Digital Ad dollars Quickly Shifting from Desktop to Mobile

Most of us own a smartphone, not only do we use it every day, but would feel disconnected and frazzled if we were without our cell phones. Not only are we disconnected from our social outlets, because most would say they could live without social media, email, and texting every day. But, we also use our smartphones for keep track of appointments, editing pictures, gaming, an alarm clock,  listening to music, even turning off and on our lights and TV.  A study says consumers use their smartphones an average of 2.7 hours a day (White). We use our smartphones just as much offline as online and advertisers are now capitalizing on offline and online advertising on your mobile device.

adveritisers uide to mobile

Paid search, organic search, paid advertisements, and location based advertisements are the advertising mediums companies are capitalizing on for the mobile ad strategies. Marketers are able to place cookies on our smartphones and location trackers, of course if you opt in.  Not only will ads be targeted to us on our mobile based on what we have previously searched for in the search engine, but also where exactly we are located and what our other interests may be, based on previous searches.   Marketers can also develop specific messages and strategies depending the device we are using from smartphones to tablets. According to Emarketer total spending for mobile adverting was set to hit 15 billion dollars, a 5 billion dollar increase from 2013 (Peterson). With an estimated 1/3 of the world using smart phones by 2017, and by 2014 more people will use their smart phones to surf the web than their desktops. There will be a paradigm shift of where advertising dollars are allocated (marketing land). There has been a surge in advertising spending dollars going towards mobile, both paid mobile web ads and app mobile ads. Up until now there has been a massive difference in mobile usage and mobile ad spending.

Key leaders in this movement are currently social media websites. There are not only advertisements popping up on your Facebook, Twitter, and Instragram mobile feeds, but they are also targeted towards what you search, like, share, and show interest.

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I have always noticed this on Facebook and Twitter, but most recently I have noticed targeted ads on my Instagram feed. Pages I know I have not followed are popping up on my feeds. Soon you will be able to walk into a store, airport, restaurant, and even an area in a city and be targeting with an ad on your cell phone immediately.

Earlier this year Facebook introduced a tool called Custom Audiences that allows advertisers to track an audience and then customize advertisements to them with clear call to actions. Call to actions available using to tool are Buy Now, Shop Now, Sign up, Learn more ect…

For non-social media sites native apps use banner ads and music apps like Pandora and YouTube have banner ads or 15 second paid ads interrupting the content. But marketers must be careful when advertising on mobile because there is a shorter attention and tablet users allow for longer videos and interruptions (Coggings).

They key right now for optimizing mobile advertising will be going through digital marketing mediums Facebook and Google who have tools set up to buy mobile ad space. Traditional marketing on mobile will be tough and slower to come due to the Ad buying power Facebook and Google hold right now, but is possible in native apps. Cost Per Engagement (CPE) and Cost Per View (CPV) will become the main purchasing models with Cost Per Mille (CPM) fading into the background, as advertisers increasingly realize it’s the quality of the view that counts, not quantity (Finn). In app ads, SEO, and organic search will not be nearly as important as going through Facebook and Google for paid ads.

Where do you see ads pop up on your mobile?

Most mobile advertisements are banner ads, what creative ways can advertisers implement an ad on a smartphone?

References

Coggins, P. (n.d.). Four mobile advertising trends to look out for in 2014. Retrieved October 13, 2014. http://www.theguardian.com/media-network/ebuzzing-partner-zone/mobile-advertising-trends-2014

Finn, G. (2014, January 29). Facebook Custom Audiences Add Better Targeting Options & New CTA Buttons. Retrieved October 13, 2014.http://marketingland.com/facebook-custom-audiences-add-better-targeting-options-new-cta-buttons-72365

Hoelzel, M. (2014, October 10). Mobile Advertising Is Exploding And Will Grow Much Faster Than All Other Digital Ad Categories. Retrieved October 13, 2014.http://www.businessinsider.com/mobile-is-growing-faster-than-all-other-ad-formats-2014-10

Report: Global smartphone penetration to jump 25% in 2014, led by Asia-Pacific. (n.d.). Retrieved October 13, 2014.http://www.fiercewireless.com/story/report-global-smartphone-penetration-jump-25-2014-led-asia-pacific/2014-06-11

Peterson, T. (2014, October 7). Facebook Expands Mobile Ad Net, Adds New Ad Type | Digital – Advertising Age. Retrieved October 13, 2014, from http://adage.com/article/digital/facebook-expands-mobile-ad-net-adds-ad-type/295292/

White, L. (2014, Febuary 27) Digital Ad Spend Quickly Shifting To Mobile: Are You Ready? (n.d.). Retrieved October 13, 2014.http://marketingland.com/desktop-mobile-changing-guards-upon-us-74679

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2 thoughts on “Digital Ad dollars Quickly Shifting from Desktop to Mobile

  1. It was bound to happen with tablets and phones that mobile advertisements would be more effective through that medium. It seems as though companies would have more chances to target their intended audience because people are always on their phones, in addition to a majority of people owning smartphones. This was interesting to see how companies view mobile advertising and how they are pushing for that increase.

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  2. I’ll be curious to see how this trend continues to manifest in our smartphones and tablets – will you see new ads that pop up in text messages instead of just in our games?

    Like

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