Why the Future of Mobile Advertising is Native Advertising

reading-mobile-deviceOne reason it’s so hard to pin down mobile advertising is due to the fact that “mobile” is quite possibly the most imprecise term there is when it comes to adverting and media. Tablet? Yes. Phone? Indeed. E-reader? Laptop? Phablet? Sure. Also, that must-have thing that’s coming down the pike next.

The sizes, functions and purposes of a multiplicity of mobile devices vary greatly, meaning there literally cannot be a one-size-fits-all solution to mobile advertising. However is there is one universal truth about mobile, that will hold as true in the future as it does today, it’s that real estate is limited on mobile screens – much more so than on other digital devices. And that’s what’s limiting mobile advertising.

Mary Meeker’s most recent state of the internet presentation proffered the much-cited statistic that ten percent of media consumption now occurs on mobile devices, yet mobile commands a scant one percent of digital revenues. Yes, this is where internet display advertising once languished, back in the day. Eventually things evened out.

Will mobile advertising repeat the pattern? Don’t be so certain that straight display advertising will ever gain the traction on mobile devices that it enjoys on devices connected to monitors and other, larger screens.

Disparate as the world of mobile hardware is, all mobile devices are linked by a common factor: real estate is scarce. Display advertising on mobile screens is proportionately more intrusive, annoying and unwelcome.

The “year of mobile” we’ve been talking about for more than a decade has surely arrived already (heck, an estimated 17.4 million iOS and Android devices were activated this past Christmas day alone). But the year of mobile advertising? It’s still a ways away.

What we’re waiting for is the rapidly growing trend of native advertising to spread more effectively to mobile devices and platforms, and we’re not there yet. Currently, most forms of branded content as advertising occur on publisher sites that help to create them (think Buzzfeed, New York Times, Boston Globe, Gawker Media). Technology from companies such as OneSpot and InPowered that pushes relevant, branded content into ad units are pretty nascent on the internet and don’t yet have mobile strategies. Facebook (as everyone knows) is working on the issue. Some have posited large-scale mobile players such as Samsung and Yahoo may tackle mobile native advertising this year.

In other words, hurry up and wait.

Will 2013 finally be the year of mobile advertising? I don’t think so, but that long-awaited era may be on the horizon. The solution to ads on mobile devices that consumers accept and value (as opposed to the 50 percent of clicks on mobile ads purely attributable to “oops“) will be content, not advertising driven.

 

 

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