July 19, 2008

When is mobile advertising becoming Main stream?

Posted in mobile advertising, Mobile internet, mobile marketing tagged , , , , at 6:10 pm by mobinttechno

Is mobile advertising ready? – IAB membership survey

In November 2007 the IAB ran a small survey of its membership
– an authoritative and knowledgeable voice in internet advertising
– to find out if the internet advertising industry is ready to step
into mobile.

41 companies responded from a mix of agencies, advertisers, publishers and other industry organisations as detailed in the below table:

*

The aim was to learn more about the opinions on mobile advertising from those working in the internet advertising industry. The questions asked were:
1. If/when do you see mobile advertising becoming a mainstream medium?
2. For what reasons do you think mobile would be successful as an advertising medium?
3. What is the one determining factor that would encourage you/advertisers to begin testing mobile advertising?
4. Do you view mobile and internet advertising as being connected or entirely different mediums?
5. What are the main barriers to growth for mobile internet advertising?
6. What role should mobile phone operators play in mobile internet advertising?

1. If/when do you see mobile advertising becoming a mainstream medium?

As stated in the introduction, commentators seem very keen to pinpoint exactly when a medium or format will really take off. We asked our panel of experts if, and when they thought this would be the case for mobile internet advertising.

Our respondents were mixed in terms of when they thought mobile advertising would hit the mainstream with the majority opting for between 2008 – 2010 with one agency saying mobile advertising “Will seriously start in 2008 but [will not be] mainstream before 2010”.

Advertisers in particular were cautious:

“I’m really undecided about mobile

“I believe that mobile ads will have to be permissioned or requested if they are ever to take off (due to the personal nature of a mobile phone). At present mobile technology doesn’t support an ad that is good enough that anyone would want to see.”

2. For what reasons do you think mobile would be successful as an advertising medium?

The majority of our panel listed similar reasons for the potential success of mobile advertising which can be summarised in order of popularity to the left.

Some were unsure about the future success of mobile advertising with one person stating “… it is too invasive”.

However, the majority of responses had very specific factors in mind for mobile’s success such as “The personal / high emotional connection between user and vehicle is both the advantage but also the challenge.” And “I take three things out the door in the morning – keys

Quite dramatically, one respondent believed that mobile is “the future way the internet will be surfed”.

3. What is the one determining factor that would encourage you/advertisers to begin testing mobile advertising?

This question provoked a wide range of very specific answers, which have been collated under the headings to the left in no particular order. However, the predominant requirement was for more evidence in the success and effectiveness of the medium.

One individual felt consistency for measurability was the key to increase transparency for the medium: “As mentioned at the IAB’s Engage 2007 conference

Again, echoing the need for more reassurance in the medium was the following response: “Information. Case studies and knowledge of the universe and what is possible within it. Still seems intrusive and irrelevant and for a small minority which I’m sure is not true but it’s tricky to understand how we make it work for clients who are cautious and believe their brand is ‘safer’ elsewhere where they know how to measure it.”

4. Do you view mobile and internet advertising as being connected or entirely different mediums?

Over half of the people that answered thought mobile and internet advertising were connected, while 11 people felt it was either different or entirely different. 5 people felt they were both different and connected for the same reason.

One respondent firmly placed the emphasis on the consumer: “Absolutely connected. Should be fully integrated and viewed from the consumer’s perspective. Should be integrated offline too.”

5. What are the main barriers to growth for mobile internet advertising?

Answers to this question were quite widespread and have been separated into the categories on the right. Most people only included one or two of these categories in their answer.

Like question 3, it was measurement, research, audience and reassurance in the medium that were seen as the main barriers by the majority of respondents. Exact parallels can be drawn with the state traditional internet advertising was in a few years ago. With more research and focus on the medium we are confident these barriers can be rectified.

6. What role should mobile phone operators play in mobile internet advertising?

Again, there were very specific answers to this question with a real mix of categories. Some people felt operators should have no role in mobile internet advertising, some felt they should play a supportive role, while others felt they should take the lead.

  • Data sharing – offering reporting data
  • Education of the market
  • Spam prevention
  • Take the lead – play a pivotal role by forming a united front
  • Standards
  • Opt-out lists
  • As media owners, not controllers of the channels
  • None
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