4 Habits To Pay Close Attention To When Marketing To Hispanics

By Jerry Hudson Thursday, May 22, 2014

Hispanic Millennials are the single most important consumer group per capita in the U.S.  There, I said it. Here’s why. Gen Y is seen as the Holy Grail for marketers: they have growing spending power, they’re the first digital generation, and they’re changing the landscape on how they allow brands to relate to them. But an even more focused group is giving us marketers a window into the future of how we should do our job. Hispanics are the most millennial of the Millennials. They account for 20% of Millennials, but are just the tip of the spear when it comes to 18-34 year olds. Right behind them is the bulk of the Hispanic baby boom, which will drive the majority of growth in this age group in the next 10 years. In order to market to Hispanic Millennials (and any group, for that matter), we must take into account their habits. Here are a few things to consider when planning your marketing strategy: Use of Mobile The 17 million Hispanic Millennials over-index on mobile and digital behavior. They are more socially active, share more, read more shared content, are more likely to buy what they share online, and consume more content on mobile devices — including video. They connect more with ads that give a nod to their culture and are contextually relevant, of course, but are quick to dismiss attempts to overtly exploit that culture.  With Hispanic Millennials being more likely to do shopping via mobile, brands will do well to make sure that Android native apps and Android-optimized mobile websites are part of their strategy. This group is much more likely to own Android phones than other Gen Y groups. Factors of Culture While young Hispanics may have more in common with their non-Hispanic millennial peers than their older relatives, they still tend to identify with their roots: according to Pew Research, 41% self-identify mainly by the country of origin of their parents, versus 33% identifying as American. One of the cultural carry-overs is the propensity to save more and borrow less. Hispanic Millennials have less debt than their non-Hispanic counterparts, and tend to live in multi-generational families more, too. Part of this frugality is the propensity to not spend as much throughout the year, but to place more spending value on holidays like Mother’s Day and Christmas/Hanukkah. Use of Language This group is different from non-Hispanic Millennials in other ways, too, posing interesting considerations for marketers. They are the first predominantly U.S.-born generation, and as such, have blended the Spanish-speaking and the English-speaking cultures. Relating to this group requires a more expansive approach for brands, in part because of this straddling of both worlds (which are slowly becoming one). Many brands have been targeting young Hispanic adults in new ways. Univision is partnering with T-Mobile to create the Hispanic-centric Univision Mobile, which will have plans geared toward their mobile habits. Verizon has taken a renewed interest in this increasingly important market, and has a Hispanic-focused Facebook page and Twitter feed to complement its bilingual website in support of its FiOS products. In addition, traditional Hispanic brands are starting to invest in more English-language content, as evidenced by Univision’s foray into online video channels like TheFlama.com and Fusion (the latter, in partnership with Disney). U.S.-based brands like McDonald’s are quick to align themselves with these initiatives.  Common Interests McDonalds is also sponsoring Super Accurate Soccer History, keeping with the trend of short-form video that plays nice with mobile. In fact, Octagon has released a report showing that soccer is one of the best ways to reach this audience. Coca-Cola and AT&T have long known this, proven with sponsorships with FIFA and the World Cup and the Mexican futbol league, Liga MX. Soccer gives Gen Y-ers who are Hispanic the connection with their traditional culture, with research showing that this group is twice as likely as other Millennials to be fans of the sport. The bottom line:pay close attention to Hispanic Millennials’ habits. As with any other group, it’s important to understand whom you’re marketing to. Use research as a window into how you should shape your future marketing strategy.

Retailers Want Piece of Huge Used-Car Market

 

Automotive News
May 26, 2014 - 12:01 am ET

 

As summer rolls out...the used car market is heating up and local-direct reps need to capitalize on helping dealers and automotive groups generate a larger chunk of consumer sales during this crucial time as more consumers are making purchases for summer vacations as well as replacement given that winter is more difficult for customers to get out. Philip Jay LeNoble, Ph.D.

 

Amy Wilson  , Arlena Sawyers  and 
Jamie LaReau   

The used-car business is hot, prompting franchised new-car dealers across the nation to pay more attention than ever to their used-vehicle operations, in some cases opening used-only stores.

Fueling the newfound focus on used:

• The market is huge and largely untapped by franchised new-car dealers.

• Used-vehicle sales are more profitable than new-vehicle sales on average, and the gap is widening.

• Dealers are tapping sophisticated digital tools to enhance their used-vehicle profits.

