Mobile Advertising

Mobile Advertising

Marmite

Mobile advertising can be compared to Marmite, you either love it or you hate it. Unlike Marmite, I am not a fan of mobile advertising though can see its potential.  Whilst playing a game of angry birds I am not impressed to have a section covered in an advertisement for something I have no interest in. Fortunately there is the option to go advert free.

Then there are the cold calling tactics used by companies through SMS. How many text messages have you received telling you, you could be entitled to compensation as a result of the PPI insurance you didn’t take out?

As mobile technology continues to evolve businesses are going to come up with ways to utilise these advances to their advantage. In today’s world the majority of society owns a mobile device of some sort whether it is a smartphone, tablet, notebook etc. changing the way we interact, watch television programmes / films etc. To continue to reach their existing and new targeted audiences, businesses have had to adapt their advertising strategies thus embracing mobile advertising.  But does it work and does your business really need to venture into the world of advertising?

Social networks are already out there promoting the use of mobile advertising in their own unique ways whilst also cashing in.MoneyPot

Facebook’s purchase of Instagram in April 2012 was also to create more mobile phone friendly adverts which in return would generate a profit. Something they had touted to their
shareholders. 2012 came and went with Facebook’s mobile advertising business yet to make a profitable return.

Come 2013 and this looks set to change. As more people move towards smartphones and tablets, the mobile advertising string of Facebook’s bow is starting to generate a satisfactory ROI in the fourth quarter.

Then there is Twitter who are also on the mobile advertising band wagon  with their own mobile advertising strategy. Last year the social network introduced ‘Promoted Tweets’ to target the mobile audiences. Facebook struggled to generate the expected revenue, with only 149 characters at their disposal Twitter successfully tackled the mobile sector, exceeding Facebook’s mobile generated revenue.  In the same article it has been predicted the tables will turn this year. Facebook is already seeing a change in the tide with their mobile generated profits increasing.  This doesn’t mean Twitter is in a panic, they know what they can offer their mobile advertising customers and past results have shown their initiatives have worked. The social networking site is encouraging business users to opt for their mobile advertising option stating mobile advertising will generate more interest and traffic as this is the most preferred way of accessing their social networking site. This could be true of any website whether it be for business or socialising.

Do mobile adverts work?

At the moment compared to online advertising, less money is spent on mobile advertising with more attention being spent on adverts for smartphones rather than tablet simply because more people are likely to own a smartphone. Yet it is predicted that by 2016 the mobile industry will be 3.5 times more popular with marketers than it is today.

As more users turn to their smartphones to carry out searches according to Google ‘.. 9 out of 10 mobile searches by users have resulted in an action such as a purchase or a visit to a business.’

How successful an advert is can depend on a number of factors such as

–          Cost of purchasing advertising space

–          Creating the advert

–          Advert Placement

–          Industry – currently, the sectors that spend the most on mobile advertising are telecommunications, retail and restaurants, automotive, finance and education…

DancingMobilePhoneOne of the problems surrounding mobile advertising is not only can they be distracting and annoying but also have the spamming effect. Users could be targeted with a barrage of adverts with no relevance or interest to them. This is where the advertisers / advertising space providers will have to be clever in monitoring user’s activities and targeting them with specific adverts.

According to the article from Forbes, a successful mobile advert should have the look and feel of a good mobile app; targeting the desired audience, keeping the advert short, sharp and snappy.

It has had a slow start but mobile advertising is gathering momentum. When the idea of mobile advertising first arose the technology was there, but the number of people owning said technology was nothing compared to the number of people owning a smartphone today. Figures reported in the third quarter of 2011, there were 708 million global smartphone users, this number grew in 2012 with third quarter figures reporting 1 billion active smartphone users.Smartphone

Today society is moving at a much faster pace with the need to access information wherever and whenever giving the mobile advertising sector the boost it needs. As with everything the quality and visual effects used to generate the adverts will improve over time. How users will receive these changes time will tell.

References

http://mobile.smashingmagazine.com/2012/11/29/making-advertising-work-in-a-responsive-world/

http://www.ft.com/cms/s/0/bf685136-f842-11e1-b0e1-00144feabdc0.html#axzz2KhbsjZ7Z

http://www.forbes.com/sites/anthonykosner/2012/12/12/for-mobile-ads-to-really-work-they-have-to-be-more-like-really-good-mobile-apps/

http://www.inc.com/guides/201107/deciding-whether-your-business-needs-a-mobile-app.html?nav=pop

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One thought on “Mobile Advertising

  1. Pingback: Mobile Advertising; 2013 so far | foziasaeed

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