Part of the Callcredit Information Group
MOBILE REVIEW JULY 2013
THINK WORKS
THOUGHT LEADERSHIP SPARKING EXCEPTIONAL RESULTS www.latitudegroup.com | 1
Think Works Mobile Review | July 2013
CONTENTS 03 Key findings and quickstats 04 Google smooths concerns of advertisers 05 Bing chips away at Google PPC share 06 Bettors still engaging through mobile 07 Places and devices: how audience context
influences the choice of a device
08 Shoppers love the tablet, but don’t forget about mobile 11 Mobile visibility through responsive design,
dynamic serving or a separate domain?
12 Go social on mobile 13 Targeting the right customer, at the right time,
through real-time bidding
14 Future gazing: Google Glass, a hit or a miss?
www.latitudegroup.com | 2
Think Works Mobile Review | July 2013
EXECUTIVE SUMMARY Bing currently represents around 5% of total PPC clicks across UK campaigns. Advertisers using Adwords for PPC marketing could be missing a trick by not also advertising on Bing. Find out more p.5
Over 21% of all retail PPC clicks are now arriving via tablet devices and click volumes have increased over 150% year-on-year. Find out more p.8
Gamers continue to engage via smartphones, as one in three of all gaming paid search clicks now arrive through mobile devices. Find out more p.6
Quickstats Desktop and tablet average CPCs have jumped to £0.60 and £0.63 respectively, having previously been cheaper than smartphones in December 2012. Smartphone click growth appears to be stalling for PPC channels, with only 12% YoY growth in click volumes. p.8 Tablet and desktop CPCs were neck and neck in Q1 2013, averaging £0.26 each. Smartphone clicks averaged 41% cheaper at £0.16. p.8 Google announced in their Q1 earnings call that CPCs were down by 4% YoY on average. This of course is a global stat; UK campaigns have seen an average Q1 YoY CPC increase of 35%, with tablet CPCs rising fastest of all devices, according to Latitude’s data. Paid search click share Desktop
Smartphone
Tablet
90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
Ja n1 Fe 2 b1 M 2 ar -12 Ap r-1 M 2 ay -12 Ju n12 Ju lAu 12 g12 Se pOc 12 t-1 2 No v12 De c1 Ja 2 n1 Fe 3 b1 M 3 ar -13
Key findings
Source: Latitude Digital Marketing
www.latitudegroup.com | 3
Think Works Mobile Review | July 2013
GOOGLE SMOOTHS CONCERNS OF ADVERTISERS
I
n our last gaming focused Mobile Report, we wrote about Google’s upcoming Adwords Enhanced Campaigns update. The update, in a nutshell, will affect how smartphone and tablet users are targeted in Adwords and will come into effect at the end of July 2013. The changes proposed in March 2013 (in summary) included: Negatives -R emoval of options to target tablet devices separately from desktop -R emoval of smartphoneonly campaigns (can’t target smartphones without targeting desktop at the same time) -R emoval of OS targeting options
Google had previously announced that as part of the move to Enhanced Campaigns, it would no longer be possible to create mobile-only campaigns. Instead a ‘mobile bid multiplier’ had to be applied to desktop bids. Originally, the mobile bid multiplier was to be set at campaign level, meaning the same multiplier would be used for all keywords in the campaign. This would have resulted in a massive campaign restructuring job for many advertisers. After feedback from the Adwords community, Google announced that ad group level mobile bid multipliers would be made available.
After feedback from the Adwords community, Google announced that ad group level mobile bid multipliers would be made available. This means less work will have to go into account restructures. Google has also introduced a tool to aid migration to enhanced campaigns through their upgrade centre. This tool is called ‘Campaign Upgrade Centre’ and it can be found within your Adwords account in the left-hand navigation menu.
Positives +S tackable bid multipliers for geo-location, time and device + Sitelink scheduling + Improved sitelink reporting +C alls and app download reporting options + Cross device tracking
www.latitudegroup.com | 4
Think Works Mobile Review | July 2013
BING CHIPS AWAY AT GOOGLE PPC SHARE
B
ing continues to nibble away at Google’s share of paid search clicks. The introduction of new ad extension formats, such as sitelinks, has helped Bing to increase ad click-through rates on their platform and almost double their share of desktop clicks. The greatest year-onyear gains in click share for Bing have arrived through smartphone and tablet devices.
The greatest yearon-year gains in click share for Bing have come from smartphone and tablet devices. Starting at 0.02% of click share a year ago, Bing only had one direction to go when it came to tablet clicks. The Kindle Fire HD tablet plays a significant part in the growth of Bing’s click share. Shortly after its launch last September, the device was named the #1 best-selling product across Amazon worldwide. Since the primary search box on these devices is powered by Bing, the search engine has picked up new users almost by default.
In Q1 2012 only 0.1% of all clicks came from Bing searches on smartphones; by Q1 2013 this has increased to 0.5% of all clicks; growing almost five-fold in 12 months. If sales of Kindle Fire devices and Windows 8 smartphones continue to build momentum, we will see further click share gains for Bing over Google.
PPC click share PPC Channel / Device Google Desktop Google Smartphone Google Tablet Bing Desktop Bing Smartphone Bing Tablet
Q1 2012 81.6% 10.1% 6.0% 2.2% 0.1% 0.0%
Q1 2013 62.9% 20.5% 11.5% 4.3% 0.5% 0.3%
YoY Change -23% 102% 93% 97% 491% 915%
Bing currently represents around 5% of total PPC clicks in UK campaigns. If you are using Adwords, make sure you have PPC coverage on Bing too or you could be missing valuable traffic!
