Sunday, July 21, 2013

Increases in Mobile Paid Search Advertising

According to this article, Mobile PPC & Bing See Significant Gains in Q2 2013 Paid Search Reports, there were large year over year increases in mobile paid search spend for Q2.  More specifically, spend on smart phones is up 106% and spend on tablets is up 116%.

With Enhanced Campaigns being released, this is not much of a surprise.  As more advertisers switch to Enhanced (according to this article, Google Paid Clicks Jump, CPCs Fall in Q2 2013; 75% Switched to Enhanced Campaigns, 75% have), mobile spending will likely continue to increase.  With the transitions, more advertisers will be opted into mobile for better or for worse.  With forced transitions coming this Monday, July 22, I would expect mobile spending in search to increase even more in Q3.

As a reminder, Enhanced Campaigns now combine tablets and desktop campaigns.  Mobile campaigns are now managed as a percentage of desktop/tablet.  From what I've read, Google is recommending that most advertisers set their mobile spend somewhere between -20% and -40%.  They recommended that my company transition at -20% despite having no mobile campaigns active at the time of transition.  We did not follow their advice, but it makes me wonder how many in similar situations did blindly follow.

It will be interesting to see to see if and when mobile spend plateaus.  My guess is that it won't be before Q4 2013 or Q1 2014, when advertisers are able to better optimize based on results of Enhanced Campaigns.

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