State of Mobile Advertsing 2011 - Mobile Marketer

CONTENTS

PAGE

3 INTRODUCTION 21 Challenges with mobile advertising and
Mobile advertising on a tear fixes recommended
By Giselle Tsirulnik
22 Best-practice tips
5 What is the state of mobile advertising?

8 Primary drivers

11 What’s working and what’s not

13 Devices and ad formats that
generate the best responses

14 Mobile creative messaging
executions and campaigns
that stand out

18 Measuring mobile advertising

19 Making media buys for
mobile advertising

20 Integration with other channels
and role as traffic driver

Mickey Alam Khan Chantal Tode 401 Broadway, Suite 1408
Jodie Solomon
Editor in Chief New York, NY 10013
Associate Editor Director, Ad Sales
mickey@ Tel: 212-334-6305
chantal ads@
Fax: 212-334-6339
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Email: news@mobilemarketer.com
Website: www.MobileMarketer.com

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PAGE 2 Mobile Marketer CLASSIC GUIDE TO STATE OF MOBILE ADVERTISING 2011

INTRODUCTION

Mobile advertising on a tear

W ith budgets in the hundreds of thousands
and now in the millions, mobile advertis-
ing is proving to be the fastest-growing ad ve-
marketing purposes?

This document discusses the primary drivers of mobile
hicle across all channels – that much is obvious in advertising, which types of ad formats are most popu-
our first State of Mobile Advertising Classic Guide. lar and resonate best and those that do not, the de-
vices that see the most responses, creative executions
But what is the state of mobile advertising, even as more that stand out, performance of ads on mobile Web sites
marketers embrace the channel for branding and direct and in applications, and how standards of measurement
have evolved.

Also discussed are which categories spend the
most on mobile advertising, average spends
and estimates for the category, tips on wise
media buys, current and future challenges, and
integration with other marketing channels.

Select case-study snapshots, course correc-
tions and best-practice tips will round out this
effort to help inform and educate marketers
on mobile advertising and how it is moving
the needle for branding and direct marketing.

Thank-you to Mobile Marketer editor in chief
Mickey Alam Khan for conceiving the State of
Mobile Advertising Classic Guide and for the
outline. Many thanks also to staff reporter
Rimma Kats for her excellent art direction.

This work relies on the reporting, insights and
analysis generated by Mobile Marketer as well
as help from marketing executives quoted and
mentioned in the State of Mobile Advertising
2011 – thank-you to all. We hope you have as
much fun reading the work as it was writing it.
As the evidence shows – and there is no other
polite way of saying this – mobile advertising
is in rude health.

Giselle Tsirulnik
Senior Editor
Mobile Marketer and Mobile Commerce Daily


What is the state of mobile advertising?

T
he proliferation of smartphone devices and tablets in the plans for marketers to stay relevant.
is shifting the way that marketers look at mobile
advertising, making the channel more important to U.S. mobile advertising spend was estimated at $743.1
the multichannel strategy. million in 2010, according to eMarketer. This number is
expected to reach $2.5 billion by 2014, the New York-
As of December 2010, 302.9 million Americans reported based digital intelligence firm predicts.
that they own a mobile device, making the U.S. wireless
penetration 96 percent, according to CTIA – The Wireless Mobile advertising includes messaging, display, search
Association. What is more is that 26.6 percent of U.S. and video ad formats. According to Microsoft Advertis-
households are mobile-only, meaning that they do not ing, these ad formats are being used to:
have a landline and instead depend on their mobile de-
vices to make and receive all calls. Of these mobile sub- • Build brand awareness
scribers, approximately 63.2 million own a smartphone, • Increase sales both online and in-store
according to comScore. About 35 percent of smartphone • Extend special offers and coupons
users access the mobile Internet from their device, il- • Enhance multichannel campaign efforts
lustrating the reach that marketers can achieve with a • Increase customer acquisition, engagement and loyalty
targeted mobile advertising campaign. • Simulate word-of-mouth and social media engagements

Google’s Android and Apple’s iPhone have the high- Messaging
est smartphone market share in the United States Messaging – SMS or MMS – will make up 24 percent
and the users of these devices not only browse the of total U.S. ad spend in 2014, down from 44 percent
mobile Web, but they are also avid application us- in 2010, according to eMarketer. SMS advertising con-
ers. With more than 350,000 mobile apps in the Apple sists of placing a marketing message into a text message
App Store – and another 65,000 iPad apps – and up- that consumers have opted in to receive. For example,
wards of 150,000 in Android Market, the apps market consumers who have opted-in for SMS alerts from MTV
is exploding. could potentially receive an alert regarding news on the
release of Katy Perry’s new album.
The market for mobile apps will continue to accelerate
as the number of downloads is expected to increase from A brand such as Target could sponsor this alert, with
10.9 billion worldwide in 2010 to 76.9 billion in 2014, ac- a marketing message at the bottom asking consum-
cording to an International Data Corp. forecast. World- ers to click on a link to be routed to the Target mobile
wide mobile app revenues will experience similar growth, commerce-enabled site where the new album could be
surpassing $35 billion in 2014. Application developers purchased. Additionally, Target could also ask consumers
have churned out more than 500,000 mobile apps in just to opt-in to its SMS database to receive deals and of-
over three years, and the good news is that those apps fers to their mobile device from the retailer. This, too, is
are starting to generate more revenue. SMS advertising.

The consumer adoption of mobile apps and the increas- Given the level of engagement that SMS provides, its
ing mobile Web traffic have given mobile advertising a biggest mobile potential is to drive consumers to the
seat at the table. Fortune 500 and other top brands are mobile Web, in-store, online or to download a mobile
using mobile ads for branding and as a direct response app. Why SMS? The answer is simple. A study by ABI
medium, finally understanding that mobile needs to be Research finds that consumers worldwide will send more


than 7 trillion SMS messages in 2011. will reach $334.5 million in total ad spend by the end of
2011, up from $202.5 million in 2010 and $91.4 million
This massive number indicates that consumers are very in 2009, according to eMarketer. By 2014, mobile display
comfortable using SMS to communicate with one an- ad spend will reach $887.6 million, the firm predicts.
other and it is a huge opportunity for marketers. The fact
that consumers are increasingly comfortable communi- The monthly metrics reports that Millennial Media pub-
cating via SMS means that brands could potentially use lishes indicate that iOS and Android devices are seeing
the channel to speak with them. the best results when it comes to mobile advertising re-
sponse rates, with the majority of ad requests made on
Brands are already building databases of mobile users these two platforms. Research In Motion follows closely
and sending them news and information updates, as well behind, per Millennial. When it comes to mobile Internet
as coupons. With the expected growth in SMS for 2011, display ads, Google is tied at first place with Apple, with
more brands will likely jump on the SMS advertising 19 percent market share, and independent ad network
bandwagon. Not everyone has a smartphone, and com- Millennial Media comes in second place with about 15
municating with those that do not via SMS is the best percent, according to IDC.
way to reach a wide audience.
Borrell Associates forecasts that spending for ads deliv-
Display ered via mobile apps in the U.S. will explode from $305
Display mobile advertising spend – rich media and static million in 2010 to $685 million in 2011 and more than
banners that run in mobile apps and on the mobile Web – $8 billion by 2015, with $1.2 billion of that coming from


