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Mobile search advertising to grow to $5B by 2013: Study

Mobile search advertising is expected to grow from $813 million in 2008 to $5 billion by 2013, according to a new study.

The ability to search on- and off-deck and via SMS text message, along with the growth of branded or white-label search providers in the mobile ecosystem has created opportunities for marketers to target consumers through sponsored search, per ABI Research.

"We are seeing strong growth of mobile search services within an on-portal and off-portal context," said ABI research director Mike Wolf in a statement.

"However, given the constraints of mobile platforms and the specific needs of mobile users, mobile search services and the integration of advertising need to be thought out carefully by branded providers, white-label search vendors and carriers," he said.

ABI projects that mobile search advertising will post strong growth worldwide, including the fast-growing Asia-Pacific. Mobile search in North America is expected to reach $641 million by 2013.

On- and off-portal and SMS-based search will drive search-related advertising. ABI expects that total SMS searches will grow from 13 billion this year to more than 76 billion by 2013.

The projections were published in ABI's new Mobile Marketing and Advertising report.

"Branded providers such as Yahoo and Google see the importance of the mobile platform, as the overall population of Internet users on mobile devices exceeds that of PC-based Internet users," Mr. Wolf said in the statement.

"While mobile search incorporates more contextually relevant information such as location, consumers will increasingly look to search as a way to discover content and pertinent information that could drive purchasing behavior," he said.

"Providers that can supply the most applicable solutions tailored toward mobile users will ultimately win in the marketplace."