Mobile Advertising: B2C Brands Mature, But Bad Habits Die Hard MMA Webinar Series March 13, 2018

Transcription

1 Mobile Advertising: B2C Brands Mature, But Bad Habits Die Hard MMA Webinar Series March 13, 2018 Sponsored by:

2 MMA IS 800+ MEMBERS STRONG GLOBALLY MARKETERS, AGENCIES, MEDIA SELLERS, TECHNOLOGY & OPERATORS

3 MMA PURPOSE WHO: The People We Serve Prime Audience: Chief Marketers By helping Marketers do Mobile better, everyone wins. MMA membership represents Marketers, Agency, Media and Technology Enablers from across the globe. WHY: Our Reason for Being Mission:To accelerate the transformation and innovation of marketing through mobile, driving business growth with closer and stronger consumer engagement. WHAT: Our Strategic Priorities 3 Cultivating Inspiration Aimed at the Chief Marketer; guiding best practices and driving innovation Building Capability for Success Fostering know-how and confidence within the Chief Marketer's organization Demonstrating Measurement and Impact Proving the effectiveness and impact of mobile through research providing tangible ROI measurement and other data Advocacy Working with partners and our members to protect the mobile marketing industry

4 MMA MEMBERSHIP 4 SMoX Mobile ROI Research 20+ Events Worldwide 40+ Webinars Annually and Many More Available on Demand SMARTIES Awarding Best in Class Mobile Campaigns Industry Working Groups Driving the Future of Mobile CEO & CMO Summit Annual Mobile Think Tank Guidelines & Best Practices Viewability, Location, Native and more SmartBrief Daily Mobile News in your Inbox MM25 Marketer Peer Group Tackling Core Issues for Marketers 800+ Members From the Entire Mobile Ecosystem Worldwide Education & Training 600+ Mobile Case Studies Inspiring Creative Innovation

5 MANAGING YOUR QUESTIONS Share the Insights #MMAWeb 5

6 Presenter PRESENTER Joanna O Connell Vassilis Bakopoulos Forrester Research joconnell@forrester.com Mobile Marketing Association vas@mmaglobal.com Vice President 6 Moderator MODERATOR Head, Industry Research

7 AGENDA Marketers budget for mobile Marketers plan how to capitalize on mobile Mobile advertisers measurement problem Use of contextual data 7

8 Consumers love their mobile devices. 8

9 Mobile now accounts for 69 percent of digital media time spent Nearly a third of marketers now plan all ad creatives to be mobile-first Spend on mobile display and social ads will double between 2017 and

10 And marketers finally got the memo 60,000 US ad dollars spent on mobile display and social ads will double between 2017 and ,000 40,000 30,000 20,000 10, (US$ millions) Source: Forrester Data: Online Display Advertising Forecast, 2016 To 2021 (US), Q Update and Forrester Data: Social Media Advertising Forecast, 2017 To 2022 (US) 10

11 And marketers finally got the memo How much of your total advertising budget does this represent? How do you expect your mobile advertising budget to evolve in the next 12 months? Less than 10% 28% Increase by more than 30% 6% 10% to 30% 32% Increase by 15% to 29% 26% 30% and 50% 14% Increase by 1% to 14% 42% 50% and 70% 8% Stay about the same 19% 70% and 90% 4% Decrease by 1% to 14% 5% Over 90% 3% Decrease by 15% to 29% 2% Don't know 10% Decrease by more than 30% 0% Base: 196 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q Base: 186 respondents. 11

12 But as budgets grow, is that money well spent? What do they buy? 12

13 So mobile marketers are playing it safe 2017 Forrester Research, Inc. Reproduction Prohibited 13

14 1. They want precision Digital advertisers must choose between providers that offer cross-device graphs based on either deterministic or probabilistic data. What is your preference? Digital advertisers often experience a trade-off between data accuracy and scale. When faced with this trade-off: I am open to using both types, depending on the situation 54% I am willing to sacrifice some reach in exchange for more precision 47% I prefer solutions based on deterministic data 20% I am willing to sacrifice some precision in exchange for reach 32% I don't have a point of view 19% I have a minimum reach and minimum precision requirement 15% I prefer solutions based on probabilistic data 7% I don't have a point of view 6% Base: 203 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q

15 2. They rely on data they trust: their own What sources of data do you use to inform audience targeting for mobile display advertising? Please select all that apply. Our first party data 68% 61% Our CRM data Second party data (eg, publisher data) 52% 48% say the quality and accuracy of third party data is a major challenge Third party data 46% Base: 203 respondents. Forrester/MMA Mobile Advertising Benchmark Survey Q

16 3. They look for clarity and clean inventory They spend on average 61% of their mobile ad budget on direct buys and private marketplaces. 1/3 rd of their mobile budget is spent on social ads But also Base: 203 respondents. Forrester/MMA Mobile Advertising Benchmark Survey Q

17 4. They stick to tried-and-tested targeting approaches What types of targeting do you apply to mobile advertising? Please select all that applies. Demographics targeting 77% Behavioral targeting 59% Search retargeting 54% Site retargeting 54% Geo-fencing / proximity targeting Time of day targeting 38% 38% Contextual data is least exploited Historic location audience targeting 32% Weather targeting 18% Base: 164 respondents. Forrester/MMA Mobile Advertising Benchmark Survey Q