local advertisers. • Click-to-call and click-to-text – The user clicks to
initiate a call or text message to communicate with
A click on a mobile banner ad on a mobile Web site or the brand.
within a mobile app can create various interactions be-
tween a brand and consumers. Some of the most com- • Click-to-rich media – Most rich media ad units can be
mon types of interactions are: customized to the specific advertiser’s needs. But some
of the most common executions are click-to-video, click-
• Click-to-Web – This is when the user click on a ban- to-gallery and click-to-download.
ner and is brought to a dedicated landing page that
goes into more depth about the initial offer that the According to mobile rich media platform Medialets, ad-
banner mentioned. vertisers and agencies are mostly asking for full-screen
interstitial ad units nowadays because they provide
• App-within-an-app – This is when the user clicks on more room to do many of the interesting things that
a banner ad within an application and is brought to a devices can run and, of course, because they perform
Web-like experience, without actually having to leave really well.
the app. This is a great experience because the user sim-
ply returns to the application after interaction with the Medialets’ mobile rich media benchmarks report found
ad unit is complete. that interstitials generated engagement rates, on av-
erage, of 10 percent, with iPad interstitials performing
above that. These are the kind of performance metrics that
are drawing advertisers and agencies to mobile display.

Search
Mobile search advertising is the paid listings that a con-
sumer sees after entering a mobile search query.

These paid listings show up because an advertis-
er is paying money to be ranked that highly for those
phrases. When a searcher clicks on one of those list-
ings, the advertiser is charged the cost-per-click
price for that ranking, so hopefully the searcher will
convert into a sale for that advertiser, per TopRank
Online Marketing.

Mobile search works the same way. Google currently
dominates mobile search advertising, with an ad revenue
market share of 91.4 percent. Plenty of mobile Internet
traffic comes from people looking for stuff on the go. IDC
expects mobile search to grow.

EMarketer forecasts confirm this growth. Mobile search
advertising spend will reach $295.1 million in 2011, up
from $185 million in 2010 and $83.2 million in 2009.
EMarketer expects mobile advertising spend to increase
to $201.3 million in 2014. Google is currently in the lead
and that is why the majority of mobile search marketers


are not looking to the smaller players such as Microsoft Video
and Yahoo because they do not have the required traffic Mobile video advertising spend– whether it be pre- or
volume for a successful search campaign, per IDC. post-roll, in-stream or in-ad unit executions – will reach
$50.8 million in 2011, up from $28.3 million in 2010 and
A Bing executive at CTIA Wireless 2011 revealed $12.6 million in 2009. By 2014, spend on mobile video
that 50 percent of search queries on mobile have advertising is expected to reach $201.3 million, eMar-
a local intent, with users searching for restaurants, keter predicts.
movies and other forms of entertainment closest
to them. The launch of the iPad has really propelled the growth of
mobile video advertising. Mobile video has higher viewer
When people are on their desktop, they are in research retention than online video, with 94 percent in the first
mode. But when they are on their mobile device, they 10 seconds compared to only 81 percent on the PC In-
just want to ask one thing and get an answer. They are ternet, according to Rhythm NewMedia, a mobile video
not trying to decide which big-screen TV to get – they ad network.
want to find a good restaurant nearby right now.
Completion rates for interactive pre-roll video ads re-
Marketers are finally beginning to understand that they main high at 87 percent, exceeding online video and
need to focus their mobile search efforts to take advan- television. Additionally, iPad CTRs for pre-roll video ads
tage of mobile-specific capabilities such as location- are higher versus iPhone, iPod touch and Android. CTRs
based services and voice and image-recognition tech- are 79 percent higher on display ads that mention video
nology. as a call to action.

Google’s approach in mobile is to innovate around spe- Brands within the consumer packaged goods and enter-
cial capabilities of mobile devices to make the search tainment categories are leading the way in mobile video
experience easy, fast and useful. The company focuses on advertising adoption, per Rhythm.
location-based, voice and image recognition search.
The number of U.S. mobile users who watch videos on
Over the past two years, Google’s mobile search traffic their devices has increased more than 40 percent year-
has grown fivefold. It offers companies the following over-year in both the third and fourth quarters of 2010,
mobile search tactics to gain a competitive edge: ending the year at a grand total of almost 25 million
people, according to a mobile video report from Nielsen
• A location-based search feature called “Near Me Now” Co. These consumers watched an average of four hours
for iPhone and Android platforms, which lets users and 20 minutes of mobile video per month in both the
browse through lists of nearby banks, restaurants and third and fourth quarter of 2010, which equals a 33 per-
other business categories cent and 20 percent year-over-year bump in each quar-
ter respectively, per Nielsen.
• Google Maps Navigator, which enhances the Google
Maps functionality by providing turn-by-turn voice guid- Growth in mobile video consumption can be attributed
ance and automatic rerouting to the ever-increasing adoption of media-friendly mobile
devices such as tablets and smartphones. In the fourth
• Google Voice search, enabled in seven languages in- quarter of 2009, a mere 23 percent of U.S. consumers
cluding English, Mandarin and Spanish had smartphones. In comparison, smartphone penetra-
tion grew to 31 percent by the end of 2010. Additionally,
• Google Goggles, an image-recognition technology it has become much easier to find, view and share mo-
that lets users take pictures of objects with their mobile bile video with the proliferation of the mobile Web and
phones and generates information based on the photos app usage.


Primary drivers

O
verall, the advancement of network technologies,
lower mobile data cost, adoption of smartphones
and an increase in application and mobile Web
usability are obvious drivers of mobile advertising. Mar-
keters follow consumer eyeballs.

The rate of global mobile Web content growth over two
years has outpaced the growth of the desktop Internet
over that same period, according to dotMobi’s Mobile
Web Progress study. DotMobi’s 2008 study showed
150,000 mobile-ready Web sites, while the 2010 study
showed approximately 3.01 million sites, representing
an incredible two-year growth of more than 2,000 per-
cent. And that growth level significantly outpaces early
desktop growth.

