Mobile Advertising Is Becoming a More Reliable Form of Advertising Expenditures


According to Nielsen, smartphone penetration in the U.S. is now over 60%, drastically altering previous perceptions brands and marketers had about mobile marketing. It needs a priority and a key part of every brand’s advertising strategy. Marketers need to adapt to the different optimizing uses of each tablet, mobile device, desktop and the more innovations to come. That means optimizing their ad campaigns to align with the different ways people use them. Advances in mobile payment technology will also have a big impact on advertising costs. Ad formats will become increasingly diverse and complex and marketers need to adapt to them. I could go on and on..

Marketers can hardly ignore the predictions for mobile growth in the years leading up to 2020. Here is a graph to show what I mean:


Yes, that does say that national Mobile Advertising dollars will reach $20.89 million by 2020.



So now marketers have graduated from the concept of “why mobile” to “how to responsibly allocate expenditures”. First, let me explain some misconceptions many people have about the reliability of mobile geo-targeting, search competencies and limiting data factors.

3 common misconceptions about mobile advertising:

  1. Geo-Targeting On Phones Isn’t As Reliable.
  2. Fat fingers mean broad keyboard lists, which aren’t as efficient as a desktop device.
  3. There isn’t enough data for advertisers to set bids or a mobile budget. 

I will now explain why these misconceptions happened, and how mobile is actually even more reliable that desktop and laptop devices in many cases. 

In order to locate and therefore target online users via local advertisements, their device is located through a number of sources. For desktop and laptop devices, it is your IP address and location of interest in the search query. For mobile, google finds users via GPS, Wi-Fi networks and cell ID towers. In contrast, desktop devices do not have the GPS tracking systems like mobile does. For instance, if a ‘Seattleite’ were to leave for the weekend for Portland, accessing the internet likely via the Wifi or Mifi they brought with them, Google would see them as still being in Seattle because the IP address is the same since its the same device and same network. Therefore the restaurant ads the Seattleite sees on his desktop are Seattle advertisements, even though he is in Portland, unless he directly cues “Portland Restaurants” in his search. These likely are Seattle advertising dollars spent poorly. However, with mobile’s GPS capabilities, it can always locate the person whether they use local wifi, 3g or 4g, or even wifi brought with him from back home, because of GPS, the IP address will change due to their location. Therefore, geo-targeting is even better on mobile devices. 

On mobile phones, misspellings are very common. However, marketers can benefit from this using ‘auto-correct’ on smartphones, something they can’t utilize on desktops. One way marketers can use this to their advantage concerning ad word dollars spent, is make keywords shorter. Easy, right? This means that marketers don’t need to use all broad match, just shorter keywords. 

Now, since mobile advertising is fairly new it is understandable to feel at lost when trying to come up with a smart estimate for predict your appropriate mobile costs to allocate. This approach is best explained in this article by a SEER employee, which involves comparing desktop traffic to mobile traffic to accurate allocate the right amount of advertising dollars for  mobile devices. 


Convinced yet?

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