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How Mobile Is Mobilizing B-to-B Marketers

As mobile technology transforms the workplace, business-to-business marketers are making huge shifts in their strategies by forming new partnerships, changing marketing messaging and restructuring marketing organizations to reach mobile workers.

The market for mobile business services is skyrocketing. According to Forrester Research, revenue generated from mobile services sold to businesses will leap from $11.4 billion this year to $32.4 billion in 2018. This includes mobile-engagement services (such as analytics, experience design and back-end upgrades), mobile-device management and mobile-app-development services.

Meanwhile, mobile vendors report that an increasing percentage of their revenue is coming from businesses. AT&T last month created an organization to focus on business customers led by Ralph de la Vega, CEO of mobile and business solutions, saying b-to-b now makes up half of all revenue from wireless.

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Infographic: The Multiscreen World

By Nick Rojas

Over the past decade, the amount of technology available to the public has gradually changed the way that people live their daily lives. More importantly: the versatility of these technologies have allowed people to become more efficient, revolutionizing market consumption, and creating demand for things that had never really been considered before.

As people grew more and more reliant on these devices, more and more of them became available. Laptops and televisions, smartphones and tablets,all permitted their users to do things that they hadn’t thought they needed to before, and this all pointed towards one thing: how users consumed media. Before, television viewers were at the mercy of the networks, watching commercials because they had to. While DVRs changed that for many viewers, it was smartphones and tablets that took them to a different place entirely. With the technology available, users began using their devices while they watched television. This trend towards multi-screen usage was seen by many as an overindulgence in entertainment, at first, but as the trend continued to grow and grow, it became readily apparent that it was more than just a trend.

Mult-screen usage indicates a shift towards multitasking, something that consumers have grown to love. This infographic, provided by TollFreeForwarding.com, is an exploration into the ways that users are consuming information, and why cross-platform development is becoming a key component of not only user experience, but for content marketing, as well.

TFF M5 Multiscreen Infographic: The Multiscreen World

Majority Of Digital Media Consumption Now Takes Place In Mobile Apps

TechCrunch

U.S. users are now spending the majority of their time consuming digital media within mobile applications, according to a new study released by comScore this morning. That means mobile apps, including the number 1 most popular app Facebook, eat up more of our time than desktop usage or mobile web surfing, accounting for 52% of the time spent using digital media. Combined with mobile web, mobile usage as a whole accounts for 60% of time spent, while desktop-based digital media consumption makes up the remaining 40%.

Apps today are driving the majority of media consumption activity, the report claims, now accounting for 7 our of every 8 minutes of media consumption on mobile devices. On smartphones, app activity is even higher, at 88% usage versus 82% on tablets.

App Users

The report also details several interesting figures related to how U.S. app users are interacting with these mobile applications, noting that over one-third today download at least one application per month. The average smartphone user downloads 3 apps per month.

However, something which may not have been well understood before is that much of that download activity is concentrated within a small segment of the smartphone population: the top 7% of smartphone owners accounting for nearly half of all the download activity in a given month. Those are some serious power users, apparently.

But no matter how often consumers are actively downloading apps, they certainly are addicted to them. More than half (57%) use apps every single day, while 26% of tablet owners do. And 79% of smartphone owners use apps nearly every day, saying they use them at least 26 days per month, versus 52% for tablet users.

Facebook Still #1

Here’s another notable tidbit: 42% of all app time on smartphones takes place in that individual’s single most used app. 3 out of 4 minutes is spent in the individual’s top 4 apps. The top brands, which account for 9 out of the top 10 most used apps, include Facebook, Google, Apple, Yahoo, Amazon and eBay.

Facebook is the most used app, in both audience size and share of time spent among each demographic segment.

Social Networking, Games and Radio contribute to nearly half the total time spent on apps, indicating mobile usage is heavily centered around entertainment and communication.

On iPhone, users prefer spending time consuming media, with news apps, radio, photos, social networking, and weather as the highest-ranking categories, while Android users spent more time in search (Google) and email (Gmail).

Click to see charts 

Mobile users focus on just a few apps

Warc

American smartphone owners use their favourite app for 42% of all the time they spend accessing apps, a new report into iPhone and Android behaviour has revealed.

According to the US Mobile App Report from comScore, the internet technology research firm, app usage now accounts for over half (52%) of all digital time in the US, but only a few well-known app brands dominate overall usage.

As reported by MediaPost, six big tech brands – Facebook, Google, Apple, Yahoo, Amazon and eBay – account for nine of the top 10 most-used apps, 16 of the top 25, and 24 of the top 50, with Facebook leading for both the largest base of users and the most time spent.