Web analyst firm Netcraft found that, between 1996 and
1998, the size of the desktop Web grew from 150,000
sites to 1 million sites, a growth rate of 1,333 percent,
compared to the mobile Web’s 2,000 percent growth in
the equivalent timeframe. With this explosive growth comfortable viewing mobile ads on their devices, with 38
in mobile Web sites and the aforementioned explosion percent of almost 4,400 individuals that comScore and
in mobile applications, it is no wonder that mobile ad- InMobi polled in August 2010 stating they felt mobile
vertising was about 3 percent of marketers’ total online ads serve an important purpose. Another 25 percent said
advertising budgets in 2010. IDC expects this number to that they were getting used to seeing mobile ads. Only
grow to 5 percent in 2011. 10 percent said that they were uncomfortable seeing mo-
bile ads and 12 percent said they were downright intru-
There is a lot of activity on the mobile Web, and adver- sive. Males are more comfortable than females in being
tisers finally understand that it is an effective market- served and interacting with mobile ads. Users under the
ing channel. Additionally, the mobile phone is a personal age of 25 were most likely to find value in mobile ads.
device. It enables in-your-face advertising. The ads are
more personal than on the PC. Another reason for the “Few people are able to galvanize marketers and the pub-
expected growth in mobile advertising budgets in 2011 lic like Apple CEO Steve Jobs. The launch of the iPad, a
is that, for marketers, it is about the results and the ef- new iPhone and the iAd advertising platform in the space
fectiveness of a channel. Mobile is starting to make a of several months arguably has been the single most ef-
name for itself with ads that see grand results. Ad units fective catalyst to date for mobile advertising.” –Mobile
are getting more sophisticated and ROI is increasingly Advertising and Marketing: Past the Tipping Point, eMar-
being proven in the channel. IDC expects there will be keter, October 2010
more mobile Internet traffic than the desktop, meaning
mobile display and mobile search will outgrow their PC Apple’s iAd mobile ad network became a standard for
Internet counterparts. developing and delivering ads for the iPhone ecosystem.
As a majority of mobile ads were static images on the
Consumer acceptance of mobile ads is also a driver, ac- iPhone, iAd interactivity ushered in a new age of mo-
cording to eMarketer. Consumers are actually becoming bile advertising opportunities. The platform gave content


creators designing browser-based ads an additional op- which they spend the most time. These channels – mo-
portunity in the mobile ad space, allowing them to create bile, social media and online –are being thrown in to the
animated, interactive ads. IAd, when first launched was marketing mix finally, and with respectable budgets.
an ad experience that piqued users’ interest. As such, us-
ers were more apt to click on an iAd just to check out The acquisitions of both AdMob (Google) and Quattro
Apple’s take on what a new generation ad should offer. Wireless (Apple) were proof that as mobile phone usage
This burst of interest alone has had a high impact on increases, growth in mobile advertising is only going to
overall mobile advertising click-though rates. accelerate. The deals resulted in developers and publish-
ers getting better advertising solutions, marketers find-
Just having someone such as Apple and Mr. Jobs as a ing new ways to reach consumers, and users getting bet-
creative force in the space is a huge advantage for driv- ter ads and more free content.
ing attention and pushing the boundaries of where it can
go. He did a good job of turning five-figure budgets in The iPhone 4 and other 4G-capable phones are also driv-
average ad spend to six- and seven figures. He proved ers of mobile advertising serve as the ideal canvas for
the validity of rich ad experiences. He really speaks to interactive experiences. Every new generation of mobile
chief marketing officers to tap into those print and TV devices to come out of the smartphone manufacturers
budgets. At the end of the day, the mobile advertising
ecosystem is in a better place because of the support of
Apple and Mr. Jobs.

The iAd platform opened the industry’s eyes in terms of
what is possible in mobile. It also served as a catalyst
for more sophisticated, interactive and engaging mobile
advertising experiences. Since its launch, there has been
a fundamental shift in mobile advertising. Mobile com-
panies, from mobile marketing specialists such as Hip-
cricket to mobile ad networks such as Millennial Media,
Jumptap and Greystripe, began to enhance their offerings
in a bid to compete with giants Google and Apple. With
Google’s acquisition of AdMob having been completed in
2010 and iAd’s launch that same year, independent play-
ers both large and small began innovating and punching
above their weight.

Google’s acquisition of AdMob was validation that mo-
bile advertising is real, that the results are measurable
and have considerable value and that mobile should be
a factor, if not a central pillar, in any brand marketing
strategy going forward.

With the newfound validation of the mobile indus-
try, there was an influx of major brands to the mobile
bandwagon. With the explosion of mobile activity, siloed
campaigns are becoming a thing of the past. Consum-
ers’ dependence on mobile has already changed them
forever. They want to be spoken to via the channels in


brings with it an exciting new set of features for devel- owning smartphones. Hence, conversations are shift-
opers to implement in their apps, which, in turn, adver- ing. While there are a lot of feature phones out there,
tisers could take advantage of within their ads. Google’s a high percentage of people who are interacting with
Android and Apple’s iPhone 4 have both stretched the mobile marketing campaigns are smartphone users.
limits of what the industry once thought was possible in Looking at consumers ages 25-34, about 50 percent of
mobile advertising. them have smartphones, so the reach is getting there.
Text messaging still has the most reach, because both
Rich media and innovative ad units have garnered the smartphones and feature phones are SMS-enabled. But
attention of consumers, making the probability for a when marketers look at the mobile Internet, apps, vid-
click-through higher. In fact, research firm InsightExpress eo and social networking, the large majority of traffic
found that mobile advertising is four-to-five times more is coming from smartphone users, which is a different
effective than online advertising, on average. That is due audience altogether.
to various factors, including lack of clutter in mobile,
typically one ad per page, and the mobile pages them- Consumer behavior on mobile is another driver of mobile
selves typically do not have a lot of stuff going on—they advertising. For example, 82 percent of consumers have
tend to be very clean. Also, the proportion of the ad on a used their mobile phones in a store, 55 percent in a doc-
mobile screen is greater, so it gets more share of eyeballs. tor’s office or hospital, 17 percent during a movie at the
theater, 14 percent while flying on a plane and 7 percent
The iPad and other tablet devices are also drivers of mo- during church service. Around 17 percent of mobile users
bile advertising. On the heels of Mr. Jobs’ official intro- have shown a clerk in a store a picture of a product on
duction of Apple’s iPad, marketers and developers raced their mobile phone, saying in effect, “I want this please,”
out the door with apps and advertising services for the which is a new shopping behavior that is surprisingly be-
new tablet. The iPad gave publishers and brands new and ing driven by men. Forty-five percent of users check their
creative opportunities for creating meaningful and truly mobile devices first thing in the morning, according to
engaging experiences with the consumer. What makes InsightExpress. Marketers recognize the opportunities
the device most attractive to marketers is its form factor with advertising to these mobile consumers.
for content consumption.

