The birth of digital advertising
brought with it the sophisticated use of data for audience targeting. While the
cookie has served as the de facto mechanism for building audiences across desktop
advertising, privacy-compliant location data now serves as the primary component
of mobile audience marketing, through the use of location-based marketing
strategies like geo-targeting and geo-conquesting.
However, marketers primarily focus
on one component of mobile audience-marketing today – reaching the right
audience. There’s growing attention on attribution, a second element, which
shows that online ads result in physical retail sales. There’s also a third
element to successful audience marketing which receives little attention today
– understanding that audience before the sale of the campaign even occurs.
Marketers looking to build out mobile marketing are missing roughly two-thirds
of the picture that’s available to them today.
When creating the initial concept
for a campaign, we’ve seen the most successful companies use location-based
analytics to inform their sales pitches and presentations before the campaign
even begins. They’re using data to learn how frequently customers visit their
locations to segment their audience based upon loyalty. They’re evaluating
which competitive locations their audience also visits to influence that
audience and increase the efficiency of their ad spend. One of the most
effective use cases is agencies and sales teams using this data early in the
sales cycle to help their clients visualize and understand their audience,
which boosts not only their credibility but also their ability to win the
business.
The second component of mobile
audience-marketing involves building and reaching the audience. There are
numerous platforms available today that provide a black-box approach to buying
very broad location-based audiences, such as Target shoppers or coffee
drinkers. There is an elegant simplicity in choosing a pre-built audience, and
there are always campaigns that are a great fit for this tactic.
On
the flip side, if there’s one thing that Facebook and Google have proven when
it comes to audience targeting; marketers absolutely love to see high degrees of
transparency, flexibility and customizability as to how those audiences are
made. They love taking control of the creation of the audience. Marketers that
plan the most effective mobile campaigns spend a few extra minutes customizing
the specific locations and date ranges that comprise their audience. They’re
using the data and the visualizations they generated in the first step to
increase their return-on-investment.
The last component of mobile
audience marketing, and easily the most difficult, is attributing digital
campaigns to in-store foot traffic and purchases. Advertisers increasingly ask
for this, but there is still no holistic solution that can provide the answer.
Fundamentally, this problem remains unsolved because of all of the various data
silos that aren’t able to communicate with one another. The ad seen on TV can’t
inform your phone or laptop that it’s also seen the ad, while the point-of-sale
system or online checkout can’t notify those previous touch points to confirm
the sale occurred.
Despite these challenges, true
attribution will be available someday. In the meantime, marketers owe it to
themselves to test multiple approaches to measure the effectiveness of their
campaigns. When considered from the “audience” perspective, we see companies
looking to evaluate how this audience behaved after the campaign. They’re
looking to answer questions like “Did the frequency of visitation increase?”
“Did my foot traffic increase against my competitors with this audience?” “From
which competitors am I winning market share?” Reporting that provides insight
into how a campaign influenced a digital audience’s behavior in the physical
world wins bonus points within marketing teams and with clients. There are also
benefits to using different solutions that provide audience building, media
spend, activation and attribution. By working with various companies, there is
limited opportunity for bias in the results, and therefore, marketers can have
more trust in the data.
The
ability to reach and understand audiences across desktop advertising is mature.
As mobile marketing increasingly dominates ad spend, and the use of
geo-targeting strategies rises, the use cases and techniques also evolve.
Mobile marketing initially adopted many of the tried-and-true approaches from
the desktop ecosystem. As mobile advertising begins to mature, so does the
ability for marketers to use data before, during and after campaigns. This
comprehensive approach ultimately increases the effectiveness and credibility
of campaigns.
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