Busting Myths About Data Sharing and Interstitial Ads
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The document discusses two common myths about data sharing and interstitial ads. The first myth is that consumers do not want to share their data, but the document cites data showing that nearly 50% of consumers are more comfortable sharing data today than in the past. The second myth is that interstitial ads are bad, but the document provides data that 16% of top mobile apps use interstitials successfully and they can generate higher revenue than banner ads when used carefully. The document aims to bust these myths and show that data sharing can be a value exchange when users understand the benefits, and that interstitial ads have benefits for advertisers, users and publishers if implemented thoughtfully.
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Busting Myths About Data Sharing and Interstitial Ads
- 1. Busting A Couple Myths Shane Minte, VP, Publisher Development
- 3. Too many companies are powered by BAD & INCOMPLETE mobile user journey data
- 4. Bad data costs U.S. businesses $3T per year Source: IBM
- 5. of that is wasted in marketing spend$611B Source: PwC
- 6. – Said no one ever I love receiving ads
- 7. Myth #1 Consumers don’t want to share their data
- 8. Nearly 50% of consumers are more comfortable sharing data today than they were in the past 18% Source: Acxiom and DMA of consumers are unconcerned with sharing personal data 58% of consumers share their data when they receive a value exchange
- 9. Source: Acxiom and DMA 84% of people would like more control over the information captured and used by enterprises
- 10. Consumers understand the value exchange with sharing their data Fact #1
- 12. 16% of ComScore’s top 2000 mobile apps are monetizing interstitials Source: Ogury
- 13. Mobile will surpass TV as the medium attracting the most minutes Interstitial CPMs are higher than banners Overall ad revenue greater with interstitials than banners Source: eMarketer
- 14. Fact #2 Interstitials are a quality format with benefits for advertisers, users, and publishers – when used carefully.
- 15. Common Misconceptions “Consumers don’t want to share their data” FALSE “Interstitials are bad” 1 2 Users aren’t ignorant; they understand their data can be part of a value exchange. FALSE Interstitials are highly effective when used thoughtfully
- 16. Thank You Shane Minte Shane Minte, VP, Publisher Development Contact directly with any questions: shane@ogury.co
Editor's Notes
- Ogury specializes in mobile journey marketing, through the use of consented data. I’m here today to debunk a couple myths. But first…let’s talk about DATA.
- Truism Garbage in, garbage out
- We’ve found that mobile data is fragmented and difficult to use effectively, for many publishers and advertisers. What is mobile journey data? It’s a complete picture about how the user spends time on their phone – which is very difficult to do, given the siloed nature of apps.
- IBM and HBBR estimates that bad data costs U.S. businesses $3T per year.
- What’s relevant to you According to PricewaterhouseCoopers, $611B of that is wasted in marketing spend.
- Sarcastic I know But we know, despite the trend in ad blocking, that users DO, in the aggregate, accept advertising as a necessary part of content consumption. But a myth has emerged that…
- A recent survey conducted by Acxiom and trade group DMA revealed that roughly 50% of consumers are more comfortable sharing data today than they were in the past. In fact, the majority of American’s are willing to share their data, with 18% being ‘unconcerned’ and 58% willing to share their personal data if they receive a value exchange. Leaving only 24% who are unwilling to share their data. Which seems about right – given that somehwere between 24 and 30% of of people are now using ad blockers – there’s definitely a segment of people (myself included!) who prefer to remain as anonymous and ad-free as possible. Now, the topic of *forced* value exchange, on the other hand… is a different story altogether. And the jury is still out on this one… GDPR, Facebook, etc…
- In the same study, it was also revealed that 84% of people would also like more control over the information captured and used by enterprises. Consumers demand control and publishers need to provide this control. And how do they do this? Through ensuring you only work with partners who collect data that users explicitly opt in to sharing and that is 100% GDPR compliant. I’m not saying consumers necessarily ‘want to share their data’. It’s that consumer’s want control over the information being captured and are willing to exchange their data in return for value. They want it done in broad daylight, in a manner which informs them of the stakes. They want informed, explicit consent. Which is a big piece of what the GDPR promises… and what the new California legislation might also offer…
- The fact is, consumers understand there is a value exchange associated with sharing their data. They want their content personalized, and they understand that to have a personalized experience, they need to volunteer the raw information to personalize – they need to volunteer their *data.*.