Nearly three-quarters of the time US smartphone users spend with apps is concentrated on just four apps, the report also found, while more than half (57%) access apps every day.

While Facebook and some other brands remain dominant, smaller apps can still achieve success, said Adam Lella, a marketing insights analyst at comScore.

“It certainly means there might be some challenges for smaller players on this medium, but success is also very possible,” he said in comments reported by AdExchanger.

He explained: “We have seen some standalone apps achieve huge audiences on mobile, for example SnapChat and Pandora, while others have found ways to monetise through non-advertising business models that don’t require competing with the larger companies on audience size, like Uber and certain gaming apps.”

The report also noted some behavioural and demographic differences between iPhone and Android users with the former being younger and wealthier.

The median iPhone user earns $85,000 a year compared to $61,000 for Android users, and 43% of iPhone users are aged 18 to 34 versus 39% of Android users.

iPhone users are more likely to use apps to consume media, such as general news and social networks, while Android users focus more on apps for search and email, which comScore attributed to the strong presence of Google Search and Gmail on the platform.

US media groups rely less on ads

Warc

A number of major US media groups have taken a strategic decision to reduce their reliance on advertising revenues, according to new analysis.

After studying the Q2 2014 results and earnings conference calls of CBS, Walt Disney and several other media conglomerates, financial analysts SNL Kagan concluded that some want to boost other sources of revenue, including subscriptions.

Among the examples highlighted in the study, CBS CEO Les Moonves told investors that the company is now “much closer to a 50/50 split of advertising and non-advertising revenue”.

Revenues in its entertainment division fell to $1.84bn in Q2 2014 from $2.01bn in Q2 2013, and CBS intends to earn more from licensing and syndication revenues.

“One of the things that clearly has changed about our businesses is that the back end of the show’s revenue is now as important, if not more important, than the front end from advertising,” Moonves said. “Ownership of content is the key to our success.”

Similarly, Walt Disney is moving to diversify its revenue streams, SNL Kagan said, pointing to recent comments from Disney CEO, Bob Iger.

“We’ve made a conscious decision as a company to essentially not be as reliant on advertising as we were in the past. So it represents probably somewhat in the neighbourhood of the low-20% range of our total revenue,” Iger said.

Disney has become less reliant on advertising partly because of increased revenues from other sources, such as its theme parks.

Despite this, Iger said Disney will continue to participate in digital advertising although he thought traditional advertising platforms would continue to come under pressure.

When looking at some other media groups, the report said NBCUniversal Media had a weak quarter in terms of advertising revenue, which fell 2.2%.

And there was a mixed picture for 21st Century Fox, which posted both big declines in advertising revenue in its TV segment but large increases for its cable networks.

UK: More Consumers Buy on Mobile

IDG Connect 0811 300x141 UK: More Consumers Buy on Mobile

According to a recent study by xAd and Telmetrics which looked at the mobile behaviors of 2,000 UK tablet and smartphone users, up to 46% of UK consumers now use mobile devices as their primary tool for purchase decision making, while one in four use mobile devices as their exclusive shopping research tool. From comparison shopping to looking up nearby store locations to searching for store contact info, consumers are doing more and more purchase research and general browsing on their mobile devices, even while at home with a computer nearby. In fact, according to the study, 60% of those surveyed reported being at home the last time they accessed their smartphones.

As consumers turn to mobile to meet their varying research needs, they are becoming more comfortable with these devices as a primary decision-making tool. Satisfaction with the information available on smartphones in particular increased 18% since last year’s study.  

Mobile Advertising Has a Bigger Influence on In-Store Purchases Than You May Expect

Retail was the most popular category for mobile purchases, with 35% of survey respondents completing their transactions on their mobile devices. However, the impact of increasing mobile commerce activity isn’t limited to on-device or even online behaviors. Of those surveyed, 31% reported visiting a physical store at some point during their mobile search process. The study showed that mobile devices are frequently being used to not only research products and services, but also to find nearby store locations and store contact info. Ultimately, 37% of study respondents completed their purchases offline, with 20% of Telecom and Insurance shoppers completing purchases via phone.

Most Consumers Are Open to Influence, But Make It Quick 

When first turning to their mobile devices, less than 20% of respondents knew exactly what they were looking for, making 80% completely open to purchase influence. Consumers are also expecting purchase gratification more quickly than they have in the past. Nearly 50% reported wanting to make their purchase within a day and 30% are looking to make a purchase within the hour (up 52% since 2013).

