Table of Contents
Does mobile advertising work? The fate of an industry that currently generates billions of dollars in revenue depends on the answer to that question. This report provides some answers, and continues Stratecast’s analysis of an expanding area of the Big Data and analytics market: mobile, retail, and location analytics.
Does mobile advertising work? The fate of an industry that currently generates billions of dollars in revenue depends on the answer to that question.
This report provides some answers, and continues Stratecast’s analysis of an expanding area of the Big Data and analytics market: mobile, retail, and location analytics.1
The report’s main conclusions and key takeaways are as follows:
1. Brands are finding it difficult to sell to, or even to effectively communicate with, consumers who are more mobile and less loyal than ever before. Consumers, to make things even more challenging, are accessing Big Data on their smartphones, tablets, and computers to make informed decisions; execute split-second transactions; and tell the world all about it on social networks.
2. One of the things brands are trying, in order to resolve this, is mobile advertising. The global mobile advertising market, now heavily concentrated in the U.S., generates billions of dollars in revenue annually—and mobile is now the fastest-growing form of advertising. Brands are spending about $ per smartphone user per year to advertise to U.S. mobile users.
3. Reaching buyers on the go is a common thread across verticals, but different verticals are turning to mobile advertising for varying reasons: bricks-and-mortar retailers need to engage shoppers long before they enter a store, and mobile advertising helps them do so. Banks have allowed a tightened regulatory environment, and their lingering “come into our bricks-and-mortar branches and we’ll be happy to help you” mindset, to distance them from their customers. Mobile advertising represents an opportunity for banks to reconnect with customers. Local shopkeepers may be outgunned by the Big Data prowess (and budgets) of national and global brands, but mobile advertising offers a way to turn the tables on the behemoths by looking every bit as slick and professional on the screen of a smartphone.
4. The main enablers and beneficiaries of the growth of the mobile advertising market arecontent publishers such as Facebook and Google, ad network providers such as Millennial Media, handset manufacturers such as Apple, and communications service providers such as Vodafone and AT&T. Underscoring the importance that brands and financial markets place on mobile advertising: the underwhelming stock price performance of Facebook until it proved it was able to monetize mobile users through mobile advertising.
5. There is no such thing as one type of mobile advertisement, à la, “I’d like one mobile ad, please.” Stratecast has identified forms of mobile advertising, several of which are brokenout into sub-types; and all are hard at work reaching mobile users in different ways and venues, and at varying time periods.
6. The most important question in mobile advertising is: does it work? Are mobile ads driving consumers to the cash register? Big Data is now providing answers to the revenue performance of advertising, not only on smartphones but also on computers and tablets. Identifying path-to-purchase, and which channels are driving sales, is vital to this determination; and Big Data is now making that possible.
This report is designed to speak to the needs of these roles and teams:
- Big Data, IT and Data Science teams
- Product and Sales & Marketing teams, including the CMO
- Brands and their digital marketing agencies
- All other line of business (LOB) stakeholders
Communications service providers (CSPs)
- Product and Sales & Marketing teams
- Customer Experience Management (CEM)
- Revenue and Relationships
Get Industry Insights. Simply.
Talk to Veronica
+1 718 514 2762
The advertising scene has undergone radical change and is still changing. With profits down between 5% and 10% on an annual basis, the performance of the traditional advertising market is under constant ...
The Apps and Entertainment market continues to evolve With the rise of digital platforms, the media industry is rapidly changing. In newspaper and book publishing, TV and radio broadcasting, film, music, ...
According to Stratistics MRC, the Web Analytics Market is estimated at $1.3 billion in 2015 and is expected to reach $4.9 billion by 2022 growing at a CAGR of 20.8% from 2015 to 2022. Increasing shift ...