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Mobile Advertising

       Amanda Oliveira
Abstract
 Mobile advertising is a fast-growing part of marketing
 communications. In this paper we will discuss how
 mobile devices have become the medium of the
 future and how it affects advertising. This paper will
 explore the different approaches for mobile
 advertising as well as the creation and design of
 advertisements for mobile devices. Targeting your
 audience, technical challenges, current trends, as
 well as the future of mobile advertising will be
 touched upon. We will also take a look at the other
 types of advertising opportunities on mobile devices.
A New Medium
 Mobile advertising has become a fast-growing part of
 marketing communications today. It provides an exciting
 and interactive way to promote a product or service to the
 public. A 2007 studied showed that 255.4 million
 Americans had a wireless subscription. These devices
 serve as an important resource to those who want to stay
 in touch and informed (Laszlo, p. 27). Mobile devices
 allow for instant gratification for communication,
 information, or entertainment whenever and wherever a
 consumer is. This proves that mobile communication
 devices have become the newest and greatest
 advertising medium.
Device Types

 There are many
 device types that are
 available which
 provide a wide
 spectrum of
 capabilities that differ
 from a PC. Devices
 can be broken into
 down into three
 categories and one
 exception: (Laszlo, p.
 34)
Device Types


a) Basic mobile
  phones – are cheap.
  Their media
  capabilities are limited
  to text messaging and
  a WAP-based
  browser. These are
  now the minority.
Device Types
   b) Feature phones – the
    most common mobile
    devices. They include a
    variety of functionalities and
    features. These typically
    include a large color screen,
    a browser, ability to purchase
    and download ringtones,
    games, and other media,
    and a camera. Some other
    capabilities may include a
    video camera, Bluetooth,
    and the ability to store MP3
    or other music files.
Device Types
   c) Smartphones –
    are user extensive
    and usually offer a
    full QWERTY
    keyboard. They are
    highly optimized for
    email and browsing
    the internet. An
    example would be a
    Blackberry or
    Windows Mobile
    device.
Device Types
   d-) iPhones - have been a
    game changer. “The
    iPhone‟s multi-functional
    touch screen has
    transformed the nature of
    high-end mobile phones,
    which are now seen as
    multi-purpose mobile
    Internet devices that also
    can be used for voice, text,
    and multimedia purposes”
    (Okazaki & Barwise, Has
    the Time Finally Come for
    the Medium of the Future,
    2011, p. 60).
Mobile Interactivity Uses
 Mobile interactivity helps to keep use in touch and
 informed. It some ways it shares similarities with PC-
 based internet which is beneficial to an advertiser
 who can take advantage of this new medium.
 Consumers today typically use mobile interactivity for
 one of two reasons; to save time and to fill time
 (Laszlo, p. 30). When creating a mobile
 advertisement marketers need to determine if they
 are looking to reach time saving versus time filling
 mode consumers. Messages can differ between the
 two.
Mobile Interactivity Uses
   Users are able to save
    time by finding
    information quickly
    and then returning to
    their previous task.
    These quick usages
    can be for looking up
    an address, check
    travel or traffic
    information, weather
    information, and so
    forth.
Mobile Interactivity Uses
   Users fill time by
    engaging in
    entertaining or
    informative mobile
    apps. Users are
    looking to fill a slow
    moment in their day
    and this can be
    done by playing a
    mobile game or
    other type of media.
Mobile Device Displays
 The mobile world presents marketers with numerous
 opportunities to reach consumers. The multiple
 mobile features available, such as text messaging,
 ringtone and wall paper downloads, and mobile
 video, provide opportunities for marketing and
 advertisement. All of which are very important to
 marketers. There are two forms of displays that are
 used on mobile devices: display advertisements
 delivered on the device itself or display
 advertisements in other media that feature a mobile
 call-to action (Laszlo, p. 30-31).
Mobile Device Displays
   On-device display ads
    include formats such
    as text ads, graphical
    banners, graphical
    banners with text
    links, video, and
    traditional TV
    commercials. These
    types of ad formats
    are typically clickable
    or entail some other
    form of interactivity.
