MARKETINGTools and best practices for implementing

an effective mobile campaign

MOBILE

IN 10 STEPS

PERFORMANCE

After the success of mobile

branding campaigns, advertisers

are turning to performance models.

In fact, the emergence of new

levers, formats and tools means

that nowadays brand performance

requirements can be met.

In this white paper,

we will discuss the specific

characteristics of the mobile

advertising market before returning

to the principles of the model

for performance.

Enjoy reading it!

A CHANGING MARKET

PERFORMANCE MARKETING

3

MOBILE ADVERTISING, ..................................................................................... 07 A MARKET THAT HAS THE WIND IN ITS SAILSMobile advertising is a new way of making advertising ..............................................08

Key figures ..........................................................................................................................................................09

Mobile advertising key figures for 2016 ...................................................................................... 10

THE PERFORMANCE MODEL .................................................................15 UNDER THE MICROSCOPE 1 Specific objectives .................................................................................................................................16

2 A win-win partnership ........................................................................................................................ 17

3 Distribution levers ...................................................................................................................................18

4 Compensation models ......................................................................................................................23

YOUR MOBILE PERFORMANCE ......................................................27 MARKETING CAMPAIGN IN TEN STEPS 1 Set your goals .......................................................................................................................................... 28

2 Determine your performance levers ..................................................................................... 29

3 Set the duration of your campaign .......................................................................................30

4 Choose the right partners ...............................................................................................................31

5 Learn to know your distribution network .........................................................................32

6 Manage redirections perfectly ....................................................................................................33

7 Leverage the full potential of the data ............................................................................... 34

8 Set up an attractive and consistent payout ...................................................................35

9 Understand the importance of tracking and monitoring ................................... 36

10 Close monitoring / Report ............................................................................................................37

1

2

3CONTENU

5

MOBILE ADVERTISING, A MARKET THAT HAS

THE WIND IN ITS SAILS

17

Mobile advertising is a new way of advertising.

It presents new business opportunities for advertisers

in terms of client relations and customer experience.

Users do in fact enter into real intimacy with mobile

devices, mainly through applications. Both personal

and private, these platforms are a digital (3rd hand)

extension of the user, which is a real blessing

for the marketing industry.

As highlighted in the SRI’s (Syndicat des Régies

Internet) 13th International Workshop on e-advertising,

the use of mobile advertising is already a step ahead

of the rest of the advertising market.

Thus, in order to reach consumers who are increasingly

demanding and use smartphones more and more,

companies must increase their investments in this area.

The performance model is appearing to be the solution

for the optimisation of their ROI.

• For 35% of users, reaching for

their mobile is the first reflex of the

day (Braun Research Inc 2015).

• Purchases influenced by mobile

advertising are substantial:

64% of consumers

and 80% of 16-34 year olds are

sensitive to it (source: Quancast).

• The penetration rate

of smartphones is impressive.

According to emarketer,

there were more than two billion

devices worldwide in 2015.

This channel is expected

to account for 51% of the investment

growth by 2017, according

to ZenithOptimedia’s forecast.

KEY FIGURES

MOBILE, THE NEW DEVICE

8 9

MOBILE ADVERTISING 2016

• 51% of total digital expenses

• + 46% of growth vs 2015

$101 BILLION WORLDWIDE MOBILE EXPENSES IN 2016

1,264 MILLION € • VS 733 million €

in 2015 so 72% growth

40MDS USA

22MDS CHINA

7MDS UK

5MDS JAPAN

3MDS GERMANY

42,1 %NORTH AMERICA

31,5 %ASIA PACIFIC

16,6 %EUROPE

5,7 %LATIN AMERICA

4,1 %REST OF THE WORLD

EXPENSES SHARES PER FORMAT:

ON DESKTOP

SEARCH

ON MOBILE

DISPLAYTOP 5 MOBILE ADVERTISING EXPENSES PER COUNTRY:

MARKET SHARES PER ZONE:

41,2 % SEARCH

33,5 %INTERNET

CONNECTION

+ 80 %821€ million spent

38,8 % SOCIAL

59 %INVESTMENTS15,3 %

VIDEO3,2 % DISPLAY

66,5 %INTERNET

CONNECTION

+ 60 %444€ million spent

( 77% are imputed to social )

1,3 % OTHERS

41%INVESTMENTS

• MOBILE INVESTMENTS

ARE STILL WAY BELOW

THE ACTUAL MOBILE USAGE

• 81 % OF MOBILE

PROGRAMMATIC

INVESTMENTS ARE GENERATED

BY SOCIAL MEDIA

FRANCE

WORLD

10 11

MOBILE GROWTH

WILL BE SUPPORTED

BY 4 STRONG TRENDS:

+ MOBILE PROGRAMMATIC

+ SOCIAL MEDIA

+ DRIVE TO STORE

+ NATIVE VIDEO FORMAT

BETWEEN 2016 AND 2019,Mobile tends to be the driving force

of advertisement growth, mobile

investments will increase by over

80,5 billion dollars worldwide.