Competitive Pricing and Easy Access to Store Contact Info Are Biggest Purchase Drivers for Mobile Consumers

According to the study, three out of four UK consumers used their mobile devices for price comparison and 39% made a purchase because the product/service was the right price. Store proximity and easy access to contact info are also important factors. Over 50% of respondents expect to find a location within eight kilometers of their current location, underscoring the importance of accurate location data, while up to 40% of shoppers made phone calls to the businesses they searched.

Fore more blogs and research from IDG Connect, click here 

Majority of Latin America’s Smartphone Users Buy via Mobile

eMarketer

Where are smartphone users most likely to report purchasing products or services on their handsets? The answers may surprise you—especially the answer to the question, “Where aren’t they?”

176331 Majority of Latin Americas Smartphone Users Buy via Mobile

May 2014 polling by IDG Global Solutions found that 78% of smartphone users in Asia-Pacific had made a mobile commerce purchase, compared with 70% in North America. It makes some sense that a relatively less developed ecommerce market would place high according to this metric, however: Overall, smartphone penetration in Asia-Pacific is relatively low, meaning the share of such users who have made a purchase is likely to be high. Across a broader swathe of the population, mcommerce penetration would look lower.

Latin America is another standout by this metric—an outright majority of smartphone users reported making a purchase. That compares with significantly lower penetration rates across the population of consumers and internet users who make ecommerce purchases at all (including on the desktop).

And while Latin America is behind the Middle East and Africa—another region where smartphone penetration reaches a fairly small share of the overall population, and smartphone users are therefore a select and advanced portion of the market—it placed ahead of both Eastern and Western Europe, places where smartphone penetration is higher, according to eMarketer’s estimates.

With Year-on-Year Growth of 84% in the Second Quarter, India Smartphone Market Still Has Immense Potential, Says IDC

IDC PMS4colorversion 1 300x99 With Year on Year Growth of 84% in the Second Quarter, India Smartphone Market Still Has Immense Potential, Says IDC

The smartphone market in India has maintained its growth impetus with smartphone shipments achieving year-on-year growth of 84% in Q2 2014 and a quarter-over-quarter growth of 11%. The potential for future growth in the smartphone market remains quite high as 71% of the market continues to be on feature phones.

According to International Data Corporation (IDC), the overall India mobile phone market stood at 63.21 million units in Q2 2014, a 5% increase over Q1 2014. The quarter-over-quarter growth can be attributed to both product categories (i.e. smartphones and feature phones).  Back-to-back volume growth in the smartphone market is also being noted due to the re-defined, low-price smartphone models and continuous migration from feature phones to smartphones.

The Indian smartphone market grew by 84% year-on-year in Q2 2014. According to IDC Asia Pacific Quarterly Mobile Phone Tracker (excluding Japan),vendors shipped a total of 18.42 million Smartphones in Q2 2014 compared to 10.02 million in the same period of 2013. The sub-$200 category of the smartphone market is increasing in terms of new shipment share as the contribution from this category stood at 81% in Q2 2014. With the influx of Chinese vendors and Mozilla’s plans to enter the smartphone category at the $50 price level, the low-end segment of the smartphone market will become crucial in the coming quarters.

The shipment of “Phablets” (5.5 inch – 6.99 inch screen size Smartphone) in Q2 2014 was noted to be 5.4% of the overall smartphone segment. The phablet category grew by 20% quarter-on-quarter (QoQ) in terms of sheer volume. More than half of the phablets shipped were in the under-$250 price band and Indian vendors are dominant in the noted price segment.

Jaideep Mehta, Vice President and General Manager – South Asia, IDC says, “While Samsung has held on to its leadership position in the market, it is noteworthy that Micromax is growing faster. Samsung needs to continue to address the low-end of the market aggressively, and also needs a blockbuster product at the high end to regain momentum. Given the current growth rates, there is a real possibility of seeing vendor positions change in the remaining quarters this year.”

“IDC observes that a new entry level price point is being breached by the Indian home grown vendors every quarter. These devices are not equipped with high end specifications and RAM is typically 256 MB. This ultra low cost segment may not sound a viable option to the repeat buyers, but it works well on the targeted segment,” says Karan Thakkar Senior Market Analyst at IDC India.

Q2 2014 has been an exciting quarter for the players in the mobile phone market.  Among the top five vendors, Micromax and Lava were the only ones to have outstripped the market growth. The former grew by 18% and the latter by 54% in the overall phone business.  Micromax not only toppled Nokia to clinch the number 2 spot, but also created a gap between the second and third spot.

