Mobile trends 2013: Aligning budget with consumer attention
As we zoom towards 2013, we thought we’d ask mobile experts the world over what surprised them about the past year, what they expected in the coming year and what they think needs a bit more attention. Today’s interview is with Alex Romanov, CEO of iSIGN Media.
What surprised you about the mobile advertising industry in the past year?
The most surprising thing about the mobile advertising industry in 2012 may be what a small percentage of total interactive marketing budgets are devoted to mobile advertising spend. A StrongMail mobile marketing survey conducted in May found that nearly a quarter of business executives estimate that their companies spend less than one percent of their interactive adverting budgets on mobile channels.
Another 50% spend only between 2% and 5% on mobile advertising. Given the incredible opportunities they have to reach consumers who are virtually inseparable from their mobile devices and the unique marketing capabilities location-aware technology offers, executives need to move into the mobile advertising space more quickly.
What do you think will be the biggest mobile trend for 2013?
The biggest trend in mobile for 2013 will likely be an alignment of advertising spend with consumer attention. In terms of consumer attention, TV, the web and mobile channels account for nearly 80% of consumption. Print, which consumes only about 7% of consumer attention, accounts for about 25% of ad spend, but that is dropping. Mobile currently accounts for a tiny percentage of total ad spend, but I expect we’ll see a better alignment across all channels, with mobile spend increasing rapidly to keep pace with consumer behavior.
What is another 2013 mobile trend that you feel is being overlooked and not given enough attention?
The use of location-aware technology is increasing quickly, but given the unique opportunities it offers advertisers to reach consumers at the point of sale, the adoption rate should really be much higher. Unlike direct mail, which delivers advertising more or less indiscriminately, proximity marketing reaches potential customers who have already indicated interest by showing up in a specific location.
Also, studies show that consumers are much more likely to respond to ads for products that are in sight. A proximity marketing strategy that leverages smartphones has the potential to dramatically increase sales while also delivering valuable consumer insights.
About Alex Romanov
Alex Romanov is CEO of iSIGN Media, a leading North American multiplatform advertising solutions company that utilizes Bluetooth, Mobile, Wi-Fi and Location-Aware technologies to deliver rich media, permission-based messages to engage consumers more deeply and cost-effectively.