AdReaction – AfricaMarketing in the Mobile World
Conducted in 18 countries around the world including three countries in Africa
4
MEXICO
U.S.
CANADA*
BRAZIL*
INDIA
THAILAND**
KENYA
NIGERIA
SOUTH AFRICA
CHINA
KOREA**
INDONESIA**
FRANCE*
GERMANY
ITALY
SPAIN
TURKEY
UK*
*Quantitative only; **Qualitative only
Key FindingsAT A G L A N C E
5
Mobile devices are increasingly
central to our lives, so there is
huge opportunity for growth in
mobile communications
1. However, while most consumers
will tolerate mobile marketing, and
attitudes are more positive in Africa
than rest of world, few consumers
are favorable toward it
2.
Mobile is highly effective at
brand building and also very
flexible - it can play a
number of diverse roles in
the media mix
3. The industry can improve
attitudes toward mobile
marketing by demonstrating
greater respect for the
platform and the audience
4. Marketers can use mobile
websites, apps and ads
to grow brands IF simple
best practice rules are
applied more
conscientiously
5.
Opportunity Toleration
Effective Respect Best Practice
6
the huge
OPPORTUNITY
MOBILE USAGE on the rise
Mobile web is on the move
*Source: Morgan Stanley Research; **Source: Informa WCIS; ***Source: StatCounter Global Stats, 9/12;****Source: Informa; *****Source: We are social
7
1.5 BILLION
smartphones and tablets will be installed globally by mid 2013 – overtaking laptops and PCs*
37% GROWTH
in the number of global 3G subscribers in the past year**
13% OF WEB
traffic comes via mobile – more than double last year; Mobile traffic share already over 50% in India*** and 65% in Africa
0.8 BILLION
mobile internet users in Asia at end of 2012****; same number of mobile subscribers in Africa*****.
Some key African statistics:
Data supplied by www.inmobi.com, Praeklet and head of Mobile at Google South Africa:Brett St Clair and On Device Research.
8
100 BILLIONMobile Advertising Impressions are served
across Africa annually
57% OF PEOPLE ACCESS THE INTERNET VIA MOBILE PHONES IN SOUTH
AFRICA, THIS IS 70% IN EGYPT, 55% IN GHANA, 54% IN KENYA AND 50% IN
NIGERIASMART PHONES ARE OUTSELLING COMPUTERS 4 TO 1
LOCATION BASED ADVERTISING IS SET TO GROW AS 2 OUT OF 3 SEARCH QUERIES
HAVE A LOCATION BASED ELEMENT
TOTAL AFRICAN MONEY TRANSFER IS EXPECTED TO REACH USD200BILL IN 2015 AND
ACCOUNT FOR 18% OF THE CONTINENTS GDP.
Mobile advertising and marketing is a real contender in the South African market:
www.inmobi.com www.inmobi.com9
The average mobile web user in South Africa consumes over 6
hours of media daily.
Mobile devices represent 30% of this time.
79%
Of consumers are more or equally comfortable
with mobile advertising vs. TV or online ads
20 BillionMobile Advertising Impressions are served in
South Africa annually
Mobile devices are indispensable efficiency tools, especially so in South Africa. They are key personal and business tools.
Sample: smartphone AFRICA and global averages10
Please indicate how strongly you agree or disagree with the following statements about
your mobile device:
54%
53%
75%
25%
32%
18%
Strongly Agree Somewhat Agree
My mobile device is my primary
tool for organizing my personal
life
My mobile device is indispensable
because I’m always on the go
Having a mobile device makes me
more efficient +16
South Africa average Vs Global
+15
+28
People love their mobile devices
11
BEYOND ESSENTIAL
“I take my smartphone everywhere. Life collapses if I forget it.”
MULTI-TALENTED
“My tablet allows me to see the details, develop what I want, check or do work; I have more freedom.”
LIFE CHANGING
“Living in Lagos is so stressful with all the traffic, I don’t have to stress myself moving from one shop to the other when I can get online with my phone.”
