Facebook Aims To Simplify Page Analytics June 19, 5:52 p.m.
In its latest step to simplify advertising and marketing on Facebook, the company on Wednesday announced ... -
Powley Tapped As iCrossing CEO June 19, 5:32 p.m.
Catching agency watchers off guard, Don Scales is stepping down as CEO of iCrossing, effective immediately.Stepping ... -
Twitter Gets Social With Viacom June 19, 5:21 p.m.
Twitter took another step Wednesday toward supporting television. The social-media company signed a partnership with Viacom ... -
Digital, Alternative Media Revs Forecast To Hit $436B By 2017 June 19, 3:01 p.m.
Various types of mobile marketing and advertising accounted for nine of the top 10 fastest-growing digital ... -
Acquisitions Flourish, Google To Seek Equity Firm To Further Deals June 19, 1:24 p.m.
Google is considering alliances with private-equity firms to help structure acquisition deals, but the tech company ... -
Millennial Expands Video Ad Options June 19, 11:44 a.m.
Mobile ad network Millennial Media is stepping up its video ad offerings with the launch of ... -
CIMM Issues Request For Data, Cross-Platform Metrics June 19, 9:29 a.m.
The Coalition for Innovative Media Measurement (CIMM) said it has issued a request for proposals involving ... -
Heads Or Tails: Facebook Grows A Long One, Surpasses 1 Million Advertisers June 19, 7:48 a.m.
Facebook has reached an important ad industry milestone, becoming one of the few mega platforms to ... -
Consumer Action: Most Web Users Want Control Over Tracking June 18, 8:20 p.m.
Most Web users have expectations about privacy that appear to be at odds with current practices ... -
Affiliate Channels Attract Global Buying, Tailored Marketing Programs June 18, 5:54 p.m.
The Internet continues to make the world smaller for affiliate marketers, but there are physical challenges ...
Be the first to comment on "More App Revs To Come From Ads"
Leave a Comment