With the growth of smartphone use and alongside it mobile commerce, mobile advertising has grown in proportion with this. More and more retailers and brands are now directing their attention towards mobile platforms, coming up with a more targeted method of advertising and reaching consumers directly.
A study by Millennial Media have found that of all the mobile campaigns ran on their system, only 40 per cent were targeted towards a specific audience while the rest went for as broad a reach as possible. Of the 40 per cent, only 34 per cent of those campaigns were targeted towards a specific demographic or behavioural demographic (targeting a specific age group or section of society), while 66 per cent was targeted at local market such as geographical location, state and country.
This suggests that retailers and businesses are focused on regional promotions and in converting mobile traffic into physical visits: restaurants, stores and retailers would use these type of promotions to increase the number of customers in their establishment.
Other findings include the aims of each of the ad campaigns analysed. Regarding the goals of each campaign, the most frequent reason was to sustain a market presence (37 per cent). Other reasons include increasing the number of registrations (22 per cent) while promoting the launch or release of a product and creating brand awareness followed next (15 per cent each).
More than half of the mobile ads led consumers towards the brand’s main site (56 per cent) with only 29 per cent directing people towards downloading an app. The types of companies that would direct people towards apps include those within the financial and travel sectors, enabling customers to bank, trade and book flights while on the go.
Of the reasons for launching a campaign, exactly half of the campaigns reviewed were to promote the release or launch of a new product. After that, only 15 per cent of campaigns were to maintain a brand’s presence in the market while 12 per cent aimed to increase site traffic.
While the focus of these campaigns were for movies and tv shows, the trends show that very few brands or companies are interested in maintaining their presence, or perhaps don’t have the budget to do that over a constant basis. Instead, they view mobile advertising as a way of establishing a product or service first and gain consumer loyalty from use of the product or service.
Those interested in the report can download it here.