Mobile Device Displays
   Off-device mobile
    displays refer to
    traditional offline
    advertising such as
    live events,
    television, and PC-
    based ads that
    have an interactive
    measurable call-to-
    action via SMS,
    MMS, or WAP.
Mobile Campaigns
 Since there is a vast amount of consumers who use their
 mobile devices for information, entertainment, and
 communication, there is a lot of room to deliver mobile
 advertisements and promote their brand. These consumers
 can be reached and targeted with the help of mobile
 campaigns. “As with any other platform or medium, a
 successful mobile campaign requires a solid media plan and
 effective creative targeted to the right audience at the right
 time” (Laszlo, 2009, p. 34). Joe Laszlo provides us with a list
 of goals for direct response campaigns that have a high level
 of engagement and click through rates. They are as follows:
    Driving click-through to an informational page
    Driving calls to a call center
    Collecting phone numbers
    Delivering coupons
    Fielding product interest or information request surveys
    Collecting email addresses
    Offering a store locator
Mobile Creative
 Given the numerous types of devices there is also a
 variety of mobile display creative and different forms.
 Graphical banners are images that suggest a marketing
 message and can be animated, still, and interactive. Text
 ads are the oldest type of mobile advertising and are text
 based advertisements. Video is also another means of
 creative but can be very tricky due to the different sizes of
 consumers‟ screens. “The range of device categories in
 the mobile world, and the array of different screen sizes
 and resolutions within those broad categories, also
 complicates matters” (Laszlo, 2009, p. 35). Due to this
 complication advertisers must come up with designs in a
 variety of sizes and formats if they would like to reach a
 vast majority of the mobile population.
Mobile Creative




Graphical          Video
Banner
Mobile Device Browsers
 When consumers are using
 their mobile device‟s
 browser marketers need to
 consider the problems that
 can arise if the creative was
 designed for a PC. There
 can be slow page loading
 and poor formatting as a
 device screen and a
 computer monitor have
 different resolutions, poor
 navigation considering the
 lack of a mouse, and the
 presence of flash or other
 rich media that handsets do
 not support.
Opportunities Other Than Browsers
 Besides browsers
 there are other
 opportunities to get a
 marketers context
 onto a mobile device.
 This can be achieved
 through games,
 downloadable
 applications, push
 publishing
 environments
 (advertisements in a
 background),
 ticketing/couponing,
 passive display (logo
 in a screen saver),
 and person-to-person
 messaging.
Better Capabilities
 Mobile devices provide marketers with better
 capabilities than any other medium (Laszlo, p. 37).
 These mobile portals can help with successful
 targeting to achieve relevance, positive response,
 and acceptance (Okazaki & Barwise, Has the Time
 Finally Come for the Medium of the Future, p. 61).
 Mobile devices enable marketers to personalize
 content and the ability to track personal identities
 and capture consumer data.
Advertising Opportunities
 Consumers are making the most out of mobile
 interactivity and the number of consumers will only
 continue to increase, which leaves marketers with many
 opportunities for advertising on mobile devices. “The IAB
 characterizes the key opportunities around mobile
 advertising into three broad categories: driving response
 and brand relationships, delivering more personally and
 locationally relevant messages, and timing efforts to gain
 early experience in a dynamic and growing market”
 (Laszlo, 2009, p. 39). Mobile advertising helps marketers
 connect with more customers and deliver information
 about what they want and with the use of links they can
 direct people straight to a specific page on a website or
 mobile site. Marketers are also able to build their brands
 by targeting specific users by demographic, interest and
 behavior, and other countless possibilities.
Technical Challenges
 Marketers must also consider the technical
 challenges they may face in order to ensure goal
 achievement. Technical challenges in the mobile
 world revolve around measurement. “…the sate of
 mobile platforms makes it difficult to measure unique
 users against lots of polluting traffic (bots, spyders,
 etc.), track international traffic versus U.S. traffic, and
 measure advertising impressions in intermittently
 connected content like games or downloaded audio”
 (Laszlo, 2009, p. 39). Developers are looking for
 solutions to these challenges and hope to provide
 the data that agencies require to determine
 successful campaigns.