The form factor allows brands to maximize how they in-
teract with users and provide an engaging brand expe-
rience through mobile advertising. The opportunity lies
in the fact that the iPad can support instant loading,
HD-quality video and other interactive content such as
high-definition display, pinch-to-zoom and 3D rotation.
These features give brands the opportunity to showcase
the finer details of their products from all angles and
the highest resolutions, via an unprecedented mobile
advertising experience.

“It’s easy to point to iPad as the best performing device,
but the reality is that we’re seeing double-digit perfor-
mance on iPhone and Android as well.” – Elena Perez,
director of marketing at Medialets, New York

According to InsightExpress, smartphones are the
new phone, with more than a third of mobile owners


What’s working and what’s not

S
uccess in mobile advertising depends entirely on substandard mobile experiences.
the approach taken and whether it was right for
Companies that are not prioritizing what is important
that specific campaign’s goals. If execution is done
strategically, then all the ad formats work, whether it befor the mobile user specifically are missing the ball. This
text, Web, video or app. means thinking of all the possible ways of making life
easier for consumers who are on the go – for example,
Brands and marketers need to remember to take the con- helping them find directions to a business, finding the
text in which the consumer is seeing the ad. Therefore, hours of operation and click-to-call to get in touch with
repurposed static banners and videos that are placed a customer service representative. It is a shame that so
next to unrelated mobile content will not work. These many marketers are not taking advantage of mobile-spe-
units fail from a creative and media planning perspective cific functionality. The mobile device’s screen is smaller
to pull the user into the ad experience. Another impor- than the PC’s and marketers need to keep that in mind.
tant step is to make sure that the creative considers the
user experience of its call to action. Making consumers
complete numerous steps for a conversion is not going to
work, especially for those who are on the go.

“Mobile advertising that works starts with emerging be-
haviors rather than emerging technologies. There are a
million different things that a marketer can do on mo-
bile. Deciding what to do is often the hardest part of the
process. But it is much easier when you approach it with
sound business logic and ask the following questions.
What consumer insight are you trying to address as a
product and as a brand? What is the message that you
are trying to communicate? What are your business ob-
jectives? Mobile advertising has worked when the deci-
sion of what to do is based on how well it aligns with the
answers to those questions.” – Paul Gelb, vice president
and mobile practice lead at Razorfish, New York.

Failing to mobile-optimize the post-click experience is
one of the most frustrating experiences for mobile us-
ers. It is an ultimate failure on the part of the marketer.
One would think that this is not a common dilemma.
However, Google conducted a study looking into the
post-click experience for some of its largest advertisers
on mobile. The company used 200 diagnostic points to
measure each advertiser’s mobile readiness, with criteria
such as load time, device detection and mobile optimi-
zation. Google found that only about 21 percent of its
largest advertisers have a mobile-optimized Web pres-
ence. That means that more than 79 percent are serving


If all of the most rel- cal queries, whether or not the keywords entered in-
evant information for clude local modifiers such as a city, state or ZIP code.
the mobile customer Therefore, a consumer who searches for “Target” on her
is not placed front and mobile device is expecting to get results listing the Tar-
center on a mobile ad- get locations closest to her. The Kelsey Group reported
vertising landing page, in 2009 that about one in three mobile searches have
consider the campaign local intent. Additionally, marketers that are not using
a failure. mobile-specific actions within their mobile search cam-
paigns are missing the ball. A click-to-call function is
Harris Interactive con- a no-brainer and click-to-map, click-to-directions and
ducted a survey on other useful actions for a mobile user should be incor-
behalf of Pontiflex in porated. The mobile search results must be different
December 2010. The from the desktop results, tailored specifically for mobile
study found that ROI and accountability are of utmost searchers, otherwise marketers are not getting the most
importance to brands and agencies, and while mobile out of their campaigns.
advertising has proven its effectiveness when executed
properly, click-through rate is a limited metric at best. A spray-and-pray approach to SMS, display and video
This means that marketers need to take into account advertising is not going to work, either. Targeting is key.
more than just the click. Gartner predicts mobile will be the No. 1 Internet access
device by 2013. ABI Research believes that 8 percent of
Forty-seven percent of mobile application users say they total ecommerce sales will come from mobile by 2014.
click or tap on mobile ads more often by mistake than Also, according to comScore, nearly one-third of all mo-
they do on purpose. Given that mobile advertising mod- bile users already actively engage with Web content on
els typically charge advertisers for clicks, the survey find- their mobile phones, and 53 percent of smartphone users
ings indicate that a large portion of mobile ad dollars routinely engage in mobile Web browsing activities.
are wasted. Advertisers need to be measuring beyond the
click: time spent engaging with an ad and what consum- These consumers express intent and interest when they
ers are doing on the landing page. Focusing solely on clicks visit a mobile site and click to the microsites built into it.
is not working. Media buyers need to consider factors such as age, sex,
location and the type of content that is being engaged
When it comes to mobile search advertising, what works with on the site when deciding on where to advertise. Of
online, will not necessarily work on mobile. Therefore, course, ad networks simplify this process by serving ads
treating a mobile campaign as part of a company’s on- based on their relevancy.
line SEM efforts will not work. There are a few reasons
why, the most important being that the mobile searcher’s For SMS, segmenting the mobile database into smaller
intent is very different from that of the desktop searcher. lists is a good best practice. Run a mobile coupon pro-
Separating mobile campaigns from PC campaigns allows gram to all of the people in the database. All those who
marketers to break out keyword performance, reporting, opt to redeem the deal can be segmented into a list
tracking and optimization so that it is unique for the called, “Those responsive to deals.” Consumers who ac-
mobile space. Most engines will also assign a historical tively engage in free giveaways can be segmented in the
weight to campaigns based on performance, so separat- “Freebie lovers” list, for example. This way, marketers can
ing mobile campaigns will ensure they do not affect the target the right promotion to the right list of consumers
relevancy of their PC counterparts. at the right time. Also, consumers who receive deals that
they are more prone to participate in are less likely to get
According to 360i, mobile search is most useful for lo- annoyed and opt-out in the future.


Devices and ad formats that generate the best responses

A
report by Yahoo Inc. found that tablets have
emerged as a potential contender for screen
dominance. With approximately 10.3 million
tablet users in 2010 and that number expected to reach
82.1 million by 2015, tablets such as the iPad have un-
doubtedly caused a disruption in the mobile space.
In 2012, tablet sales will grow to 36 percent of U.S. PC
sales, according to Yahoo, and this number will likely
outstrip notebooks/mini-PCs, which are expected to be
32 percent of overall PC sales. IPad users are open to
advertising, especially if coupled with an interesting
video (49 percent) or interactive features (46 percent),
according to Yahoo.

