Tag: mobile advertising

Mobile advertising could find itself hurting from new bill

A new effort to ban “stalking apps” could also cause the digital marketing industry to feel a pinch.

New legislation has been proposed by Senator Al Franken to help to ban “stalker apps” in the hopes to help better protect the privacy of individuals, but at the same time, this could kick the pins out from under a broad range of cutting edge mobile advertising technologies and campaigns.

Senator Franken has been an important voice in Washington D.C. for the protection of privacy rights.

The senator identifies the “stalker apps” as a range of different types of applications that use the GPS data from a user’s mobile device. Clearly, this effort is very well intentioned as millions of device users have voiced concerns about invasions to their privacy due to the lack of protection for them in this area. However, at the same time, this is causing the mobile advertising industry to push back – hard. The reason is that they have been making a tremendous effort to use this technology in order to build the fastest growing service in that industry, which involves the use of a device owner’s location in order to provide him or her with promotions, ads, and offers that are relevant to that position.

The goal of Senator Franken’s bill is not to harm mobile advertising but is rather to stop stalker apps completely.

Mobile Advertising - New bill proposed by Al FrankenDuring the hearing for the Location Privacy Protection Act of 2014, Senator Franken stated that “My bill would shut down stalker apps once and for all.” He added that “my bill doesn’t protect just victims of stalking. It protects everyone who uses a smartphone, an in-car navigation device, or any mobile device connected to the Internet.”

The target of the bill is the mobile apps that are designed in order to give parents the ability to monitor the activities and locations of their children, such as Spyera and Flexispy. The reason is that these applications are often used for other purposes and are finding themselves in situations of domestic disputes in which every move that partners make are being monitored and tracked. People are stalking others without even having to physically follow them, anymore, making it much harder for the victim to recognize.

Unfortunately, by banning this type of app, it means that other areas, such as the current forms of child safety through parent monitoring, and such as mobile advertising, will also suffer.

Mobile marketing spending could be over $18 billion this year

Advertising over the smartphone channel is increasing in its importance and budgets are reflecting that.

According to a recent study by Gartner, the IT research agency, mobile marketing is rapidly growing its share of overall advertising dollars as a rising number of businesses recognize the importance of the opportunity that it presents.

A recent report from Gartner showed that the smartphone advertising spending worldwide is rising fast.

In fact, that increase is moving quickly enough that it is likely that the total spend for mobile marketing will reach $18 billion, this year. To understand the significance of this total, it represents an increase of about 77.7 percent over last year’s figure of 13.1 billion. Also notable is that the Gartner report is predicting that North America and Europe will take hold of the lead in ad spending over this channel.

Previously, the Asia Pacific region had held the title as the leader in mobile marketing use and spending.

Mobile Marketing SpendingThe report credits the Asia Pacific’s ability to hold onto the top position for so long to its rapid and massive adoption of smartphones. That allowed it to take an early lead and maintain it until this year. That said, it will likely slip into second place behind the West before this year comes to a close.

This promising data helped to bring an upbeat feeling to the sixth edition of the Mobile Marketing Association (MMA) forum, which occurred last week. It was attended by approximately 250 delegates as the importance of this channel was discussed in terms of the impact on consumers and businesses, alike.

The Asia Pacific managing director of the MMA, Rohit Dadwal explained that “Five years ago, our time was spent convincing marketers of mobile’s efficacy as an advertising and consumer engagement medium. With the exponential growth of mobile, it is no longer a nice-to-have element in a marketing campaign but rather a must-have and is a key factor driving innovation in marketing.” The organization has been saying this for several months and the recent Gartner data is clearly backing it up with figures collected from the real world.