ONLINE ADVERTISING

Online Advertising on Mobile

Table of Contents

ONLINE ADVERTISING ON MOBILE3

INTRODUCTION3

DISCUSSION AND ANALYSIS4

Impact of Internet on Advertising4

Key Aspects of Mobile Advertising9

Vision of Online Marketers11

Customization of Advertisements12

Influence of Mobile Advertising on Customer14

CONCLUSION16

REFERENCES18

Online Advertising on Mobile

Introduction

Internet access is now critical for many of the world's largest advertisers, even if their brand objectives otherwise cause them to prioritize television. For most of these companies, online has become a clear number two in terms of budget importance, typically at the expense of print and radio. Although brand-based advertisers are keys to long-term growth for the medium, the heart of online advertising today lies in two key segments, endemics and small and medium-sized enterprises (SMEs). Endemics include e-commerce players such as Amazon, eBay, Rakuten (based in Japan) and Taobao (based in China), and any other entity with an online storefront.

With near-perfect end-to-end feedback loops, commercial exposures can be tracked and associated with actions to optimize marketing efforts. Virtually all potential customers can be reached online, making the Internet the primary medium for these marketers, and for some the only medium that matters. Small and medium-sized enterprises represent what we believe to be the other large, identifiable segment of online advertisers. With smaller media budgets and fewer total campaigns (and fewer people to coordinate), this segment can more easily identify the impact of any given media campaign and can more cost-effectively accomplish its goals with the discrete and highly targeted units available through digital media.

This paper examines why this is the case, by exploring the factors that contribute to the rather hesitant adoption of online advertising on mobile. It does this through a meta-analysis of themes and issues evinced in mainstream media and the advertising trade press, with particular attention to the inherent conflicts amongst the interested parties who comprise the 'complicated mobile phone ecosystem' (Stone, 2007: 18).

As to the data sources and research method, the paper draws on an extensive search of recent issues of the advertising and related trade press; notably Advertising Age, Television Week, Marketing Week, and Telephony in the US, B&T from the Campaign in the UK - as well as the business and technology sections of The New York Times and The Australian daily newspapers.

Discussion and Analysis

Impact of Internet on Advertising

New forms of internet-delivered television are also perceived to affect the health of the industry. But again, the impact is generally small today and limited in the future. Online video - TV consumed over the web on a PC - has become an important way to catch up on the most popular programming, but accounts for a very small share of video consumption in most countries. Traditional TV dominates because the vast majority of TV is consumed in a passive, ambient manner, unlike online video which is primarily ?lean forward? by nature, and a typical consumer can only spend so much time ?leaning forward.? More practically for advertisers, it is not entirely clear how commercials which are run during such environments differently impact marketers' overall objectives, given that so much consumption occurs ...