When it comes to smartphones, Android and iPhone
are really leading the way. Users of these smartphone
platforms are more receptive to mobile ads and are con-
suming a great amount of mobile data both on the Web
and via applications. According to a study by Nielsen, What all of this data shows is that the rapid increase in
Android users are more likely to click on advertisements iPhone and Android handsets will be the key factor in the
within apps. The reason for this may have to do with growth of mobile advertising, as brands can deliver more
the fact that the Android platform has more free apps engaging experiences on the mobile Web and in-apps
than Apple’s App Store does, making Android users more via these devices. The ability to replicate online creative
accustomed to the trade-off of viewing ads to receive through better mobile browser experiences will simplify
free content, according to eMarketer. A Harris/Pontiflex the creative and buying processes and facilitate the flow
survey found that 71 percent of mobile app users stated of dollars shifting to mobile campaigns from more tradi-
that they prefer ads that keep them within the app they tional channels.
are using, instead of ads that take them out of the app
to a mobile Web browser. Research by Luth Research on At the end of the day, what is most important is that
behalf of the Mobile Marketing Association found that the advertiser or agency understands its target customer
iPhone users are more likely to respond to a mobile Web and how they incorporate its mobile devices into their
ad than owners of other smartphones. lives. The ad needs to be creative and resonate with the
intended audience. They should also consider the variety
The Luth-MMA study found that for smartphone users, of mobile ad units that can foster a sense of engagement
seeing a mobile ad triggers a response, with 43 percent with the audience.
of consumers seeing an ad, and 37 percent of them re-
sponding to and interacting with the ad. But different “The truth is that no one platform is winning—each
mobile advertising channels see different response rates. is extremely important in the mobile ecosystem. De-
Ads within text alerts seem to be working the best in vice manufacturers and wireless carriers have ag-
terms of response rates, the same study found. Thirty- gressively developed and marketed devices that reso-
six percent of respondents responded to ads within text nate with different consumers for different reasons.”
alerts, while only 11 percent responded to display ads on — Mack McKelvey, senior vice president of marketing at
mobile Web sites. Millennial Media, Baltimore.


Notable creative messaging executions and campaigns that stand out

The Campbell Soup Co. iAd Weather Channel for
The Campbell Soup Co.’s iAd campaign received about 53 iPhone app was another
million impressions, with approximately 530,000 of the unique execution. The
users that saw the ad clicking through and engaging with creative, which only dis-
it for nearly one minute. The Campbell’s iAd campaign played when there was a
ran within applications such as The New York Times’ chilly forecast, invited us-
iPhone app. It aimed to celebrate all the new products ers to wipe away virtual
that the brand offers through an interactive experience. frost to reveal a stunning
photo carousel featur-
The ad focused on Camp- ing eight Westin Hotels
bell’s new contemporary & Resorts located in warm
label design, 21 addition- climates. The combination of native device capabilities,
al soup varieties with re- relevant targeting and a long, cold winter added up to an
duced sodium levels and exceptionally powerful mobile rich media campaign.
new recipes made easily
with the brand’s soups. HBO’s True Blood
Clickers could take a HBO’s True Blood mobile ad campaign increased viewer-
number of actions once ship 38 percent. Medialets assisted HBO with the effort.
engaged with the ad. HBO ran a rich media mobile ad campaign to promote
The iAd aimed to increase the season three premiere of “True Blood” using a new ad
awareness of what is new and relevant with Campbell’s unit that sent chills down consumers’ spines. The goals
condensed soups and drive trial with a downloadable of the marketing campaign were to excite existing fans,
coupon and recipes, also available through the iAd. intrigue the uninitiated and garner the attention of the
industry to boost awareness and drive tune-in.
The banner iAds, on average, achieved more than twice
(35 percent) the brand recall of the average food and The campaign, as a whole, was successful—more than
beverage Internet display ad (17 percent). Favorability
(53 percent) and purchase intent (61 percent) increased
significantly among consumers who were exposed to the
Campbell’s iAd banners. Compared to what Campbell’s is
achieving with its television and online campaigns, the
expanded iAd has generated significantly stronger impact.

In terms of general recall, the iAd achieved 84 percent
compared to an average 39 percent for the Campbell’s TV
ad norm and a 32 percent online ad norm. Brand recall
for the iAd was 79 percent compared to an average 20
percent for TV and 17 percent online. Message recall for
the iAd was 38 percent compared to an average 14 per-
cent for TV and 11 percent online. Ad favorability for iAd
was 54 percent versus an average 12 percent for TV and
9 percent online.

Westin Hotels & Resorts
The recent Westin Hotels & Resorts ad that ran on The

5.1 million viewers tuned in to True Blood’s season three and CBS. Additionally, The Hyperfactory leveraged its
season premiere. Agency of record PHD and Medialets relationship with Pandora to create an Intel promotion
chose iPhone applications from Variety, Flixster and vari- within the Internet radio service.
ous inventory across Jumptap’s mobile ad network.
The campaign saw lower bounce rates on mobile
Imagine browsing through the Flixter application looking than with traditional Web advertising, possibly be-
for a movie or browsing the Variety application, and the cause mobile users are using their phones and search-
first touch of the screen turns into a bloody fingerprint. ing for information with greater purpose than users on
Tap it again and get another fingerprint, then the blood regular desktops.
pours down and takes over the screen and the activa-
tion pops up: a tap-to-watch-trailer call-to-action with Apparently, search engine marketing saw 67 percent
a banner ad at the bottom. bounce rates versus 89 percent for display advertising,
per Intel. And it saw the lowest bounce rates on iPhones
Intel (85 percent), Android (64 percent) and BlackBerry (71
Intel tapped mobile search to support its “Meet the Pro- percent) phones. Intel took these results as a sign that
cessors” brand campaign that drove consumers to the more effort should be made to target the Android and
technology giant’s mobile Web site. Search agency Co- BlackBerry platforms.
vario Inc. tapped Bing for mobile and developed a cam-
paign that used a combination of exact and broad match Drugfree.org
keywords. The result was that mobile cost-per-click was The Partnership at Drugfree.org ran what it claims was
40 percent more cost-efficient than online search. one of the biggest public service campaigns in mo-
bile history to help prevent teens and tweens from
One of Intel’s key challenges was to educate consum- abusing medicines.
ers about the key product differentiators of its micro-
processor series. There The nonprofit organization tapped ChaCha to power the
were a number of factors mobile advertising campaign that included both text
that contributed to the 40 messaging and mobile video advertising, as well as con-
percent greater efficiency, tent additions to ChaCha’s database that let users get
including daily keyword
bid updates and weekly ad
copy optimizations.

