BIA/Kelsey expects total local advertising to grow from $130.6 billion in 2009 to $145.2 billion in 2014. But within that group, BIA forecasts traditional local media declining from $115.1 billion in 2009 to $110 billion in 2014.
BIA/Kelsey sees mobile local advertising revenues increasing from $213 million in 2009 to a whopping $2.02 billion in 2014, according to the research firm's U.S. Local Media Forecast (2009-2014). BIA/Kelsey defines mobile local advertising as advertising that is targeted based on a user's location and/or advertising that is "locally actionable."
"We expect advertisers will be drawn to mobile marketing as the overall market shifts to digital ad platforms," said BIA/Kelsey President Neal Polachek. "A lack of traffic to fulfill quotas on geotargeted ads will likely accelerate mobile Web site and application development by publishers."
BIA/Kelsey cites smartphone penetration, mobile Web usage and related increases in ad inventory as additional mobile ad growth drivers, with web firms like Google playing an increasing role in the online revenue game.