The Rise of Mobile Social Targeting

8/3/2019 The Rise of Mobile Social Targeting

1/11


2/11

Introduction

Social media is quickly becoming more relevant to the way consumers see the worldaround them. When social media first emerged, it was urgent for brands to establish apresence. Updates and offers on social properties became standard practice. The next

phase was to interpret user-generated content (conversations, posts, comments) andsegment users into appropriate categories. This led to the rise of social listening tools thatprovided new insights in brand/consumer interaction and have come to dominate thesocial space. Today, the interpretation of social data is more important than ever for brandsto truly understand their existing consumers and to help them reach new customers.

One of the keys to understanding the behaviour of the average consumer across the socialgraph is mobile. Mobile devices are fast becoming the first and often only methodconsumers are using to engage with friends, communities and consequently, brands andadvertisers. In fact, 40% of smartphone users access social media through their mobilebrowsers and mobile applications.1This phenomenon, known as mobile social, is one ofthe fastest growing categories in both mobile and social usage. A recent comScore studyfound year over year growth of 50% in mobile social between March 2010 and March2011.2

It is clear with the yearly rise of mobile ad spend that todays mobile audience representsa lucrative new market for brands and advertisers. What strategy will work best to addressthe convergence of mobile advertising and social media? How will advertisers know whois receptive to their message? Tried and true digital advertising strategies such asdemographic overlays are problematic when applied to mobile. There is a great need fora specialized solution to address social targeting on mobile devices. This white paper wil lshed some light on the paradigm shift in mobile advertising and how social data is beingused to enhance its effectiveness.

Behavioral targeting

Behavioral targeting isolates a particular group of people in order to effectively marketspecific products and services to them. In its broadest form, it allows Internet advertisers

to target audiences according to their recent online activity. It takes into account the webpages a user has visited and actions they recently performed. However, the very makeupof behavioral targeting does not translate to the mobile ecosystem effectively.

When behavioral targeting tracks your online activity, it overlooks individual patterns ofInternet browsing, such as casual browsing. If a user visits several websites that have nocommon theme, a behavioral targeting approach will often generate a very inconsistentcluster of data. Trying to find an appropriate advertisement for this consumer will bedetermined by cross-referencing their destinations of interest - not the information theyare sharing or conversations they are participating in (see Figure 1.1).

Perhaps the largest proponent of behavioral targeting is Google. Its display network looksat particular online behaviors and categorizes them into appropriate groupings. Theproblem with these groupings is that the populations are often so minuscule that they are

completely unscalable, or results are not precise and contain too much data to properlydecipher.3 Behavioral targeting cannot keep up with the barrage of data this activitygenerates. The strongest argument for the overall ineffectiveness of behavioral targetingis that it does not incorporate the abundance of unique social data that is available intodays digital landscape.

2 2011 Addictive Mobility New York Los Angeles Toronto

40% of smartphoneusers access social

media through theirmobile browsers.(Sept 13, 2011, Social mediause increasing mobile,CyberJournalist.net)

Year over yeargrowth in mobilesocial grew by 50%from March 2010 to

March 2011.(June 15, 2011, MobileSocial Media Up Nearly FiftyPercent in Past Year,Marketing Pilgrim)


3/11

(Figure 1.1)


4/11

Social targeting

There are several targeting methods that can be applied to digital ad serving. These includecontextual, geographical, demographic and social. Of the four listed, social targeting isperhaps the newest and presents the most potential.

Social targeting makes use of the social graph to build custom audiences at scale.4 Itessentially captures what an individual user is discussing in the moment and cross-references it with that users previous conversations and actions. This results in advertise-ments that specifically match a particular users needs and interests in real-time (see Figure1.1).

The foundation of social targeting are the links that a person shares on social networks,with whom the person shares those links with, revealing infinite sharing possibilities. A usermay have viewed thousands of links in a given month and shared 50 of them with friends,but those 50 are ultimately more valuable because of the deep insights into character,interests and relational data between the sharer and the sharee.