With new-car margins collapsing, in part because shoppers know more about prices because of the Internet, "we really need robust, high-performing used-car sales in our stores," says George Athan, vice president of sales at DCH Auto Group of South Amboy, N.J. "It generates service and parts business and repeat customers. It's a critical, critical part of our business strategy."

The Manheim 2014 Used Car Market Report, citing CNW Marketing Research, says U.S. franchised new-vehicle dealers sold 15.6 million used vehicles in 2013, about the same as their new-vehicle sales. But industrywide, used-vehicle sales totaled almost 42 million last year, including sales by independent used-car dealers and individuals.

Going big in used cars

Dealership groups, reliant on used-vehicle profits, are trying to boost that business.
Publics' push
Used vehicles make up a growing share of the public dealership groups' composite retail unit sales.
2007:	36%		2013:	43%

 

Sonic Automotive’s Scott Smith sees "enormous" opportunity.

"The largest player in this segment, CarMax, which we very much admire, has approximately a 1 percent share of the industry," says Sonic Automotive Inc. President Scott Smith. "That leaves an enormous amount of opportunity." This fall, Sonic plans to launch a string of stand-alone used-car stores, starting in Denver.

Many dealers want to grab that opportunity, especially because the volumes are accompanied by fat margins.

The average used-vehicle sale last year delivered a gross profit of $2,361, almost twice the average $1,200 on a new-vehicle sale, National Automobile Dealers Association data show. That gap is widening. For used vehicles, that average gross profit rose 13 percent in 2013, while the profit on the average new vehicle fell 7 percent.

No wonder dealership groups such as Germain Motor Co. of Columbus, Ohio, are doing all they can to maximize their used-vehicle business.

Germain COO John Malishenko realized the importance of strong used-car sales during the recession, when used-car profits helped Germain stay in the black after new-car sales tanked.

In 2009, the group installed software that helps it manage used-vehicle inventories, and it began pricing vehicles to sell quickly rather than for maximum profit. Since then, Germain's used-car sales have risen 53 percent, to 8,853, and its used-to-new unit sales ratio on a same-store basis went from 0.65-to-1 in 2009 to 1-to-1, and in some stores 2-to-1, says Malishenko.

Tom Webb, Manheim's chief economist, says many dealerships strive for a used-to-new sales ratio of 1-to-1 because it means they are maximizing used-vehicle profits. The ratio nearly reached that ideal during the recession for retailers that make up Automotive News' list of the 125 largest dealership groups in the United States, though it has slipped the last two years as new-car sales recovered.

Wholesale vs. retail

Germain Motor Co.'s John Malishenko: Used-car profits kept group in the black during the recession.

"If you have a real low ratio, it implies that you're taking trade-ins and you're wholesaling them," typically for less profit, "when you could have retailed them," Webb says.

Like many dealerships, Germain has realized that if it wants to sell more used vehicles, first it has to get them, and therefore it is focusing on procurement. "The best way to source a car is to take it in on trade," Malishenko says. "Our real focus is on 'look to book.'"

That means looking to find a way to get that potential trade-in on the dealership's books. If a used-car manager appraises 10 potential trades and buys just three of them, that's considered a poor 30 percent trade efficiency. One way to improve it: Offer consumers a higher trade-in price upfront.

Today, 40 to 45 percent of the 20,000-plus used cars Germain appraises each year are taken in on trade. Malishenko wants to boost that to 60 to 65 percent.

To reach that goal, Germain is modeling its strategy after CarMax's. "They will buy your car even if you don't buy theirs, and they give you their best offer upfront," Malishenko says. "They're very transparent."

He adds, "We had used-car managers who would hold back a little bit. That's old thinking."

 

 

 

Hispanics Over-Index In Mobile Video, Second-Screen Consumption

The essay below should enable Latino media clients to capture larger audiences by integrating mobile into their media plans. Philip Jay LeNoble, Ph.D.

MediaDailyNews

 

by Erik Sass, May 23, 2014, 12:07 PM

Hispanics over-index in a number of mobile media behaviors, including watching mobile video, using mobile coupons and discounts, and mobile wallets and banking. That’s according to a new study from PricewaterhouseCoopers, titled “Mi Móvil: Hispanic Consumers Embrace Mobile Technology” and based on a survey of 1,000 U.S. Hispanics and non-Hispanics, as well as focus groups and online attitude surveys.
 
