In the UK, the share of clicks coming through mobile search ads almost doubled in 2013, from 24% in January to 43% in December.
According to the latest research from Marin Software, mobile devices will account for 50% of all paid-search clicks globally by December 2015.
The UK is ahead of the rest of Europe, where mobile and tablets only accounted for 20% of paid search clicks in 2013.
That being said, advertisers in Europe increased their investment in mobile paid search by 109% in 2013, while UK advertisers increased their mobile paid search spend from 22% to 35%.
In another report from TNS, 32% of UK consumers make purchases on a smartphone, it’s clear that the UK has the highest percentage of people who make a monthly purchase on their smartphones, with 32%. This is compared to just 8% in France, 15% in Germany and 19% in Sweden.
Advertisers are increasingly keen to reach mobile users, as this is quickly becoming a key method by which shoppers research products online. UK advertisers benefited from higher click-through rates (CTRs) of 5.71% compared to 3.83% for the rest of Europe.
Smartphone conversion rates however are at an average of 2.8%, currently below tablets (4.6%) and desktop (6.1%). Users may well be researching on the handy smartphone that’s at an arm’s reach at all times of the day but more than 40% of online adults are multi-device users, who will abandon the smartphone for a larger display as soon as it comes to purchase.
Cost-per-click (CPC) has increased, with average CPCs on smartphones rising 26% to £0.19 and tablets rising 11% to an average of £0.31.
CPC on mobile devices increased at a much higher rate than cost per click on the desktop during 2013. In some regions, tablet CPCs have surpassed desktop CPCs.
The cost of mobile advertising is rising due to its popularity and effectiveness. Although as CTRs are improving globally, conversions for smartphones aren’t going to rise in line until ecommerce fully adopts mobile optimisation or responsive design as the key method for improving the ease and simplicity of purchasing goods via mobile.