According to a new study by Roy Morgan Research, Aussie smartphone users are up for the idea of seeing more ads if it means a reduction in their monthly bill.
Three weeks ago, Optus unveiled its Xtra service which offered customers free data in exchange for watching adverts on their phone’s locked screen. The Optus Xtra service will give customers the option of either 2GB or $2 of credit per month on their plans.
According to the Roy Morgan study, 37 per cent of respondents agreed they’d be interested in receiving ads on their mobile phone if it reduced their bill. Interestingly, 39 per cent of Optus customers agreed they’d be keen on the idea.
When it came age brackets that said they’d be okay with the idea, the 14-24 years olds and the 35-49 bracket were most interested at 27 per cent.
Age Profile for (potential) Mobile Advertising Audience
According to the study, the idea of ads on smartphones is ideal for users who are shying away from traditional media and advertising. The study found among smartphone owners receptive to mobile advertising, in the last week 56 per cent haven’t read a print newspaper and 44 per cent haven’t looked at a print catalogue. Some 31per cent haven’t even flipped through the latest issue of any magazine, and 24 per cent haven’t made a single trip to the cinema in the last year. On a normal weekday, 31 per cent don’t listen to commercial radio and 14 per cent don’t watch commercial television.
The Non-Reach of Traditional Media among (potential) Mobile Advertising Audience
Those interested in signing up to receive mobile advertising are also much more likely to do the sorts of activities on their phones that appeal to advertisers.
In an average four weeks, they are almost twice as likely as other smartphone owners to click online ads, watch video advertising, or read an online catalogue. They are more likely to pay for purchases using a credit card or another online payment or money transfer system, or research products or services they want to buy, including reading ratings and reviews– and all on the very smartphone that could soon be set to receive mobile advertising.
Commenting on the study, Roy Morgan CEO Michele Levine said: “There are 5.9 million smartphone owners across Australia potentially interested in seeing advertising in exchange for a mobile usage bonus – but it’s still early days for this new model.
“Right now there are 126,000 Australians who immediately meet all the criteria for Xtra: they’re with Optus, on a prepaid plan, use an Android operating system and, of course, are open to the idea. The question now is whether a gigabyte of data or $2 in credit is ‘worth it’ to have ads on the lock screen.
“Consumers today are more conscious than ever that they have a value to advertisers, and can make decisions about what advertising they see and hear based on it being a fair trade. Anticipating the trend, Roy Morgan has long measured mobile owners’ attitudes toward receiving ads on the phone in exchange for a reduced bill, as well as their shopping and product research habits on the device.
“Mobile advertising has the potential to reach the sort of younger and more tech-savvy audience that has become more difficult to reach through traditional media channels. However advertisers will need to understand that these people are also, by definition, a very particular type of consumer that gets excited by coupons and competitions, sales and bargains.
“And just like traditional media owners, Optus will need robust audience profiling and consumer segmentations to be able to pitch its new audience to advertiser clients, and provide them the tools to identify target markets and construct messages that maximise ROI,” she said.
Australian fashion brand Witchery has partnered with B Corp GlamCorner as part of GlamCorner’s subscription box offering as the demand for everyday essentials soars. This partnership marks another milestone for the Australian fashion industry towards becoming more circular and introducing more paths to reduce textile waste. Customers nationally will be able to rent more of […]
The media, marketing and creative industries are being encouraged to host their own ‘Curry Club for COVID’ before 30th June to help meet the ambitious $100k target set by its organisers. Curry Club for COVID, which was conceived by long-time adtech executive Peter Bray, sales director at Impact, and is powered by industry social purpose organisation […]
The UnLtd Cup is returning for its tenth consecutive year, marking a decade of soccer shenanigans that’s raised nearly $500,000 for children’s mental health charity, KidsXpress. On July 22-23rd, 28 teams from across the industry will battle it out on the soccer field in the two-day tournament at Sydney University Sports and Fitness Centre, Darlington. […]
Australian-bred company Ultra Commerce has acquired New Zealand-based company Vesta eCommerce, a global software business providing leading product data management solutions. The recent acquisition is a significant move for the business, which is Australian born, owned, and headquartered, but has built out a global presence as it pursues rapid growth in the eCommerce market. Connecting […]
Canteen’s latest campaign features the combined talents of Director Luna Laure and creative agency Crater. The campaign strives to raise awareness for young people affected by cancer. The awareness campaign centres around Harry Barentson, who at 12 years of age found out his pregnant mum had cancer. The campaign aims to bring awareness to Canteen’s […]
In partnership with storytelling agency Enthral, AFL legend Kevin Sheedy has voiced a ‘Love Letter to Victoria’ using visuals to showcase the state’s natural beauty and culture. Victoria has been hit with the worst of the coronavirus pandemic compared with any other Aussie state, experiencing four lockdowns. Sheedy partnered with Enthral to share a love […]
Telstra’s lower-cost telco, Belong, has awarded its strategy and creative account to Howatson + White, and has reappointed OMD to its media buying account, after a competitive pitch process. Howatson + White will handle strategy, planning, creative and CRM, while former agency Clemenger will continue to have a relationship with Belong, managing PR and retail activation. […]