Mobile Advertising Trends
 While mobile
 advertising has
 become increasingly
 important there have
 been some trends
 that have surfaced.
 There is a continued
 importance of SMS
 messaging and it
 has become one of
 the most popular
 forms of
 communication.
Mobile Advertising Trends
 The experimentation
 with rich media is
 also an up and
 coming trend. “…
 Rich media ads offer
 more in-app
 interactivity via
 video, sound,
 gaming, and so on”
 (Swallow, 2010).
 These ads are more
 attractive than SMS
 based ads which
 provide an
 advantage.
Mobile Advertising Trends
 Another trend marketers are
 seeing is the choice between
 mobile sites and mobile apps.
 “One of the biggest decisions
 for mobile marketers this year
 is whether they should build a
 mobile site or app – or both.
 And for advertisers, the
 question is whether to
 advertise on mobile sites,
 apps, or both” (Swallow,
 2010). With the numerous
 amounts of devices, multiple
 operating systems, and
 screen sizes, the decision is
 not an easy one to make.
Mobile Advertising Trends
 There has also been an interest in
 geo-location. In 2010 article titled
 “Google launches mobile banner ads
 which know where you are” Cody
 Barbierri wrote about Google‟s
 announcement that it had launched
 location-aware display advertisements
 for mobile phones. “Through Google‟s
 „location extension‟ feature,
 advertisers can now include their
 location and phone numbers to appear
 in display ads on iPhone and Android
 mobile websites” (Barbierri, 2010).
 Marketers are definitely very excited to
 be using this technology. Barbierri also
 stated that local businesses may
 benefit from this option since those
 who already use the technology saw
 an 8% increase in click through rates.
Mobile Advertising Trends
 There has also been a growth
 in mobile video. “While video
 isn‟t a huge focus for
 advertisers right now and
 many cite broadband and
 technology inadequacies as
 barriers, many predictive stats
 tell the story of video‟s
 increasing importance”
 (Swallow, 2010). With video
 becoming widely accepted
 and proving to be an asset in
 marketing, advertisers should
 definitely take advantages of
 opportunities to try out this
 form of mobile advertising.
The Future
 The future for mobile advertising is bright being led by
 technology innovators who continue to change the
 landscape. In Joe Laszlo‟s article he expresses the steps
 that marketers should expect to see within the near
 future. These steps are: faster data connections,
 improved devices, improved embedded software, more
 content and more discoverability, advertising standards,
 better targeting capabilities, discounted or advertising-
 subsidized services, flat-rate data services, and better
 location capabilities. There are many more possibilities
 for future developments of mobile advertising and the
 mobile landscape. Technology only keeps getting better
 and mobile phones are becoming more efficient leaving
 the opportunities to reach consumers endless.
Works Cited
   Barbierri, C. (2010, July 29). Google launches mobile banner ads which know where
    you are. Retrieved May 29, 2012, from Venture Beat:
    www.venturebeat.com/2010/07/09/google-mobile-display-ads/
   Choi, Y. K., Hwang, J.-S., & McMillan, S. J. (2008, August). Gearing Up for Mobile
    Advertising: A Cross-Cultural Examination of Key Factors That Drive Mobile Messages
    Home to Consumers. Psychology & Marketing , pp. 756-768.
   Ha, A. (2010, December 14). Mobile ad network Moolah Media says it's all about
    performance. Retrieved May 29, 2012, from Venture Beat:
    www.venturebeat.com/2012/12/14/moolah-media-launch/
   Laszlo, J. (2009). The New Unwired World: An IAB Status Report of Mobile
    Advertising. Journal of Advertising Research , 27-43.
   Nasco, S. A., & Bruner II, G. C. (2008, August). Comparing Consumer Responses to
    Advertising and Non-Advertising Mobile Communications. Psychology & Marketing ,
    pp. 821-837.
