3 Digital Trends Challenge Multi-Channel Marketers

As this year's marketing gets underway, we want to alert multi-channel marketers to three important 2017 digital trends recently cited by digital marketing hub ClickZ author Rebecca Sentance. Trend One: Marketers need to go beyond "mobile friendly" to a "mobile first" strategy given current search trends. Think mobile is over-hyped? Sentance asks you to consider the following: Search-engine giant Google has removed the "right-hand rail" from the search results page and moved to only displaying paid ads at the top and bottom, making the main search results layout more adaptive to mobile; Google continues to strengthen a mobile-friendly ranking system that penalizes websites that aren’t mobile-optimized; and Google announced in October that it would further favor mobile search by splitting off desktop and mobile into separate search indexes, with mobile as its primary index. Trend Two: marketers need to embrace visual elements and visually focused platforms for more effective social media performance. Trend Three: Marketers should stop assuming social media is mainly a tool for brand and traffic building rather than direct sales. For the facts driving the last two trends, read our complete post at http://www.acculistusa.com/blog/

Print vs. Digital: Millennial Marketing Myths

Given that millennials love digital technology, does that mean they prefer digital marketing? Not according to a recent Target Marketing magazine article debunking several marketing myths about millennial customers, including the notion that digital advertising is the most effective way to reach those born between 1980 and 2000. Author Linda Antos, market development analyst at commercial printer Quad/Graphics, cites annual Quad/Graphics research that tracks millennial shopping and media habits and preferences to show that traditional print marketing--direct mail and catalogs--actually has greater power to move millennial buyers. The first myth Antos takes on is the belief that millennials ignore printed marketing. The Quad/Graphics study shows that 82% of millennials read direct mail and 54% look forward to receiving retail catalogs in the mail. Within 30 days of the survey, 49% reported taking print coupons to the store to shop and almost three in four used grocery retail inserts, higher than the average shopper. Myth No. 2 involves assuming that millennials' known addiction to daily digital interaction means they pay attention to digital advertising. The Quad/Graphics survey found that nearly half say they ignore e-mail and Internet ads, and 45% ignore mobile ads. By comparison, only 15% ignore direct mail ads. When it comes to millennial social networking, less than 10% say they made a purchase based on social media ads, and only 1% purchased from a social site. Another false generational stereotype is that millennials are less cost-conscious. In the Quad/Graphics millennials study, 49% said it was fun to see how much they could save with coupons, loyalty cards and discount offers, and 57% said they responded to "Buy One, Get One Free" offers in direct mail. The surprise power of direct mail with millennials doesn't diminish the need for digital marketing but does underscore the value of multichannel marketing, which is supported by more Quad/Graphics data. For the complete post, read http://www.acculistusa.com/study-debunks-marketing-myths-about-millennials/

Get Ready for 2016 Ad Rate Rises Across Channels

U.S. advertising rates are set to rise for almost all channels in 2016, according to a MarketingProfs report of forecasting by the American Association of Advertising Agencies and Havas Media. The ad cost bump is partly driven by higher ad demand from presidential elections and the Summer Olympics, per the forecast. So it's not surprising that the biggest jumps are forecast for television ad rates: a 3.8% increase for national broadcast TV, a 5.5% rise for cable TV and a whopping 13% leap for spot TV. The good news is that digital channels, where supply is expected to offset demand, are mostly set for very modest increases in average CPMs: mobile, online video and Internet/display advertising all up just 1%, although paid search rates is expected to show a 3.3% jump. For traditional print, average CPM increases are moderate, with a 2.5% climb for newspaper ad rates and a 3% bump in magazine rates. Network radio is the only channel forecast to drop in cost, down 1%. For a comparison of ad rate trends by channel from 2010 through 2016, see the MarketingProfs article: http://www.marketingprofs.com/charts/2016/29142/2016-advertising-rate-increases-forecast-for-nearly-all-channels

Majority of Millennials Block Digital Ads, per Poll

Bad news for digital advertisers aiming for younger consumers: The majority of millennials, those aged 18 to 34, block advertising when viewing digital content, according to a Moz and Fractl survey recently reported by eMarketer. Specifically, 63% of millennial Internet users told the July survey that they use ad blocking software. Millennials don't find all advertising irrelevant--over half in the Moz/Fractl poll said that retargeted ads and social media ads were very or somewhat relevant, for example. But the fast-growing mobile ad category was also the most rejected, rated as relevant by only 28%. So how would the millennials prefer to receive promotional messages? Those surveyed gave a thumbs up to free content, followed by discounts or free offers via direct mail, and then online search results. For more, read http://www.emarketer.com/Article/Nearly-Two-Three-Millennials-Block-Ads/1013007