18 And they have determined where to get what they want 2017 Forrester Research, Inc. Reproduction Prohibited 18

19 Mobile and app advertising fill different roles Please tell us how you think mobile web inventory and in-app inventory compare to one another. Which of the two provides: In-app advertising Mobile web advertising Don't know In-app advertising outperforms mobile web on accuracy, UX, and fraud. 54% 30% 53% 34% 45% 33% 22% 16% 13% More accurate user data A better user experience for consumers Lower bot fraud Base: 182 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q

20 Mobile and app advertising fill different roles Please tell us how you think mobile web inventory and in-app inventory compare to one another. Which of the two provides: Mobile web advertising In-app advertising Don't know But web advertising provides much greater reach, compelling ad formats and higher quality inventory 62% 23% 47% 39% 43% 37% 20% 15% 14% Greater reach More compelling ad formats Higher quality inventory Base: 182 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q

21 Mobile advertisers have a measurement problem 21

22 Increasing their use of data and analytics for marketing measurement and customer insight is a top priority for 67% of mobile advertisers. Base: 240 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q Forrester Research, Inc. Reproduction Prohibited 22

23 Measurement tools and approaches are a let down Base: 164 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q

24 They struggle to measure performance across channels and formats 62% say recognizing users across devices is a top challenge to planning and buying mobile advertising But only 40% say cross-device recognition is one of their priorities Source: Forrester/MMA Mobile Advertising Benchmark Survey Q

25 They plan advertising based on the perceived value of various channels and inventory How efficient are the following ad formats in increasing your return on ad spend? 5 = Most efficient /highest return on ad spend 4 3 = Neutral 2 1 = Least efficient /lowest Return on ad spend Social video ads 38% 34% 23% 3% Social display ads 35% 36% 23% 4% In-stream/pre-roll video ads Native ads Vertical video ads Dynamic ads 27% 22% 21% 20% 34% 34% 26% 39% 31% 34% 42% 34% 6% 8% 9% 6% On average, 30% could not tell what formats were most efficient at driving performance for their organization Interstitial ads 16% 20% 49% 12% Out-stream video ads 11% 27% 45% 13% Base: 102 to 141 respondents. Source: Forrester/MMA Mobile Advertising Benchmark Survey Q

26 So they funnel ad dollars where they can best track them 88% advertising on social channels 1/3 rd of their mobile budget is spent on social ads 26

27 What next? Use Context To Plan Mobile Campaigns Around The Customer Journey 27

28 Use contextual data to plan mobile campaigns around the customer journey 28

29 Align your campaign KPIs, targeting, and formats with your customer s journey Ad Formats Creative Targeting 29

30 Define a targeting approach that serves ads when they are most impactful Allstate combined different ad formats, creatives, and targeting approaches. The result? Campaigns aimed at helping consumers move through the life cycle. This helped improve performance by a factor of 3 for certain campaigns. Source: 30

31 Experiment with contextual data to identify the moments that matter Subway used location data, geofencing, and time of day targeting And reached a 46% uplift in foot traffic 31

32 Find mobile data untapped opportunities: There is more to mobile data than campaign performance measurement 43% 33% Fewer than 43% use mobile data to understand customers' paths to purchase Only 33% plan and measure campaigns for their ability to generate foot traffic Base: 278 B2C or B2B2C marketers Source: Forrester/MMA Q Global Mobile Advertising Benchmark Online Survey 32

33 Leverage mobile insights to inform marketing beyond mobile Optimize cross-channel campaigns Identify patterns and behaviours of consumers Leverage insights for future campaigns 33

34 Consolidate data across silos for a better view of the customer Determine whether to rent or build your own cross-device recognition framework Search for integrations you can build between marketing and/or advertising platforms within your stack 34

35 Only 28% of mobile marketers say they integrate data to build holistic customer profiles across mobile and other digital touchpoints 35

36 Revisit measurement approaches and KPIs Develop a clear learning agenda and road map to Reconcile differences across measurement approaches Align data from top down (MMM) and bottom up (MTA) tools 47% Rely on CPMs to measure performance today 36

37 Use interaction KPIs (CPMs or CTRs) as diagnostic metrics to analyse how customers interact with advertising messages Steer away from using these KPIs for optimization or to measure the efficiency of your media spend 2017 Forrester Research, Inc. Reproduction Prohibited 37

38 Q&A Presenter Moderator Joanna O Connell Vassilis Bakopoulos Forrester Research joconnell@forrester.com Mobile Marketing Association vas@mmaglobal.com Vice President Head, Industry Research

39 #ShapeTheFuture because the future of mobile is the future of business UPCOMING MMA WEBINARSERIES Beyond the Buzzword: How Omni- Channel Mobile Marketing Can Drive ROI for Your Business March 28, 2018 Leveling Up, A Marketer s Guide to Winning With Mobile Games April 19, 2018 Artificial Intelligence: Welcome to the Cognitive Era April 24, 2018 UPCOMING MMA EVENTS Impact NY April 10 11, 2018 New York City CEO & CMO Summit July 15 17, 2018 Sonoma, California The Smarties October 1, 2018 New York City Innovate October 1-2, 2018 New York City

40 MMA PROGRAMS & INITIATIVES Currency Measurement Internet of Things Location Mobile Games Mobile Messaging Mobile Native Advertising Mobile Programmatic Mobile Shopper Marketing Mobile Video Privacy 40

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