ITEC0722: Mobile Business and Implementation: Mobile Advertisement

Suronapee Phoomvuthisarn, Ph.D.suronape@mut.ac.th

Introduction

• Driven by Facebook and Google, Mobile Ad Market Soars 105% in 2013– Mobile ad spending on pace to reach $31.45

billion this year

http://www.emarketer.com/Article/Driven-by-Facebook-Google-Mobile-Ad-Market-Soars-10537-2013/1010690

Introduction (2)

• Mobile Advertising: What is the average CPM on mobile?– The effective cost per thousand impressions

(CPM) for desktop web ads is about $3.50, while the CPM for mobile ads is just $0.75.

http://www.quora.com/Mobile-Advertising/What-is-the-average-CPM-on-mobilehttp://mashable.com/2012/10/23/mobile-ad-prices/

Mobile Advertisement

• Mobile advertisement is ..– Def: Mobile advertising is a form of advertising via

mobile (wireless) phones or other mobile devices. It is a subset of mobile marketing.

Advantages and Challenges• Advantages– Mobile market are most certainly on the rise– Fast delivery of the messages and the ubiquity of the

technology– Time- and location-sensitive advertising– Reliability

• For example, timely and reliable delivery of messages is paramount, which is guaranteed by some SMS gateway providers

• Challenges– Likely not to make large purchase by customers– Mobile device issues– Privacy concern

Types of mobile ads

• Mobile web banner or Mobile web poster• SMS advertising (which has been estimated at over

90% of mobile marketing revenue worldwide)• MMS advertising• Advertising within mobile games and mobile videos• During mobile TV receipt• Full-screen interstitials, which appear while a

requested item of mobile content or mobile web page is loading up

• Audio advertisements

The effectiveness of a mobile media ad campaign

• The basic pricing models include:– Cost-per-thousand (CPM) – Inventory is sold on the basis of “number of

impressions delivered.” No further action is required by the user/visitor to trigger the revenue event.

– Cost-per-click (CPC) – A media company or search provider is paid only when the user/visitor “clicks” on an ad.

– Cost-per-action (CPA) – Performance ad networks often use this model where the revenue event is triggered only when the user/visitor takes the desired action with the advertiser (i.e., makes a purchase).

– Cost-per-view (CPV) – This relatively new model triggers the revenue event only when the user/visitor opts-in to view the ad, often by clicking on a prompt or “bug.”

– Cost-per-session (CPS) – A session-based sponsorship where the user/visitor’s play experience is branded.

– Sponsorship – The brand is integrated into the game environment. This type of model may also refer to fixed pricing in exchange for 100% share-of-voice and can give an advertiser particular visibility and advantage above that of run-of-site advertising. When associated with specific content, sponsorship can provide a more targeted audience than run-of-site ad buys.

Mobile Web

• Mobile Web Banner Ad– A universal color graphics ad unit displayed on a

Mobile Web site– All Mobile Web Banner Ads must be clickable by the

end user and may be placed in any location on a Mobile Web site.• Mobile web banner (at the top of a page) • Mobile web poster (at the bottom of a page)

– A Mobile Web Banner Ad may be followedby a Text Tagline Ad to emphasize the clickable character of the ad unit.

Mobile Advertising Network

• Mobile advertising networks act as the broker between mobile advertisers and mobile web site owners. – A mobile site owner places the relevant code on their

pages to pull ads from the mobile advertising network. – The mobile advertisers orders the advertisement from the

mobile ad network, usually with the ability to target specific countries and devices as well as select the type of mobile site on which the ad should be displayed.

• There are two ends to the mobile advertising network spectrum.– Premium– Self-service

Google admob

https://sites.google.com/site/thaiadmob/

http://www.doodroid.com/code/25

iAds

• Apple platform• “Mobile Ads with Emotion”• Based on CPM model

• Developer/Apple – 60/40% (2010)– Sponsors such as AT&T, Nissan, Best Buy, ซิ�ตี้��, ยู�นิ�ลี�

เวอร์�, Sears, Target แลีะ JC Penney

Text Messaging (SMS)• Short Message Service (SMS) is a communications

service that allows the exchange of short text messages, limited to160 characters, between mobile phones.

• SMS Advertising Unit Definitions– Initial SMS Ad (Appended)

• The ad copy will be inserted only at the end of the content portion of the SMS.

• Current best practice is for ads to be no shorter than 20 and no longer than 90 characters in length.

– Complete SMS Ad (Full Message)• The SMS message is entirely devoted to the advertisement. • A length of up to 160 Latin characters

Multimedia Messaging (MMS)• Multimedia Messaging Service (MMS)

is a rich media messaging service that allows mobile users to send and receive messages/media that can include graphics, photos, audio, video and text. – Unlike the Mobile Web, this media

resides on the user’s mobile phone, so a data connection isn’t required to access the ad content once the message has been received.

– Mobile phones are currently capable of receiving MMS messages between a maximum of 100 KB to 600 KB sizes

Mobile Video and TV• Ad Breaks

– are video or still/animated image advertisements rendered before, during or after streamed or downloaded Mobile Video and TV content.• Linear Ad Breaks • Non-Linear Ad Breaks

• Interactive Mobile Video and TV Ads • Recommended landscape aspect ratios for Mobile Video

and TV content are 4:3, 16:9 and 11:9. • Shorter ad break durations of up to 20 seconds are

recommended for short form video content of 3 to 5 minutes in length. Longer form video content over 5 minutes may support ad breaks of 30 seconds or more .

Mobile Applications

• Applications that host ads inside the application design and logic – In-App Display Advertising Units • Mobile Application Banner Ad • Mobile Application Interstitial Ad • Rich Media Mobile Ad (RMMA)

– Integrated Ad – Branded Mobile Application – Sponsored Mobile Application

Action initiation• Example include:

– Click-to-Mobile Web: click launches the web browser. – Click-to-call: click initiates an outgoing call to the content provider or

advertiser. – Click-to-video: click initiates an advertiser’s video commercial for a

product or service. – Click-to-SMS: click initiates an SMS for a user to send a keyword to a

short code to request more information. – Click-to-locate: click initiates a map enabled by location-based services

where a user may find, for example, the closest car dealer or movie theatre.

– Click-to-buy: click initiates a jump page where a user may make a purchase using some form of mobile payment (i.e. credit card, operator bill, etc).

– Click-to-storyboard: click transitions to a second interstitial ad (which itself may provide additional actions).

AROUND GAME ADVERTISING

IN-GAME ADVERTISING

Task• Research mobile marketing plus advertising model on some

of social media applications as follows:– Facebook– Youtube– Twitter– Line

• Mobile marketing– What are their marketing strategies?

• Mobile advertisement – What are their advertising’s model?– What are their pricing?

• Give 15 minutes presentation in the class.

Reference

• http://en.wikipedia.org/wiki/Mobile_advertising

• http://amethon.typepad.com/amethon_insights/mobile_analytics/

• http://www.mmaglobal.com/policies/global-mobile-advertising-guidelines

• http://www.marketingoops.com/media-ads/iad/

Question??