The power of social targeting can be magnified when this interconnectivity is combinedwith the contextual aspects that make up status updates, commentary and conversations.The communication a person engages in carries more weight to an advertiser becausethey are specific to that person and their current intentions. In other forms of targeting,there are often instances where a consumer may be blindly targeted; where they willreceive an ad that does not relate to them. Social targeting ensures that the correctaudience is seeing the correct ad. This results in higher conversion rates and thereforeincreased ROI for advertisers. In some instances, social targeting has shown a 200-400%improvement in conversion rates in comparison with other forms of targeting.5

A New Paradigm: Social Targeting on Mobile

We must understand the current state of the mobile ecosystem in order to execute relevantmobile advertising campaigns. As we touched upon earlier, online social targeting tech-niques do not seamlessly apply to mobile. The key differentiators between targeting on

the Internet and on mobile are consumption, audience engagement and the interpretationof data.

Consumption

Mobile can no longer be ignored as an advertising channel. It has quickly become a vitalextension of ones personal and business-related activities. In 2010, mobile activity onFacebook and Twitter increased by 112% and 347%, respectively.6 Recent research hasshown that mobile app usage has overtaken desktop and mobile web usage. In June2011, people spent 81 minutes a day using mobile applications versus only 74 minutesfor web usage.7This points to the growing attachment and dependency consumers aredeveloping towards their mobile device.

The opportunity to immediately engage with consumers directly is beginning to shift awayfrom the desktop environment. Advertisers must take advantage of the immediacy andubiquity of smartphones and tablets in order to ensure that they reach audiences,especially when they are on the go (see Figure 2.1). If marketers choose to ignore themobile audience, they are missing out on an important touch point. Social targeting via


Social targeting hasshown a 200-400%

improvement inconversion incomparison to otherforms of targeting.(Feb 27, 2010, WillBehavioral Ad TargetingKill Content Sites LikeTechCrunch, Mashable andBusiness Insider? BusinessInsider)

In 2010, mobileactivity on Facebookand Twitterincreased by112% and 347%,respectively.(Feb 7, 2011, The UnitedState of Social & MobileMarketing Mobile Monday)


5/11

(Figure 2.1)


6/11

mobile devices assures an advertiser immediate exposure that will often translate directlyinto consumer interaction and engagement

Audience Engagement

When people view a mobile social ad, they are engaged in an experience that has beentailored to their current interests and predispositions. Also, mobile ads typically occupyapproximately 20% of a smartphone screen. A typical advertisement on a PC takes upabout 4% of screen real estate.8 A mobile social targeting campaign with rich mediacreative offers an intimate and effective way to engage an audience. This may include linksto click-to-call campaigns, augmented reality immersions (see Figure 3.1), location check-ins and more. Often, these deep interactions heighten the user experience. In comparison,audience participation is limited with online social targeting. For example, it is unlikely youwill see a calling option in an online campaign or an augmented reality link that will steersomeone into a nearby retailer.

The Interpretation of Social Data

The benefit of social data is that it can reveal individual user intent and gauge consumersentiment before, during and after the execution of an advertising campaign. Social datais the collective information produced by millions of people as they actively participatein online and mobile social activities.9 It may include content that has been shared between

friends, indirect conversations and third-party networks. The standard measure of asuccessful digital advertising campaign lies in the performance metrics of interaction: whichinclude conversions, click-thru-rates (CTR) and new customer acquisition.


Mobile ads typicallyoccupy approxi-mately 20% of asmartphone screen.

A typical advertise-ment on a PC takesup about 4% ofscreen real estate.(June 16, 2011, Report:Mobile Searches Estimated toGrow to 20 Percent of TotalBy 2012 Tech Crunch)

(Figure 3.1)


7/11

One distinct difference between social data from the online world versus the mobileuniverse is location. Users with a desktop computer can be easily tracked because theirlocation is generally static. Geo-targeting, or targeting based on location, is much differenton mobile devices because online cookies cannot be applied. Once a user changes loca-tion, which is inevitable, the geo-data that was previously generated is no longer relevant.

