+ Digital Insights Report Mobile Pricing. + 2013 – The Mobile Year Source: Opera Media Works.
-
Upload
kristopher-miller -
Category
Documents
-
view
212 -
download
0
Transcript of + Digital Insights Report Mobile Pricing. + 2013 – The Mobile Year Source: Opera Media Works.
+
Digital Insights ReportMobile Pricing
+2013 – The Mobile Year
Source: Opera Media Works
+Hypothesis
As mobile usage increases into the future we will start seeing higher mobile ad prices as added competition will drive up demand
Source: MediaThirst
+Ad Units Available
Display/ Banner Ads
Video
Social Media
Incentivized
Search
Source: MMA Global
+Mobile Pricing Models
Cost Per Mille (CPM)-cost per thousand impressions-used for awareness purposes
Cost Per Click (CPC)-pay per click-used mostly for testing and behavioral analysis
Cost Per Install (CPI)-pay per acquisition, only pay every time user downloads-used to acquire users
Cost Per Action/Engagement (CPA/E)-pay per action-used to engage users with product
Cost Per View/Completed View (CPV/CV)-pay per view-used to for video
Display
Video
Search
Social Media
Incentivized
Source: MMA Global
+Cost of Ad Units
Display/Banner (CPC = $0.05 - $0.35)
Video (CPV = $0.03 - $0.06)
Social Media (CPC = $0.30 - $0.50)
Incentivized (Cost per download = $0.35 - $2)
Search (CPC = $0.84 & CPM = $4.03)
Source: MMA Global
+Most Requested Mobile Pricing Models: Display
Source: IAB
+Most Requested Mobile Pricing Models: Video
Source: IAB
+
Mobile Pricing Model Insights
The most used pricing model for mobile is CPM
Works best for: visual and branding-oriented campaigns
Why?
Flexibility
Control
Value
Source: 350Media, Adroll.com
+CPM Costs
• According to Forbes, mobile ad prices are rising quickly, by almost 21% on smartphones and 23% on tablets.
Source: Forbes, Mopub
+Ad Bids Per Month
Source: Mopub
+Conclusion
At the end of 2013 mobile ad spend accounted for around 4% of total ad spend in the US and continues to trail the 20% of media time consumers spend on a mobile device.
Some reports show that in 2014 this spend will jump up to 10% but there will still be a disparity between spend and usage time.
We will see rising prices rise on mobile until ad inventory meets demand. When this happens, we will see a leveling out in pricing as more websites become optimized for mobile web advertising.
Source: AdExchanger