   Okazaki, S., & Barwise, P. (2011). Has the Time Finally Come for the Medium of the
    Future. Journal of Advertising Research , 59-71.
   Okazaki, S., Katsukura, A., & Nishiyama, M. (2007). How Mobile Advertising Works:
    The Role of Trust in Improving Attitudes and Recall. Journal of Advertising Research ,
    165-178.
   Payne, J. (2011, April 6). How "mobile ads 2.0" will let you take control of your
    monetization. Retrieved May 29, 2012, from Venture Beat:
    www.venturebeat.com/2011/04/18/mobile-ads-2-0/
   Swallow, E. (2010, August 19). Top 5 Mobile Advertising Trends to Watch. Retrieved
    May 29, 2012, from Mashable Business: http://mashable.com/2010/08/19/mobile-
    advertising-trends/

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Mobile advertising

  • 1. Mobile Advertising Amanda Oliveira
  • 2. Abstract Mobile advertising is a fast-growing part of marketing communications. In this paper we will discuss how mobile devices have become the medium of the future and how it affects advertising. This paper will explore the different approaches for mobile advertising as well as the creation and design of advertisements for mobile devices. Targeting your audience, technical challenges, current trends, as well as the future of mobile advertising will be touched upon. We will also take a look at the other types of advertising opportunities on mobile devices.
  • 3. A New Medium Mobile advertising has become a fast-growing part of marketing communications today. It provides an exciting and interactive way to promote a product or service to the public. A 2007 studied showed that 255.4 million Americans had a wireless subscription. These devices serve as an important resource to those who want to stay in touch and informed (Laszlo, p. 27). Mobile devices allow for instant gratification for communication, information, or entertainment whenever and wherever a consumer is. This proves that mobile communication devices have become the newest and greatest advertising medium.
  • 4. Device Types There are many device types that are available which provide a wide spectrum of capabilities that differ from a PC. Devices can be broken into down into three categories and one exception: (Laszlo, p. 34)
  • 5. Device Types a) Basic mobile phones – are cheap. Their media capabilities are limited to text messaging and a WAP-based browser. These are now the minority.
  • 6. Device Types  b) Feature phones – the most common mobile devices. They include a variety of functionalities and features. These typically include a large color screen, a browser, ability to purchase and download ringtones, games, and other media, and a camera. Some other capabilities may include a video camera, Bluetooth, and the ability to store MP3 or other music files.
  • 7. Device Types  c) Smartphones – are user extensive and usually offer a full QWERTY keyboard. They are highly optimized for email and browsing the internet. An example would be a Blackberry or Windows Mobile device.
  • 8. Device Types  d-) iPhones - have been a game changer. “The iPhone‟s multi-functional touch screen has transformed the nature of high-end mobile phones, which are now seen as multi-purpose mobile Internet devices that also can be used for voice, text, and multimedia purposes” (Okazaki & Barwise, Has the Time Finally Come for the Medium of the Future, 2011, p. 60).
  • 9. Mobile Interactivity Uses Mobile interactivity helps to keep use in touch and informed. It some ways it shares similarities with PC- based internet which is beneficial to an advertiser who can take advantage of this new medium. Consumers today typically use mobile interactivity for one of two reasons; to save time and to fill time (Laszlo, p. 30). When creating a mobile advertisement marketers need to determine if they are looking to reach time saving versus time filling mode consumers. Messages can differ between the two.
  • 10. Mobile Interactivity Uses  Users are able to save time by finding information quickly and then returning to their previous task. These quick usages can be for looking up an address, check travel or traffic information, weather information, and so forth.
  • 11. Mobile Interactivity Uses  Users fill time by engaging in entertaining or informative mobile apps. Users are looking to fill a slow moment in their day and this can be done by playing a mobile game or other type of media.
  • 12. Mobile Device Displays The mobile world presents marketers with numerous opportunities to reach consumers. The multiple mobile features available, such as text messaging, ringtone and wall paper downloads, and mobile video, provide opportunities for marketing and advertisement. All of which are very important to marketers. There are two forms of displays that are used on mobile devices: display advertisements delivered on the device itself or display advertisements in other media that feature a mobile call-to action (Laszlo, p. 30-31).