Route optimization also
helped to drive higher
CTRs and lower CPCs than
competitive mobile search engines. These factors com-
bined to make Bing for mobile very effective for Intel.

Mobile display advertising also played a role in the In-
tel campaign. The Hyperfactory was hired to devise a
strategy for media, campaign, design and execution.
Intel used display and rich-media ads, which users
could expand, drag and interact with to find the right
processor for them. It also used basic banner ads that ran
on mobile Web sites and in apps.

Ads ran on a number of mobile Web sites, including CNN

answers when they asked about drugs, medication, alco-
hol and related topics.

Through ChaCha’s mobile advertising platform, targeted
messages were sent to teens and parents based on age
and topic that helped educate them about the health
risks posed by teen medicine abuse. SMS user response
rates averaged 4 percent, while the best performing text
ads achieved a 9.8 percent response rate.

Calvin Klein
Calvin Klein went beyond mere banners in June 2010,
with its GQ application sponsorship. The brand integrat-
ed its own content into GQ magazine’s Style Picks appli-
cation via a sponsorship that hardly felt like advertising.

CK bought this sponsorship directly from GQ to present
its new product line to mobile shoppers. The ad unit was portal. Yahoo’s mobile homepage gets about 50 million
a sponsored guide within the app and was full of interac- unique visitors a month, which comes to about 1.5 mil-
tive content such as model shots, a product catalog and lion unique visitors per day. Therefore, the 6.2 percent
videos. The idea was to make the ad unit as close to the click-through rate is quite a large number of people that
content as possible, so that it is useful to men looking for interacted with the ad.
style advice.
The Yahoo rich media ad unit featured animation. The ad
Within the app, con- ran on Yahoo’s mobile homepage, with the top of Shrek’s
sumers could click on a head along the bottom of the iPhone screen. If a consum-
model with a new sumer tapped on his dome, Shrek popped up to fill the screen,
mer look and get a list with “Tickets” and “Show Times” icons on his forehead.
of all the products that Another tap directs the user to a microsite, where he
model was wearing. For could watch the trailer or buy a ticket for a local theater
those users who liked via Fandango. On the Yahoo Movies mobile page, tapping
what they saw, they Shrek’s head also caused it to fill the screen, where the
could find the closest user could tap again to move to the microsite.
CK store to go try it out.
Additionally, if consumers wanted to know more about Iron Man 2
what CK had going for with that look, they could watch The average click-through rate of movie-ticketing giant
the video where style experts from GQ and CK walked Fandango’s commerce-enabled Iron Man 2 mobile video
through the new items. CK was able to reach men in ads surpassed 6 percent—more than eight times as effec-
discovery mode looking for ideas who were near a point tive as the average PC Internet video ad.
of purchase.
Fandango’s marketing goal was to drive movie ticket
Paramount “Shrek Forever After” sales for the Iron Man 2 movie. The company wanted
A Paramount mobile rich-media campaign for Shrek re- to target its main demographic of movie-goers and ac-
sulted in a 6.2 percent click-through rate. The “Shrek tion lovers, so the company chose to place ads powered
Forever After” campaign targeted iPhone users on the by iVdopia within movie, entertainment/gaming and
Yahoo mobile homepage and the Yahoo Movies mobile sports apps.


Fandango provided iVdopia with a Flash creative with a app for Apple’s iPad. The New York Times Editors’
countdown of days left until the movie’s premiere. IV- Choice app offers a selection of the latest news, busi-
dopia helped convert the Flash creative into a video ad- ness and technology news, opinion and features chosen
vertisement and executed the countdown with different by Times editors that can be downloaded automatically
video creative each day from April 29 to May 7, 2010. to iPad, a publisher favorite.

The mobile video ads appeared in a variety of applica- The Editors’ Choice app launched with a full-page verti-
tions for the iPhone cal and horizontal interstitial ad that provided a large
and iPod touch, in- interactive canvas for Chase Sapphire. Ad agency T3
cluding Skyworks’ and Medialets collaborated on the design of the Chase
Goaaal! Lite, Arcade Sapphire ad units.
Hoops Basketball Lite,
Field Goal Frenzy Lite, The card issuer’s goal was to drive users to a landing
Arcade Bowling Lite, page to get more information about Chase Sapphire and
3 Point Hoops Bas- apply for the card via a link on that page. The opening
ketball Lite and World interstitial ad unit was optimized for the iPad’s function-
Cup Air Hockey Lite. ality. Depending on how a user tilted the iPad, a different
reward showed up, spilling out of each side of the Chase
The mobile video ad Sapphire card.
creative had a clear
call-to-action asking There were 12 different rewards that the ad promoted
consumers to buy tickets that resulted it in 6.17 percent related to airlines, resorts, ski trips, even romantic dates.
of users clicking on the “Buy Tickets” icon. In addition to the interstitials, the campaign also includ-
ed half-page ads and banners with both landscape and
On average, more than 25 percent of users who clicked portrait versions.
on an iVdopia mobile video ad also did a post-click ac-
tion. Fandango received more than 50,000 actions on the
custom Iron Man 2 Talk2Me page created by iVdopia.
Around 25,000 users clicked on the “Buy Tickets” icon
and more than 11,800 users viewed the trailer for the
Iron Man 2 movie.

More than 5,800 consumers clicked to download the
Fandango application, while another 7,800 clicked to
view Iron Man 2 show times. Forty-nine percent of users
who clicked on the ad decided to buy tickets now, while
23 percent viewed the trailer, 16 percent searched show
times and 12 percent downloaded the app. In total, the
mobile video campaign generated 817,495 impressions
and 50,410 clicks through iVdopia’s Talk2Me actions in
nine days.

