Download Mobile Advertising

Mobile Advertising
Users of smartphones and tablets now account for around 10% of internet traffic, and this is
an audience that advertisers are keen to tap into. Mobile advertising is set to boom in the
coming years as a proper infrastructure for the industry develops.
Challenges
Mobile advertising has yet to develop fully as a market in its own right, independent of
online advertising. The techniques used for online marketing are often unsuitable for the
smaller screen on a handheld device, and mobile specific ads will play an important role in
industry growth.
There is a key difference between online advertising and mobile advertising – that most
users of a smartphone carry it with them throughout their day; offering advertisers the
chance to serve real-time localised adverts based on the user’s exact whereabouts. The
development of this technology could lead to a host of different opportunities, and
significantly increase the marketplace.
Advertising Techniques
Although mobile specific advertising is expected to grow quickly, most of the techniques
currently in use are adopted directly from online advertising.
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Search ads – Much the same as online, search ads are the most popular form of
advertising, with some ads including a button which allows the user to call a
company directly on their smartphone.
Takeover ads – These ads briefly take over the full screen of the smartphone. They
have seen some success when used in apps, in-between pages or levels.
Banner ads – Are still used both online and in mobile advertising, but may be less
effective on mobiles due to the smaller screen.
Content ads – Designed to overcome ‘ad blindness’ in users, some marketers have
begun inserting ads into newsfeeds and digital conversations. Facebook and Twitter
are examples of this type of advertising.
Geo-targeting
When fully developed for smartphones, geo-targeting will be crucial to mobile advertising.
Mobile operators do not currently share data with third parties; this prevents mobile ad
networks from accessing a user’s location over a 2G or 3G network, and instead they must
rely on location-based data from IP addresses over WiFi, and users ‘checking in’ to geosocial service. As the availability of reliable data increases, new advertising business models
will develop based on geo-location.
If a user’s location is known, ads can be served which are specific to their surrounding area.
Shops and restaurants for example, could use this type of advertising to directly affect
footfall. Other innovations have seen voucher schemes, which will prompt a user with local
offers based on where they are. With consumers interacting with smartphones whilst on the
move more and more, geo-targeting opens up a new niche in advertising.