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MEDIA INNOVATION GROUP

Fast Facts: Mobile Advertising Growth In today’s agile marketplace, advertisers and publishers need to build a consistent customer experience across all connected devices and platforms, including Mobile. Mobile’s rapid rise impacts the way business is done and ignites significant growth potential. Here are some insights and ideas to consider when developing your mobile strategy.

Mobile Reach Increasing—Why Mobile and Why Now? 2011 REGIONAL MOBILE PENETRATION

102% 100%

131% 77% 71%

Adults

who own a

SMART PHONE EU² US³

Worldwide 86%4

44%

92% 84%

48%

EU users average

via TIME mobile²

Mobile phone usage¹

EU users accessing

INTERNET

9.4

Hours/Week

52% OF MOBILE USERS ACTIVELY BROWSE

through mobile TO GROW

400

THE INTERNET ON THEIR DEVICES

Sources: ¹European Journal of Scientific Research, 2010 ²IAB Europe MediaScope Europe, 2012 ³eMarketer, July 2012 4Portia, April 2012 A WPP COMPANY

N IO LL I M

in 2012


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The Rise of Mobile Impacts Consumer Media Consumption and Behavior DISPLAY

There will be

22%

7.1 BILLION

connected mobile devices worldwide by 2015¹

US smartphone users who made a purchase via PC after viewing a mobile ad6

VIDEO

SOCIAL 37% of EU mobile owners use their phones to check social networks²

SEARCH

22%

of all US mobile owners used search on their phone in January 2011, up from 16% a year earlier

Mobile Advertising is a Growing Opportunity

1 in every 10

tablet users view video content almost daily.³

11% 9%

E-COMMERCE 11% of EU mobile owners use their phones to buy online and 9% buy online via an App²

GLOBAL MOBILE AD SPEND WILL REACH $6.4 BILLION IN 20124

THE TABLET MARKET WILL GROW 91.7% IN 20125

SMARTPHONE CTRs ARE 72% HIGHER AND TABLET SEARCH AD CTRs ARE 31% HIGHER VS. DESKTOP SEARCH ADS7

82% OF EU BUSINESSES WILL INCREASE THEIR MOBILE AD SPEND IN 20124

Sources: ¹Socialtimes.com, “How Mobile Devices Have Redefined Media Consumption,” April 9, 2012 ²IAB Europe, MediaScope 2012 ³US ComScore June 2012 4eMarketer, July 2012 5WebProNews.com, June 2012 6Nielsen “Counting Today’s Mobile Consumer,” July 2012 7Marin Software, “State of Mobile Search Advertising in the U.S. 2012” A WPP COMPANY


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Advanced Mobile Technology and Analytics Provide Competitive Advantage

ENGAGEMENT

TARGETING

Mobile advertising increases message relevancy and drives direct response, enabling reach to consumers across screens.

New technology facilitates pinpoint targeting, including age, gender, interests/behavior, device type, operating systems and more.

INTERACTION Mobile QR codes are rapidly gaining popularity. They allow marketers to leverage the visual engagement of print ads and drive user actions.

ROI

TRACKING & REPORTING

For every dollar spent on Mobile in 2012¹

$1

Despite fragmentation, new technology enables marketers to effectively analyze campaign information and optimize strategies across devices and platforms.

$11.37

INNOVATION Advertisers can target their campaigns to appear on mobile devices within a given distance of one of their outlets, using mobile advertising to drive offline sales. Users clicking on a mobile banner can redeem coupons to use in-store at the point of sale.

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Source: ¹DMA “Power of Direct Marketing, 2011-2012”


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MEDIA INNOVATION GROUP

Challenges/Questions About Mobile WHY IS A MOBILE STRATEGY IMPORTANT?

It is important to engage with your audience in the most effective way, and reach them where they are consuming media. More and more, this involves mobile devices. In terms of advertising, co-branded cross-channel promotion has shown to be the most effective approach for advertisers, who increasingly look to add Mobile into their media mix. CBS TV CITY MEDIA LAB STUDY When complementing TV advertising with mobile: ■■ Brand recall was 69% higher ■■ Purchase intent increased by 72% ■■ 5.5 times more effective at driving search Comparing cross-screen viewers to TV only viewers¹

WHY SHOULD I HAVE A MOBILE SITE?

With mobile consumption sky rocketing and 77% of companies globally boosting investment in the mobile channel,² companies should consider expanding and enhancing their touch points by including Mobile sites.

WHY SHOULD I CREATE A CUSTOM APP?

Apps allow publishers to foster brand awareness, enable greater customer loyalty, promote offerings and interact with users individually, giving them easy access to offerings and services.

WHAT ARE THE TOP THREE MOBILE PLATFORMS?

ANDROID GOOGLE PHONE³ TABLET4

WHAT IS THE BEST FORMAT TO USE FOR MOBILE WEBSITES?

WHAT IS THE BEST FORMAT TO USE FOR MOBILE ADS?

59% 36%

PHONE TABLET

23% 63%

BLACKBERRY RIM PHONE TABLET

6% 1%

HTML vs. Flash—Adobe Flash powers the majority of desktop advertising, however, the reverse is true with mobile. The majority of mobile websites do not support Flash and cannot read Flash websites or ads. Mobile sites must be built in HTML to be WAP (Wireless Application Protocol) accessible. Creating ads for desktop campaigns is positively simple compared to mobile. While online campaigns rely heavily on 3 sizes, mobile web uses many more variations.

AVG CTR5

0.5%

0.5%

Traditional

Click-to ads

Standard Banner

A WPP COMPANY

iOS APPLE

0.7%

0.9%

1.5% Pre-roll Video

Interstitial

Geolocalized ads

Sources: ¹Nielsen “Cross-Platform Video Ad Effectiveness Study” conducted by AdColony, April 2012 ²eConsultancy 2012 ³IDC Worldwide Mobile Phone Tracker, May 24, 2012 4IDC global tablet forecast 5Jumptap, 2012


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MEDIA INNOVATION GROUP

Conclusion Mobile devices are changing the digital landscape and the way in which users interact with digital media Mobile access is growing globally year-over-year and the demand for mobile content is at an all-time high. As mobile device adoption reaches critical mass, companies need to have a mobile strategy on their radar as a new channel to reach customers, appeal to advertisers, and accomplish their goals. Below are our top tips for your mobile strategy: FOCUS ON STRATEGY, NOT TACTICS

Don’t build a mobile site or app because that’s what others are doing. Determine how your business can use mobile to enhance users’ experiences as well as drive business and advertising growth. Understanding this will help you to develop a long term strategy that aligns with your customers’ needs.

GET TO KNOW YOUR AUDIENCE

Evaluate how people use mobile technologies in their daily lives. Is your target audience tech-savvy? What is their relationship with your brand and how do they communicate with it? Answering these questions is the key to building a mobile strategy and experience that will resonate with your audience.

PICK A TECHNOLOGY PLATFORM

There are many options in the marketplace so it all goes back to understanding your target audience. What mobile devices do they use? Do they use smartphones or tablets? Android or iOS? Understanding the answers to these questions will drive what technology platform is best for your strategy.

MOBILE SITE

Keep your mobile site simple. Use traditional site analytics to see which pages are most used. Avoid heavy graphics and keep scrolling to a minimum.

MOBILE APPLICATION

Assess the pros and cons of mobile apps to determine if a mobile app is right for your business. Users spend more time with mobile apps than the web (mobile and desktop) and are generally more engaged. Content is another factor to consider. How are users going to interact with your business on mobile devices?

A WPP COMPANY

Mobile Advertising Growth  
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