Chase Sapphire
JPMorgan Chase & Co.’s Chase Sapphire, a rewards
card targeting affluent consumers, was the exclusive
launch sponsor of The New York Times Editors’ Choice


Measuring mobile advertising

A
ccording to Paul Childs, chief operations offi- Third-party ad
cer of Adfonic, London, there are several ways serving technolo-
of measuring the success of a campaign post- gies such as Atlas
click. Mobile ad networks offer full post-click measure- and DoubleClick
ment with the ability to track application installs and that track when
measure conversions post-click on mobile sites, along a user clicks on a
with the capability to measure the real success of third-party ad tag
click-to-video campaigns. are gaining trac-
tion within mobile
App-install tracking enables advertisers to measure not and will continue
only how many times their iPhone or Android app is to instill greater
clicked on, but also the number of downloads and first confidence in mo-
opens that are generated post-click. This information bile advertising
provides visibility into exactly how much an advertiser is measurement, Ad-
paying for each app download. fonic’s Mr. Child
said. There will in-
Similarly, post-click conversion tracking for mobile sites evitably be some
allows advertisers to specify and track predefined actions clicks that are
– conversions – performed by a user once she has arrived generated by acci-
at a mobile site. dent with all mobile
display campaigns. But there are measures that adver-
This enables the advertiser to assess performance from tisers can take to increase the proportion of high-value
impression through to conversion and to establish their clicks versus accidental clicks.
cost per conversion. Additionally, click-to-video cam-
paigns that allow the advertiser to see how long a user Relevancy is vital, and mobile advertising networks work
spent viewing their video enables them to gauge the true closely with publishers to ensure that ad placements are
value of the click. relevant to the user. This is not only in terms of the chan-
nel and context of the surrounding content, but also by
It is important that mobile networks provide advertisers employing sophisticated mechanisms such as geo-tar-
with the right key performance indicators to facilitate geting to increase relevancy.
the ability to work to cost per acquisition (CPA), cost per
lead (CPL), cost per install (CPI) and cost per download Ensuring that ads are served to a highly targeted audi-
(CPD) targets, and to see that these targets are being ence with a high propensity to click on the ad in ques-
delivered through a cost-per-click (CPC) campaign. This tion reduces the percentage of overall clicks that are
level of transparency provides advertisers with the per- generated accidentally.
formance visibility that they need to see how well their
ads are performing. It is this increasing ability to fine-tune targeting to drive
high-value clicks, combined with improved transparency
The ability to do this in real time and optimize campaigns to measure mobile ad campaign performance from im-
as they run in much the same way that advertisers are pression to conversion that is encouraging more brands
used to with online campaigns is key to maximizing the to come on board and increase their mobile advertising
volumes of high performing clicks, hitting CPA targets budgets. Proof, if any more were needed, that mobile ad-
and ultimately driving up ROI. vertising delivers relevant and valuable clicks.


Making media buys for mobile advertising

T
he first step, as with any medium and not just mo- are, without exception, most successful executions. Thus,
bile, is to know why you are buying mobile me- the second difference is media and creative need to work
dia. It is important to outline your goals earlier on closely from start to finish instead of in siloes.” – Paul
and then see if mobile is the best method of achieving Gelb, vice president and mobile practice lead at Razorfish,
these goals. New York.

Additionally, a campaign’s specific goals will dictate the To illustrate this point, Medialets and Razorfish worked
type of media to buy, since the target audience is differ- on a campaign for Westin, which ran on The Weather
ent from campaign to campaign. Channel app. It targeted users in cities where the tem-
perature was below 30 degrees. The creative was about
There are so many different options when it comes to the cold weather and the appeal of resorts in destina-
from which firm to buy mobile media. There are the ad tions where the weather is extremely warm. The media
networks – Millennial Media, Jumptap, Apple iAd, Google and creative were completely integrated. Creative needed
AdMob, Mojiva, InMobi, Greystripe, Air2Web and Micro- to know from the beginning that this type of placement
soft, to name a few. For brands and marketers who are was possible.
working on a direct response campaign, the best bet is
teaming up with a mobile ad network. But for a custom
campaign, looking to do something out of the ordinary,
sometimes it is worth working directly with the publisher
and build something together with them.

When choosing ad networks, a best practice is going
with a few at a time. This not only increases reach, but
midway through the campaign, brands can optimize out
of underperforming placements or even networks. The
networks differ by targeting capabilities, scale, the type
of inventory, rich media and blind versus open. For exam-
ple, iAd’s network is unique because it uses iTunes and
App Store data to target. In most cases, mobile media is
bought on a CPM basis. However, this can vary and many
of the blind networks can be purchased on a cost-per-
click basis.

It is really important to monitor the campaign from start
to finish. Brands can evaluate and optimize throughout
to make sure that they are not only meeting campaign
goals but also achieving good return on investment.

“A lot more thought must go into the where – both loca-
tion and content – and when decisions of the media plan.
Those decisions are more dependent upon the ad’s copy,
design and functionality. Media and creative have been
separated for most other channels. Advertising that has
coordination and integration amongst those components


Integration with other channels and role as traffic driver

D
igital, out-of-home, TV, print and direct mail are For example, fast food chain
channels that marketers can use as consum- Arby’s masterfully drives tri-
er touch points. Mobile can be integrated into al, sales and loyalty through
these channels, giving them legs to work harder and cross-media integration.
perform better. The Hipcricket-supported
campaign to launch its
In the case of print, direct mail and out-of-home, mar- Roastburger product kicked
keters are using mobile make what has traditionally been off with a Jimmy Kimmel
one-dimensional very dynamic. Marketers can use mo- Live segment, where view-
bile to make every other touch-point more effective by ers were urged to text the
adding location context, social sharing capabilities and word ROASTBURGER to 27297 to receive a free sandwich
interactivity to analog. with the purchase of any drink. Arby’s created 172 local
databases to enable a local mobile capability and to han-
According to Razorfish, one of the world’s leading dle the SMS response traffic from its television, radio and
interactive agencies and one of the largest buyers of in-store promotions.
digital advertising space, consumers are bombarded with
thousands of ad messages. The attention of consumers Of consumers who started a text interaction through in-
is scarce and incredibly hard to obtain. Enhancing other store signage, more than 89 percent opted to join the
channels is essential to generating the necessary ROIs. Arby’s local database. In addition, more than 90 percent
As an always-on connected device, mobile is uniquely of TV respondents did so. Since the initial launch, Arby’s
able to direct a consumer from one consumer touch- has integrated mobile into many of its TV and radio com-
point to another. This is especially valuable as the path to mercials, print ads, Sunday coupon circulars, live events
purchase has become more complex. and in-store signage.

“Mobile is unique because it is both a channel and a con- Mobile is not an island unto itself and inasmuch as its
nective tissue. The metaphor of a funnel has been re- most ardent fans would like to believe, the medium’s
placed by a non-linear, non-sequential path to purchase. best use is in giving legs to others. Mobile has the po-
Only mobile can shepherd consumers through this new tential to drive traffic to retail stores, as has been amply
labyrinth to conversion. - Paul Gelb, vice president and proved with campaigns from restaurant chains such as
mobile practice lead at Razorfish, New York. Papa John’s, McDonald’s, Burger King, Starbucks, Jiffy
Lube and countless others with a physical footprint. SMS
Mobile initiatives are most successful as a leveraged advertising, specifically, could give the advertiser an
aspect of multichannel campaigns. Mobile’s biggest idea of the consumer’s engagement with the brand’s TV
advantage is that it gives legs to other channels such advertising. Ditto with radio. And it has proved to have
as catalog, retail store, direct response television and worked. Oil change giant Jiffy Lube has gone on the re-
ecommerce. The simple addition of a common short code cord to acknowledge SMS’ role in driving traffic to its
and keyword can transform a campaign, call-to-action, locations. In most cases, the SMS call to action was run
storefront or loyalty program. Add to that a mobile- first on radio spots targeted to drivers in certain areas.
friendly site and apps for devices such as the iPhone,
BlackBerry, Nokia, Android, the Palm Pre and others. And What about direct mail and inserts? How about placing
to promote all of that, use mobile display and paid search targeted keywords and short code on mail and inserts
initiatives. With this combination, retailers and market- sent to consumers’ homes and offices? Ask them to re-
ers can breathe new life into their customer acquisition spond via text for prompt fulfillment of the desired call
and retention efforts. to action. The examples can go on and on.