Study: Mobile Drives Double Store Sales of Desktop

Retailers who neglect mobile ad campaigns could be losing a huge chunk of in-store sales. Direct Marketing News magazine recently reported that a new study found mobile campaigns drive more than double the offline sales delivered by desktop ad campaigns. In the study by ad platform 4Info, mobile executions produced about $30 in sales per 1,000 impressions versus only $13 for desktop, with the average return on ad spend for mobile hitting 257%. 4Info claims its research is the first true benchmarketing of the mobile channel's impact on in-store sales. The study focused on 83 mobile campaigns by 59 brands in seven consumer packaged goods categories over their entire durations, with the average being 11 weeks, and was performed using Nielsen Catalina Solutions, which integrates Catalina frequent shopper data with Nielsen homescan to derive results representative of national activity. See the DM News story for links to more detail, including 4Info's free report download: http://www.dmnews.com/mobile-marketing/study-mobile-campaigns-drive-twice-the-sales-of-desktop/article/413941/

Off YouTube, Nearly Half of Web Video Ads Unseen

Video ads get great response–if they are seen. But almost half (46%) of video ads served across the Internet–excluding YouTube–will never be seen by consumers in the United States, according to a study from Google recently reported by The Drum marketing site. Viewability depends both on where an ad is served on a page and how quickly it disappears when a user scrolls. And nearly a quarter (24%) of video display ads today are scrolled off screen in less than two-seconds, according to the report, which recommends that advertisers use video players in a higher and more centrally located position on web pages. Another way to insure that video ads are seen is to go with YouTube. Google found that viewability figures massively improve when ads are served on YouTube, where over nine out of 10 will be viewable. Also, video ads are significantly more viewable on mobile devices, where 83% of ads are viewable, compared with 81% on tablet and just 53% on desktop. For the full story, read http://www.thedrum.com/news/2015/05/11/only-half-video-ads-served-across-web-will-be-seen-versus-91-youtube-says-google

Google 'Mobilizes' As Smartphone Search Tops PCs

Surging mobile usage has tech giant Google "mobilizing" resources to adapt and profit--with important marketing impacts. Marking a clear tipping point, Google announced this May that its influential search engine now has more search requests on mobile devices than on personal computers in the U.S. and many other parts of the world, according to an Associated Press report in The Washington Post. The growth in mobile use --for e-mail, search, social networking, even shopping and donating--has been rapid since Apple first introduced the iPhone in 2007. Among Google's strategies to accommodate mobile preferences was the launch in April of a "mobilegeddon" change in its search recommendation system to favor websites that easily read and load on smartphones. The change sent websites scurrying to make themselves mobile-friendly to avoid demotion in search results. Google also has been introducing advertising formats that tend to work better on mobile devices. For instance, rooms can now be booked within hotel ads, and car ads can be swiped to comparison shop, the report notes. Mobile ad prices are on the upswing, too. Previously, marketers were unwilling to pay as much for commercial messages displayed on the smaller smartphone screens, but the race for mobile space is heating up. The AP story quotes Google as saying that mobile ad prices are climbing steadily and will continue to do so. Jerry Dischler, Google's vice president in charge of its “AdWords” service, summed up the urgency of a mobile strategy for today's marketers: "The future of mobile is now." See the complete AP story: http://www.washingtonpost.com/business/economy/google-searches-on-mobile-devices-top-those-on-pcs/2015/05/05/cccd64de-f366-11e4-bcc4-e8141e5eb0c9_story.html

Embattled 2015 Ad Spending Still Seen Up by 5%

Welcome to 2015, marketers! Here's a bit of encouragement for those cautiously emerging from squeezed 2014 budgets: There's spending growth ahead, albeit tempered by continued financial pressures. The New York Times reports that senior ad agency executives are saying that, despite continued rough sailing for advertising budgets in 2015, they foresee steady growth in worldwide ad spending of 4.8% to 5% compared with 2014. The forecast came at the 42nd annual UBS Global Media and Communications Conference, with executives attributing improved spending to factors such as gains in digital ad sales, mobile ad spending, and improving economic conditions in markets like India and the United States. But ad executives certainly didn't paint a rosy scenario for those seeking marketing dollars from embattled corporate budgets. As Martin Sorrell, chief executive of WPP, the world's largest agency holding group in revenue, summed up to the NYT, "The biggest challenge we face as an industry is convincing clients to focus on the top line rather than reducing costs," and to get them to realize that ad spending is "an investment, not a cost." For more ad executive comments, read http://www.nytimes.com/2014/12/09/business/media/madison-avenue-sees-rough-times-ahead-tempered-by-growth.html

