Millward Brown AdReaction Canada: Marketing in the Mobile World
AdReaction 2012 – Canadian ReportMarketing in the Mobile World
Research Design3AdReaction 2012QUANTITATIVEWho: n=988• Nationally representative of regions, age and gendercomposition• Must have and use a smartphone or a tabletWhat: Mobile usage levels and attitudes toward advertising inmobile communication and digital devicesHow: Online surveyWhen: October 12 – October 22, 2012
How do people interact withmobile devices?3.Is mobile advertising the nextbig thing?2.Key Issues/ Questions4Media changes1.How can we create effectivemobile communication?4.
Most users are tolerant of,but not yet favourabletoward, brands in thisintimate space.3.Mobile devices are used ‘onthe go’ and more often forpersonal activities than forwork.2.Key FindingsA T A G L A N C E5Mobile devices areindispensable and increasinglycentral to our lives.1.Favourability to mobileadvertising and devices isdifferent between regions(English Canada, FrenchCanada, USA).4.There is a hugeopportunity for mobilecommunications and usersare receptive when doneright.5. Marketers need to improvemobile perceptions bymeeting, then exceeding, userexpectations — anddelivering competent, targetedand valuable marketing.6. For marketers who usebest practices, it’s proventhat mobile can buildbrands.7.
Share of Time Spent on Smartphones vs. Tablets6 Sample: Smartphone and/or tablet usersSmartphonesWatchingVideo7%Listeningto Music11%SocialNetworking11%Talking17%Texting17%Surfing theWeb/Email14%Using Apps13%PlayingGames10%Although the final experience is not necessarily comparable, mobile devices combine thecapabilities of different electronic devices in one (TV, Computers, Phones) and people usethem like that.Total Hours Spent Weekly: 30.6 30.2TabletsWatchingVideo13%Listeningto Music13%SocialNetworking15%Surfing theWeb/Email22%Using Apps20%PlayingGames17%
$34.5$62$109.9$188.6$301.7$483.3$691.42010 2011 2012 2013 2014 2015 2016Mobile Ad Spending182.5%79.6%77.3%71.6%60.2%59.9%43.1%2010 2011 2012 2013 2014 2015 2016% Change8Mobile Ad Spending in Canada 2010-2016Source: http://www.emarketer.com/Article/Mobile-Ad-Spend-Canada-Rises-with-Smartphone-Tablet-Uptake/1009803
Today, consumers spend as much time surfing the web/email or using apps on tablets aswatching TV offline. Respondents claim they will also spend more time using tablets/mobilephones for different tasks in the near future.Momentum: The percentage of consumers stating time spent on this activity will increase next year minus thepercentage of consumers stating time spent will decrease10Activities on mobile phonesActivities on tabletsOffline activitiesUsage and Momentum
Mobile devices are not yet a replacement for computers. They are all about engaging indifferent activities ‘on the go’ and helping users become more efficient. Mobile devices areused more for personal activities than for work-related ones.1111%Now that I have my mobile device, I don’t really needa computer21% My mobile device is my primary tool for organizingmy work life29% My mobile device is my primary tool for organizingmy personal life21% An increasing amount of my work is accomplishedthrough my mobile device38% My mobile device is indispensable because I’m alwayson the go47% Having a mobile device makes me more efficientSample: Smartphone and/or tablet users
12What are the biggest advantages of apps?Users of mobile devices like apps because they are a ‘one tap’ way to get to specificcontent that users want to see on a regular basis.Canada52%40%29%21%20%17%10%I can access an app directly rather than havingto navigate through a browserIt is easier to visit an app on a regular basis thana mobile websiteApps don’t need an Internet connectionI can do things with an app that cant be done ona websiteApps are better for gamingDisplay of content from apps is better than froma websiteApps have better content than websitesSample: Smartphone and/or tablet users
Apps are great tools for users of mobile devices, but only some of the installed apps are usedon a regular basis. Tablet users are more likely to use apps installed on their devices.13Of the apps installed on your mobile device, how many have you used in past 30 days?Sample: Smartphone and/or tablet usersHardly any41%About half36%Most17%All6%Phone CanadaHardly any30%About half44%Most22%All4%Tablet Canada
ARE BRANDSWELCOMEATTITUDEStoward mobilemarketing formatsin this intimate space?14
French Canadians are more open than English Canadians to advertising in traditional non-digital media. That said, Canadians, as a group, are less open to advertising relative toAmericans.Sample: Smartphone and/or tablet users15VERY/SOMEWHATFAVOURABLEHow would you characterize your attitude toward each of the following formats of advertising?49%41% 40%33%40%32%28%22%9%7%42%38% 37% 35%34%31%21% 22%10%15%37%35% 34%31% 30%26%23%20%11%8%TV Ads Magazine Ads NewspaperAdsBillboardAdsRadio Ads CinemaAdsProductPlacementsOnline Ads Ads OnMobileDevicesTelemarketingTotal Canada French Canada USA
22%16%17%17%15%17%18%16%18%13%13%12%11%12%12%10%Overall, tablet users are more favourable toward mobile advertising compared tosmartphone users. That said, considering smartphones as the device of choice, Americanstend to be more favourable toward mobile advertising than Canadians.Sample: Smartphone and/or tablet usersQuestion: How would you characterize your attitude toward eachof the following formats of advertising on mobile devices?1620%18%19%17%15%17%19%17%15%% VERY/SOMEWHAT FAVOURABLEBrand posts in social news feeds11%Mobile search ads11%SMS text ads11%Mobile display ads8%Mobile music player ads8%Mobile video ads8%In-app ads7%Augmented realityTABLET USERSSMARTPHONE USERSTotal Canada USA
Mobile Is the Second Screen: At least 1 in 3 mobile device users would take a mobile actionbased on being exposed to brands at stores or other advertising efforts.20EventPrint Ad Brand in Store OfflinePrint AdTV AdBrand in Store OnlineOnline AdBrand Post in Social News FeedBillboard AdRadio AdIf I saw ___________, I would likely take a mobile action*:41%40%39%37%36%33%34%31%31%BRANDSEARCHVISITWEBSITEDOWNLOADAPPLIKE/FOLLOWBRAND*AT LEAST ONE OF THE FOLLOWING ACTIONSSample: Smartphone and/or tablet users
5%5%6%6%7%8%11%13%15%Mobile display ads are just one element of a mobile campaign; use display to drivetraffic to an optimized website for continued engagement.Mobile ads, done right, have the ability to continue the relationship with the brand.Sample: Smartphone and/or tablet users21Which of the following actions have you taken as a result of seeing a mobile ad?Visited the brands websiteSearched for the brand on the InternetLooked for the brand in a storeClicked on or interacted with the adVisited a site for a similar brandPurchased the brandRecommended the brandSent the ad to a friendSearched more ads for brand
23- Eric Schmidt, CEO Google,April 23, 2013In every corridor in every way,mobile technology, phones andtablets, are exceedingeverybody’s expectations.