One of the areas where Hispanics over-index by the largest margin is in mobile video consumption, PwC found, with 43% of U.S. Hispanics streaming mobile video and 37% downloading mobile video on a weekly basis, compared to 25% and 17% for the same behaviors, respectively, for non-Hispanics. 

According to PwC, part of the reason for the greater affinity is cost, as mobile video can substitute for cable and satellite subscriptions.
 
By the same token, U.S. Hispanics are also more likely to use mobile devices while watching TV, with 58% of Hispanics engaging in “second-screen” behaviors versus 53% of non-Hispanics. In terms of gender, the disparity was especially pronounced among males, with 59% of Hispanic males second-screening compared to just 47% of non-Hispanic males, while non-Hispanic females actually led Hispanic females slightly, by 59% to 58%.
 
U.S. Hispanics also lead the general population in using mobile coupons that are downloaded for use at a store, with 25% using mobile coupons versus 17% of non-Hispanics, while 24% of Hispanics pay for physical goods or services with credit or debit information stored on their devices, compared to 13% of non-Hispanics. In addition, 19% of U.S. Hispanics use mobile devices to get or redeem loyalty points at store checkouts in lieu of loyalty cards, versus 13% of non-Hispanics.
 
Turning to mobile banking, 65% of U.S. Hispanics said they check their bank balance, make transactions and pay bills using their mobile device at least once a week, compared to 53% of non-Hispanics. In terms of specific behaviors, Hispanics were also more likely to transfer money to another individual via their phone (10% versus 7%), store money instead of a checking account (7% versus 4%), and use in place of a paper ticket for an event (10% versus 7%).

Solve Your Retirement Community's Immediate Occupancy Needs

The article below is a great piece to give to your apartment complex media buyer...as it will aid and assist them in ongoing targeting. Philip Jay LeNoble, Ph.D. By Derek Dunham Tuesday, May 27, 2014

Statistics show that the time from a prospective resident’s initial inquiry to move-in is 18 months to three years. But, suppose you can’t wait that long—you need those empty units filled yesterday. What can you do to speed up the sales cycle and solve your most pressing occupancy issues? The secret is right in your database. That’s because the leads in your database have already started the sales cycle. These potential residents have already expressed an interest in your community, so the clock has already begun to tick.  With the right tactics, you can use information that’s already in your database to breathe new life into those hibernating leads. Here are some of my favorite strategies. Six Strategies for Marketing to Your Database 1. To more effectively target your database, conduct a data append for age, income, assets, homeowner and marital status. A data append uses technology to match email and snail mail addresses in your database with demographic and lifestyle information. If you need a list of companies that provide this service, feel free to contact me. 2. Include the existing database in all direct mail efforts, even when sending to a purchased list. This will allow you to target leads based on your available inventory. For example: One bedroom—Send a targeted direct mail piece to leads with the marital status and income level best suited for that type of inventory.  Cottage/villa—Organize a specific event tailored to the needs of people most likely to prefer a larger living space.  Assisted living or skilled nursing residences—Send a mailing to adult children who are shopping for a community on behalf of their parents.  3. Review the “notes” section of your database to gather more information on existing leads, and cater your mailings to their particular interests and needs. For instance: If the prospect enjoys exercise, mail a listing of exercise classes. If the prospect is a golfer, send a voucher for a round at a local golf course. If the prospect’s decision will be need-based, send a mailing specifically about assisted living services. 4. Take attractive pictures of your model apartment homes, cottages and villas. Print the photos and mail them to the appropriate leads along with a personal invitation to come for a visit.  5. If you’re using incentives to move inventory, target your mailings to the people who would find those incentives most appealing.  6. Potential residents will feel more comfortable making a move if they have formed friendships with other residents-to-be. By hosting inventory-specific events for attendees who share similar criteria and interests, you can bring them together and spark new relationships. Here are a few ideas:  Host an intimate cottage/villa dinner for ten prospective residents. Host a morning coffee or afternoon tea in a cozy corner of the dining room or a small common area in an apartment building. At the beginning of the month, mail a voucher for a special meal at your community that is only valid for that month. (Example: “Come for lunch or dinner during the month of July.”) Offer a promotion for a night’s stay in a model apartment rather than in a guest room. Now that you’ve been exposed to a few thought starters, it’s time to start brainstorming your own ideas. You’ll think of tactics that align the specific interests and demographics of your database leads with the offerings and personality of your community. So, don’t wait for that perfect customer to walk in the door and sign a contract. Start mining the valuable leads in your database today.