ONLINE VIDEO ADVERTISING will grow by over 20,1%

on average per year between 2015

and 2018 (23,6% social media)

58 %OF TOTAL DIGITAL EXPENSES

MOBILE SHOULD REPRESENT

IN 2019, EXPENSES ON MOBILE SHOULD REPRESENT 195,5 BILLION DOLLARS (x2 in the 3 coming years)

WHAT 2017 HOLDS

12 13

THE PERFORMANCE MODEL

UNDER THE MICROSCOPE

215

1 2The performance model refers to conducting an advertising campaign

based on specific objectives defined by the client, whether this client

is an agency or an advertiser (acquiring traffic, collecting leads,

downloading applications, etc.).

These objectives are determined on the basis of criteria,

otherwise known as Key Performance Indicators (KPIs).

These are used to assess the success and strengths of a campaign

and help establish future optimisations and strategies

(eCPC, eCPM, CPA, CPL, CPD, CPV, CTR and conversion rate).

The objectives evolve with changing usage, allowing performance marketing

to get closer and closer to an advertising objective as old as the world,

namely, getting the right message to the right person

at the right time and place.

In this context, advertisers take no risk and no longer

carry the costs of the campaign alone as they repay

the platform in proportion to their results.

As they will benefit from this success, publishers

can also monetise their audience and have the

responsibility of guaranteeing the best exposure

(target quality, placement, formats and distribution).

Advertisers, on the other hand, must ensure

the relevance of the content. A win-win partnership

that provides advertisers with qualified traffic.

SPECIFIC OBJECTIVES

A WIN-WIN PARTNERSHIP

16 17

3Display:

Banners and interstitials are the most common

formats on mobiles. Available on all platforms,

sites and applications, they are already seen positively

by market players, and therefore have some degree

of formalisation. They are usually used to generate

traffic as their clickability allows mobile device users

to be sent to the advertiser’s site, to a form,

or even get it touch with a call center.

Search Engine Marketing (SEM):

Paid referencing (or keywords

purchase) refers to a strategy

for acquiring internet traffic.

It is based on a message

with a specific objective

and a campaign aimed

at converting prospects.

Its benefits are flexibility,

ease of use, immediate reactivity

and guaranteed visibility.

On mobile devices, campaigns

specific to the platform can

be carried out, such as adaptation

of text size, use of short keywords,

consideration of keywords

that are suggested in predictive

text to help make the mobile

device user’s search easier, etc.

This is the second investment

lever after display.

DISTRIBUTION LEVERS

MOBILE SEARCHES rose by 55.2% to $14.7 billion,

or 46.1% of mobile advertising

(out of 30 billion invested in 2014)

18 19

Email marketing:

Email marketing is very important

, since it is still the best lever

in terms of click-through rate,

conversion rate and return

on investment. On mobiles

a “responsive” strategy must

be implemented so that the format

adapts to the platform. At stake

are clicking and opening rates that

are higher than standard e-mails

as half of emails are now opened

via a mobile device.

Social marketing:

A newcomer among browsing habits,

after social networks revolutionised

the way we communicate.

Social networks have turned out

to be more personal and more

interactive channels for diffusing

messages than traditional mass

media channels. It is estimated

that 80% of the time spent on social

networks is via mobile devices.

Certain networks like Snapchat

and Instagram are even almost

exclusively accessed via mobile

devices. While at first they were

indispensable assets for responding

to issues of awareness and visibility,

social networks have now developed

their own 100% performance formats

(“Lead ads” on Facebook,

“app installs” on Snapchat

and “lead cards” on Twitter).

Influence marketing:

Thanks to the internet,

anybody can become an opinion

leader, create their own community

and create quality content that

is so effective that even companies

can no longer compete.

Some of them, by creating blogs

or Youtube channels where they

provide advice and opinions on

a given subject (lifestyle, fashion,

travel, cooking, technology, beauty,

etc.) have been able to acquire real

influence. Of course, advertisers

soon created a business model

from this, whereby these

e-influencers are rewarded

for showcasing the advertiser’s

brands, products or offers.

Native ads:

According to the IAB, native mobile

advertising is a format that matches

the style of advertising to the site

or app where it is broadcast,

not its content”, thus making

a distinction between native

advertising and content marketing.

