1. + Digital Insights Report Mobile Pricing

2. + 2013 – The Mobile Year Source: Opera Media Works

3. + Hypothesis As mobile usage increases into the future we will start seeing higher mobile ad prices as added competition will drive up demand Source: MediaThirst

4. + Ad Units Available Display/ Banner Ads Video Social Media Incentivized Search Source: MMA Global

5. + Mobile Pricing Models Cost Per Mille (CPM) -cost per thousand impressions -used for awareness purposes Cost Per Click (CPC) -pay per click -used mostly for testing and behavioral analysis Cost Per Install (CPI) -pay per acquisition, only pay every time user downloads -used to acquire users Cost Per Action/Engagement (CPA/E) -pay per action -used to engage users with product Cost Per View/Completed View (CPV/CV) -pay per view -used to for video Display Video Search Social Media Incentivized Source: MMA Global

6. + Cost of Ad Units Display/Banner (CPC = $0.05 - $0.35) Video (CPV = $0.03 - $0.06) Social Media (CPC = $0.30 - $0.50) Incentivized (Cost per download = $0.35 - $2) Search (CPC = $0.84 & CPM = $4.03) Source: MMA Global

7. + Most Requested Mobile Pricing Models: Display Source: IAB

8. + Most Requested Mobile Pricing Models: Video Source: IAB

9. + Mobile Pricing Model Insights The most used pricing model for mobile is CPM Works best for: visual and branding-oriented campaigns Why? Flexibility Control Value Source: 350Media, Adroll.com

10. + CPM Costs According to Forbes, mobile ad prices are rising quickly, by almost 21% on smartphones and 23% on tablets. Source: Forbes, Mopub

11. + Ad Bids Per Month Source: Mopub

12. + Conclusion At the end of 2013 mobile ad spend accounted for around 4% of total ad spend in the US and continues to trail the 20% of media time consumers spend on a mobile device. Some reports show that in 2014 this spend will jump up to 10% but there will still be a disparity between spend and usage time. We will see rising prices rise on mobile until ad inventory meets demand. When this happens, we will see a leveling out in pricing as more websites become optimized for mobile web advertising. Source: AdExchanger