An emerging report by Thinknear/Telenav indicates that mobile, location-based advertising helps marketers to improve targeting, engagement, and creative. Of course, this is all based on using accurate data, the September 2014 report indicated.
Location expert, Thinknear/Telenav, described “location accuracy” as being the proximity indicated by the user on the advertising request when compared to the actual location. This distance may vary by anywhere from just a few feet to hundreds of miles. Assisted GPS technology is considered the most accurate source when determining mobile locations, according to the firm, and is followed by WiFi, cell towers, and IP addresses. User registration was considered the least accurate source.
According to an eMarketer report, when hyper-local campaigns were broken down by location, they attracted the largest percentage of accurate advertising impressions in the United States during third-quarter 2014. The 2014 figure of 46 percent represents a more than 10 percent increase over the second quarter of 2014 when the figure was 34 percent and was reached at the expense of regional and multiregional ads.
eMarketer also indicated that local campaigns remained stable as national impressions increased their share of mobile location accuracy.
Meanwhile, xAd and Telmetrics research released in July 2014 that was based on February and March 2014 polling conducted by Nielsen, indicated that mobile users preferred location-based ads. Most—51 percent—of U.S. mobile device users indicated that they favored mobile advertising that contained geographically relevant information; this, compared to 36 percent in 2012. A total of 19 percent disagreed, which was a decrease from 31 percent two years prior, according to eMarketer.
eMarketer concluded that advertisers will likely increase mobile location effort spending to improve their location data accuracy and provide consumers with the advertising they seek.
In April 2014, Berg Insight estimated that mobile location-based ad spending and marketing worldwide would rise from €1.2 billion in 2013 ($1.6 billion) to €10.7 billion in 2018 ($14.3 billion), an anticipated increase, in American dollars of nearly #13 billion.
- eMarketer; Which Mobile Location Ads Are the Most Accurate?: Hyperlocal campaigns account for the largest share of accurate US mobile location-based ads; September 25, 2014.