IAB Mobile Marketplace 2012 Highlights
Reach. Engage. Measure. Monetize.
On July 16, 2012, in the heart of New York City, Randall Rothenberg, President and CEO, IAB, welcomed a room full of mobile marketing thought leaders, industry participants, and enthusiasts, at the 4th annual IAB Mobile Marketplace entitled “Making Sense of the New First Screen—Reach, Engage, Measure, Monetize.” He opened by quoting two major influencers: entertainer Stevie Wonder and former IAB Board Chair Wenda Harris Millard. Stevie Wonder’s line “I Just Called To Say I Love You” captured the theme of the event, he said, while Millard is known to have said: the challenge for the mobile industry is to think of themselves as not being apart from but being a part of. One of the key roles of IAB and its Mobile Marketing Center of Excellence is to bring people together to solve the major industry challenges and drive consensus to help the industry move forward. Next, Anna Bager, VP and General Manager, Mobile Marketing Center of Excellence, IAB, welcomed the crowd saying it’s no longer about when is mobile, but that mobile is a true reality today. Global mobile ad revenue was $5.3 billion in 2011. Mobile is becoming part of the fabric of digital advertising. Maybe we shouldn’t even talk about mobile, she said, but just interactive advertising.
Today is all about learning how to use mobile to build better relationships with consumers, she said. A big part of that is groundbreaking, eye-opening research like “Mobile’s Role in the Consumer’s Media Day,” an in-depth report from IAB and its Mobile Marketing Center of Excellence that reveals how consumers’ receptiveness to advertising varies by device, time of day, and location.
More breaking-news research was unveiled on stage minutes later when Russell Wallach, President, Live Nation Network diverged from his planned presentation to announce first-look insights from a detailed study on the live event fan and their mobile behaviors. Sixty-three percent of live event attendees own a smartphone, and they are nearly twice as likely to own a tablet than the general population. Mobile phones are an essential concert accessory. The entire audience is lit up with them. Brands can organically integrate themselves into this live mobile experience in myriad, engaging ways. At concerts 42% of smartphone owners use their phone at least once an hour; 20% use them every 30 minutes. Their mobile activities include taking photos and videos, texting, sharing on Facebook, calling someone, checking in at the event, and tweeting. Live event goers are also using their phones to buy tickets. Ticket purchases via mobile are up 158% year over year. The Live Nation app solves a marketing challenge and drives revenue by allowing users to see what events are happening in their local area and providing a simple purchase process.
Following Mobile Marketplaces, where attendees learned how Tapjoy, OpenX, TRUSTe, and YP could help build their businesses, and a networking refreshment break, mobile experts Roy Chung, Director, Emerging Solutions, Audience on Demand, VivaKi; Brian Decker, Managing Director, Client Leadership, Mindshare; Jason Newport, Senior Vice President, Head of Mobile Practice, Carat; and Rory O’Flaherty, Group Media Director, R/GA, took to the stage for a conversation about the agency point of view moderated by Eric Bader, Founder, Chief Executive Officer, MOBILIZE. The hot topic: shifting share to mobile. “Nobody’s minting new money for mobile,” Bader said. The scope of the talk ranged from the creation of new marketplaces and measurements that take advantage of mobile’s distinct capabilities to the harsh realities of an existing media planning structure built on junior-level staffers and age-old models of practice. “We need to stop treating mobile as a separate channel where we can replicate the same tactics that we know, but look at it as a new way of communicating,” Chung said.
Concluding the morning sessions, Carrie Seifer, Regional Vice President, Sales, Millennial Media, highlighted these three essential elements for successful mobile marketing: contextual targeting, beauty, and social, which provides the opportunity for earned media.
Following a lively lunch, attendees put down their mobile devices, temporarily relieving burden on the wireless spectrum, for a fireside chat between Robert McDowell, Commissioner, Federal Communications Commission and Kevin Conroy, President, Univision Interactive Media. The question from Conroy that ignited the conversation: Can the existing 3G and 4G infrastructures support demand? That question, McDowell said is the main issue facing the FCC and can be answered by anyone in Manhattan using a bandwidth intensive device at peak times. While there are programs working to add supply, “I don’t anticipate any major chunks of spectrum getting into the hands of consumers for the better part of a decade,” he said. How would this affect pricing? Randall Rothenberg, President and CEO, IAB asked. The same way the economy works for all limited resources in high demand, McDowell said. But consumers should be charged based on their level of usage. “Pricing freedom is a good thing for consumers…If you are a high bandwidth user, you’re going to be paying more,” he said.
