Mobile Advertising

Insights

Mobile Monday # 40

Zurich, April 27, 2014

Christian Vuithier

Who we are

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7000+ Specialists

116 Offices

86 Countries

Global HQ London

Mindshare’s role is to to help clients grow their business and drive profitability through

Adaptive Marketing.

We do this through a culture of Original Thinking driven by Speed, Teamwork and

Provocation.

The World’s Number 1

Communications GroupOur Global Network Our Global Strength

28% share

$105 billion

#1Globally

Rank

Our Role

Our structure across markets is unique in its simplicity.

We draw upon this to create bespoke and fully integrated teams for each client.

Mobile Market

SwitzerlandFacts & Figures

Mobile Market Switzerland

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Source: www.comcom.admin.ch / 31.12.2013

Mobile connections by provider in thousand

Mobile Penetration European comparison

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Source: Analysis Mason, June 30, 2014

Mobile Usage

SwitzerlandFacts & Figures

Mobile Internet Usage in Switzerland

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• 3 of 4 Swiss are using the internet always and everywhere

• Tablet plays a more an more important role as preferred access to the internet,

Switzerland among the top countries worldwide.

• Mobile internet access will be more popular than the access over stationary computer

soon.

Mobile Internet

Users

Source: Media Use Index 2014

Mobile Internet UsageDaily usage per age

Source: Google: Our Mobile Planet 2013

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Relevance of MobileWould rather give up TV than smartphone

Quelle: Google: Our Mobile Planet 2013

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Relevance of MobileDon’t leave the hosue without smartphone

Quelle: Google: Our Mobile Planet 2013

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Mobile Advertising

Market SwitzerlandFacts & Figures

Mobile Internet advertising spending Switzerland

• Compound annual growth rate of almost 40% from 2010 to 2014

• Still fastest growing media discipline

Source: PWC Media Outlook

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01.1

2.24.3

8.7

13

19.5

25

34.7

45.6

0

5

10

15

20

25

30

35

40

45

50

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

+100% +95.5% +102.3% +49.4% +50% +28.2% +38.8% + 31.4%

Spending in million CHF

Media Use vs. Media Spending

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Quellen: Adello AG, BFS TUS, MediaFocus, Net-MetrixMedia SpendingMedia Use

Mobile Angebot Unique Clients VisitsPage

Impressions

20min.ch - D-CH | Apps (Group) 1'252'000 36'233'702 521'413'158

20min.ch - D-CH | Mobile-Site 1'236'000 6'314'603 30'170'751

Blick Online | Mobile-Site 989'000 13'234'271 256'623'506

local.ch | Apps (Group) 912'000 6'676'215 23'246'210

Search | Mobile-Site 802'000 2'501'170 6'450'161

20min.ch - D-CH | App (Apple iOS, Phone) 680'000 20'661'450 278'673'903

local.ch | Mobile-Site 663'000 1'654'543 5'860'881

Tilllate | Mobile-Site 626'000 1'550'753 18'159'787

local.ch | App (Apple iOS, Universal) 553'000 3'007'752 12'371'912

Search | Apps (Group) 464'000 4'425'295 13'366'672

Mobile Net Reach - Top 1-10 CH Sites / 2013 *

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Source: NET-Metrix 2013-1* exclusive Social Networks (Facebook, Google+, YouTube) / not participating in Net-Metrix Study

Mobile Angebot Unique Clients VisitsPage

Impressions

20min.ch - D-CH | Mobile-Site 2'063'000 14'886'773 42'577'782

Blick Online | Mobile-Site 1'826'000 19'471'792 294'779'423

20min.ch - D-CH | Apps (Group) 1'455'000 51'030'642 624'236'995

Search | Mobile-Site 1'344'000 4'033'962 11'798'637

local.ch | Mobile-Site 1'281'000 3'577'714 10'907'665

local.ch | Apps (Group) 1'061'000 8'399'372 26'311'890

20min.ch - W-CH | Mobile-Site 917'000 4'117'425 9'580'564

watson.ch | Mobile-Site 856'000 2'595'550 10'393'350

Blick am Abend | Mobile-Site 812'000 3'200'933 9'858'438

Tilllate | Mobile-Site 779'000 2'237'052 35'432'402

Mobile Net Reach - Top 1-10 Sites CH / 2014 *

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Source: NET-Metrix 2014-2* exclusive Social Networks (Facebook, Google+, YouTube) / not participating in Net-Metrix Study

Most popular Apps in Switzerland

Source: Media Use Index 2013, Y&R Gruppe

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Mobile AdvertisingBest practice

Frequency of Noticing Ads on Smartphone

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Source: Google Study Our Mobile Planet 2013

Place of Ads Noticed

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Source: Google Study Our Mobile Planet 2013

Mobile Advertising – Strategic Approaches

• Extend reach of TV campaign into the web by using TV spot as asset

• Mobile as fixed planned discipline in every digital media plan

• Branding approach vs. performance approach (conversion focused)

• Programmatic media buying by using data (profiles)

• Consumer journey - understanding of the digital media consumption and learn

from interactions with the campaign

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Source: Mindshare POV

Mobile Advertising – how it works

• When talking about mobile campaigns we mean Smartphones and Tablets

• Booking parameters: single site, network, programmatic.

