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While CPG brands currently spend more on desktop ads than mobile, their mobile ad spending is increasing as they try to optimize brand loyalty and connect with consumers closer to the point of purchase. However, CPGs face challenges connecting with consumers on mobile and gaining space on phone home screens. Developing personalized, timely, and contextually relevant mobile ads that enhance the user experience rather than interrupt it could influence purchase decisions. The future of mobile ads for CPGs may involve beacon technology to provide in-context content.
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- 1. While CPG brands are spending more of their digital ad dollars on desktop than mobile, their mobile spend is increasing. What’s causing this? Consumer Packaged Good brands are actively trying to optimize brand loyalty through mobile ads, with efforts to connect with the consumer closer to the point of purchase. A 2013 study found that the use of mobile devices influenced 19% of all in-store sales. Therefore, by enhancing their mobile strategy CPGs will witness a sale boost. However, CPGs are facing challenges connecting with their consumers and gaining space on the home screen of a users’ smartphone. Bill Clifford, chief revenue officer of SessionM states, “Anything that feels generic or interrupts their mobile experience, as opposed to enhancing can annoy consumers.” Developing a creative that integrates personalization, pricing, and timeliness will undoubtedly influence their buying decision. The future digital mobile ad for CPG appears to incorporate Beacon Technology to provide content in context. The magnitude for mobile ad is seemingly proliferating, where brands can concurrently tell their story and multiply sales. This report features commentary
- 2. from Bill Clifford, Chief Revenue Office of Session M and Mike Merna, Catergory Development Officer, CPG of AOL.