mobile: your customers are there. why aren't you?

© 2012 xAd, Inc │ Confidential and Proprietary │ Do Not Distribute

Mobile: Your Customers Are There.

Why Aren’t You?

SIMposiumMonica Ho, VP of Marketing - xAd

June 14, 2012

Vice President of Marketing, xAdMonica Ho At the helm of our New York City operations,

Monica is responsible for developing and leading xAd’s marketing functions, as well as overseeing the company’s communications and strategically positioning it in the mobile-local marketplace.

Monica’s tenure in the industry includes 12-plus years of local marketing and advertising, including a solid foundation in online advertising, sales, strategy and account management. Prior to xAd, she served as Senior Vice President of Marketing and Strategy at TMP Directional Marketing, where she helped launch a digital-marketing division called 15miles.

3© 2012 xAd, Inc │ Confidential and Proprietary │ Do Not Distribute

Who is xAd?

The largest mobile ad network for locally targeted search and display

Reach: – Over a billion local ad requests served per month with access to over 10 billion

targeted impressions– Largest local-app reach of any other network– Over 3 Million local advertisers

Rapid Growth: 300% increase in network traffic from 2011


Discussion Topics

The Mobile Opportunity

Mobile Marketing Best Practices

Mobile Marketing In Action– LaQuinta Hotels– Allstate Insurance


Media Time Spend vs. Ad Spend

TV Print Online Radio Mobile0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

43%

29%

16%

11%

1%

38%

4%

24%

12%10%

Ad Spend

Time Spent

Source: eMarketer, December 2011; Flurry Analytics

US adults now spend more time on mobile devices each day then they do with print media.


Digital Ad Spend Forecast

Local Digital Ad Spend – Stationary vs. Mobile


Mobile’s Big Take-Over


Mobile is Inherently Local

2011 2012 2013 2014 2015 2016 $-

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

$7.0

$8.0

$9.0

$1.0 $1.3 $1.8 $2.1 $2.4 $2.7 $0.8 $1.3

$2.1

$2.9

$3.9

$5.0

LocalNational

US $

B

illio

ns

US Mobile Ad Spend(National vs. Local)

Source: BIA/Kelsey – Local Mobile Forecast, 2012

65% of Mobile Ad Spend to be Local by 2016.

65%


The Mobile Tipping Point

Today, over 50% of the U.S. Population owns a Smartphone device. This is projected to be 90% by 2015.

9

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012E 2013E 2014E 2015E 2016E0

500

1000

1500

2000

2500

3000

Tablets

Global Internet Device Sales

mill

ion

s

Source: Google/Ipsos Study 2011, Google Survey – Holiday Shoppers 2012, Business Insider – The Future of Mobile; February 2012

2011 Smartphone's exceed sales of personal computers

2013 Mobile Internet access projected to surpass desktop access

Smartphones

2014 Tablets to represent nearly 50% of PC sales

Personal Computers


Smartphone vs. Feature Phone

Smartphone penetration is currently at 50%

As Smartphone penetration increases, so will the amount of time a consumer spends with their phone.

10

Smartphone Feature Phone

% who use the mobile Internet 87% 36%

% who go online via device daily 68% 28%

% who prefer going online via the device 25% 10%

Source: The Pew Research Center Internet & American Life Project, Spring Survey 2011


Keep It Simple Local Stupid

90% of mobile consumers have conducted a local search via their device

9 out of 10 are searching because they have an immediate need

Consumers are searching for businesses within 5 miles of their existing location

Mobile searchers are closer to the buying decision:– Mobile – 70% transact within the hour– Desktop – 70% transact within a month

Sources: The Mobile Movement Study, Google / Ipsos OTX MediaCT, April 2011; Jiwire January 2012, Bing 2010


Desktop Banner

(Average CTR)

Mobile Banner

(Average CTR)

xAd Locally Targeted Banners

(Average CTR)

0.09% 0.17% - 0.67% 0.72% +

Palm Sized Advertising. Business Sized Results

Display

Search

Sources: Google – March 2011, The Search Agency Campaign data – May 2011, xAd Advertiser performanceInsightExpress Cross-Platform Comparison Stats, June 2011; Mobiclix Index ,Sept. 2010; xAd campaign data