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Ever Wonder Why Consumers Don’t Click on Mobile Ads?

eMarketer

Mobile users see a decent amount of ads: March 2014 polling by Nielsen for xAd and Telmetrics found that 70% of US adults who used smartphones, tablets or both had encountered mobile ads in the past month. Of course, getting an ad in front of a target doesn’t guarantee interaction, and the majority of mobile device users hadn’t clicked on an advertisement in the month leading up to polling. Smartphone owners were slightly more likely to click on a mobile ad, with 43% saying they had, compared with 37% of those with tablets.

177395 Ever Wonder Why Consumers Dont Click on Mobile Ads?

March 2014 research by Survey Sampling International (SSI) for Adobe found that the platform used to serve mobile ads also made a difference in interaction. While apps claim far more time spent with mobile, mobile device users in North America were more likely to click on mobile website ads. More than one-third had done so in the past three months, compared with 26% who had interacted with an in-app mobile ad. Mobile devices used by respondents in this study included ereaders, mobile phones, smartphones, tablets and wearable devices.

But what about ads that don’t get clicked on? How can advertisers tweak them to drive more interaction? According to xAd and Telmetrics, the most popular reason smartphone and tablet users hadn’t clicked on mobile ads in the past month was because they just weren’t interested in the offering, cited by 47% and 43%, respectively—and suggesting advertisers may need to amp up targeting efforts. Irrelevant advertisements and users simply ignoring them ranked second and third.

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Only 16pc of businesses have an enterprise-led mobile strategy: report

Mobile Marketer

While mobile usage in the United States is only expected to rise within the next few years, it is surprising that a mere 16 percent of businesses are leading their enterprise strategies with mobile-first initiatives, according to a recent report from Kony.
Sponsored by mobile development platform solutions company Kony and executed by research firm International Data Corporation, the survey shows a huge support and success for businesses that have deployed mobile initiatives rather than business unit-led or departmental-led approaches. Forthe survey, more than 400 IT decision makers were interviewed about their marketing strategies.
“In the past, mobile projects used to be fairly time and resource extensive, owing to the fact that companies needed to make infrastructure investments and write to each native OS platform,” said Stacy Crook, research director of mobile enterprise at IDC, Boston.
Why not?
For this particular survey, enterprises with no less than 1,000 employees participated. The survey participants were evenly split across a few company size buckets, such as 1000-2499 employees, 2500-4999 employees or 5000-9999 employees, with a small bias towards the largest company size bucket, such as more than 10,000 employees, where companies in that bucket provided 30 percent of responses.  Therefore, most of the companies surveyed are in an appropriate financial situation to embark upon mobility projects.
While cost tends to be a factor with any new IT initiative, it was not the top concern per survey responses. The survey asked, “Which of the following mobile deployment issues has your organization experienced?”
The top five responses were security and compliance issues, issues in linking mobile platforms to existing databases, version control issues between mobile operating systems, applications and/or enterprise applications, time constraints and cost overruns or budget issues.
Nearly 50 percent of organizations that have executed mobile solutions have seen an improvement in overall decision making, efficiency, customer interaction, savings in cost and increased revenue, which proves that the integration of mobile is no longer a good idea but in fact crucial.
About 31 percent of surveyed companies have a comprehensive mobile technical staff in place with additional external support, which another 30 percent of companies have a mobile development and architect group.
Today’s possibilities
The advancement of technology is working in the favor of big businesses. Unlike years before, implementing mobile now leads to fewer obstacles and takes less time.
“Mobile projects in the past used to take months to develop and implement, but now with new cloud-based mobile application technology, businesses are able to design and develop enterprise mobile applications in a matter of hours,” said Dave Shirk, CMO atKony, Inc., Dallas. “There are many factors that enterprises need to consider in order to have an enterprise-led mobile strategy, including security and compliance requirements, and linking mobile platforms with existing databases and systems so the application can get real-time access to the relevant data or information.
“Also, another huge inhibitor is that mobile technology keeps changing with new updates in operating systems, devices and enterprise applications, which can get overwhelming. That’s why Kony’s open and standards-based, integrated platform was designed to simplify the mobile application development process for businesses.”
While the survey showed 41 percent of companies have a particular budget for enterprise-wide mobile endeavors, the issue of cost is fading away, and these companies have the highest allowance for mobile budget, which tends to provide for strategic investments in mobile staff or to augment that staff with outside support.
“The growing availability of cloud platforms that allow companies to develop native, web, or hybrid applications in a streamlined manner can help alleviate both concerns,” IDC’ Ms. Crook said.