Facebook has also just published

a study (commissioned by

its Audience Network product)

to show the evolution of mobile

advertising by 2020. This study

covers 25 countries and shows that

the future of advertising is through

mobile and native formats.

By native advertising, Facebook

means native content in third-party

applications. It enables better

advertising effectiveness because

it is much less intrusive for

the user and therefore sidesteps

the ad-blocking phenomenon.

It appears in differing formats,

such as in-text, videos in-stream,

sponsored tweets and advertisement

posts on social networks.

"Nearly two-thirds (63.2%) of all

mobile display ads will be native

by 2020, summoning $53 billion in

total advertiser spend." Facebook

20 21

Several different commission models exist in terms of performance

mobile marketing. Advertisers may start with a campaign using

CPL (cost per lead), CPC (cost per click), or CPI (cost per install)

or any combination of these commission models.

Retargeting or behavioural retargeting:

This technique aims to deliver

a specific message to a mobile

device user who visited a site

without performing the desired

action (purchasing, for example),

in order to get them to come back

and complete their conversion.

On mobile devices the objectives

are varied, such as reactivating

mobile device users who have

been inactive on apps or who

added a product to their basket

and exited the app without

finalising the purchase, equipping

visitors to your mobile site with

your app by generating qualitative

downloads, relaunching hot

prospects, communicating in real

time by transmitting your display

or video campaign at the same

time as your TV campaign

or at the same time as your

competitor’s TV campaign, etc.

Push notifications:

This kind of alert sent

to a smartphone user is linked

to installing a mobile app.

It is usually in the form of a full

screen alert or a message

at the top of the home screen,

possibly accompanied by an alert

sound. Its objective is to encourage

the use of a mobile application.

CPC

(cost-per-click):

Here it is a question of billing

a mobile device user’s clicks

on an advert. For example,

SEO campaigns on Google

Adwords are billed by CPC.

In some cases the costing

is per double click, where

the mobile device user first

clicks on the link or banner, then

a second time within the site itself.

Cost-per-time:

The advertiser is billed according

to the time spent by the mobile

device user (5, 10, 15 secs) on their

site after a click. This model negates

clicking by mistake (fat-finger error)

and therefore ensures very engaged

and qualified traffic. Another model,

which is very widespread in mobile

advertising, is the 100% in-view video

(the advertiser is billed if and only

if the video is watched until the end).

4 COMMISSION MODELS

FROM CLICK TO ENGAGEMENTThe guarantee of quality traffic: Cost per click according on time spent on website.

by Kwanko

22 23

Mobile advertising may seem simple to implement, however this complex environment involves

prerequisites that must be mastered

before you begin. The variety of operating systems

(mobile web or application), devices (smartphones

and tablets), formats (small or big screens),

levels of interactivity (scroll, scratch, swipe,

HTML5 formats) are some of the elements

to take into consideration.

Yes, but how do I start?

You’ll find a detailed, ten-step answer

in the next section of this white paper!

PREREQUISITES TO MASTER BEFORE YOU BEGIN

CPA (cost-per-action):

The advertiser is billed according

to the sales made during the campaign.

This phenomenon is set to develop

in the next few years, with the rise of

m-commerce, the development of mobile

payment solutions, and mobile uses, etc.

CPL (cost-per-lead):

Mobile device users are directed

to the advertiser’s site via

an advertising format. They arrive

at a landing page where they can

fill out a form. The advertiser gets

billed as soon as a form is properly

filled out (information request form,

sign-up to a newsletter, etc).

CPD / CPI (cost-per-download):

The advertiser is billed according

to the number of downloads.

The cost per install however

takes into account the actual

opening of the app.

24 25

YOUR MOBILE PERFORMANCE

MARKETING CAMPAIGN IN 10 STEPS

327

• Customer prospecting:

immediately recruit new customers

by promoting a relevant offer

to targeted prospects, or collecting

leads or a prospect database,

and then in the meantime

convert them into customers.

• Acquisition: Acquire

new users for your application.

• Traffic: Increase the traffic

and visibility of your mobile site.

• Drive-to-store: Improve traffic

to your points of sale.

• Loyalty: Stimulate a client’s activity

through relevant offers and/or

preventing their inactivity

• Awareness: Improve

your spontaneous awareness,

develop your brand image.

The objective that is chosen

will define two key points:

• Your strategy: Target,

audience, budget, visibility needs,

lead generation, download,

drive to store, etc.

• Indicators to follow:

Click-through rate, cost per install;

cost per registration, conversions

but also time spent, bounce rates,

retention rates, CAC etc.

SET YOUR GOALS

The objectives of a performance marketing campaign

are defined jointly between the advertiser

and the advertising agency, which is usually the driving force.