Meeting audience expectations is the difference between a successful and an unsuccessfulmobile presence.Source: Dynamic Logic’s AdIndex for Mobile Norms, data from last 4 years through Q4/2012Overall Mobile N=320 campaigns, Delta (Δ)=Exposed-Control** Best = top 20% of all campaigns tested; Worst = bottom 20% of all campaigns tested24AdIndex® for Mobile In-Market Ad Effectiveness NormsPercent Impacted: Delta (Δ)Aided BrandAwarenessBrandFavourabilityPurchaseIntentMobile AdAwarenessMessageAssociation+17+5-4+39+16+29+10-2+14+3-6+17.0+4-6Mobile Best PerformersOverall Mobile PerformersMobile Worst Performers-1
Expectations about mobile25Mobile Will Offeran Exchange ofTangible Value3Mobile Will KnowWho I Am andTargetAccordingly21MobileWill BeCompetentAnd audiences are receptive to mobile done right.
26More than any other media, mobile marketing needs to be highquality, extremely functional and user-friendly.14%18%24%27%34%40%46%48%50%When using your mobile device, which can damage your opinion of a brand?SocialIncompetenceTechnicalIncompetenceBe technically and socially competent every time.Requesting too much personal infoNo way to opt-out of adsSending me unwanted ads or postsSlow or incompatible appsA mobile website that keepspromoting their appFlash content that doesnt work onmy deviceSending links that dont work on mydeviceNon-optimized mobile websiteNo app for my deviceSample: Smartphone and/or tablet users
27There is a willingness and desire to share location in exchange forthe right content and marketing.Among audiences who access mobile web once a day or more29% are willing to share their geographic location toget the right content or marketing32% say they want to see more location-basedcontent and marketingTailor to the physical space.Sample: Smartphone and/or tablet users
What types of companies or brands would you most like to see delivering services or features foryour mobile devices?Establish personal relevance.Sample: smartphone or tablet users28Localrestaurants31%Retail stores29%Onlineshoppingsites24%8%9%11%12%15%16%20%21%21%21%21%23%24%29%31%Automotive companiesTelecommunication companiesFashion/DesignersDrink products/brandsTechnology companiesSports teams/leaguesAirlinesHotelsNewspapers or magazinesFood products/brandsQuick service restaurantsBanks/Financial servicesOnline shopping sitesRetail storesLocal restaurantsBanks/Financial svcs23%
Balance the tangible value offered with the degree of intrusion.29Audiences are looking for something of value in return forallowing marketers access to their mobile phones.45%DEALS &COUPONS35%FREETOOLSe.g. shoppinglists, reminders30%LATESTPRODUCTNEWS29%LOCATION-BASED INFOe.g., storelocations,promotions20% 20%INTEREST-BASED INFOe.g. recipes,sports scoresFUNFEATURESe.g., brandedgames, songdownloadsMobile Value Spectrum
Mobile display ads need clear branding, communication and call-to-action.30What makes a good mobile display ad?do: don’t:offer a clear call-to-actionshow your brand only on a product shottarget as tightly as possibleclutter your ads with too much text or toomany logosrepurpose online creative only to leaveit croppedmake the ads interactiveand engagingclearly brand your creativeuse intrusive formats unless context ishighly relevant
Mobile websites should be fast and functional.31Simpleissafestuntilnetworkspeedsimprove.What makes a good mobile website?do: don’t:make it fast, clean andeasy to usefeel compelled to outdo youronline websiteforget mobile users are goaldirectedvalue entertainment over competencekeep the latest news on topand tailor to the locationminimize taps and resizing
Mobile apps must be easy to acquire and easy to use.32What makes a good mobile app?do: don’t:be relevant and free ifpossiblecrash (don’t be too resource intensive)clearly explain what you offerand what you’ve updatedbuild one unless it will be used regularlymake it too complexoffer users something inreturnask for more than you need(e.g., personal information, updates)aim to surprise and delightso users come back
AdReaction 2012 – Canadian ReportMarketing in the Mobile WorldQuestions:Cesar.Zea@millwardbrown.com