Comments  10

• Polly Lieberman 7/3/2009 12:00:00 AM

  Mobile advertising has def taken a page from the online playbook and lucky us (all of us in mobile, that is) that we have a reference point in online.  Ten or so year ago, online execs had to pave new ground. 

  And, my stick is pretty consistent.  What is happening in mobile is what happened in online 10 + years ago.  The trends are almost identical.   What people are doing with their mobile phone, checking news, weather, sports, is exactly what people were doing online 10+ year ago.  Ten years ago, people were loading Citibank banking applications on their computers and dialing in to access their account info.  Today, people are loading Citibank applications on their iphones and accessing their account info over-the-air.  You see?  This trend of applications has taken off at light speed in the last year or so.  Why?  Primarily because of the iphone and the ease of loading applications on the iphone.  Applications have become all the rage.  However, this trend is only a trend.  Once connectivity improves everything will become mobile web based and the trend of utilitarian mobile behavior will be augmented by entertainment and social networking.  Signs are already in play, but mostly for folks with more sophisticated mobile devices that have higher speed connectivity.   And, because most apps have a life of 20 uses, advertising is limited as attrition makes it very challenging to predict inventory.

  So, what does this all mean for mobile advertising?  First, the standards have been created – thanks MMA.  Banners, text and even video campaigns are being seen by mobile consumers each and every day.  And, mobile is following in the footsteps of its older and more mature online sibling.  Rich media campaigns are popping up on iphone.  Dropdowns and expandable units are becoming more prevalent and with javascript units in development we will start to see more elaborate advertising campaigns available on all handsets, not just the iphone.

  As with online, much of the innovation is predicated by technology.  While larger formats are available and interactive ads are rolling out, right now, they are handset dependent. As I mentioned, this is changing both by ad serving technologies developing more sophisticated units and handsets becoming more advanced.

  Today, Mobile advertising is being bought two ways and this pretty much covers 99% of all mobile aside from the rogue program here and there.  So, what are the two ways:  reach through the mobile ad networks (ie, Admob, Greystripe, Quattro, MoVoxx) and integrated programs through digital publishers (ie, Yahoo, ESPN, CBS, Weather channel). However, as mobile publishers build their offering, mobile will become a standard line item on digital budgets.  And, as mobile programs become more creative, more and more advertisers will be working directly with mobile publishers to develop custom mobile programs. 

  Now, all of this falls under the “display” category. The usage trends in online were something like this: utility, entertainment, social.  And, the advertising trends: display, search, performance, social. In 2003, search started to overtake display in a big way.  Search will eventually become key in mobile.  And then performance and then social.  And, eventually mobile will be thought of and planned the same way as online is today.  And, the mobile device will be seen as a computer in your pocket, because that is exactly what it is. And, then, it will be the year of mobile.  Until then, we will talk about it being the year of mobile.  When we stop asking if it’s the year of mobile, well, that is precisely when we can call it the year of mobile. 

   

• Andrew Bovingdon 7/28/2009 12:00:00 AM

  Regarding the whole ad network cpm stuff there are a couple of things that we [Bango] notice in the industry. Firstly, measurement is quite poor for a number of reasons. For example, many companies still rely on standard PC tools like Google Analytics which simply do not return accurate results for mobile. This can be due to a number of problems, from handsets not supporting JavaScript or unreliable cookie support through to the consumer switching between operator network connection and WiFi. It makes basic measurement hard let alone the ongoing measurement of individuals visits. So it’s key to get a mobile specific tool for measuring success – one that has accurate visitor identification is crucial.

   

  Secondly, what you measure is important. Simply viewing clicks is not good enough for realizing the ROI of mobile marketing; it’s more about the conversion value – ie how many people click and then achieve a measureable goal. Mobile marketing can often deliver lower actual clicks but the quality of those clicks is typically higher. A visitor is more inclinded to take further actions, like buying stuff or signing up. Also there can be higher repeat visits – another reason to ensure your measurement tools can identify individuals and track them across multiple sessions. It also allows you to see if someone who clicked on an ad and did nothing then comes back later to re-engage.

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