Aussies advertisers need to look beyond ‘banners’ to harness the true value of mobile, says mobile ad company, InMobi.
Australians are now turning to mobile and tablet at increasing rates. According to the latest mobile media consumption survey undertaken by InMobi, 56% of web users are now accessing the internet primarily through their mobile device, which translates to a significant increase of 16% year on year. When you compare this to app usage, Australians are using on average 7.2 apps a month with app usage accounting for 89% of all time spent on mobile.
Shifting to an advertiser’s perspective, mobile advertising has already started to have a powerful effect on the purchase funnel. 70% of Australians have stated that mobile advertising has introduced them to something new, 63% stated that mobile advertising has provided them with a better option and 50% stated that it caused them to reconsider a product – each of these brand metrics experiencing a 4-5% increase year on year.
Mobile performs the strongest in the consideration phase of the purchase funnel, driving brand awareness five times better than web making it a key brand platform for advertisers to utilise.
So what does this mean?
It means the mobile device is now a powerful tool for advertisers to reach users in an environment in which they are engaged.
Despite these powerful statistics, implementing a strategic and bespoke mobile placement on a media plan is rare for a lot of brands. The path of least resistance (or cogitation) is to throw in some mobile banners off the back of a campaign as added value, but this strategy fails to leverage the full value that mobile can bring to an advertiser. What advertisers need to start requesting from their media agencies are mobile specific strategies that mirror the way users are engaging with their mobile device.
A study undertaken in America, focusing on commuters in China, found there was a change of behaviour, termed ‘mobile immersion’, when Chinese commuters turned to their mobile device to cope with the lack of space they experienced while commuting. They found users were not only more engaged with mobile content but also more likely to engage with targeted mobile advertising. They discovered a correlation to crowd density with purchase rates increasing from 2.1% to 4.3% as crowd density increased from fewer than two people per square metre to five people respectively.
This research showcases the engagement with a brand’s proposition and the probability of purchase can be influenced by something as minimal as crowd density. This mindset of ‘mobile immersion’ helped users escape the crowded environment through mobile and mobile advertising. Advertisers need to start considering all forms of mindset across the media landscape and match that mindset with a bespoke creative.
For example when a user is at home on their tablet, browsing the news or looking for shopping inspiration, they are in a very different mindset than when they are snacking on content or playing a game while commuting. Even comparing the use of a laptop during the day to a tablet at night is markedly different. If you consider a user’s mindset at work compared to the mindset at night or even the mindset on a train, they are all very different with different abilities to consume content or explore a brand’s message. Tapping into bespoke messaging that matches this mindset is key to a successful campaign.
Extending To Publisher Sites
The onus of building a better mobile campaign needs to be extended to publishers and advertiser sites. Campaigns can only be as good as the ecosystem in which they exist and mobile requires a greater effort from publishers and advertisers to make the user journey and the communication of information accessible and more discernible
To support this, we can analyse a simple action such as purchasing on mobile devices. In Australia, 68% of users state that they have spent money on an activity via mobile. This is driven by purchases of digital goods at 48%, followed by financial payments at 39% with physical goods coming in third at 32%. When asked if the user is planning to spend on mobile in the next 12months, this number jumps to 90%, a staggering increase of 22%.
How will this be facilitated?
This should be extended across the mobile ecosystem. However there are much more that advertisers and publishers should be exploiting across mobile to generate more value and a better environment for advertisers. As it stands about one in five websites in Australia are not mobile friendly. This is an alarming statistic when you consider 24per cent of all global Internet traffic now comes from mobile devices.
Mobile users are regularly sharing in the frustration of working with a desktop site requiring a keyboard and mouse on a screen, potentially, the size of a hand with no peripherals. This is reflected by 67% of Australians stating they are unlikely to return to a mobile site, which is not mobile-friendly.
Advertisers are missing out on potentially 24% of their consumers through advertising, possibly 67% of returning users due to a poor user experience and publishers could be missing out on potential revenue from advertisers hoping to reach consumers across mobile.
There needs to be a concerted effort to build the mobile ecosystem from everyone in media, from the advertisers and agencies demanding better mobile strategies, to the advertisers and publishers ensuring they have the facilities and mobile destinations to support a user journey across mobile.
Mobile needs to be treated as a unique platform, with a unique ecosystem and therefore with unique advertising opportunities. Mobile is now a dominant platform, with consumers turning to it during all hours of the day, with a reach that is prolific through age groups from youth to the elderly and for both men and women.