Tag: mobile ad

Mobile ads are seeing considerable tracking problems

Online marketing on smartphones and tablets are facing serious issues with dirty data.

There are large problems developing in the use of mobile ads, in which marketers are regularly paying for impressions but where fraud is becoming increasingly commonplace when recording the data associated with the performance of a given advertisement.

There is little that mobile marketers can do to actually confirm that their ads are actually viewed by humans.

While there may be quite a bit of efficiency to the online advertising industry, it is also greatly flawed, and these issues are magnified when it comes to the growing number of channels that are being introduced through mobile devices such as smartphones and tablets. For this reason, the mobile ads industry is starting to take aim at the fraud problem from which it has been suffering and which is getting worse.

Industry organizations are now starting to set mobile ads standards and transparency is being demanded by media buyers.

Mobile Ads - Tracking IssuesSome mobile publishers have begun a trend of creating user location data that have estimates that they will then be capable of transmitting to advertisers. From the side of the publisher, when a user’s specific location cannot be determined, then it could be possible to turn the registration form’s zip code or country code into a broader data guess for which marketers will pay a considerable price.

Unfortunately, reports have been indicating that over half of all of the information that has been providing this user location data is not correct. The Dstillery chief executive, Tom Phillips, as well as an early online ad fraud whistleblower have stated that at the moment the fraudulent data that is being produced by the industry for mobile ads is posing a threat that is just as great to marketers as fake traffic is on the standard web.

Phillips explained this problem with mobile ads by saying that “The data quality problem in mobile advertising is probably as serious [as traffic fraud problem on desktop].” He also added that “A lot of that location data we find is useless. It’s a big number — somewhere in the 30% range. If a third of the information you’re getting is not useful, than as you blend that together into a location strategy, you have a lot of noise. That’s problematic.”

Mobile ad budgets rise by 75 percent

Companies are now expected to spend nearly double, this year, what they did last year.

According to the results of a recent study, global mobile ad spending is rising extremely quickly, as it had reached $17.96 billion in 2013, having more than doubled since the year before, and now it is expected to nearly double once again this year.

The growth in 2014 should reach about 75 percent, to bring itself to a worldwide total of 431.5 billion.

The mobile ad spend total for this year represents about a quarter of all of the spending that has occurred on digital advertising. The two companies that will be benefiting the most as a result of this growing spending are Google Inc. and Facebook Inc. Last year, those two companies took in over two thirds of the amount of money that was spent on mobile marketing ads.

The mobile ad budget and spending data for the report was assembled by Millennial Media Inc.

That company offers data analysis for advertisers to help to provide valuable insight and shed some light on industry trends. The report helps to better understand the goals of advertisers based on the spending for the channel that occurred last year, compared it to the year before, and made predictions for this year. The data regarding ad spending had been published last week by eMarketer.Mobile Ads Budget

Millennial Media reported that the leading five vertical markets in terms of spending over the mobile channel for advertising, last year were: entertainment, retail, telecommunications, finance, and computer goods, in that order. When compared to the year before, entertainment and retail switched places, and automotive spending’s position was taken by consumer goods.

The consumer goods mobile spending has grown by 134 percent in 2014 alone. However, the largest increase that was seen year over year was in sports advertising. That sector increased the amount that it was pouring into ads by almost 500 percent. One of the trends that increased by the largest amount in terms of popularity and spending was rich media and video ads, which managed to increase 350 percent in the auto advertising sector when compared to banner ads.