A recent Mobile Marketing Association report, titled “How Marketers Are Using Location Data – And the Road Ahead” found that the majority of marketers see location data as a key component of mobile advertising.
Forty-six percent of marketers and 47 percent of agencies believe location data is critical, and an additional 50 percent of marketers and 43 percent of agencies agree this data is important.
When implementing campaigns, 50 percent of marketers use location-based targeting for more than half of their mobile ads. Social and search are the primary channels for these marketers: 66 percent of marketers use location data for social ads, and 51 percent use it for search ads.
Though 61 percent of marketers location data for better targeting, 59 percent also said this data is useful for improving insights, and over half said the data is useful for understanding the path to purchase.
Despite the fact that location data is seen as a key component of mobile marketing strategy, many marketers find challenges with its application. Forty percent of marketers are concerned with data quality, 39 percent believe there is a lack of transparency into data sources, and 38 percent believe there is a lack of understandable differentiation among providers.
The researchers note that, “Because of the increasing role of location in supporting strategy, marketers need to find the right partners who can support their efforts and improve the ROI of their campaigns.”
Higher Q2 Budgets for Mobile Display Advertising Saw Strong Results
A recent study from Marin Software, “Q3 2016 Performance Marketer’s Benchmark Report,” discovered marketers spent 48 percent of their display advertising budgets on smartphones in Q2. As a result, 76 percent of all clicks, 55 percent of impressions and 67 percent of conversions came from smartphone users.
Compared to Q2 2015, marketers spent 13 percent more on smartphone initiatives. However, this budget increase resulted in 25 percent more mobile clicks, 17 percent more impressions, and 25 percent more conversions than last year.
Source: KO Marketing Associates