- This better mobile user experience brings me on to the next myth I wanted to debunk. That is that interstitials are a bad ad format. Now, right now, I’m the guy who is going all
- I’ll begin by explaining what an interstitial is. Google defines interstitials as, “full-screen ads that cover the interface of their host app.” They are not pop-ups, despite what many may think. When used intelligently, interstitials are placed at natural transition points that create a sense of flow in an app, such as between levels in a game or between menu screens in a utility or news app. So how’d the myth of interstitials being bad form? At the start of 2017, Google began to penalize mobile websites that used large interstitials. In response, publishers quickly discarded interstitials across websites AND mobile apps. Thus began the decline to where we are today, with only about 16% of ComScore’s top 2000 mobile apps monetizing interstitials. Threw the baby out with the bathwater. Publishers make more money. Users see less ads, and have less screen real estate persistently occupied. And the advertiser? Gets better brand impact and memorability.
- So that means 84% of app publishers aren’t using interstitials. And we’ve found in countless publisher conversations that many of them are reticent to even try the interstitial format. But, on both CPM and overall earnings potential, interstitials score considerably higher than banners -- and many publishers, based on my own experience, just haven’t run the tests and done the math. With mobile predicted to surpass TV as the medium attracting the most minutes in the US, marketers should not underestimate the value of the interstitial format. Rather than completely rule out a format that has been wrongly tarred with a wide brush, for mobile, brands should consider all advertising formats in their campaign. Leveraging first-party data and executing thoughtful creative will allow brands to connect with consumers no matter the format of the ad. And in turn, publishers will benefit from higher revenue and a better user experience. And if you’re one of the 84% of app publishers who aren’t using interstitials, and are reticent to even try using interstitials, here are some things to consider: Interstitial CPMs are CONSIDERABLY higher.In instances where publishers are using only banners, it’s not uncommon to hear of 200%+ uplifts in ad revenue after opting to add interstitials. Speaking of banners: They take up precious screen real estate, and arguably cheapen the app experience. Think about it: What if Hulu showed a banner at the bottom of the screen while you were watching Handmaid’s Tale, for the entire show – would you not rather just get the ad experience over with, in an intermittent full-screen format, than watch the show with an unsightly rectangle holding the bottom of the screen hostage? Use skippable interstitial ads: For static, they should be immediately skippable; For video, 3-5 seconds in is ideal for balancing completion rate with user control. Start with brand awareness interstitials only, until you’re comfortable enough with the format to introduce install-based ads; this way, you’re less likely to drive users away to install other apps and reduce session time and other KPIs. TEST TEST TEST (I know -- how original!) On Android, you can run tests on a small segment of your audience – perhaps only 5% to start -- and then gauge the impact on user retention, sessions, LTV, etc. Publishers are very often surprised when they don’t see a net negative impact. Do not show interstitials randomly –they should be shown at a logical transition point in the app experience.
- The truth is, when used judiciously, interstitials remain a highly effective format for both publishers and marketers. On mobile, the interstitial can be as large as ten times the size of a banner, making it enormously powerful at capturing user attention and generating maximum impact and recall.
- So, in review… These common misconceptions continue to plague publishers. Don’t fall trap to believing myths as facts. The truth is… Mobile users aren’t opposed to sharing their data if they know it’s going to be used wisely and will ultimately provide them with value. If you can access the entire mobile journey, both in app and out, you can identify the human at the end of the screen. Identify the human and you can deliver them personalized recommendations opposed to intrusive ads. Ensure you are only leveraging data that users have explicitly opted in to sharing and that is 100% GDPR compliant. This will result in a much better mobile experience. Speaking of a better mobile experience, interstitials are not bad. In fact, they’re quite the opposite. If you’re leveraging quality, consented first-party data and executing personalized creative, you can connect with consumers no matter the format of the ad. And in turn, consumers will receive a better user experience and publishers will benefit from higher revenue.
- Quick Ogury plug before I pass it over: As I mentioned at the start, Ogury specializesin mobile journey marketing. We’re integrated in over 12,000 mobile apps and websites. We give publishers unprecedented levels of user engagement and revenue generation. I’ll be here tomorrow and Wednesday as well. I’d be delighted to talk more about this subject.