TRULY SMART
“I always have an answer; my smartphone makes me feel like a hero when I solve problems.”
FUN “I feel like a wizard when I play and discover new things.”
Mobile devices act as central hubs in our lives; SA users spend
most time social networking and least time making calls!
Sample: AMAP average vs global average12
Social Networking
19%
Web or email14%
Calls11%Texts
15%
Apps15%
Music16%
Games4%
Video3%
Apps19%
(+6)
(-1)
(-4)
(+1)
(+2)
(+4)
(-5)(-4)
Share of smartphone time spent SA average
(vs global average)
Massive potential for growth in mobile marketing
*Source: eMarketer; **Source: Gartner Group13
JUST 1% OF SPEND
globally is committed to mobile marketing*
2.5XBY 2016
mobile ad spend predicted to grow from $6.4 billion (2012) to $18.6 billion (2015)**
ASIA LEADING
Asia/ Japan already biggest region ($4.3bn in 2012) and rising fast (est. $9.5bn in 2016)**
ARE BRANDS
WELCOME
ATTITUDEStoward mobile
marketing formats
in this intimate space?
14
Most users will tolerate mobile ads; some more actively embrace them.
Sample: smartphone SA and global averages15
Please indicate how strongly you agree or disagree with the following statements about
your mobile device:
15%
29%
20%
45%
15%
22%
26%
21%
21%
16%
17%
22%
Strongly Agree Somewhat Agree Neither Agree Nor Disagree
I enjoy playing Advergames (games
that incorporate ads/brands)
I'm happy to share my location to get
more relevant services and offers
I'm happy to see ads in my apps as
long as the apps are free
I'm happy to see ads on mobile
websites as long as the websites
are free to access+15
+7
+2
+12
SA average Vs Global
Mobile ads are viewed more positively in Africa and India; attitudes to ads on tablets are generally also more favorable.
Sample: smartphone users
16
How would you characterize your attitude towards advertising on mobile phones/ tablets?
11
11
12
13
13
14
17
19
19
22
23
30
43
48
48
23
42
Canada
US
Spain
France
Germany
UK
Turkey
Italy
Mexico
China
Brazil
South Africa
India
Nigeria
Kenya
Global Average
Africa Average
VERY/SOMEWHAT FAVORABLE, %
Sample: tablet users
9
16
18
22
28
25
28
26
19
30
29
35
51
39
55
29
43
Sample: smartphone AFRICA and global averages
How would you characterize your attitude towards advertising on….?
However attitudes toward mobile ads (and digital in general) are less favorable than other media
18
18
30
30
32
35
37
39
40
40
40
41
Non-opt-in email ads
Telemarketing
Mobile ads
Online ads with video
Online music players
Games
Social media ads
Direct mail
Opt-in email ads
Online search ads
Websites/Microsites
44
45
46
51
55
59
63
64
67
67
Online display ads
Product placement
Local deals
Newspaper ads
Magazine ads
Social media news feeds
Billboard ads
Cinema ads
Radio ads
TV ads
VERY/SOMEWHAT FAVORABLE, %
Non-Digital Digital
+3
+16
+29
+9
+11
+8
+3
+15
+17
+14
South Africa Vs Global
+7
+10
+4
+18
+3
+3
+13
+4
+12
+7
+6
South Africa Vs Global
Mobile ads can be associated with many positive archetypes
COMPANION
“Offers information in
different ways like a
solution provider”
MEDIATOR
“I can compare
prices, features and
brands, before
deciding on what to
buy”
SERVANT
“All my „questions‟ about
the brand/product are
answered directly”
HERO
“Offers help when I‟m
in need”
20
BULLY
“I hate it when ads
interfere with my online
activity, asking me to
click something that is
unclear”
THIEF
“It steals the little space
I have on my screen”
VAMPIRE
“It enters your space, as
if it were going to harm
your phone”
REBEL
“It's rebellious, it
interrupts me while I
play or work”
BUT if it invades clumsily, negative associations can prevail
Users have high expectations for mobile
21
And audiences can be receptive to mobile when it’s done right.