Surprise And Delight Your Best Customers

In the game of TV and radio media marketing it is important, at times, to reward your best advertisers with "something special." Whether placing the client's message within a prime show or prime time when they bought outside of it....or giving them a "special" that you sell for a premium...or even a bonus schedule from unsold inventory. Taking care of your clients assures you they won't jump to competition for price or if your ratings fall. Philip Jay LeNoble, Ph.D. Author.

emailINSIDER

 

by Loren McDonald, May 15, 2014, 3:13 PM

I travel a lot and spend many nights in hotels for my job. So it's really nice, for example, when a hotel chain surprises me with a temporary bump in my status, upgrading my room to a large suite.

That “surprise and delight” acknowledgement shows companies appreciate my loyalty and that the money I (my employer) spend with them time after time can make me an even more devoted customer or help me weather some rough spots.

Your best customers appreciate these gestures, too. They might be in your loyalty or rewards program, if you have one, but adding an email-marketing program that thanks these top-tier customers can drive two significant benefits:

• You get an opportunity to easily leverage data and automation to let these high-value customers know you appreciate them and acknowledge their loyalty.
• That, in turn, helps retain them and often spurs them to become even higher-value customers.

Finding and Rewarding Your Best Customers

A "best customer" email program typically has three elements:

• Business rules that set thresholds and identify qualified customers.
• A sincere and appreciative email message with a reward your customers will value.
• An integrated marketing automation system that triggers the email message when the customer meets your thresholds.

One approach is to use an RFM model (recency, frequency, monetary), running continuously and in real time. An RFM approach will help you identify your best customers according to how recently and how often they buy and how much money they spend in a specific time period. Integrate it with your email program to trigger “best customer” emails automatically.

Thanks Can Come In Many Flavors

Many companies delight their best customers with higher-value incentives than those in welcome, birthday or reactivation emails or regular broadcast messages.

For example, one company sends its best customers a code good for $50 off any purchase over $50. This seemingly pricy premium actually drives sales of high-ticket items more often than smaller purchases that customers could get almost for free with the deal.

Thank-you messages aren't just about money, though. What would your customers value? Some incentives can enhance a purchase, but everybody loves a freebie, too. Some ideas:

• Preseason purchases on apparel, sporting goods and other seasonal merchandise
• Ticket presales, VIP access or free seat upgrades
• Beta-tester access to new programs or videogames
• Exclusive or early access to premium content
• Private meetings with company VIPs
• Enough bonus points to boost the customer to a higher level in your loyalty program
• A signed copy of your keynote/webinar speaker's new book.

Five Tips to Build a “Best-Customer” Program

1. Add some version of "thank you" to the subject line.   Mention the incentive or premium. Test to see whether specifying the premium, or just hinting that it's inside, will drive more conversions.

2. Make it personal and informal. Use the recipient’s name, and sign it as coming from a company notable, such as a top executive. Add the signer's photo if appropriate. Also, write the message as if you were speaking to a friend, using "I/we" and "you."

3. Showcase your brand personality. Reflect your corporate culture by using appropriate humor, tone, language and illustrations.

4. Experiment with design. Consider making the message feel more like a thank-you note and less like your standard email. Test different approaches to see which works best.

5. Use dynamic content. Add dynamic modules that suggest purchases based on the customer's most recent or typical purchases; and/or include references to their rewards status.

These tips can be a launch pad to create your own program that will surprise and delight your best customers and help ensure their loyalty for years to come.

Until next time, take it up a notch.

Broadcast TV Media Buyers Missing Search Data Opportunity To Connect With Fans

For years media buyers have always placed CPP ahead of behavioral marketing in their attempt to maximize results for their clients. Below is just another conformation of the fact that, for their clients, they're mostly still missing the mark. Philip Jay LeNoble, Ph.D. Author

SearchMarketingDAILY

 

by Laurie Sullivan, May 15, 2014, 3:35 PM

 

Broadcast television continues to miss a massive opportunity when it comes to finding its audience online through search data. While media agencies need to look well beyond the obvious digital properties to find the best online inventory to couple with TV buys, there is also a serious need for the show's official sites to improve their Web presence on desktop and mobile.

 

As networks sell TV and digital ad packages, and media buyers use digital inventory to extend offline buys, RankAbove has set out to analyze the Web sites that are most effective to extend the show's presence from offline to online.

 

It turns out that broadcast network Web sites like NBC.com, CBS.com and ABC.Go.com continually lost ranking in Google search queries to Wikipedia, individual TV show Wikia sites, and IMDb for top-ranking slots.

