The increase in demand for both tablet and phone advertising has seen the cost per click (CPC) rise to 30p and 20p, respectively, with tablets now on the same as desktops.
The research by Kenshoo found that, in terms of paid search advertising, mobile and tablets now account for about 25 per cent of total spend and 28 per cent of clicks.
The Kenshoo Search Advertising Trends Q1 2013 report is based on a rolling data set covering several billion dollars in global paid search ad spend by advertisers and agencies which have been active on the Kenshoo platform during the previous 24 months.
Aaron Goldman, chief marketing officer at Kenshoo, suggested that advertisers have the opportunity to maximise clicks by reallocating spend to mobile, and using KPIs to measure success, adding: “Advertisers should be assessing the value of mobile clicks in alternative ways because you can’t expect a phone to deliver the same rate of direct online sales as devices with bigger screens that are typically used in the home. It’s imperative to track and optimise conversion events like phone calls, app downloads, check-ins, website registrations, store locators. These are KPIs we should be using to measure the effectiveness of phone clicks.”
It was found that globally, PPC spend, clicks and click-through-rates (CTR) are up as advertisers are getting better at paid search optimisation: with Q1 ad spend up 15 per cent and clicks up 21 per cent.