
Traditionally, advertising technology has been driven by big companies with big budgets. Publishers set prices but, supply and demand being what it is, advertisers set the demand and prices were adjusted accordingly. Mobile advertising has turned the tables with programmatic advertising, which is the algorithmic, automated purchase and sale of ad space in real-time, using a bidding system. As a result, advertising-driven app developers can claim a premium by selecting ads by those who pay the most.
Darwill’s IP Targeting, however, possesses many of the same advantages of mobile- and location-specific advertising, with a more nuanced approach. IP Targeting does not use cookies, but bids on the target IP, regardless of what site they are on. Not every customer responds to the same message, and cookies can provide a flawed customer profile.
Programmatic is expected to grow significantly in the years to come, with research from eMarketer predicting that 83 percent of all ad buying will soon be traded this way. Growing at 14% a year, this market will reach $16.9 billion this year, according to eMarketer. This can be compelling for brand who want to reach high-quality customers, and are willing to pay for them. Overall, mobile advertising ad spending is expected to surpass television by 2019: “Mobile will be the main driver of digital’s growth in 2017, accounting for over 70% of digital and more than one-quarter of total media outlays. Growth will remain in double digits through the end of the forecast.”
Bid-based programmatic advertising is data-driven, so clean and relevant user data is important. The more information is provided, the greater the chances of reaching the desired audience. Competing in this marketplace, however, can get expensive, as high-demand cohorts can demand a premium.
As the mobile advertising ecosystem becomes more sophisticated, more apps themselves are ad-based businesses in their own right. There’s increasing reluctance by consumers to accept intrusive ads on mobile, when the advertising environment doesn’t coincide with the advertising message. For example, “Words With Friends” users were peppered with political ads during the last presidential election, causing annoyance for the game players and lower app ratings.
The goal of any campaign is to send a message resonating most effectively to your audience to drive sales. That’s where the data experts at Darwill can help. Contact us today!