A series of three case studies exposed real world, mobile marketing decisions and results next. Mark Emery, Mobile Marketing Strategist, Definition 6 and Ted Schweitzer, Senior Vice President, Ecommerce, La Quinta Inns & Suites, revealed how the team used both an app and a mobile site to boost hotel bookings from loyal and new customers. Other tactics: only a four-screen booking process and a dynamic “homepage” contextualized to the location of the user. Chad Hickey, Director, National Sales, xAd, and Renee Robertson, Associate Media Director, Search, Hill Holliday, talked mobile search and Dunkin’ Donuts. The marketplace for mobile search is fragmented across not just browsers, but apps. Dunkin’ Donuts used the xAd mobile search application to be visible across listings. The team also relied on a cost per navigation metric, meaning the marketer is only charged if the user maps the route. The final case study came from David Kurtz, Vice President, Publisher Products, YP, and Emily Iverson, Director of Display Media, Booyah! The team implemented a campaign for Blockbuster Video using the YP Dynamic Store locator to reach consumers near store locations.
Four workshops, one candy break, and three Marketplace Conversations later, attendees returned to the main stage for a deep dive into two major mobile initiatives at IAB, both of which are now seeking public comment: Mobile Rising Stars and MRAID 2.0. The Mobile Rising Stars program is designed to discover and capture, for the good of the entire ecosystem, the industry’s best ad products and then make them IAB standard ad formats. Peter Minnium, Head, Brand Initiatives, IAB and Darrel Whitelaw, Executive Creative Director, IPG Lab, showcased the five winning Mobile Rising Stars ad formats: the IAB Mobile Filmstrip, IAB Mobile Slider, IAB Mobile Adhesion Banner, IAB Mobile Pull, and IAB Mobile Full Page Flex. All units are ready for broad adoption. As of today, public comments are welcome via email at [email protected] until August 16, 2012. Once the public comment period ends, IAB will evaluate the comments received, make any needed changes, and make the final version available. The brand value of these cutting-edge ad formats were emphasized by Jason Young, Chief Executive Officer, Crisp Media, and Diaz Nesamoney, Founder, President and Chief Executive Officer, Jivox, who both pointed out the ad units’ ability to help marketers tell more creative and engaging brand stories. Next, Joe Laszlo, Senior Director, Mobile Marketing Center of Excellence, IAB, provided a clear and entertaining look into the MRAID 2.0 initiative. MRAID 2.0, which stands for “Mobile Rich-Media Ad Interface Definitions” builds on the promise of its first iteration to create a universal language for SDK’s in order to create an ecosystem where scale is readily available for in-app rich media ads. This update addresses the evolution of HTML 5. Public comments are welcome via email at [email protected] until August 10, 2012.
The Marketplace Conversations are breakout forums structured to drive dialogue around hot topics. Today’s subjects included “Mobile Monetization,” “Doing Local Right,” and “Premium Mobile Formats.” Leaders and volunteers from these sessions headed to the stage to report the major ideas and themes of their intimate meetings. The “Mobile Monetization” group discussed tracking users across different experiences; the “Doing Local Right” group debated the appropriate KPI’s for mobile, as opposed to PC-based advertising; and the “Premium Mobile Formats” group worked to define what premium means in mobile, whether it’s better creative, better tracking, or if it’s defined by the adjacent content.
Julie Shumaker, Vice President, Brands in Play, Zynga, the final keynote of the chockfull day, wowed the audience with staggering statistics on the popularity of gaming. Thirty-two percent of the U.S. population is a mobile gamer, she said. Angry Birds reaches 26 percent of all U.S. smartphone users, while Words With Friends reaches 16 percent of all U.S. smartphone users. Draw Something has 10 million daily active users. Each has an audience large enough that it would be considered a number one television show on cable or the networks. In time-spent on mobile, it’s likely game playing is second to talking on the phone, she said. For advertisers, the real opportunity is becoming integrated into this playtime. The ad experience needs to have a value exchange, she said. “This is not a transaction. The user doesn’t expect you to flash an ad and leave. They expect you to be part of the content,” she said. “The Rising Stars will play so well into this space.” One example she provided is how Words With Friends drove promotion for the GRAMMY Awards. Players were encouraged to play the word “music,” when they did, they had the chance to win tickets to the awards show.
As the general session adjourned the presenters and attendees headed to the bar to discuss their impressions of the day and the inspiration they gained—many likely looking forward to a quick game of Angry Birds or Draw Something on the way back to their apartments and hotel rooms.
News from IAB Mobile Marketplace 2012
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