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Marin Software: Mobile Grabs Nearly 50% of Paid Search Spend in Q4

Mobile devices continue to become more prominent in the consumer shopping experience with nearly 1/3 of paid search conversions coming from tablets and smartphones

San Francisco, CA – January 14, 2015 – During the 2014 holiday season, advertisers amplified their focus on mobile devices. According to a new report by Marin Software (NYSE:MRIN), provider of a leading cross-channel performance advertising cloud, marketers directed 49% of their paid search budget to tablets and smartphones. The increased investment in mobile ads echoes consumers’ increased use of smartphones and tablets in their purchase decisions.

News Highlights:

  • With mobile devices edging closer to center stage in a consumer’s shopping experience, advertisers are increasing their investment in mobile paid search ads. A recent study by Marin Software analyzing search, display and social advertising trends in the U.S. found that in Q4, 49% of paid search spend went to mobile ads, up from 42% in Q3.
  • During Q4, Marin Software found smartphones and tablets accounted for 39% of clicks on paid search ads, and that the click-through rate (CTR) of search ads on smartphones was 38% higher than the CTR of desktop ads. Marin also found that 31% of conversions on search ads came from mobile devices. The high volume of clicks and conversions underscore consumers’ growing comfort in using mobile devices to complete purchases.
  • On Facebook, Marin Software’s data indicates advertisers continued to invest primarily in mobile, with 57% of spend. Similarly, 63% of Facebook ad clicks came from mobile devices, however, Marin found mobile accounted for only 34% of conversions.
  • In examining cost-per-click (CPC), Marin Software found search ads on desktops retain the highest CPC, whereas mobile ads on Facebook rank the lowest. Lower CPCs on display and social ads represent an opportunity for advertisers. Leveraging their proprietary search intent data, advertisers can instead target and reach key audiences on display and social channels with more cost effective campaigns than search.
  • For additional insights and trends in search, display and social performance advertising across devices, download Marin Software’s The Q4 2014 Performance Marketer’s Benchmark Report at: http://bit.ly/1DUWVUI.