DesktopSearch

(Average CTR)

Mobile Search

(Average CTR)

xAd Mobile Local Search

(Average CTR)

0.5% 2.9% 5% - 8%

12

Mobile Ads Perform


5 Mobile Marketing Best Practicesevery marketer should know


“L”isten


“L”isten

Conduct a search for your business in mobile– Are you coming up in top search results?– Are you visible in the top search applications etc

In Browser50%

Application50%

MO

BILE

-LO

CAL

SEAR

CH A

CCES

S


“L”isten

Analyze your competition– What’s working? What’s not?


“L”isten

Leverage your website analytics– How much of your current website traffic is coming from mobile?– What are the most visited mobile pages?– What devices are being used etc.


“L”abel


“L”abel

Label what success looks like– What type of customer would you reach?– What do you want this customer to do / accomplish?– Does this type of action make sense for the platform?


“L”ayout


“L”ayout

Layout creative specifically for mobile – What has worked for desktop, will not work for mobile.


A Bad Mobile Site Can Cost You.

6 out of 10 consumers expect the website experience to be the same if not better on mobile devices. If not….

Source: Compuware, Why The Mobile Web is Disappointing End Users, March 2011

61% Are unlikely to return to the site

Would visit a competitors site

40%

Would have a negative perception of the business

20%


“L”everage


“L”everage

Leverage the right partners

– Does the site / ad network reach the right audience?

– What targeting options do they have?• Not all networks are

created equal

CONSID

ERAT

ION

SELE

CTIO

N

AWAR

ENES

S

Millennial Media

JumpTap

adMob

CALL

MAP


“L”earnTestTrackRepeat


“L”earn

Looking Beyond The Mobile Click

MAPS & DIRECTIONS

36%

CALLS58%

OTHER6%

Mobile local searchers have immediate needs and they don’t waste anytime fulfilling them with the majority making a phone call or finding directions to visit the business.

Seco

ndar

y Ac

tion

Rate

s


Mobile Marketing In Action+ Valuable Lessons Learned


LaQuinta Hotels

Goal: Increase online reservations via Mobile

Strategy: – Locally targeted ads appeared in (3) target markets across

5 Mobile Ad Networks

Results:– Zero reservations were completed during the campaign


LaQuinta Hotels

Initial test was then followed up with a secondary test on xAd’s network which utilized dynamic display creative + localized landing page

Results:– Both the original banner and xAd dynamic creative were shown to produce calls– xAd dynamic display ad had a click to call rate of 0.72%


“One of the things we’ve noticed in mobile is that we can convert a lot better if we drive consumers to a call center with a click- to-call experience rather than a click-to-book experience.”

• Tracked calls and map/directions lookups to determine ROI

• Click to Call driving majority of mobile bookings. In addition:

- Mobile booking growth of 20% month on month

- 200% increase in mobile traffic

Source: Starwood interview, emarketer 4/12; Google, Razorfish 2012

Starwood's Use of Click-to-Call


Allstate Insurance

Goal: Generate calls and business listing visits to local agents via mobile

Strategy: – Locally targeted mobile display AND search ads appeared in

local markets for 193 local agents.

Results:– Campaign has driven calls in both search and display

– Search: 35% Click-to-call rate– Display 0.6% Click-to-call rate


Allstate Insurance

Unexpected Result:– In addition to driving calls to local agents the display campaign

provided additional value based on the frequency of secondary actions

Source: xAd Network - Allstate Display Campaign, April-May2012

Allstate Campaign Secondary

Action Breakdown

Calls12%

Map/Directions61%

More Informa-tion24%

Description3%


Lessons Learned

Performance can not be measured on the click alone

What you want the campaign to do --- may not be what the mobile consumer wants to do

Creative + Targeting does matter

If you don’t start to test…you will never learn


Questions

Monica HoVP, Marketing

[email protected] : 646.831.2168

mailto:[email protected]