  • 13. Mobile Device Displays  On-device display ads include formats such as text ads, graphical banners, graphical banners with text links, video, and traditional TV commercials. These types of ad formats are typically clickable or entail some other form of interactivity.
  • 14. Mobile Device Displays  Off-device mobile displays refer to traditional offline advertising such as live events, television, and PC- based ads that have an interactive measurable call-to- action via SMS, MMS, or WAP.
  • 15. Mobile Campaigns Since there is a vast amount of consumers who use their mobile devices for information, entertainment, and communication, there is a lot of room to deliver mobile advertisements and promote their brand. These consumers can be reached and targeted with the help of mobile campaigns. “As with any other platform or medium, a successful mobile campaign requires a solid media plan and effective creative targeted to the right audience at the right time” (Laszlo, 2009, p. 34). Joe Laszlo provides us with a list of goals for direct response campaigns that have a high level of engagement and click through rates. They are as follows:  Driving click-through to an informational page  Driving calls to a call center  Collecting phone numbers  Delivering coupons  Fielding product interest or information request surveys  Collecting email addresses  Offering a store locator
  • 16. Mobile Creative Given the numerous types of devices there is also a variety of mobile display creative and different forms. Graphical banners are images that suggest a marketing message and can be animated, still, and interactive. Text ads are the oldest type of mobile advertising and are text based advertisements. Video is also another means of creative but can be very tricky due to the different sizes of consumers‟ screens. “The range of device categories in the mobile world, and the array of different screen sizes and resolutions within those broad categories, also complicates matters” (Laszlo, 2009, p. 35). Due to this complication advertisers must come up with designs in a variety of sizes and formats if they would like to reach a vast majority of the mobile population.
  • 18. Mobile Device Browsers When consumers are using their mobile device‟s browser marketers need to consider the problems that can arise if the creative was designed for a PC. There can be slow page loading and poor formatting as a device screen and a computer monitor have different resolutions, poor navigation considering the lack of a mouse, and the presence of flash or other rich media that handsets do not support.
  • 19. Opportunities Other Than Browsers Besides browsers there are other opportunities to get a marketers context onto a mobile device. This can be achieved through games, downloadable applications, push publishing environments (advertisements in a background), ticketing/couponing, passive display (logo in a screen saver), and person-to-person messaging.
  • 20. Better Capabilities Mobile devices provide marketers with better capabilities than any other medium (Laszlo, p. 37). These mobile portals can help with successful targeting to achieve relevance, positive response, and acceptance (Okazaki & Barwise, Has the Time Finally Come for the Medium of the Future, p. 61). Mobile devices enable marketers to personalize content and the ability to track personal identities and capture consumer data.
  • 21. Advertising Opportunities Consumers are making the most out of mobile interactivity and the number of consumers will only continue to increase, which leaves marketers with many opportunities for advertising on mobile devices. “The IAB characterizes the key opportunities around mobile advertising into three broad categories: driving response and brand relationships, delivering more personally and locationally relevant messages, and timing efforts to gain early experience in a dynamic and growing market” (Laszlo, 2009, p. 39). Mobile advertising helps marketers connect with more customers and deliver information about what they want and with the use of links they can direct people straight to a specific page on a website or mobile site. Marketers are also able to build their brands by targeting specific users by demographic, interest and behavior, and other countless possibilities.
  • 22. Technical Challenges Marketers must also consider the technical challenges they may face in order to ensure goal achievement. Technical challenges in the mobile world revolve around measurement. “…the sate of mobile platforms makes it difficult to measure unique users against lots of polluting traffic (bots, spyders, etc.), track international traffic versus U.S. traffic, and measure advertising impressions in intermittently connected content like games or downloaded audio” (Laszlo, 2009, p. 39). Developers are looking for solutions to these challenges and hope to provide the data that agencies require to determine successful campaigns.
  • 23. Mobile Advertising Trends While mobile advertising has become increasingly important there have been some trends that have surfaced. There is a continued importance of SMS messaging and it has become one of the most popular forms of communication.
