Mobile expansion increases volume and performance of social and search advertising

San Francisco (October 14, 2015) Kenshoo (www.Kenshoo.com), the global leader in agile marketing, today released a new infographic, Kenshoo Digital Marketing Snapshot: Q3 2015, highlighting mobile as a key driver for paid social and search advertising. Mobile (phone and tablet) year-over-year (YoY) spending increased 159% for paid social ads and 66% for paid search; mobile accounted for 68% of paid social ad clicks and 50% of paid search ad clicks. Increased mobile traffic drove overall cost per click (CPC) up for social ads (7% QoQ, 21% YoY) as clicks became more important to optimization; for search, the opposite was true, as lower smartphone CPC drove overall CPC down slightly (-9% QoQ, -7% YoY).

More key findings in the research; overall:

  • Social impressions decreased 15% QoQ and 36% YoY
  • Social clicks decreased 4% QoQ but increased 75% YoY
  • Social click-through rate increased 13% QoQ and 174% YoY
  • Paid search impressions increased 4% QoQ and 3% YoY
  • Paid search clicks increased 11% QoQ and 16% YoY
  • Paid search click-through rate increased 7% QoQ and 12% YoY

“The third quarter continued the mobile growth trend from the first half of 2015,” said Chris Costello, director of marketing research for Kenshoo. “Consumers rely on mobile devices more than ever, and advanced marketers are following suit with increasingly optimized campaigns which delivered positive results in both paid social and search. As publishers expand and refine their mobile offerings, marketers should expect to continue improving performance heading into the holiday season.”

In conjunction with its global data analysis, Kenshoo published infographics detailing regional insights for paid search in the Americas; Europe, Middle East and Africa (EMEA); and Asia Pacific Japan (APJ) regions, with unique data for select countries in each region. Among the regional findings:

  • In the Americas, search clicks on mobile devices (51%) make up the majority of total clicks for the first time
  • In EMEA, mobile accounted for 38% of total paid search spend, but 46% of total clicks
  • In APJ, smartphone CPC was considerably lower ($0.34) than tablet ($0.64) and desktop ($0.67);  all three declined QoQ and YoY

“Digital spend used to be predominantly paid search ads on desktop computers, but today our budgets cross multiple devices and ad formats across a variety of publishers and platforms,” said Chris Humber, head of practice, search at GroupM. “Luckily, Kenshoo’s robust suite of industry-leading ad creation, management and optimization tools are a resource that allows us to stay ahead of the curve.”

The Kenshoo Infinity Suite leads the way in digital marketing innovation enabling success for leading marketers. Built upon Kenshoo’s industry-leading and award-winning digital marketing platform, the Kenshoo Infinity Suite reduces total cost of ownership by eliminating single point solutions and packaging all performance and optimization capabilities into one single dashboard.

Visit Kenshoo.com/Digital-Marketing-Snapshot to download Kenshoo Digital Marketing Snapshot: Q3 2015 or Kenshoo.com/SearchGlobalTrends to download the regional infographics.

Methodology
Search and social results are based on five quarters of performance data from over 3,000 Kenshoo advertiser and agency accounts across 20 vertical industries and over 70 countries, spanning the Google, Bing, Baidu, Yahoo!, Yahoo! Japan and Facebook ad networks. The resulting sample includes more than 550 billion impressions, 11 billion clicks and $6 billion (USD) in advertiser spend. Ad spending and CPC are measured using Ex-FX or “Constant Currency” adjustments, where results are based on native currency, and only translated to common currency after aggregation.

About Kenshoo
Kenshoo is the global leader in agile marketing. Brands, agencies and developers use the Kenshoo Infinity Suite to direct nearly $350 billion in annualized client sales revenue through social, search, mobile, and display advertising. Kenshoo provides leading native API solutions for ads across Facebook, FBX, Instagram, Twitter, Google, Yahoo, Yahoo Gemini, Yahoo Japan, Bing, and Baidu. Kenshoo powers digital marketing campaigns in more than 190 countries for nearly half of the Fortune 50 and all 10 top global ad agency networks. Kenshoo clients include CareerBuilder, Expedia, Facebook, Havas Media, John Lewis, Resolution Media, Sears, Starcom MediaVest Group, Tesco, Travelocity, Walgreens, and Zappos. Kenshoo has 27 international locations and is backed by Sequoia Capital, Arts Alliance, Tenaya Capital, and Bain Capital Ventures. Please visit www.Kenshoo.com for more information.

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