 

While searching for information on a show typically lands seekers on sites like Wikipedia, Wikia, or IMDb, Eli Feldblum, RankAbove CTO, said fans really influenced every show researched, but most fans' sites featured either no advertising or very little. Most instances of Pinterest, YouTube and Tumblr, which ranked very well, were fan-created content. Two fan sites -- Big-Bang-Theory.com and Big-Bang-Theory.net -- made the most influential list for the Big Bang Theory.

 

One of the greatest overlooked opportunities lies in related online Web publication. Feldblum said shows like "The Voice" can capitalize on advertising across sites like CountryWeekly. The relatively small CountryWeekly.com beat out every other music site, including MTV.com and Rolling Stone. He believes the ad space on smaller publications target a specific audience for less cost.

 

RankAbove, which sits on mounds of data, will run a similar test with mobile. In the past when they ran tests for clients to see where they rank, many of the networks are a little behind when it comes to mobile, Feldblum said. "They typically take a bigger hit on mobile until changes are made," he said. "I see the biggest differences in local searches and rich media search with images."

For this study, the company relied on its search software to determine the top 50 keywords for the most popular shows on TV, and to determine the overall highest-ranking pages for those keyword searches to create its TV SitePairing Index.

 

To discover the most influential sites for individual TV shows, RankAbove began with the list of the top 25 shows for the past week, as determined by Nielsen. Its software analyzed search engine results for an average of 3 million user searches per program, across a range of search categories related to show titles, actors, character names, and more, within the last 30 days. From the analysis the company compiled the top 50 keywords related to the show -- mostly terms or queries that fans are likely to use to discover more information about a specific show.

 

Keywords like show names, season and episodes as well as keywords about cast and characters were weighted based on their search volume, or how frequently each was searched in the past month. RankAbove collected the top 100 ranking sites for each keyword, and its technology determined how often a site appears, how high it appears in the search engine results page and by the weight of the keywords for which it appears.

Automakers Ramping Up Geo-Located Ads

NEXT TIME YOU ARE IN A AUO DEALER'S STORE LOOKING AT A SPECIFIC BRAND...NEW GEO -FENCING ADS FOR ANOTHER CAR MIGHT POP UP ON YOUR MOBILE DEVICE. Philip Jay LeNoble, Ph.D. Author
Read below......

MarketingDaily

by Karl Greenberg, Yesterday, 8:36 PM

If any retail category should go heavy on geo-fenced mobile ads it is the auto category. Dealerships tend to be clustered in the same geographical suburban areas, so they are like fishermen dropping baited hooks in the same corner of the pond. If hungry fish are likely to go there. 

 

Not too many dealers, or dealer groups are doing geo-located advertising programs yet, but mobile ad firm Verve says all of that is changing. The firm, whose platform channels ads on local content mobile sites, reports in its new “State of the Market: Location Powered Mobile Advertising, Deep Dive on Auto” report that adoption of mobile geo-fencing advertising is increasing across all auto marketing tiers and objectives.

 

The firm says that its research, based on traffic through its system and on 125 auto campaigns last year and this year, suggests auto retailers are quickly increasing their commitment to geo-fencing. The firm says 17% of auto category spend across national, regional and individual dealer (Tier 1, 2 and 3, respectively) is on location-powered ads. That puts it number two in front of restaurants (12%) and second only to retail, at 28%. The firm, whose data is based on media impressions on its own platform, finds that Tier 2 regional dealer groups run 76% of the location-based auto campaigns, while Tier 1 constitutes 22%. Tier 3, or individual dealers are only 2% of geo-based ads on the platform.

 

James Smith, chief revenue officer at New York-based Verve, tells Marketing Daily that the company noted strong engagement with ads regardless of whether the shopper is at the advertiser’s dealership, or someone else’s. "Say you are on a Toyota lot and see a Honda ad; we found consumers [in that situation] spent just as much time on the Honda ad interacting on features as if they had received the ad when not on the dealer's lot,” he says. “The second thing we saw is that those geo-conquest ads [from dealer A when a shopper is on dealer B's lot] resulted in even higher conversion than those who received ads via simple geo-fencing  [ads delivered to people in a general area within the vicinity of the dealership]," he says. 

