|By Sunanda Jayanth||
|February 25, 2014 12:00 AM EST||
Probably one of the biggest finding that supports the fact that mobile users are more active comes from a study done by iAcquire and SurveyMonkey. This study resulted in the amazing finding that 70% of mobile searches lead to action on websites within 1 hour. The strength of mobile is reinforced even more by the finding that 40% of the respondents stated that they would choose another result if what they found was not mobile friendly.
Small wonder then that mobile marketers everywhere are looking at doing some extremely innovative stuff to promote themselves. It is rather interesting to note that there is actually a difference between mobile advertising and mobile marketing!
The latter is more about buying some kind of space for your mobile application on an existing platform such as SMS or a mobile site or application. The aim here is to reach new customers. Mobile marketing on the other hand, is about building a database and promoting yourself to this particular database. It could be existing and potential customers.
So what does the future hold when we talk about mobile marketing and mobile advertising? Here is a roundup on the trends and technologies that are going to revolutionize this sector.
Diving Deeper – Deep Linking
Deep linking is going to change mobile marketing in a big way. David Lee of URX defines mobile deep links as the kind of advertisements that will take an individual straight to the product page that lies within an application. It goes a long way in simplifying the route that an individual must take if he is interested in buying a particular product that has been advertised in his mobile game or application.
For instance, let us say an advertisement for sports shoes pops up in your videogame and the maker of these sports shoes has used mobile deep linking. When you click on this advertisement, you will go directly to the ‘buy’ section of the online retailer.
As the above-mentioned study revealed, people are more inclined to take action when they do mobile searches and this is where deep linking can make a huge difference.
Deep linking also allows mobile marketers to exploit various other modes of communication to reach his or her customer. Thus, social media networking, text messages, emails and push notifications can all be a huge part of mobile marketing strategies built on deep links.
There is enough said already about Facebook’s purchase of WhatsApp and Rakuten’s purchase of Viber. In a world where interaction design for mobile, is standardized around cards, mobile messaging will deliver the opportunity to show cards of deep-linked purchase-focused ads that drive commerce.
It therefore, makes sense for mobile advertisers and marketers to structure their messages accordingly.
Perhaps an extension of the visual power of this medium will also drive mobile advertising campaigns.
Thus, the industry is seeing the growth of bite sized mobile video spots. Take Facebook’s in-stream advertisements and you will know what this means. High-quality videos that last 10 or 15 seconds are likely to change the way an individual perceives his mobile experience.
As Victor Milligan, CMO, Nexage states, publishers are looking at video advertisements and other rich media content that can result in a significantly improved experience for the consumer.
The Texture Of The Market
Today, the mobile advertising market is in full acceleration mode. One of the things that characterize this market is increasing use of programmatic marketing. The future belongs to this extremely smart and intelligent way to market your brands.
Successful mobile advertising campaigns will therefore use the necessary algorithms to automatically show up displays of messages and advertisements that are in response to specific behavior from an individual. This leads to extremely focused marketing campaigns.
The adoption of programmatic marketing has benefits to offer for all players in the mobile segment. This is probably the biggest reason why it will take center stage in the future. At the recently concluded CES 2014, Yahoo unveiled a huge stable of advertising and content services. One of them was the Yahoo Ad Exchange, which is based on a programmatic model.
RTB or Real-Time Bidding
As an extension of the programmatic model of marketing, mobile RTB is also going to be a huge game changer. According to AdExchanger, mobile RTB will account for 45% of all mobile ad purchases by the time 2014 comes to an end.
Another indicator of exactly how important mobile real-time bidding is likely to be is the fact that Twitter has recently acquired MoPub, which is one of the earliest names to be established in RTB technology.
One of the biggest reasons why this trend will shape mobile marketing is because it allows advertisement purchasers to reach mobile users in real time. This means that they can take advantage of things like geographical location of the user to push content, which is relevant and useful.
Mobile advertisers will therefore have to sharpen their real-time bidding algorithms in order to enjoy better returns on investment as far as mobile advertising and marketing goes.
Mobile advertising and mobile marketing will also be affected by emerging technologies. At first glance, you may be hard pressed to find a connection between something like thermal imaging or solar power and mobile advertising, but these innovative technologies are coming into play in some form or the other.
Mobile advertisers will need to keep this in mind when they are going about crafting their strategies. For instance, LG has something known as HomeChat, which allows its users to actually converse with their electronics and white goods at home.
