- Published:October 24th, 2008
- Comments:1 Comment
- Category:youth marketing
Mobile advertising is a brave new space with new rules and new rewards. As publishers and advertisers, we should be conscious that our efforts to achieve our business objectives can be compared to a marathon with no finish line. (Peggy Ann Salz)
The analysts are almost universally bullish about mobile advertising. Gartner for one says that worldwide the market will be worth in excess of $2.7 billion this year, up from $1.7 billion in 2007.
Following on from our Mobile Youth Advertising Report, and the featured 7 laws of youth marketing, there’s a lot of talk about mobile advertising these days (more info on mobile advertising over at Wikipedia)
A lot to cover, particularly when you get this kind of research (and another white paper on mobile advertising) telling you that mobile will be “the most prominent” form of advertising by 2013 (by Intomobile).
When brands such as D&G can demonstrate a 10% CTR on their campaigns, investors buy it, Admob recently secured $15m in further funding (no credit crunch there)
I’m curious. Is this hype or reality? Interesting post over at the Youth Marketing Blog about Blyk’s business, Either way it certainly grabs headlines.
Let’s start with this excellent presentation
We see that mobile advertising might work with teens according to this blog and there are no shortage of marketing efforts right under their noses (at concerts for example) and operators are gearing up their mobile advertising offerings (Gomonews). In terms of growth potential, you can see from this latest youth research that mobile is now a global youth phenomena (data from Pakistan and China amongst others).
So what are the challenges?
Challenge #1 - Do youth trust mobile advertising?
Seems trust is key in building relationships with young consumers. Here are real views from young consumers on mobile advertising from our on-the-street video series
Also check out the post over at Youth Trends report regarding the importance of trust in viral marketing.
Challenge #2 - Will the advertising model work on social networks?
Best answered studying this presentation by David Cushman
Challenge #3 - Will the pricing hold up?
Challenge #3 - Will the pricing hold up?Even online is suffering from falling display prices (research). So is this inevitably going to come to mobile? Well, according to Jupiter, it may just be already happening.
Technorati Tags: mobile advertising, youth advertising, mobile research, data, youth statistics, mobile marketing, youth marketing, blyk
1 Commento
Just a few notes on the Levine presentation which by and large is pretty good.
1. RE: Slide 62. Actually, Blyk claimed 12 - 43% last year not simply 43%. The average rate of 25% now stated is consistent rather than a drop as suggested. As it happens, as relevance grows, response and redemption grows to. We all have to add the relevance growth into the metric. Without increased relevance, incresed effectiveness is improbable.
2. I don’t believe that the ‘equipment’ isn’t in place for monetisation to happen. Actually, the common messaging capabilities that all devices have, is adequate to start dialogue.
3. The challenge in my opinion, over and above device capability, is the realisation that this is not a technical challenge but an emotional one. Almost every viewpoint looks to see how ‘inventory’ can be presented but as we are discussing the most personal device of all time - surely we are talking about people, multi-way conversations and trust. This demands a re-definition of advertising. Yes, this also demands new metrics and buying methodology. See also here: http://www.jonathanmacdonald.com/?p=1593
4. I categorically agree with the advice at the end of the Levine deck - make mistakes now. Indeed. Put another way: Change when you can not when you must.
In summary - there are challenges but largely not in the fields we commonly think. It is far easier to slightly augment business as usual but the reality is this: we are talking about an evolutionary flip in marketing and advertising, not the squeezing of a largely ineffective internet practice into a smaller screen and expecting a different result.
Those who dare to break out of the common approach will win. Those that won’t will have their lunch eaten by others - regardless of size.
I put it to the industry that the level of permission is directly proportional to the efficiency of marketing. And, relevance of communications are directly proportional to the knowledge of people (assumptively called consumers by most).
If these proportions are true, the type of change needed now is somewhat different than hoping that more devices are internet-capable.
Let’s see….