Digital, Mobile Fuel Big 2014 Ad Spend Growth

Mobile advertising is rising with the force of a tidal wave, forecast to reach 67.8% of all U.S. digital ad spending by 2018, according to the latest report from eMarketer. In fact, digital ad growth (including mobile) already is the key factor in doubling total worldwide ad spending this year. Global media ad spending (for print, TV and radio, outdoor and digital) will increase 5.7% in 2014 alone, eMarketer projects, more than double the growth rate of 2.6% from a year ago. The U.S. market takes the lion's share of those ad dollars, with total U.S. ad spending set to surpass $180 billion this year, equal to nearly one-third of the worldwide total. Digital channels are the driving force of advertising growth for 2014 and beyond: eMarketer estimates that global digital ad spending will increase 16.7% this year, totaling $140.15 billion and surpassing 25% of all media ad spending for the first time. And within the digital category, mobile is the catalyst. Advertising on tablets and smartphones will increase 84.7% worldwide in 2014 to reach $32.71 billion this year, or nearly one-quarter of the digital advertising spend globally, eMarketer estimates.Those trends are forecast to continue until digital snags a 32.3% share of global paid ad spending by 2018, with mobile making up over 50% of those worldwide digital ad budgets. For more details of the report, see http://www.emarketer.com/Article/Global-Ad-Spending-Growth-Double-This-Year/1010997

Time to Refresh Your Mobile Marketing Plan

Seeking a bigger bonanza from mobile marketing? A map to gold in the fast-changing mobile landscape would be nice, right? Check out the planning checklist offered in a recent MarketingProfs article by Shawn Aguilar. You'll want to leverage your social media, but, with social networks pushing paid ad products over organic, an unpromoted post that used to reach half your social audience is probably tapping just 10% now, the article warns. Options: Budget for social's mobile-ad products, or win publisher-site sharing for less than the CPCs of promoted posts via mobile-ready content syndication using services such as Gravity or Taboola. Befuddled by format choices? Traditional mobile banners may give you the biggest reach, with support from over 300 mobile ad networks, but research shows that new formats deliver higher engagement, so consider testing in-app interstitial ads as well as the new filmstrip banners and full-page flex banners, which allow for rich content and videos within the banner, the article suggests. We recently reported research showing that ads with video are clear winners in click-through. That makes mobile video ads a smart choice, especially now that major social media platforms have enabled auto play on mobile devices. See the more detailed checklist for your mobile marketing plan at http://www.marketingprofs.com/articles/2014/24811/your-five-point-mobile-marketing-checklist

AT&T to Allow Advertisers to Sponsor Mobile Data

AT&T has launched a Sponsored Data Program for mobile, which would allow advertisers working with AT&T to pay for the data used in consumption of content or services so that it does not show up on a customer’s mobile phone bill, according to a recent New York Times post. AT&T explained that when sponsored content, such as a movie trailer, shows up on customers’ phones, a Sponsored Data icon would be displayed to show that the content costs nothing to watch. The hope is that this will entice customers to watch ads they might otherwise avoid because they would have incurred phone bill charges. AT&T announced three initial partners for its sponsored mobile data program: Aquto, an ad platform that provides marketers with tools to use sponsored data; Kony Solutions, a company that helps businesses develop apps; and UnitedHealth Group, a health care company that plans to use the program to stream educational videos to mobile devices. AT&T may not be alone for long in its pioneering effort. The New York Times post, citing unnamed sources, said Verizon is experimenting with a similar program. AT&T's Sponsored Data Program has already raised concerns among some consumer advocacy groups, however. They see such sponsorships hurting efforts for "net neutrality," meaning equal treatment of all services by Internet providers to keep competition fair. Public Knowledge, a nonprofit focusing on digital rights, argued the Sponsored Data Program would allow AT&T to pick winners and losers online by requiring companies to pay so people can view their content. For the complete report, see http://mobile.nytimes.com/blogs/bits/2014/01/06/att-allows-advertisers-to-sponsor-mobile-data/