So you can actually switch on your vacuum cleaner when you are away from home with a text message or voice command. Now, would that not be something that is totally interesting and relevant to a mobile marketer? Think of how physical stored would engage when every iPhone has the iBeacon turned on. The future where Google Now talks to your Nest thermostat that you are minutes away from home and hence turn on heating, isn’t actually the future. It’s the present that’s just months away!
One of the biggest challenges for advertisers everywhere is not just to acquire a new customer but to keep him! According to Fiksu, a mobile app analytics firm, there is ferocious competition when it comes to the availability and downloads of mobile applications.
The question is to get a loyal user, which simply means that an application user opens a particular application at least a few times every day. According to statistics from Flurry, the average app retention period is 3 weeks and this has seen a year on year increase of around 20% and the focus in the new mobile application marketplace will be all about retention.
According to Simon Khalaf, CEO of Flurry, the company sees more than 90% of the demand falling on app install advertisements and 10% on app engagement advertisements. However, companies and businesses are also focusing on bringing out more application engagement advertisements in the near future.
This sentiment is echoed by Michael Oiknine, who is the CEO of Apsalar. Oiknine states that many other verticals such as travel, leisure and retail are also looking at retargeting trends. As an extension of mobile application re-targeting and re-engagement, measuring returns on investment and analyzing trends is also going to become rather important.
Cookies And Will They Crumble?
Even though the future seems to be a little ambiguous on this, there is no doubt that cookies are going to shape the future of mobile advertising campaigns. Persistent third-party cookies may give way to other identifiers.
Lots of people are certainly embracing the fact that there needs to be a non-cookie data model to drive mobile advertising and user interaction. How soon will such a world take shape? That perhaps is a difficult question to answer but there are lots of people moving towards such a format.
The need to find more effective and better ways of not only tracking advertisements but also culling data from the same may lead to the cookie crumbling. The IAB or Interactive Advertising Bureau, interestingly, has already formed a working group to delve into the future of the cookie.
Even as digital advertising relies heavily on cookies, they are also a rather popular topic of debate in the mobile advertising world.
Where Is The User?
The question of geographical location has driven meaningful and relevant content everywhere. Location-based data, whether it is shared by the individual willingly or collected because of the GPS technology in smart phones, has allowed sites such as Foursquare and Instagram to become rather popular.
Advertising accuracy can be shaped and honed in a massive manner when location aware platforms come into play. This focus on geographical location is in fact harnessed with great success by companies such as JiWire, which are able to offer their clients focused and correct demographic categorization of individuals.
The rising importance of geographic data, demographic and even psychographic data allows advertisers to work with a rich matrix of all kinds of information and come up with campaigns and advertisements that the user finds extremely relevant.
Growth of Mobile Commerce
Mobile shopping has been growing steadily in the recent past and mobile commerce has become rather popular way of online shopping. According to Mobify, 63% of people are expected to do more shopping on their mobile devices in the near future. (Source – http://www.mobify.com/go/50-mobile-commerce-stats/) This is going to have a huge bearing on how mobile advertisers will craft and transmitted communications.
Retailers will also need to be aware of the fact that mobile users demand 24 x 7 accessibility to their services. Therefore, using social media and promotional advertisements will go a long way in improving customer engagement and translating to higher revenues as well.
Once again, mobile commerce also means that retailers and mobile marketers will need to pay attention to the geographical location of the customers. Thus, when a customer is looking for a particular store or availability of a product, the mobile application must be capable of giving him or her addresses close to their current location.
The Growth Of The Market Itself
Finally, the future of mobile marketing and mobile advertising 2014 will be a world pushed by the overall growth in mobile advertising market itself. According to research from Gartner, the market for global mobile advertising will touch $13.5 billion in the year 2015. There is also going to be concomitant growth in markets in Asian countries.
More and more people are going to purchase mobile devices. An increasingly large number of people are also going to download applications. Gartner predicts that the total number of mobile app downloads will touch and go beyond the 108 billion mark in the year 2015.
As a result of this kind of explosive growth, integration between major players may also pave the way for a more dynamic mobile advertising space. For instance, the alliance between Verizon, AT&T and T-Mobile made Isis possible and has made direct advertising integration and mobile payments that much easier.
Thus, there is absolutely no denying the fact that technological innovations, creative thought processes and sharper attention to the user are going to change the way mobile marketing and mobile advertising works in the future.
For marketers who want to make a huge difference with their brands, it would certainly pay rich dividends to look for rich media content, social media networking, location-based services, deep linking and real-time bidding to make their campaigns successful.
About the Author:
Vishal is the founder of Appsquare and is based in Sydney, Australia. Vishal’s app studio has over 400 bestselling mobile games and apps. Vishal has a keen interest in the future of mobile monetization.
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