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Mobile Ads – Analytics the New Wave
By Ganesh Suresh Kumar, Head – On Demand Solutions Telecom
April 7, 2010
Agenda
Market Overview Ads and Analytics
Mobile Advertisement Dimensions
Anatomy of Mobile Advertisement
Analytics based Ads
Mobile Advertisement Value chain
Need for Business Innovation
Benefits
Case Studies
April 7, 2010
Online advertising from $45 billion will hit $147 billion by 2012
Interactive advertising revenues will grow from $22.5 billion to
$62.4 billion in 2012
Mobile Advertisement industry is in very
earlier stage
General Mobile Market Overview
• Mobile Penetration rate of most countries is more than 70%
• Developed countries have >95% penetration
• Smart phones in Emerging Markets will Rise
Source: Business technology, Washington Post etc
April 7, 2010
Total spending on mobile advertising in 2008 was $530.2 million
Total spending in BI and Analytics market in 2008 was $8.5 billion.
Mobile Advertisement & Analytics Market Overview
Immature MarketMobile ad Analytics
Source:Gartner,Forrester,Admob
A New Revenue Stream
Right Advertisement to the right people – better ROI
Have a tracker on mobile industry trendOpp
ortu
nity
mobile ad growth
02
46
810
1214
16
2008 2012 2014
year
mo
ney s
pen
t in
bil
lio
n
do
llars America
asia
Europe
world
CONFIDENTIALDocument Name
Advertising LeversCoupons Location Based Services Alerts Sponsorship Contests Viral Campaign Adver-gaming Social Communities Blogs Event Driven activities
Analytics Levers Customer behavior Content/application/usage Price/Sales/Marketing/campaign Churn/less popularity
Advertisement Mediums• SMS• MMS• Mobile Gaming• Mobile TV• Mobile Web• Voice
Analytics Features• Standard reports• Ad hoc reports• Query drilldown (or olap)• Alerts
Dimensions of Mobile Ad Analytics
Mobile Ad Analytics
MobileEntertainment
Mobile Payment
Money Transfer
Mobile Search/Browsing
MobileHealth
Monitoring
Location based
services
April 7, 2010
Nee
dOld targeting capability depends on webbrowsing history which is not a reliable source
Technical Hurdles Software/Handset Capabilities,Bandwidth, Ads format - UndeterminedConsumer privacy
Demand for good user specific content is endless
Ch
alle
ng
es
Target advertisement
Based on Consumer Demography,CRM/GIS
Need for Contextual Ad
Seamless Data Connectivity
Device compatibility
GIS based Data Sources
Effective Segmentation
Market Trend
End user information,
Competitor Analysis
Anatomy of Mobile Advertisement
M-Advertising based on contextual advertisingwhich has very little effectiveness
Mobile Ad Analytics Solution Solution
April 7, 2010
Analytics based M-Advertisement role - Mobile Apps stores
APP Stores – Apple, Nokia OVI store, Google are key players
Hundreds of Mobile apps What is Best ??
ROI How Much ??
Customer segmentation How ??
Is Free a Model ??
Analysis by Segment/Service/Type/ Preference/GIS.
Get the Right Target
Optimal price tags, Discounts, Offers – Levers for Price Analytics
Business Challenges Analytics – New Horizon
Best fit Price for a Paid ad
Apps New Revenues
Apps standard & Acceptability
Better location/group Targeting
Cross selling of Products/Services
Proactively Identify Problems
Benefits
CONFIDENTIALDocument Name
Current Scenario – Advertising value chain
Source: Heavy Reading
ROI a concern
Tracker to Measure Return on Marketing Investment/Campaign success.
Service Providers are struggling to gain Increased revenue Share from t this ecosystem
Growing need to Re-discover the Evolving Consumer
Unhappy Consumer-Very less effect of the ad on them
No location based information
No proper consumers information Imbalanced Ecosystem
CONFIDENTIALDocument Name
Carriers
Advertisers
Ad Agencies
Publishers
High quality targeting strategy bydemographic and behavioral data
Location based advertisement
Understand customers' society and its roles
Applications, device etc analytics
Robust feedback mechanism to measure campaign success
Traffic, Site usage, mCommerce
analysis etc
Census data, Billing data, CRM,
Contact center data etc
GIS data
Non traditional sources like Social
networking site,email,blog etc
Channels data
Device & application data
Industry Bench mark data for sending
Alerts
Business Needs Analytics on
Carriers no longer a separate Island
Need for Business Innovation
Balanced Ecosystem
CONFIDENTIALDocument Name
Advertiser Carriers
Niche Revenue Stream
Robust collaboration within the Ecosystem
Proactively Identify problems areas
Ad agencies
Standardise Ad Quality
Content Centric Discover the Consumer in a better way
Location specific a Value Add
Publishers
Improved & Embedded software capability
More traffic on the network
More Content and Services
Personalisation the Key
Personalised Targeting
Discounted or Ad-Subsidized Services
Location Based Ads
Cross selling of related VAS
Business Benefits – Across Value chain
CONFIDENTIALDocument Name
A Pilot Case Study - Service Provider India
Overview Challenges / Business Needs
Benefits
• Launch a Pilot to Analyse and Segment a Market
• Launch Services supported by Ads to select Consumer segments
• Measure and Monitor the Growth, Uptake and Interests levels by Service Category
• Examining stationary and non-stationary nature by auto-correlations, partial correlations
• Exponential Smoothing and ARIMA (Auto regressive integrated moving average technique were used
• Root mean square value is considered for selection criteria.
•Number of interested Subscribers viewing Ads
•Network load forecast for the operator
•Identify most profitable/type of advertisements by Segment and Services
Solution
A Distinguished service provider based in India providing communication services to itsRetail ,Wholesale & enterprise sectors.