Boston, MA 06/09/2014 (wallstreetpr) – Social network site company, Twitter Inc. (NYSE:TWTR)’s acquisition of Namo Media recently will likely to change the mobile app ads sector thus giving the customers an additional option in the space dominated by other big rivals such as Google Inc (NASDAQ:GOOG) and Facebook Inc (NASDAQ:FB) besides others.
Mobile App Ads
Though Twitter Inc. (NYSE:TWTR) has not disclosed the acquisition amount, reports indicated that it paid a price of less than $100 million for the media company. The social networking company’s acquisition of Namo Media would give Twitter a place in the new revenue table of mobile apps and online world, where the search engine giant dominates the space. The smart devices such as Mobile will represent for approximately 85.9% of digital ad search by the end of the year 2018. In USD terms, revenue will touch $28.4 billion based on eMarketer report. Google’s share will likely drop to 64.2% from 82.8% recorded in 2012.
The arrival of smart devices has changed the users’ behavior in selecting applications since they are no longer depending on a desktop browser. Now that most of the smartphones or tablets offer different options of browsing experience, users prefer to do it inside apps by stopping searching through browsers, especially Google.
The change in users’ preferences to mobile apps will undoubtedly cut down ad revenues from the desktop or laptop. This is because of the fact that people are already spending over an hour every day in using digital media, especially mobile.
Others In Mobile Apps
There are other companies like Yelp Inc (NYSE:YELP) and Priceline Group Inc (NASDAQ:PCLN), who have single purpose apps, and there seems to be hundreds of apps witnessing traffic. There are also several agencies, who are seeking monetization by approaching the likes of Namo Media.
eMarket predicts mobile search ads to top $9.02 billion in the current year, which is 51% of mobile advertising put together.