Mobile will offer an exchange of
tangible value
3Mobile
will know who I am
21Mobilewill be
competent
23
AND CAN PLAY MANY ROLES
MOBILEi s
FLEXIBLE
IN THE MEDIA MIX
Mobile ads generally have more impact on all brand metrics than online ads
24
MOBILE ONLINE+2.1
+4.0
+2.2
+1.3
+1.2
Source: Dynamic Logic MarketNorms for Online, last 3 years through Q1/2012, N=2,211 campaigns, n=2,804,525 respondents; Dynamic Logic’s AdIndex for Mobile Norms, data from last 3 years through Q1/2012, N=181 campaigns, n=127,191 respondents.
+4.8
+17.3
+10.0
+3.8
+4.3
Percent Impacted (Δ)
Aided Brand
Awareness
Brand
Favorability
Purchase
Intent
Ad
Awareness
Message
Association
11%
15%
6%
16%
17%
30%
34%
Mobile display ads are just one element of a mobile campaign; use display to drive traffic to an optimized website for continued engagement
Beyond brand impact and interaction, mobile ad exposure mostly drives mobile website visitation and brand recommendation.
Sample: smartphone AFRICA and global averages25
Which of the following actions have you taken as a result of seeing a mobile ad?
-5
+3
-2
+10
-6
+3
+2
South Africa Vs Global
Visited the brand website
Clicked/Interacted with ad
Looked for brand in a store
Recommended the brand
Visited a site for
similar brand
Sent ad to a friend
Purchased the brand
What types of companies or brands would you most like to see delivering services or
features for your mobile devices?
Mobile users want content from many categoriesFashion, telco’s and airline content particularly popular in South Africa; restaurants and automotive, less so
Sample: smartphone AFRICA and global averages27
16%
18%
24%
26%
26%
29%
30%
30%
30%
30%
31%
33%
37%
44%
45%
Quick service restaurants
Automotive companies
Hotels
Newspapers or magazines
Online shopping sites
Drink products/brands
Retail stores
Sports teams/leagues
Technology companies
Telecommunication companies
Local restaurants
Food products/brands
Airlines
Banks/Financial services
Fashion/Designers +6
+11
+14
+4
+2
-4
-6
+6
+15
+19
NA
-7
+2
+3
+2
South Africa Vs Global
Banking
Fashion Designers
Airlines
28
PRINCIPLES
for a brand’s
MOBILE SUCCESS
Relevance
Engagement
Surprise &
delight
Play to
strengths
Exchange
Competence
Time &
place
RESPECT for the mobile audience and platform will ensure a constructive future
29
Relevance
30
Mobile content needs to be tailored to both the target audience AND the context where they will most likely experience it.
• Display ad for Matrix calling card featured in Times
of India (news) application. Their mobile
readership includes many frequent travellers
• The ad gives more information about calling rates
in different countries and is useful and relevant for
those who travel often or who are planning to
• The SIM visual and messaging connect
strongly, so „30 minutes free calls‟ is likely to stick
in mind
Matrix, India
Engagement
32
Mobile provides opportunities to go deeper when usershave moments of downtime.
McDonalds South Africa / Axe Fallen Angels – great engagement but banned in South Africa
Surprise & delight
33
Put a smile on the face of your consumers with every mobile connection you deliver.
• Naver is the number 1 local web portal site in Korea and
apptoon is a popular web cartoon published serially on
Naver. They created an apptoon-like ad in order to
promote their own mobile smartphone app. Similar ads
were also shown on TV.
• Popularity of apptoon and a pre-existing association with
Naver help drive engagement and branding of the mobile
display ad.
• Once downloaded the Naver app delivers a simplified
layout and provides a service that has been optimized
well for all mobile devices (different screen sizes etc.)
Naver, Korea
Play to strengths
34
Mobile can play a unique role in the wider media mix since it is both portable and personal.