Challenges with mobile advertising and fixes recommended

T
he complexity of the mobile ecosystem and the consumer information. The purpose of the framework is
precedent developments required in devices, in- to assist policymakers, including Congress, in their devel-
frastructure, consumer behavior and advertising opment of potential laws governing privacy and to guide
technology have held this market back from full tilt. and motivate industry to develop best practice and self-
regulatory guidelines.
To wit: Screen size continues to be an issue, lack of educa-
tion among marketers, brands and agencies are also chal- The FTC’s proposal for a Do Not Track mechanism to
lenges. Mobile advertising is a complex ecosystem with let consumers opt out of targeted online and mo-
so many different platforms – iPhone, iPad, Android, Win- bile advertising could be a big challenge to the mobile
dows and Research In Motion, to name a few. Marketers advertising landscape.
need to build ads for each platform for maximum reach.
According to Linda Goldstein, partner and chair of the
Mobile does present a number of clear differentiators advertising, marketing and media division of Manatt,
and advantages as an advertising medium, although tra- Phelps & Phillips LLP, a New York-based law firm, indus-
ditional consumer usage patterns – on-the-go, quick and try groups and press coverage have criticized the report
short-usage bursts – have thus far translated to less pa- for failing to fully appreciate the importance and value
tience with intrusive ads. of tracking in delivering relevant and cost-effective ad-
vertisements to consumers.
The challenges of diverse mobile technology means that
strong targeting in mobile will not be easy to achieve, but Without these tools, some claim, costs will increase
those that break through the barriers will be the winners as advertisers will not have the ability to efficient-
in the market and drive the most value for the industry. ly deliver their message to consumers that fit their
target audience.
The main challenges of mobile advertising are lack of
experience for new entrants, the somewhat complex na- Critics argue that tracking also allows advertisers and ad
ture of how to execute campaigns and uncertainty about networks to not deliver certain ads to consumers whose
ROI. The industry must focus on making sure that brands surfing behavior suggests that the ad would be irrelevant
and agencies understand mobile is a marketing medium to or unwanted by them. For example, ads for feminine
and not a strategy. hygiene products would not be served to a viewer whose
online history comprises Web sites geared primarily to
Paul Cushman, senior director of mobile sales strategy men. The FTC’s proposal has similar concerns for mobile
at Yahoo Inc., Sunnyvale, CA, said that brands and agen- advertisers.
cies need to look at the broader digital strategy, goals,
metrics, assets and budget, and determine how to in- “We still need to focus on how to maximize the benefits of
tegrate mobile. Still, continued fragmentation among mobile. We have just scratched the surface of how effec-
operating systems, devices, application environments tive and versatile mobile can be. Once we have established
and carriers will continue to plague advertisers. With full value of mobile it will be easier to operationalize and
every new device that hits the market, marketers are improve the efficiency of all of its components and uses.
challenged with figuring out what works best from a A focus on discovering and creating all of mobile’s ben-
creative standpoint. efits requires staffing with a unique set of capabilities.
Organizations must acquire or transfer creative and en-
Additionally, on Dec. 1, 2010, the Federal Trade Commis- trepreneurial generalists that are confortable working in
sion released a preliminary staff report setting forth a an unstructured environment.” – Paul Gelb, vice president
framework on how commercial entities should protect and mobile practice lead at Razorfish, New York.


Best-practice tips
1. Consider how consumers are now using their mo- quarters, savvy marketers are quickly realizing the ROI
bile devices: as a shopping tool for price comparisons, and investing heavily.
to share purchases with others, as well as a way to con-
sume media and entertainment. Use mobile advertising 7. Cross-platform is the way to go. Creating ads for a
to influence consumers based on shopping behavior. single platform, carrier or mobile device does not make
sense, since not all consumers are on smartphones or
2. Avoid buying cheap impressions and not focusing on a single carrier. Excluding the full, relevant audience
on making an impression on the target audience. Ad- from a mobile advertising campaign will limit its success.
vertisers often get lured into the cheapest inventory. It is Do not forget about connected devices such as gaming
important to evaluate the quality of those impressions. devices and tablets, feature phones, and other cross-
As the saying goes, “You get what you paid for.” platform opportunities. Do not overlook consumers who
use feature phones.
3. Set clear metrics for success. Whether they are per-
formance or brand focused, setting clear metrics for suc- 8. Drive your objectives. You can engage your target
cess are imperative in mobile advertising. Engage with a consumer at every level of the purchase funnel. Drive
third-party research firm such as Dynamic Logic to un- awareness, capture information for re-marketing, drive
derstand the brand implications of a campaign. consumers to bricks-and-mortar locations or to mobile
commerce sales directly through mobile. Identify your
4. Leverage targeting parameters. Mobile advertising campaign goals, then customize your message and strat-
enables incredible targeting parameters. Beyond behav- egy to achieve those results.
ioral and contextual, ad networks offer targeting such
as geo, demo and keyword-based. The ability to engage 9. Follow the Mobile Marketing Association set of
your target audience at scale is unparalleled in mobile. guidelines to mobile advertising, which is currently the
Think about who you need to reach, when you want to industry standard.
reach them, and what you want them to do for an ef-
ficient and effective buy. Mobile advertising offers the 10. Test, test and optimize. Test what works and what
unique ability to target your audience through a number does not and optimize on the fly to increase ROI.
of methods, including behavioral targeting, demographic
targeting and location-based targeting by country, re-
gion, DMA and ZIP code.

5. Focus on the post-click experience. Not providing a
fluid mobile experience post-click is a big mistake. Ad-
vertisers should do user scenarios for a post-click ex-
perience that is customized for the mobile audience.
You can make an engaging mobile experience for con-
sumers with rich media creative and highly-engaging
post-click actions, including the ability to view videos,
drive to social media sites, download apps and directly
purchase products.

6. Learn from past efforts and what was learned in
mobile from previous campaigns to lock up mobile
inventory. Where demand exceeded supply in previous


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