Location-based Mobile Ad: A Lesson From Japan

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  • + ricferraro Ric Ferraro 1 month ago
    For Europe-based companies, a clear glimpse of the future.

    Some of the case studies really bring home the need to integrate mobile into mainstream campaigns to drive up the effectiveness of ad spend.

    Thanks for sharing!
  • + manho manho won 3 months ago

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Location-based Mobile Ad: A Lesson From Japan - Presentation Transcript

  1. Location-based Mobile Ad: A Lesson From Japan
    • Gen Miyazawa
    • Ren Ando
    • Cirius Technologies, Inc.
    • Oct 23, 2008
  2. Introducing speakers Gen Miyazawa Ren Ando
    • Founder and CEO
    • Established the company in 2004 after graduating The University of Tokyo.
    • Authored 3 books such as “Mobile 2.0”, published in Japan.
    • Director, Product Development
    • Responsible for ad server product strategy, roadmap and engineering strategy.
    • Previously worked on web product planning at Microsoft in Redmond.
  3. A little about us…
    • A mobile ad technology company.
    • Founded in 2004 in Tokyo.
    • Running a few mobile advertisement platforms including “AdLocal”.
    • AdLocal is a location-based mobile advertising service using GPS and Cell-IDs.
    About Cirius Technologies, Inc.
  4. Tell us a little about you…
    • How familiar are you with the Japanese market?
    • Any specific impression of the Japanese mobile market?
    • Any specific topics you are interested in hearing today?
    • Japanese mobile market trends
    • Japan’s rising mobile ad market
    • Location-based mobile ads and Case Studies
    • Opportunities for the European mobile market
    Agenda - -
  5. Part I: Japanese Mobile Market Trends
  6. Overview Japanese mobile market from these aspects;
    • Growth of the mobile population
    • Paid contents
    • E-commerce
    • Video
    • Real-world integration
    • Trends in 2009
    • 90% of the subscribers use the mobile web.
    • 90% on 3G by 2008.
    • Almost 1/2 are GPS enabled phones.
    Japanese mobile market quick glance
  7. Japan mobile subscriber growth Mobile Subscriber Forecast (2004-2011)   Source: ROA Group  (K) Penetration
  8. Mobile commerce market hit $ 10B Source: Ministry of Internal Affairs and Communications
  9. Popular mobile contents Source: Mobile Content Forum (July 2007) (Millions USD)
  10. Mobile Video and TV TV watching (w/ digital TV tuner) and video sharing will soon become a top mobile entertainment. You Tube on mobile Nico Nico Video Sharing
  11. IC wallets integrated with mobile phones
      • 28.5 mil subscribers (as of Mar 31, 2008)
    • Public transportations, supermarkets, vending machines
  12. Why did the market grow so rapidly?
    • Broad coverage of 3G network
    • Flat-rate data plans
    • Operators had more influence upon mobile ecosystem than in GSM markets.
    • A new regulation to put GPS for all 3G phones
    • Top 2 operators have integrated Google as default search
    • Massive growth of "non-official" sites
    Latest trends to promote mobile ad market expansion
  13. Part II: Japanese Mobile Ad Market
  14. Overview Japanese Mobile Ad Market from the aspects below;
    • Market size
    • Structural characteristics
    • Compensation models
  15. Mobile ad growth forecast in Japan unit: millions USD
  16. Large "mobile / total" ad spend ratio 1% of total 0.3% of total
  17. Large spending on display and search ads Source: Dentsu Inc. , Feb 2008 eMarketer, Mar 2008
  18. Preferred compensation models among advertisers
  19. Sponsored listings are growing rapidly
  20. Part III : Location-based mobile ads and Case Studies
  21. The location-based mobile ad platform
    • Cirius Technologies has started operating the location-based mobile ad platform since 2006.
    • The facts and case studies here are all based on our experience on AdLocal
  22. Location Based Ad Service "AdLocal" Advertiser Target range Example AdLocal displayed at Stanford [AD] University Ave. No.1 Mexican Restaurant 10% Discount Coupon!
  23. How AdLocal works Advertisers Publishers Operators Mobile Phone Ads are inserted Landing Page or Click-To-Call Ad Campaign User’s Location [AD] University Ave. No.1 Mexican Restaurant 10% Discount Coupon!
  24. Examples of Advertisers Most successful categories of advertisers: Food & Restaurant Local Jobs and Employment Educational Institutions Beauty salons Car dealers
  25. Strong publisher network in Japan [PR]SALE!!10% Discount @Tokyo [PR]No.1 Sushi Bar! Shibuya Sta. [PR]English Lessons at Shibuya [PR]SALE!! 10% Discount Coupon 【 tabelog.com 】 http://m.tabelog.com Kakaku.com, Inc. Moba-ge Town NTT-BJ i-Townpage 【 @nifty 】 http://bousai.nifty.com 【 Excite Mobile 】 http://mobile.excite.co.jp Excite Japan 【 askU.com 】 http://m.asku.com Bandai Networks, Inc. 【 gogo.gs 】 http://m.gogo.gs gogolabs, Inc. 【 e-Nenpi 】 http://response.jp/enenpi/ IRI Commerce and Technology, Inc * DoCoMo Official CP
  26. Proved performance for advertisers Non-Local Ads Local Ads (Average CTR for 12 month from mid-2007 to mid-2008 )
  27. Proved performance for publishers (Average CPM for 12 month from mid-2007 to mid-2008 ) Non-Local Ads Local Ads
  28. Case Studies
  29. A car manufacturer targeted their ads to the areas near their dealers. Actual Screen Image A fast food franchiser promoted their franchisees. Case Study 1 : Pinpointing Market Areas
  30. Before: $1,000/student tutor hired Case Study 2 : A home tutoring company After using AdLocal: $300/student tutor hired The tutoring company targeted university campuses.
  31. Combined with a big screen advertising in downtown Tokyo, to promote a new album of a singer. 10,000 customers interacted with this campaign within 3 days. Case Study 3 : Simultaneous-ad campaign
  32. Part IV: Opportunities for the European mobile market
  33. Growing GPS enabled phones
  34. Print  Advertising To Mobile Newspaper Inserts Flyers Free paper Free magazines Yellowpage ads Print Ad Spending Printed local ads to shift mobile
  35. Potential partners
    • Mobile content providers (especially LBS)
    • Mobile network operators
    • Handset manufacturers
    • PND manufacturers
  36. Content Providers Monetize mobile apps and contents.
  37. Operators
    • Operators can enable AdLocal platform in their markets
      • By providing Cell-IDs to the publishers in their ad network
      • No GPS-phone required
  38. Handset Manufacturers Monetize pre-installed apps with local ads Widgets Apps
  39. PND manufacturers
    • Another monetizing vehicle or value-add for PNDs
    • Distribute coupons
  40. Our New International Product is Coming Soon in Spring 2009
  41. Please contact us at: [email_address] Our temporary international site: http://www.cirius.co.jp/en New international site: http://ciri.us (from mid-Nov)
  42. APPENDIX
  43. Comparison To Contextual Ads User Azabu area Roppongi area $0.40 bid by store B $0.30 bid by store A $0.60 bid by store C *Roppongi and Azabu are two areas in Tokyo which are in the same market space. 2 1 3
  44. Ad Impressions in Tokyo

+ Ren AndoRen Ando, 2 years ago

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