 

But in both cases the ads are apparently effective. The firm's foot traffic insights analysis showed that Tier 2 campaigns with simple geo-fencing as a tactic saw a 295% lift in foot traffic versus people who got  non-location-based ads. Those with geo-conquesting as a tactic showed a 377% lift. "You drive volume with geo-fencing, but impression-by-impression, geo-conquesting is more effective. After all, you are talking to the bottom of the funnel. That's where the 'magic beans' are," says Smith. 

On Verve's network shoppers spent about 21 seconds on geo-fenced ads when the ads were served while the shopper was in that brand's showroom. Pretty much the same held true when they were on the lot of a competitive brand.  

 

Smith says the tactic also has value for Tier 1 in terms of targeting. "You can follow audience behavioral patterns in the physical world.” He said that such data, combined with demographic information, allows marketers to build customized, verifiable demographic models for ad delivery. The firm found that Tier 1 rich media mobile ads aligned with national campaigns and highlighting the model's features garnered 20-second engagement times.  

The Future of Mobile Ad Sales: Change, As Usual

OnlineMetricsINSIDER

 

by Joe Laszlo, Yesterday, 3:56 AM

What’s next  with mobile?

It’s a question that all of us are regularly asking ourselves, our colleagues, pundits and maybe even a stray Ouija board or Magic 8-Ball. But in an industry as quick to shift as mobile advertising, it seems wisest to turn to those on the front lines:  the IAB’s own member companies.

 

To take the pulse of mobile ad selling, we surveyed our members that sell mobile display and video inventory. The questionnaire garnered responses from nearly 50 companies, some small, some large, some with traditional media or PC backgrounds, as well as “mobile natives.”  While the sample was not large enough to be definitive, we definitely see indications of looming challenges for mobile sellers not prepared for the changing needs of their client brands and agencies.

 

First and foremost, the mobile ad marketplace is shifting toward a metrics parity with other media, with buyers requesting a guaranteed audience metric. This isn’t surprising, considering the cross-screen world we currently live in.  Just as cross-screen is the reality today, audience-based measurement (eventually across all those screens) is the wave of the future.

 

Some seem ready for what tomorrow brings: Almost half the respondents to our survey reported that they could already sell mobile display inventory on a guaranteed audience/GRP basis.  Another 14% have plans to do so. Similarly, about 44% of those selling mobile video ad inventory said they can currently do so on a guaranteed audience/GRP basis, with another 19% expecting to have the capability in the next six months.

 

Still, this leaves a big portion of mobile ad sellers out of the mix.  And even for those getting on the GRP bandwagon, the lack of an standard industry definition or calculation risks sowing confusion and making cross-publisher or cross-media comparisons difficult.  This underscores the timeliness of the Making Measurement Make Sense (3MS) initiative, as the IAB, 4A’s, and ANA move beyond the initial viewability mission to the next wave of the program: standardizing a digital gross rating point.

Another “next” on the mobile metrics front relates to completed views for video impressions.  According to our survey, more than half of respondents selling mobile video inventory are currently being asked for cost-per-completed-view pricing.

 

In some ways you might read this simply as a variation on viewability.  But there is a significant difference between a viewable digital video ad and one that was watched from inception to completion.

 

Selling pay-per-completed-view video ads puts the ad seller in the untenable position of being responsible for whether or not an ad's creative is compelling enough to keep consumers’ attention for a full 15 seconds or more, as well as for the behavior of video creative streaming over a mobile network.  For now, it's up to ad sellers to determine whether they should sell on this basis, but many will face severe pain points if completed views become the rule rather than the exception.

Beyond metrics, the survey also shed light on the growing role of exchanges in buying and selling mobile inventory.  Our findings reveal a great deal of disparity between display and video. Forty-six percent of respondents report selling mobile display inventory via some kind of private exchange. In addition, 35% report using an open auction/public exchange for some of that mobile display inventory. In sharp contrast, only 15% of respondents selling mobile video ad inventory are doing so via a private exchange. Separately, 15% sell via public automated or exchange infrastructure.

 

These results are not surprising. Mobile display ad standards are well established, and third-party ad serving is increasingly common.  By contrast, mobile video is a more nascent arena with more inherent technical complexity -- particularly around delivering ads in-stream -- which puts widespread use of exchanges a little further in the future.

 

All of this speaks to the same old thing in the mobile world: rapid change ahead.

This small survey spotlights many of the ad-selling challenges mobile media companies must surmount. Guaranteed audiences, cost-per-view or completed-view, and mobile exchanges/programmatic transacting are here to stay.  The only open question is, what will be the new and disruptive issue the next time we field this survey?