The Latest Buzz in Mobile Advertising

16 April 2014

Mobile_AdvertisingMobile advertising is fast becoming the new marketplace. Majority of people are on their Smartphones multiple times a day, and are using it to pay bills, research holidays and insurance providers and even shop – from almost anywhere in the world.

Recent research has shown that all online advertising segments have experienced double growth at the end of 2013.

The Latest Buzz in Mobile Advertising
Total online advertising expenditure growth (IAB).

Interestingly, the General Display sector had the strongest growth at 28.4 percent, breaking the $1bn barrier for the first time (IAB 2014). This is stronger growth than Directories and Classifieds and highlights the growing trend towards digital, and mobile.

So what is mobile advertising specifically?

Techopedia says it best: Mobile Advertising is the ‘communication of products or services to mobile device and Smartphone users.’ Explained further, mobile advertising ‘targets users according to specified demographics. Mobile networks identify related mobile profiles and preferences and displays corresponding advertisements when consumers download and use data services like games, applications (apps) or ringtones.’

There are 4 primary media paths in mobile advertising:
1. Mobile Web: Text tagline ads, mobile online banner ads, WAP 1.0 banner ads, rich media mobile ads
2. Multimedia Messaging Service: SMS, MMS, Short text ads, long text ads, banner ads, rectangle ads, audio ads, video ads, full ads
3. Mobile Video and TV Advertising Units: Ad breaks, linear ad breaks, nonlinear ad breaks, interactive mobile video and TV ads
4. Mobile Applications: In-app display advertising units, integrated ads, branded mobile applications, sponsored mobile applications

Deciding which channels to use for your business requires a combination of research, expertise and consideration of your wider brand, content and mobile strategy.

Why is it increasingly important to marketers?

Mobile is too big to ignore. A recent study by Neilson, a global information and measurement company, revealed that the average Smartphone user spends over 60 hours a week consuming content on their mobile device. That’s a whole lot of time, and a whole lot of opportunity to reach your audience. Not surprisingly, businesses are turning towards mobile as their most important marketing channel. Rapid advances in technology and the huge number of new features available have made this increasingly attractive.

Why is it important for B2B?

As marketing techniques change, it’s important to ensure your business is changing with along it, and that it remains visible and competitive in the increasingly mobile world. Two key reasons driving the change in B2B advertising are perception (having presence and engaging with customers in a way they are increasingly comfortable with) and efficiency (speeding up the process, allowing interaction at the right time).

Where done correctly, any of the 4 media paths in mobile advertising as can yield great results. The Mobile Marketing Association in their February 2014 report highlights mobile messaging as an opportunity area for business. As it’s the most non-voice used channel for communication in the world. Stating ‘new messaging solutions will only serve to provide better, more efficient ways to communicate with consumers on mobile devices’.

Location targeting is another advertising trend. A great example of this is UK, international speciality insurance company Hiscox, that developed a marketing campaign that (using WiFi) presented businesspeople with a selected ad that appeared when they logged on from their start-up browser. This campaign was a huge success with higher click-through rates then their other online display ads.

What about NFP?

Mobile advertising is increasingly employed within the NFP sector, as a new and innovative technique to raise funds, and drive campaign awareness. The starting point is certainly creating a mobile presence, such as creating a responsive design for your page; so mobile users can enjoy a better user experience with your brand. Options from here are endless spanning from the more traditional banner advertising, to other creative ideas like the development of an online tool.

Utilising mobile advertising in a different way; grassroots NFP organization One Day’s Wages developed an iPhone app and ‘Wage Calculator’ with the objective to ‘integrate human relationships and social technology. It enabled users to determine their daily wage, and then select a campaign from a list of global charities, that they wanted to donate to.

Mobile continues to rise and surprise, and has changed the landscape for advertising across the board. Having a comprehensive mobile strategy in place and a willingness to adapt with new technologies is pivotal for any business looking to sustain growth in this new marketplace.


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