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InMobi's Mobile World Congress Thought Leadership Whitepaper Series: Defining the next phase of mobile adverting.

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  2. 2. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAIN THOUGHT LEADERSHIP SERIES: DEFINING THE NEXT PHASE OF MOBILE ADVERTISING 13 February, 2011 As 2010 came to a close, it was clear that the debate over if “this will be the year of mobile advertising” ended with it. Good riddance! Mobile advertising is clearly here to stay and it’s absolutely huge. Ad spending figures aside, consumers have announced their intentions by flocking to mobile, and advertisers have no choice but to follow. While the journalists and bloggers busily draft lists and make predictions, at InMobi, we decided to take a slightly different approach. Rather than simply add to the noise, we took a step back and asked ourselves “what will define the next phase of mobile advertising?” We chose to develop a series of whitepapers and offer in depth analysis, for a select number of topics. For the series we discuss three concepts that we think will define the next phase of mobile advertising. We invited partners in the industry to collaborate with us, and invite you to join the conversation on twitter@inmobi or on our blog at James Lamberti VP, Global Marketing and Research InMobi ABOUT INMOBI InMobi is the world’s largest independent mobile advertising network. With offices on four continents we provide advertisers, publishers and developers with a uniquely global solution for advertising. Our network is growing fast and we now deliver the unprecedented ability to reach 194 Million consumers, in over 115 countries, through more than 31.5 Billion mobile ad impressions monthly. We recently were selected as a 2010 AlwaysOn Global 250 Company to Watch in Silicon Valley. InMobi is venture-backed with marquee investors including: Kleiner, Perkins, Caufield & Byers and Sherpalo Ventures. The company has offices in London, San Francisco, Bangalore, Tokyo, and Singapore.© 2011 InMobi. Creative Matters Most... Again. Page 1
  3. 3. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAINCREATIVE MATTERS MOST... AGAIN!WHY MOBILE ADVERTISING WILL IGNITE A CREATIVE RENAISSANCESteve Jobs said, “Most mobile advertising really sucks.” We at InMobi agree. While our approach may be differentthan that of Mr. Jobs, it’s impossible to deny that iAd brought some much-needed attention to mobile creativeexecution. We’re convinced the important differences between mobile and the PC Web will spark the re-mergence ofcreative as a driving force in digital advertising.Creative’s impact on advertising is well understood and has been the focus of agencies for almost all of the 20thcentury. As advertising began its migration to the PC Web the expectations were sky high. But after 10, instead ofushering in a new era of creativity, Internet advertising creative has a tarnished reputation.Creative on the Internet is generally viewed as either a nuisance, with the continued persistent of unfriendly formatssuch as pop up windows. Or it’s factual and mundane, lacking all emotional impact. For example formats such asGoogle search ad copy or tiny graphical ad badges offer little opportunity for creative talents to shine. To illustrate thispoint I sometimes ask audiences when I speak, “When was the last time you saw a PC banner ad that you actuallyremember?” and I usually answers this myself with, “Never.”On mobile things are going to be different.MOBILE ADVERTISING IGNITES A CREATIVE RENAISSANCECreative with high production values has already had a huge impact in the mobile advertising space. iAd alonedoubled the spending on mobile display in the U.S. and this demonstrates a real pent-up demand for high qualitycreative in the mobile channel. Advertisers driven by the demise of television viewership, the failure of creative on thePC Web, and the success of performance base advertising in digital, now see a golden opportunity to leverage thecreative potential of mobile devices.© 2011 InMobi. Creative Matters Most... Again. Page 2
  4. 4. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAIN WHY CREATIVE ON THE PC WEB FAILED Creative did not work on the PC Web like it did in televisions for a variety of reasons. Initially the PC Web did not support animation, video, and website design was visually austere, and progressed only to become more cluttered and confusing. But the least quantifiable and what I believe is the most impactful reason why advertising creative never evolved, is the nature of the content that drove the PC Web’s success. Figure 1. The Mobile User Experience Is Free Of Clutter PC Web deisgn is cluttered and confusing. The ads Mobile design is simple and straightforward. are hard to find, and generally ignored by users. The advertisements take center stage. The PC Web is primarily a fact-based medium. Consumers love to “Google” facts and figures, look-up information in Wikipedia, read the news online, get driving directions, research major purchases, browse travel sites, the list is endless. But what all these tasks have in common is that they are fact based. The entire medium lacks a major element that has traditionally made advertising on television so compelling. That essential element is, fiction. The lack of fictional content is what drove the advertising to all be fact based. Performance based ads with compelling offers and coupons succeeded, because the PC Web became synonymous with factual content. There was no place for fiction.© 2011 InMobi. Creative Matters Most... Again. Page 3
  5. 5. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAINMOBILE, YOUR PERSONAL ENTERTAINMENT DESTINATIONMobile content on the other hand is almost entirely entrainment or fiction based. Games are by far the most popularform on content on the iPhone. The charts on the iTunes store are dominated by games and entertainment apps. Withthe monumental success of Angry Birds, this game alone is poised to define the medium, much in the same wayPac-Man did for early video games. Consumers will soon clearly see this division of content by device. The PC will berelegated back to the office, and survive purely as mundane business machine, relegated to boring and serious tasks.The smartphone will be the “fun place”, where you go to relax and be entertained – exactly like television.WHAT DOES THIS MEAN FOR ADVERTISERS?For advertisers this means high impact creative execution will be the new standard on mobile devices. Consumers willexpect the advertising to be as entertaining as the content. While we have seen movies and games pioneer mobileadvertising, youthful brands, such as athletic apparel and inexpensive cars have been quick to follow. In 2011, as thesmartphone moves from the early adopter to the mainstream, expect to see more conservative brands embrace mobileand its creative potential.Gregory Kennedy, InMobi 3D MOBILE ADS FROM COOLIRIS InMobi is partnering with Cooliris, a leading edge company from Silicon Valley, to develop 3D mobile ads. The technology utilizes the ability of most smartphones and tablets to detect the position of the device and then rotates a 3D object, embedded in an ad in real time.© 2011 InMobi. Creative Matters Most... Again. Page 4