AMO adSocial Network

Addictive Mobility is a North American mobile social ad network specializing in mobilesocial targeting. The AMO adSocial Network technology is comprised of a targeting enginedesigned to leverage social data. Addictive Mobility monitors trends, topics and conver-sations by utilizing its proprietary algorithms and analysis processes. The main tenets ofthe AMO adSocial are accuracy, immediacy, and relevancy.

Addictive Mobilitys revolutionary technology stands out from its competitors because ofits ability to address the exclusive requirements of mobile targeting. AdSocial is capableof studying how to engage an audience and pinpoint who will be receptive towards aspecific message.

The adSocial engine has the ability to derive insights from social user-generated-content(UGC). With this information, Addictive Mobility uses location data to supplement socialdata. For instance, if a person is a New York native but their UGC starts referring to LosAngeles in a travel context, the adSocial network has the potential to interpret theirintention to travel to Los Angeles. The added context allows for more relevant andspecialized targeting in the form of time-sensitive, location-aware advertising.

Addictive Mobilitys social targeting efforts are strengthened by the fact that it targetsrelevance on a tiered system. Each tier targets increasing levels of contextual relevancethat are tracked within social conversations and activity. The final ad that is delivered lever-ages a diverse collection of data sets resulting in unrivaled targeting accuracy.

Case Study: Social targeting in movies

In the summer of 2011, the AMO adSocial algorithm was put into action for a mobilecampaign that centered around the release of a major motion picture. The film was partof a well-known franchise aimed at teenagers and young adults. Addictive Mobility tookkeywords that were relevant to the film and ran them on its network. While we optimizedthe campaign towards the most relevant audience, Addictive Mobility ran the samecampaign and creative on another network. The goal was to assess adSocials competitiveadvantages over the competition. At the time, the film studio had not employed socialtargeting in any of its previous promotional campaigns.

A snapshot from one day of the campaign running on a third-party network showed 1.7million impressions served and a CTR of 0.19%. To ensure that these results were not ananomaly, the campaign was run again. The results from the second flight, again on a thirdparty network, verified that the execution averaged a 0.19% CTR.

With the help of a two-tiered targeted campaign, Addictive Mobility engaged audienceswhose conversations were a contextual match with the film. Relevant audiences wereidentified and saw banner ads featuring the films trailer. The campaign snapshot (see Fig-ure 4.1) includes over 121,000 impressions and a CTR of 1.49%. Despite leveraging fewer


Addictive Mobilitysrevolutionary tech-nology stands outfrom its competitorsbecause of its abilityto address theexclusive require-ments of mobiletargeting.


8/11

daily impressions than other mobile campaigns, Addictive Mobility achieved phenomenaluser engagement rates and a measurable ROI via movie trailer views. Running on the AMOadSocial network, the campaign exceeded its original goals at a fraction of the industryaverage per-user engagement cost.

8

(Figure 4.1)

(Figure 5.1)


9/11

Case Study: Social targeting in sports

In 2011, Addictive Mobility embedded its AMO adSocial Network technology in a mobileapplication for one of the worlds most popular MMA athletes. Using our tiered system,we established keyword lists and measured them on our network. Even within our network,

they performed better than market cost. In Tier 3, which had general keywords, AddictiveMobility performed 34% higher than market cost. Although Tier 2 had a smaller keywordpool, it performed 60% higher than market cost. Figure 5.1 above depicts a 24-hour snap-shot from each respective execution; it shows that despite a smaller reach, there was a24% cost efficiency increase from Tier 3 to Tier 2. If you compared the industry costs toachieve the CTR generated, it is clear that Addictive Mobilitys tiered targeting systemgenerated significant savings.

Social Targeting is the Future

It is projected that mobile advertising will generate $20.6 billion by 2015.10The need toreach the mobile audience is larger than ever. To do this effectively, you must understandyour audience on a granular level. Social targeting should be your first consideration whenlaunching a mobile advertising campaign. It is far more relevant to the user and moreimpactful for the advertiser. The growth of social media in mobile is moving at a rapidpace. In 2010, the number of people who used social networking apps on mobile devicesjumped by 240%.11Apples newly released iOS 5 has integrated Twitter throughout theoperating system.12 One thing is certainly clear - the more omnipotent mobile social mediabecomes, the more mobile social ad networks such as Addictive Mobility will be calledupon to target highly segmented niche audiences.

