Results tagged “eMarketer” from IABlog

There is no doubt that mobile gaming is a hot topic that is attracting the notice of brand advertisers. Mobile gaming is growing significantly due to three key trends:
  1. Growth in smartphone and tablet usage (according to the IAB Mobile Center research, as of January 2014, 57% of all US adults owned a smartphone and 44% owned a tablet)
  2. Increasing sophistication in mobile app ecosystem
  3. Growing willingness among consumers to pay for virtual goods and accept mobile advertising
Mobile game monetization comes from:
  1. Virtual goods
  2. Paid apps and downloads
  3. Advertising
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Per eMarketer, mobile game monetization is projected to increase significantly over the next four years. All three of the primary monetization models—downloads, in-game/virtual goods, and ad-supported—will grow, but the mix will shift in favor of in-game/virtual goods.
 
For these reasons, the IAB Games and Mobile Committees convened a Town Hall discussion titled “The Future of Mobile Game Advertising.” Susan Borst, Director of Industry Initiatives and the IAB lead for the Games Committee stated that interest in game advertising has never been higher and bringing these two committees together is important given that nearly a third of all time spent on mobile is on games. Joe Lazlo, Senior Director of the IAB Mobile Marketing Center of Excellence added that successful game advertising has much to teach the rest of the mobile ecosystem.

Following a welcome and some perspective on the state of mobile games advertising from event host, Jeff Colen, Ad Sales & Marketing at Zynga, Lewis Ward, Research Director of Gaming at IDC, shared some background information on smartphone growth and share, consumer spending on games and consumer sentiment for game play by device.
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Lewis noted the growth of the tablet for game play, and in particular the iPad as gamer’s favorite iOS devices. He went on to say that significant demographic differences exist across the various mobile platforms, notably HH income and gender, which have obvious implications for game developers and advertisers. For instance, the IDC study showed a big disposable income gap between iOS and Android, and game play on Kindle Fire skews heavily female.

Defining and sizing smartphone and tablet ads is “tricky due to technology fragmentation and the rapid pace of market innovation and evolution,” said Lewis, and the audience agreed. This is an area where the IAB could work to provide some clarity. 


Source: IDC
PANEL DISCUSSION
The key takeaway from the Town Hall discussion is that there has been a significant and important shift in just the past year or so and the momentum is building.  
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Key Highlights:

  1. Ad format evolution taking place: From advertising that offers player rewards, value exchange video advertising, rich media creative, branded content and more native integration—ads on games are becoming less aggravating—and more frictionless. 
    • There is an overall increased acceptance of advertising among users when advertising is executed in a way that brings value to their experience, is contextually relevant, delivered in a format that is visually appealing or synergistic to their mobile experience. Benjani highlighted inMobi’s focus on “working with studios and brands to create deeply integrated native ad experiences to connect advertisers to audiences globally.”
    • Emotional targeting that is additive to game play (creating value exchange between advertiser and user) tapping into players’ emotions and serving ads in the right place at the right time with the right message is a win for both advertisers and consumers. This allows the brand to be a welcome “hero” for the player, taking part in the user experience and offering players rewards during moments of “achievement” or tips at points of “frustration.” 
    • “In-game advertising is the only way brand marketers can reach and reward, encourage and rescue players in a way that adds value to the user experience. For example, during Breakthrough Moments™ (BTMs™), brands can reach game players during moments of “achievement,” such as when they get a new high score or a longest jump. With this approach, people will reciprocate the brand’s gift and take a post ad action—such as purchase a product or visit a website—and further engage with the brand, giving marketers a unique way to make lasting, meaningful connections with people,” said Brandt.
  1. Increasing focus on brand metrics: As Lewis noted, CPM, CPC, CPA and CPV all have some traction in mobile games, but increasingly, better brand metrics, analytics and real-time decisioning are changing the way effectiveness is measured. “Keep in mind as to where your ads are running as not all impressions are equal. If your primary KPI is to deliver a positive brand experience and association, look at where the ad is running and ask if you were playing this game - would you feel interrupted by or helped by this advertisement? User experience is at the paramount of successfully advertising on mobile and simply porting over outdated ad units and placements from display advertising is not enough. These are personal experiences on mobile and the key is tailor advertising to match this new medium”, said O’Connor.
  2. More options for developers and advertisers: From in-app to HTML5, more options are emerging for game developers and advertisers to foster “native” experiences. Grossberg added: “Brands are also beginning to leverage HTML5 to create their own mobile web games (the game is the advertising!) to engage their target audience at scale through this preferred activity on mobile, and do so in a cost effective manner in a way that fosters social and viral growth.”
Mobile game integration is a reality and has become industry standard for marketers.  The IAB Games Committee is  finalizing a white paper titled “The Games Advertising Ecosystem” report which is intended to help the industry understand today’s game play, the core game types and advertising categories for marketers to reach consumers.  Stay tuned!

About the Author

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Kym Nelson

Kym Nelson serves as an IAB Games Committee Co-Chair and is Senior Vice President of Sales at Twitch TV, the world’s largest live-streaming video platform. In this role since May, 2013, she has created Twitch Media Group, launching an inside, direct-sales media group at Twitch. She is responsible for creating and leading a world-class sales organization that delivers completely new and innovative digital solutions on a platform that is spearheading digital media as we know it today. 

