Tag: mobile marketing spending

Geolocation is receiving more mobile marketing dollars

| June 26, 2013

A great deal of money is flowing into location based advertising for smartphones and there are many reasons why.

According to the latest reports in the mobile marketing environment, companies are continuing to pour their money into geolocation based efforts because it is proving to be worth every dollar spent.

Advertising over mobile using location based techniques promises surgical targeting, high conversion rates, and consumer data.

According to many reports, these goals for targeting, conversion rates, and rich customer profiles are delivering when it comes to geolocation. Therefore, companies that have already started using this type of mobile marketing are pouring more into it, and those that haven’t yet started are scrambling to begin.

Geolocation based mobile marketing techniques take in a number of different types of efforts.

Geolocation mobile marketing dollarsIt includes everything from geofencing to geoaware ad campaigns, hyper local keyword optimizing, and offering Wi-Fi hotspots. Among the most common consumer targets are bargain hunters, moms, coffee enthusiasts, and others.

BI Intelligence recently released a mobile marketing report that looked at geolocation and the progress that it is making in the industry as well as the success that it is achieving for its users. It determined that location based advertising can help in everything from encouraging consumers to buy to building customer profiles that are dense with useful purchasing behavior and preference information.

Among the reasons that geolocation is a growing leader in mobile marketing are the following:

• Geolocation is the equivalent to cookies on the standard web. Location based marketing offers the ability to collect data that can be used to provide consumers with relevant information that is more appropriate to their preferences and behaviors. This is important as many mobile devices do not support third party cookies.
• Money is being made from the money spent on Geolocation. For that reason, the majority of companies that have not started these campaigns are planning to, and those that already are using them are boosting their spending. This was discovered by Balihoo and Berg Insight.
• Geolocation provides consumers with the information they want and need to make informed shopping decisions that are relevant to them no matter where they happen to be.

Mobile marketing makes up 1 in 3 digital ad dollars

| June 19, 2013

One third of online ad spending is directed toward smartphone and tablet using consumers.

According to the latest eMarketer study that has created a profile of the global industry for the first time ever, mobile marketing is an industry that is now worth $16 billion globally, and Google has the lion’s share of it at 55 percent.

The report also indicated that advertising over this channel represents a third of all of the global digital spending.

The eMarketer report indicated that in fiscal 2013, Google brought in over $8.8 billion in from mobile marketing. In second place, far behind Google, was Facebook, which drew $2 billion, which was an increase of just under a half billion from the year before. The third largest was Pandora, followed by the online version of Yellow Pages, YP. Last among the top five was Twitter.

As companies see increasing benefits from mobile marketing, they are redirecting their online spend toward that channel.

Mobile marketing digital ad dollarseMarketer pointed out in its mobile marketing report that “After making nearly half a billion dollars worldwide on mobile ads last year, Facebook—which had no mobile revenue in 2011—is expected to increase mobile revenues by more than 333% to just over $2 billion in 2013.”

This most recent year represented the middle of a new and powerful online and mobile marketing push for Twitter, which was seeing a global market share of less than 2 percent. This is expected to increase to the point that it will break the 2 percent mark this year. However, in the United States, it will hold a much larger space at 3.6 percent.

The mobile marketing dominance at Google has recently been the focus of the FTC and its competition regulators. As that massive company continues to grow and expand, it is also absorbing a larger amount of the advertising business over smartphone and tablet channels. At the same time, it is managing to keep a solid hold over to portion of the desktop advertising business.

eMarketer’s global mobile marketing report pointed out that Google will be boosting its revenues faster than the overall market’s growth over the upcoming year as a result of “continued monetization of YouTube and growing adoption of mobile advertising.”