Once your objectives are clearly set, you need

to implement the right acquisition levers.

For a lead generation campaign for example,

you should favour direct marketing formats like email

marketing. This is actually the most ROI-effective lever

for capturing new prospects. For acquiring traffic,

it is better to go for banner distribution

and overlays on a network of qualified affinity sites.

DETERMINEYOUR PERFORMANCE LEVERS

1

2

28 29

The golden rule if you decide to

choose several partners is to ideally

assign each to a specific lever.

Competition between several partners

can be counterproductive as several

ad agencies positioned on the same

device at the same time will create

a cannibalisation effect on the offer

(publishers in common, different

payouts, same conceptualisation

for several advertising agencies, etc.)

SET THE DURATION OF YOUR CAMPAIGN

4CHOOSETHE RIGHT PARTNERS

Two seemingly similar campaigns

in terms of goals and formats,

can display very different behaviours.

In fact, brand awareness, advertising

pressure, the conversion funnel

or even seasonality are all factors

to take into consideration when

setting the duration of your campaign.

We therefore recommend that you

set a campaign length that is long

enough to work comfortably on your

device and optimise your performance

using the logic of testing

and learning as you go.

3

30 31

As part of a mobile performance

marketing strategy, you must

ensure that your landing page is

responsive, e.g. that it’s optimised

for mobiles.

Avoid intermediate pages

as part of a download objective,

or multi-field forms that can

discourage a mobile device user

because of their impractical nature

when using a mobile device.

MANAGE REDIRECTIONS PERFECTLY

6In-depth knowledge of your distribution network

is essential. The choice of publishers depends on your

objectives, such as traffic, downloads, leads, sales, visibility, etc.

Their number will depend on the volumes

that need to be reached.

Please note that it is also advisable

to favour “open” distribution routes.

5LEARN TO KNOW YOUR DISTRIBUTION NETWORK

32 33

8The multiplication of ads on mobile

devices has made publishers

demanding. As they are paid

for performance, publishers can

be reticent to make their traffic

available for certain campaigns.

They may consider the risk involved

is too high and want to see

it shared with the advertiser.

To get quality traffic, the payout

offered to the publisher

is paramount and specific payouts

exist for each type of campaign.

Don’t hesitate to consult your

advertising agency partners.

SET UP AN ATTRACTIVE AND CONSISTENT PAYOUTNowadays, to guarantee a campaign’s performance,

relevant targeting is essential.

In fact, smart targeting and optimisation algorithms

are just some of the innovative technology

that maximises the effectiveness of mobile advertising.

Use partners who have a DMP (Data Management Platform)

which enables you to go beyond standard

simple socio/demographic targeting.

This ecosystem makes it possible to establish

audience clusters (socio-demographic, intentional sectors)

and thus offer more guarantees on the capacity to generate

conversions (leads, time spent, sales, downloads, etc.)

LEVERAGETHE FULL POTENTIAL OF THE DATA

7

34 35

10Monitoring and optimising your performance campaign

must occur on a daily basis.

To do this, agencies provide you with dedicated account

managers in order to ensure your campaign runs smoothly.

They will be guarantors of your KPIs.

Finally, the detailed monthly report which the latter

will send you enables you to draw conclusions

with the aim of optimising the next month’s budget.

CLOSE MONITORING REPORT

9Tracking is an indispensable tool for performance measurementTracking or measuring

is the cornerstone of a performance

marketing campaign.

It is imperative that you integrate

a reliable mobile tracking system,

that is effective and neutral,

allowing you to measure all of your

mobile user paths and activity.

Without knowing your metrics,

you will have trouble to scale

prospecting and optimising

the value of these prospects.

Tracking also allows you to measure

one or more of the activities

of a mobile device user

in an application environment

(for example, registration,

booking, etc.)

UNDERSTANDTHE IMPORTANCE OF TRACKING AND MONITORING

36 37

ABOUT KWANKOFounded in 2003, Kwanko is an international group specialized

in web and mobile online advertising.

Our business: Online Performance Advertising

Our vocation: help our advertisers generate more sales, more leads and

more quality traffic to their websites and their mobile apps / help our

editors maximise their advertising revenues.

In order to optimize the performance of its campaigns, Kwanko draws on

the expertise of its experts and its proprietary technologies

• NetAffiliation for Affiliate Marketing campaigns

• Kwanko Mobile (former Swelen platform),

a pionner of Mobile Advertising.

In 2015, Kwanko also took a stake in Emailbidding, an RTB Emailing

self-service platform to reinforce its multi-channel strategy.

Already present in 20 countries in Europe and LATAM, Kwanko’s ambition

is to become a worldwide player in Online Performance Advertising.

www.kwanko.com