Were you interested in using Google Inc. (NASDAQ:GOOG) mobile ads for marketing your business? You had better make that decision quickly because Google’s mobile ad prices are on a steep incline. Furthermore, their prices are expected to continue rising.
In the past, Google was concerned over its falling mobile ad prices. However, as the world shifts to mobile, that is no longer an issue. Businesses are running and not walking to get into the mobile world. As a result, U.S. mobile ad prices have risen 21% on smartphones and 23% on tablets. If Google worried about making the transition to mobile, maybe the sentiment was a bit premature.
Another enticing face about mobile ads is their conversion rates. Computers had a conversion rate of 36% while smartphone ads had a conversion rate of 57%. Tablets had a conversion rate of 67%. This news bodes well for marketers making the transition from PCs to smartphones and tablets.
It might also be that marketers are increasing their mobile ad spend and either decreasing or maintaining their current computer ad spend. Furthermore, this marks the first time that tablet conversion rates beat computer conversion rates. It conveys that consumers are feeling more at ease with making purchases on their mobile devices.
In addition, the larger tablet screens make it easier to see and view ads, as well as to shop online. Phablets may also help to boost the ad conversion rates. However, clicks are still less expensive on mobile devices. On smartphones, it is 30% lower than computer clicks and tablets are 8% lower. On Tuesday, Google’s share price moved up to $1,211.26.