In the past few years, the conversation around social media has expanded from engagement, to listening and now to social planning for ‘real time.’ As eMarketer has cited, real-time marketing “…goes far beyond simply posting a timely tweet or status update… businesses are expanding their use of social analytics to do so much more.” This includes using social data for enhanced targeting and content creation. Brands are also anticipating social conversations to actively inform creative execution and media planning decisions for both digital and traditional mediums.  It is clear that planning social media ‘for real-time’ has become an increasingly important part of the paid, owned and earned media equation.


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To a packed and Twitter-trending house at the IAB Social Media Agency Day held in NYC yesterday, Peter Greenberger, Director of Political Advertising at Twitter, kicked off the three hour event with a talk on what brands and marketers can learn from the politicians during the 2012 Election. His talk is recapped below: 


Politics & Madison Avenue: Lessons for brands from #Election2012


There is a long history of political advertising influencing Madison Avenue. The earliest brand television commercials borrowed from pioneering political consultants. In more recent years, McCain 2000 proved the Internet could be used to fundraise; the 2004 Howard Dean campaign introduced blogs and Meetups to mainstream America; and the 2008 Obama campaign nudged social networking forward. 


In 2012, Twitter drove the narrative of the presidential campaign. It allowed millions of citizens to participate in the political conversation and enabled the campaigns to engage voters more directly than ever before. One of the more exciting discoveries from the 2012 election (kicked off with Romney’s now famous “Big Bird” debate comment) is the way brand marketers have begun mimicking the real-time marketing activities developed by political advertisers. Below we’ll explore how to prepare for, and execute, successful real-time campaigns - and explain how real-time marketing (RTM) came of age during the first #TwitterElection.


Prepare for real-time 


Being real-time is not easy. The campaigns can provide valuable lessons to brands on how to prepare for and capitalize on real-time opportunities. 


1. Listen to the community by monitoring Twitter conversations. 

Before you can join or influence a conversation, you must take some time to listen. Both campaigns monitored chatter on Twitter to determine how their paid TV spots were resonating with the intended audience and also as an early warning system for potentially negative memes. The Romney campaign watched the Hilary Rosen comment on CNN about Ann Romney’s work experience explode on Twitter and capitalized on the moment by having Mrs. Romney launch her own Twitter handle to join the discussion.   


2. Build your community by growing your followers in a targeted way. 

The campaigns created customized handles for specific audiences and goals. For example, the Obama campaign set up different handles geared towards students (@Students4Obama), Latinos (@LatinosforObama) and voters in key states such as Ohio (@OFA_OH). The campaigns tweeted out exclusive content including behind the scenes photos, contests and offers to build a loyal following on Twitter. 


3. Engage the community with compelling content and real-time interaction. 

Twitter is an engagement platform and both campaigns created compelling content in real-time to encourage users to respond. They prepared Tweets and calls to action before convention speeches, debate nights and leading up to Election Day. They asked for feedback using planned hashtags (#dontdoublemyrates and #40dollars), encouraged Retweets to show support and jumped on trending news and current events. 


4. Move the community with effective persuasion and clear calls to action.

Ultimately, you have to move votes to win an election and the campaigns used Twitter as a powerful persuasion and Get-Out-the-Vote tool. @GOP tweeted videos with their party’s closing message on Election Day (“watch this before you vote!”); the Obama campaign urged voters to #StayInLine with Promoted Tweets targeted to mobile devices in key states experiencing long lines at the polls. And the Obama campaign specifically used Twitter to drive registration and early votes in key states. 



Real-time marketing comes of age for brands


On February 3, more than halfway through Super Bowl XLVII the lights went out in the New Orleans Superdome. This unexpected moment was when the game began for Oreo and their now famous, “You Can Still Dunk in the Dark” real-time marketing response. Their agility was universally praised - and their Tweet received 16k+ Retweets. 



Just ten days later, another brand had a moment when Republican Senator Marco Rubio paused during his rebuttal to the President’s State of the Union address to take a drink from a bottle of Poland Spring water. Poland Spring did not respond in a timely manner and missed an opportunity to connect with an engaged audience.


(The Senator, meanwhile, continues to engage and is now using the incident to help one of his favorite charities.)


What does this mean for the advertising industry in general? In the span of just ten days (between the Super Bowl and Senator Rubio’s rebuttal) real-time marketing moved from a brilliant tactic when done well, to a glaring mistake when missed. 


The lesson from the #TwitterElection is clear: If you are not reacting in real-time (and planning for real-time) you risk being left behind.  


In the upcoming weeks, this blog series will provide overviews of other discussions at the “Social - Planning for Real-Time” Agency Day including ways that Travel, HBA/CPG, Sports and Auto have planned social for real-time to make their marketing dollars work harder, and is also a part of IAB Social Media Committee member initiatives such as Paid, Owned, and Earned Media Best Practices. 


About the Author

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Susan Borst

Susan Borst is the Director, Industry Initiatives at the IAB focusing on Social Media, B2B and Games. She can be reached on Twitter @susanborst.


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