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For digital marketers, mobility represents both an opportunity and a threat. On the one hand, you can now reach audiences when and where its convenient for them, which makes consumers more likely to respond to your outreach. On the other hand, mobility may threaten more traditional marketing strategies, because it opens up a new front where consumers are engaging withand making judgments onyour brand. Imagine a retail outlet with steady in-store traffic, a successful website, regular online ad campaigns, and a well-managed email marketing program that has expanded the companys audience and deepened relationships with existing customers. Now imagine that a quarter of its customers upgrade to new smartphones over the course of a year. If the companys marketing content isnt optimized for mobile access, the impact on its customer base will be profoundly negative. Ads that arent visible are wasted money, while rich-media website features and marketing emails that arent accessible or user-friendly can actually create negative brand impressionsturning consumers, directly or indirectly, to a competitors offerings. To fill out the mobile landscape further, consider the importance ofand, more specifically, the increased return rates that stem fromusing rich media in outreach efforts. Consumers enjoy rich media and are increasingly accessing multimedia content on their mobile devices. In the U.S., the time spent viewing video on a mobile device is already approaching the time spent viewing video online on a desktop computer. More importantly, rich media on any type of connected device has proven not only popular, but highly effective for marketing purposes. According to a June 2010 report by Dynamic Logic, video does the most of any online ad format to raise consumer purchase intent.2 Its an increasingly valuable tool for improving online user engagement.
Among consumers aged 18 to 29, 65 percent already access the Internet on a mobile device.
(Source: Pew Research Centers Internet & American Life Project, 2010)
According to a June 2010 report by Dynamic Logic, video does the most of any online ad format to raise consumer purchase intent.
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NBCU sold out its entire mobile ad inventory early for the Vancouver Olympics.
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The SyFy Networks first rich-media ad for the iPad saw an 8.62 percent interaction rate.
Coors strengthened its recent Coors Lite campaign by purchasing a display ad right below an in-video placement.
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With mobile devices, screen space is often at a premium, making it harder to deliver multiple display ads on a single page. However, when the main page content is video, you can double up by buying a display ad along with an in-video advertisement. In fact, the latest mobile technology makes it possible for ad networks to recognize attributes of an in-video ad and sync it up with a companion banner ad. As with bundled display ads, Limelight Networks has found that this combination improves access to more targeted impressionsresulting in a stronger digital media campaign. Another way to multiply your impressions is by branding an entire mobile app, rather than just inserting a single ad. MTV Networks, for example, has begun to experiment with app sponsorships. Its popular app The Word, with commentary from Stephen Colbert, is for sale in Apples App Store for $1.99, but Android phone users can get the same app for free, thanks to sponsorship by Vitamin Water. In return for its sponsorship, Vitamin Water gains an exclusive marketing position on The Word for Android users. The model hearkens back to the early days of TV, when each show was supported primarily by a single sponsorship. Now in the early days of mobile apps and short-form programming, that same model can be offered at a much lower relative costdelivering advertising that is at once dominant throughout a given content channel, yet targeted to an audience with specific content preferences.
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Moving beyond brand awareness, if your advertising goal is to prompt a direct user response, then the campaigns you develop should be closely targeted in order to reach the most receptive audiences. They also often require incentives to act. Attentiongrabbing promotional features like contests and coupon downloads can exert a powerful pull when directed to the right consumers. You can even vary the incentive based on the target audience. Dynamic creative optimization technology provides a means to deliver different ad versions to different consumers, based on user actions like click-through rate or interaction rate, with automatic optimization built in. In a similar vein, with behavioral targeting, you can target viewers by demographics, geography, activities on publishing sites, and even by the devices they use. This fine-grain level of targeting is still relatively new, but it has huge potential. In one of the first available studies, the Network Advertising Initiative (NAI) found that behaviorally-targeted online advertising in 2009 brought in on average more than two and a half times as much revenue per ad as non-targeted run of network advertising. 2
Based on click-thru rate, the family sedan clearly comes out ahead in this particular ad placement, showing the evolution of how the creative automatically optimizes to display the ad version most relevant to this particular audience.
Once you determine your advertising objective, consider a price/performance analysis to see what approach will get you the highest return for your efforts. The level of rich media and interaction you embed in your creative, as well as how finely you decide to target your message will impact the cost side of the equation, but also your return on investment. Its a balancing act, but one thats worth the effort, particularly as audiences continue to fragment across an array of media formats and new connected devices.
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Publishers, for their part, are exploring new ways to deliver video across multiple screens, and that creates new advertising opportunities as well. In-stream video ads, banner displays with click-to-play videos, and Universal URLs that deliver video automatically formatted for an end-users device are all tools of the new online video trade. In addition to new distribution technology, video ads also benefit now from technologies that let consumers stay engaged with the primary entertainment experience. Rather than take someone away from a dedicated browser page or application, newer interactive spots allow viewers to opt in to an ad and control the amount of time spent with it. If a viewer clicks on an in-stream video product placement or ticker element, the main video pauses long enough for the consumer to watch a short commercial or learn more about an advertisers products.
New interactive ads allow users to control when and how to engage with different ad elements.
Once the user is finished interacting with the ad, the main video resumes playing. In some cases, even pre-roll video ads have become more interactive by giving viewers the ability to direct their own ad experiences. Publishers are testing out the practice of offering multiple video ads to users, allowing them to choose which clip to watch. This engages viewers far more effectively than a typical passive pre-roll could. By allowing users to engage on their own terms, advertisers can build better experiences with the consumers they want to reach, ensuring that marketing execution is as successful as the strategy conceived behind it.
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The complexity of measurement also comes through in the need to analyze data across multiple platforms. When youve taken the time to ensure delivery of rich-media advertising to the universe of smartphones and tablet devices, its critical to measure campaign success across those distribution channels. You may find that your ads perform better on certain platforms, which can offer demographic indicators or suggest differences in playback experiences across different devices. Fortunately, the trend toward analytics platform integration is accelerating. Increasingly there are tools available that provide a single window into all of your campaign data, both traditional online measurements and mobile performance metrics. These tools help you optimize a campaign during its run, and not just analyze a campaigns effectiveness after its complete. Data alone does not solve the challenges of delivering an effective ad campaign, but it does provide guideposts for continued optimization. The dynamic nature of ad delivery combined with the rapid return of performance metrics means marketers are better positioned than ever to act on response trends quickly to improve campaign effectiveness.
1 http://www.emarketer.com/Article.aspx?R=1007992 2 http://www.networkadvertising.org/pdfs/NAI_Beales_Release.pdf 3 http://www2.emarketer.com/Article.aspx?R=1007901 4 http://www2.emarketer.com/Article.aspx?R=1007845 5 http://blog.nielsen.com/nielsenwire/consumer/is-the-ad-biz-through-with-click-through/
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2011 Limelight Networks, Inc. All rights reserved. Limelight Networks is a registered trademark of Limelight Networks, Inc. Other products and company names may be trademarks of their respective companies. All services are subject to change or discontinuance without notice. February 2011 Beyond Buffering: 3 Proven Rich-Media Strategies for Your 2011 Campaigns Page 20