  • 24. Mobile Advertising Trends The experimentation with rich media is also an up and coming trend. “… Rich media ads offer more in-app interactivity via video, sound, gaming, and so on” (Swallow, 2010). These ads are more attractive than SMS based ads which provide an advantage.
  • 25. Mobile Advertising Trends Another trend marketers are seeing is the choice between mobile sites and mobile apps. “One of the biggest decisions for mobile marketers this year is whether they should build a mobile site or app – or both. And for advertisers, the question is whether to advertise on mobile sites, apps, or both” (Swallow, 2010). With the numerous amounts of devices, multiple operating systems, and screen sizes, the decision is not an easy one to make.
  • 26. Mobile Advertising Trends There has also been an interest in geo-location. In 2010 article titled “Google launches mobile banner ads which know where you are” Cody Barbierri wrote about Google‟s announcement that it had launched location-aware display advertisements for mobile phones. “Through Google‟s „location extension‟ feature, advertisers can now include their location and phone numbers to appear in display ads on iPhone and Android mobile websites” (Barbierri, 2010). Marketers are definitely very excited to be using this technology. Barbierri also stated that local businesses may benefit from this option since those who already use the technology saw an 8% increase in click through rates.
  • 27. Mobile Advertising Trends There has also been a growth in mobile video. “While video isn‟t a huge focus for advertisers right now and many cite broadband and technology inadequacies as barriers, many predictive stats tell the story of video‟s increasing importance” (Swallow, 2010). With video becoming widely accepted and proving to be an asset in marketing, advertisers should definitely take advantages of opportunities to try out this form of mobile advertising.
  • 28. The Future The future for mobile advertising is bright being led by technology innovators who continue to change the landscape. In Joe Laszlo‟s article he expresses the steps that marketers should expect to see within the near future. These steps are: faster data connections, improved devices, improved embedded software, more content and more discoverability, advertising standards, better targeting capabilities, discounted or advertising- subsidized services, flat-rate data services, and better location capabilities. There are many more possibilities for future developments of mobile advertising and the mobile landscape. Technology only keeps getting better and mobile phones are becoming more efficient leaving the opportunities to reach consumers endless.
  • 29. Works Cited  Barbierri, C. (2010, July 29). Google launches mobile banner ads which know where you are. Retrieved May 29, 2012, from Venture Beat: www.venturebeat.com/2010/07/09/google-mobile-display-ads/  Choi, Y. K., Hwang, J.-S., & McMillan, S. J. (2008, August). Gearing Up for Mobile Advertising: A Cross-Cultural Examination of Key Factors That Drive Mobile Messages Home to Consumers. Psychology & Marketing , pp. 756-768.  Ha, A. (2010, December 14). Mobile ad network Moolah Media says it's all about performance. Retrieved May 29, 2012, from Venture Beat: www.venturebeat.com/2012/12/14/moolah-media-launch/  Laszlo, J. (2009). The New Unwired World: An IAB Status Report of Mobile Advertising. Journal of Advertising Research , 27-43.  Nasco, S. A., & Bruner II, G. C. (2008, August). Comparing Consumer Responses to Advertising and Non-Advertising Mobile Communications. Psychology & Marketing , pp. 821-837.  Okazaki, S., & Barwise, P. (2011). Has the Time Finally Come for the Medium of the Future. Journal of Advertising Research , 59-71.  Okazaki, S., Katsukura, A., & Nishiyama, M. (2007). How Mobile Advertising Works: The Role of Trust in Improving Attitudes and Recall. Journal of Advertising Research , 165-178.  Payne, J. (2011, April 6). How "mobile ads 2.0" will let you take control of your monetization. Retrieved May 29, 2012, from Venture Beat: www.venturebeat.com/2011/04/18/mobile-ads-2-0/  Swallow, E. (2010, August 19). Top 5 Mobile Advertising Trends to Watch. Retrieved May 29, 2012, from Mashable Business: http://mashable.com/2010/08/19/mobile- advertising-trends/