• Billing models: CPM and CPC are common – CPX possible

• Pricing of Mobile campaigns is different compared with desktop campaigns at

most publishers

• Optimization in frequency through frequency capping (e.g. 1x/24h/user,

3x/week/user, 5x/campaign/user) is highly recommended.

• Most common targeting possibilities are: Device/Operating system, weather, time,

type of mobile connection (3G/LTE, Wi-Fi), location.

• Thanks to fingerprinting methodology, interest based, socio demographic and

other targetings will be reality soon.

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Source: Mindshare POV

Mobile Advertising – good to know

• Ad creation is a challenge due to different specifications depending on operating

system and screen size / screen resolution.

• Offer of standard formats (such as Rectangle and Wideboard) reduce complexity

and became very popular thanks to content near integration.

• Responsive Mobile Ads will make their way.

• Cookie based conversion tracking is still difficult and normally not possible in Apps

– standard deactivation of cookies makes it also more difficult on mobile websites

• Future mobile tracking technologies work with user identification based on

fingerprints.

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Source: Mindshare POV

Mobile Standard Ads Smartphones / Tablets

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• Smaller formats such as Mobile Banners are replaced by larger formats

like Mobile Rectangles and Mobile Wideboards

• Intestitials/Prestitial (both fullscreen) are recommended for launch

campaigns by using a strict frequency capping

• Appearance varies from 5 seconds (Interstitials/Prestitials) to 10

seconds for formats where the ad is not layed over the website content

• Size of formats may vary from website to website (same for apps).

• Most common technologie are HTML5, GIF (animated) and JPEG

Source: Mindshare POV

Mobile Video Ads for Smartphones

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• TV commercials up to 30 seconds are often used as Rolls in order to extend reach of a

TV campaign

• Spots up to 15 seconds can be shown as Videostitials (autoplay, ending after 20 secs,

user initiated closing possible)

• Most common video formats can be used, sometimes combined with aditional stills

Source: Mindshare POV

Mobile Special Ads for Smartphones

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• Strong impact animated ads become more an more popular

• Swipeable ads such as Cubes or Smart Banners are in trend and still are surprising the

user

• User interactions on the ad can be measured and analyzed

• Eeasy in produtction – only 4 different stills (GIF/JPEG/PNG) and up to 4 URL

Source: Mindshare POV

Mobile Video Offers in Switzerland

• TV as mass media has come to its limits –

mostly younger target groups are consuming TV offers online.

• Trend of extend TV reach into digital (including mobile) is here.

• Most common formats are Rolls (Pre-/Mid-/Post)Interstitial and Video-Layers.

• Huge inventory from different publishers.

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Source: Mindshare POV

Mobile Advertising - Pricing

Mobile Advertising in Switzerland is rather high priced compared with almost every other market.

Indicative gross prices for CH market:

Mobile Banner CPM CHF 15 to CHF 50

Mobile Banner CPC starting at CHF 0.50 brutto

Mobile Banner CPX CHF ?

Pre-/Interstitial Smartphone CPM CHF 70 to CHF 100

Pre-/Interstitial Tablet CPM CHF 80 to CHF 100

Rolls (Pre-/Mid-/Post) CPM CHF 30 to CHF 90

Mobile advertising portfolio potential only exhausted by 10% so far.

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Source: Mindshare POV

Trends in Mobile Advertising

• Mobile targeting is getting more precise.

• iPhone’s stores locations automatically - locations and recently visited places can be

identified (even if GPS is turned off)

Targeted Campaigns

Source: Adello 2014

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Trends in Mobile Advertising

• Generating awareness with Mobile Ads.

• After clicking a coupon can be stored in

Passbook App (iOS).

• Interaction and reactivation of the Coupon:

- Calendar entry

- Push message

- Location based activation

- Time based activion

- Change of stored or reactivation of expired

coupon

Mobile Couponing

Source: Adello 2014

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Trends Second Screen

• sound recognition of a TV spot

• recording by using Shazam App

• user will automatically forwarded to a website

with further information/competition/offer

• synchronization of TV planning with digital

mobile campaign

• adserving technology allows advertiser to

show his mobile campaign while TV

commercial is broadcasted

Source: Adello 2014

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Thank you