Carling Black Label, South Africa
• A unique one-off soccer match where fans could
select the players and vote for substitutions in
real-time via mobile devices
• Event was promoted heavily in traditional media
and over 10 million mobile votes were cast
• Event generated huge interest
• Mobile acted as the primary route to engage – it
was the technical glue holding the entire
campaign together
Exchange
35
Users are looking for something of value in return for access to their mobile phones.
• Body Shop is already perceived positively, as an
inspiring and quality product
• This promotional ad is considered bold and simple yet
impactful. It leaves consumers feeling excited &
curious. Discounts especially attractive for a premium
product
• “This promo is exciting...I want to check what product
the discount will be applied too..makes me curious and
wanna shop now!”
“Everyday discount...no other brand has offered this
before...Body Shop is always different”
Body Shop, Indonesia
Competence
37
More than any other media, mobile marketing needs to be clear, functional and focused.
• Ster Kinekor is a well known movie theatre chain in
South Africa and they are the top result when
consumers search for “movies” on mobile.
• The mobile website has a clear, concise and
straightforward interface . The site provides all
essential functions for booking a movie.
• Also easy to download their free app from the
mobile website
Ster Kinekor, South Africa
Time & place
38
Mobile content needs to be tailored to when and where it is most likely to be consumed.
• WhatSale is a promotional app with location based
features. It delivers timely information that can
results in immediate response.
• According to one of our research participants:
“WhatSale is really good. This one time I was at
the Circle Ratchaphruek with my friends and a
notification popped up telling me about a
promotion at an apparel store nearby. So I went in
and got myself some clothes”
WhatSale, Thailand
39
MOBILE WEBSITES, APPS
AND DISPLAY ADS
MARKETINGBEST
PRACTICES
f o r
What makes a good mobile website?Ease of mobile search especially important in AFRICA
Sample: smartphone users, AFRICA and global averages41
Unique to screen
Speed & display
Targeted18%
22%
21%
15%
26%
63%
71%
73%
Includes location based features
More fun than the brand's regular desktop website
Different features to the brand's regular desktop website
Looks better than the brand's regular desktop website
Easier to use than the brand's regular desktop website
Displays clearly on my mobile device
Easy to find via mobile search
Loads quickly
-6
-12
-2
0
Vs Global
+9
+24
+10
-5
AFRICA average
Mobile websites should be fast and functional
42
Simple is safest until network speeds improve
What makes a good mobile website?
don’t:feel compelled to outdo your
online website
forget mobile users are goal directed
value entertainment over competence
do:make it fast
make it clean
make it easy to use
Make apps easy to acquire and easy to use
44
What makes a good mobile app?
don’t:crash (don‟t be too resource
intensive)
build one unless it will be used
regularly
feel compelled to make it too
complex
bite off more devices than you can
chew (better no app than a poor app)
do:be free if possible and
easy to find
clearly explain what you
offer, and what you‟ve updated
focus on ease of use
deliver something of value
Mobile display ads need clear branding, communication and call-to-action
46
What makes a good mobile display ad?
do: don’t:
make sure you have a
clear call-to-action
make the ads interactive
and engaging
target as tightly as
possible
clearly brand your creative show your brand only on a
product shot
clutter your ads with too much
text or too many logos
repurpose online creative only to
leave it cropped
use intrusive formats unless
context is highly relevant
Key FindingsAT A G L A N C E
48
Mobile devices are increasingly
central to our lives, so there is
huge opportunity for growth in
mobile communications
1. However, while most consumers
will tolerate mobile marketing, and
attitudes are more positive in Africa
than rest of world, few consumers
are favorable toward it
2.
Mobile is highly effective at
brand building and also very
flexible - it can play a
number of diverse roles in
the media mix
3. The industry can improve
attitudes toward mobile
marketing by demonstrating
greater respect for the
platform and the audience
4. Marketers can use mobile
websites, apps and ads
to grow brands IF simple
best practice rules are
applied more
conscientiously
5.
Opportunity Toleration
Effective Respect Best Practice
Thank You – Any questions?
Please contact:
Richard Stewart
t. 011 202 7000
Monique Leech
t. 011 202 7000