As the case studies indicate, Addictive Mobility has proven its ability to deliver cost-effectivemobile ad campaigns. The AMO adSocial technology is a robust, scalable solution capableof producing astounding conversion rates and significant savings for advertisers whenmeasured against performance. Addictive Mobility takes behavioral targeting one stepfurther by using a social lens to understand social media activity with real-time accuracy.Already a leader in the emerging social targeting space, Addictive Mobility is well positionedto disrupt this category in the near future.

About Addictive Mobility

Addictive Mobility is a North American premium mobile advertising network that specializesin social targeting. The company has leveraged its mobile social targeting solutions to helpa number of advertisers and creative agencies develop significantly higher engagementcampaigns. Its broad portfolio of exclusive publishers enables Addictive Mobility to reachmillions of consumers across multiple platforms, both in-app and on the mobile web. Itspast clients represent some of the biggest Fortune 500 brands in the world.

Addictive Mobility has the capability to be a leading provider for brands and agencies. Ithas been recognized with over seven industry awards, including a 2009 Canadian NewMedia Award and the 2009 Mobile Monday Award for Mobile Marketing.


Mobile ads willgenerate $20.6

billion by 2015(June 17, 2011, 4 Rules ofEngagement for MobileMarketing, Mashable)

In 2010, the numberof people who usedsocial networkingapps jumped by240%

(June 2, 2011, Mobile socialnetworking sees explosivegrowth, GoMo News)


10/11

To see our demo or learn more about Addictive Mobility, contact us at:

Canada64 Fraser AvenueToronto, ONM6K 1Y6

Telephone: (+1) 416-535-0706email: [email protected]

find us on:www.addictivemobility.comtwitter.com/addictivelabs

www.facebook.com/pages/Addictive-Mobility


United States of America3141 Michelson DriveIrvine, California92612

Telephone: (+1) 646-378-2789


11/11

REFERENCES1. Jonathan Dube, Social media use increasing mobile, CyberJournalist.net, 2011,Jonathan Dube, 13 Sept. 2011 .

2. Cynthia Boris, Mobile Social Media Up Nearly Fifty Percent in Past Year, Marketing Pil-grim, 2005-2010, The Pilgrim Network, 25 Aug. 2011.

3. Henry Blodget, Will Behavioral Ad Targeting Kill Content Sites Like TechCrunch, Mashableand Business Insider? Business Insider SAI, 2011, Business Insider Inc, 3 Sept 2011.

4. Blodget.

5. Blodget.

6. Bryson Meunier, The United State of Social & Mobile Marketing Search Engine Land,

2011, Third Media, Inc., 19 Sept. 2011 .

7. Stuart Dredge, App usage outstripping desktop and mobile web says Flurry TheGuardian, 2011, Guardian News and Media Limited, 12 Oct. 2011.

8. Erick Schonfeld, Report: Mobile Searches Estimated to Grow to 20 Percent of Total By2012 Tech Crunch, 2011, AOL, Inc., 3 Oct. 2011 .

9. Jason Preston, What is Social Data? Social Data Strategies, 2011, Parnassus Group, 15Sept. 2011 .

10. Carla Paschke, 4 Rules of Engagement for Mobile Marketing,Mashable, 2005-2011,Mashable, Inc., 19 Sept. 2011 .

11. Cian OSullivan, Mobile social networking sees explosive growth, GoMo News, Word-Press, 30 Sept. 2011 .

12. Christina Warren, Deep Twitter Integration Coming to iOS 5, Mashable, 2005-2011,Mashable, Inc., 1 Oct. 2011 .

2011 Addictive Mobility New York Los Angeles Toronto

Documents

The Rise of Mobile Social Targeting