PPC click share n Google desktop n Google smartphone n Google tablet n Bing desktop n Bing smartphone n Bing tablet
Q1 2012
Q1 2012
The impact that hardware has on PPC click share should never be underestimated, as demonstrated by the impact of the new Windows 9 phone on Bing’s click share. Much like the Kindle Fire HD tablet, all Windows 8 phones feature Bing as the default search engine. In Q1 2012 only 0.1% of all clicks came from Bing searches on smartphones; by Q1 2013 this has increased to 0.5% of all clicks, growing almost fivefold in 12 months.
www.latitudegroup.com | 5
Think Works Mobile Review | July 2013
BETTORS STILL ENGAGING THROUGH MOBILE
G
aming is arguably the most successful sector when it comes to mobile engagement rates. Latitude has seen smartphone click volumes in this sector more than treble since Q1 2012; in fact smartphones now account for more than 1 in 3 of all paid search clicks in the gaming vertical. It’s therefore not surprising that desktop clicks in contrast have steadily declined from 8 in 10 to less than 6 in 10.
Tablet click share, however, has remained relatively low at just over 4% of total click volume. At first this may seem slightly surprising, given the rate of growth in other sectors. It begins to make more sense though, if we consider the multi-screening trend; smartphones are popular for completing quick tasks (such as placing a bet) and are always close at hand when attention is focused on a TV screen. It seems that when televised sport kicks off, the tablets and desktops are put down and the smartphones come out.
Following this trend it is easy to predict that by the time the new football season kicks off in August, desktop clicks will make up less than half of all betting related clicks.
PPC device click share in the gaming industry
Cost-per-clicks in the gaming sector vary greatly by device. The high value of tablet customers, combined with the relatively low volume of searches (compared to other devices), has led to aggressive bidding from advertisers in an attempt to capture the maximum share of this small but lucrative segment. Smartphones however continue to offer extraordinary value for money. In Q1 smartphone clicks were 39% cheaper than desktops and 63% cheaper than tablet clicks.
n Desktop n Smartphone n Tablet 90% 80%
Following this trend it is easy to predict that by the time the new football season kicks off in August, desktop clicks will make up less than half of all betting-related clicks.
70% 60% 50% 40% 30% 20% 10% 0%
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Average CPCs in the gaming industry This means users are simply moving away from using desktops as their preferred choice of method of placing bets, using their mobiles instead.
Tablet Smartphone Desktop £0.00
£0.20
£0.40
£0.60
£0.80
£1.00
£1.20
It seems that when televised sport kicks off, the tablets and desktops are put down and the smartphones come out. www.latitudegroup.com | 6
Think Works Mobile Review | July 2013
06:00 - 21:00 Places and devices: how gaming audience context influences the choice of device. 06:00 07:00
15:30
Smartphone click share increases slightly. When waking up the smartphone is usually the first device to hand.
Kick off. Smartphones make up 56% of total clicks, tablet 8%. Desktop drops to 36%.
to
19:00 20:00
07:00 09:00
to
to
Tablet share increases to approximately 8%. It seems as though tablets are replacing the traditional weekend newspaper and are therefore a popular device around breakfast time. This trend has been observed the retail sector too.
Post-match. Smartphone share drops briefly, but volumes are still higher than desktop. The majority of these clicks are seeking results and bet outcomes.
21:00 onwards
09:00 12:00
to
Desktop peaks, mobile dips. These are research hours for bettors ahead of the game, during which odd and team reviews are being checked and bets placed. The peak in desktop click share at this time suggests punters find larger screens are better suited to this task.
13:00 14:00
to
Desktop declines, smartphone increases. Still a few hours until kick-off. Saturday is a big shopping day – perhaps many bettors are out of the house by this time and using mobile to continue research or place bets. Pubs also open at lunchtime, taking more of the audience away from tablets and desktops, which tend to stay at home.
15:15 TVs are switched on for the live coverage. Attention moves from desktops to the big screen and mobile. Smartphone searches take off and tablet clicks increase slightly too.
Typically the top hours for smartphone and tablet usage. Many clicks at this time are seeking bet outcomes. Data from the Man City vs. Wigan FA Cup final in May.
FA Cup Final Saturday May 11th: Device Click Share Desktop 70%
Smartphone
3.15pm: TV coverage
Tablet 5.30pm: Kick Off
60% 50% 40% 30% 20% 10% 0%
0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 Hour of Day
www.latitudegroup.com | 7
Think Works Mobile Review | July 2013
SHOPPERS LOVE THE TABLET, BUT DON’T FORGET ABOUT MOBILE
I
t comes as no surprise to marketers in the retail industry that tablet device is now the weapon of choice for the UK online shopper. Over the past 12 months we have seen more than a 150% increase in tablet click volumes from PPC campaigns.
Device click share Mobile
Tablet
25% 20% 15% 10% 5%
Ja n1 Fe 2 bM 12 ar Ap 12 r-1 M 2 ay -1 Ju 2 n1 Ju 2 l Au -12 g1 Se 2 pOc 12 t-1 No 2 v1 De 2 cJa 12 n1 Fe 3 bM 13 ar -1 Ap 3 r-1 3
0%
This means almost one in four retail PPC clicks are now arriving through the tablet device. However, smartphone PPC click growth seems to have stalled, currently hovering around 12% of all clicks. This is a result of advertiser wariness, rather than a lack of growth in the number of smartphone-enabled shoppers. Smartphone PPC campaigns tend to display lower average order value and conversion rates when measured on a last-click basis. Even though smartphone CPCs are 41% cheaper, the lower conversion rate and AOV means inferior ROI when compared with desktop and tablet clicks. This remains a challenge for any PPC manager when justifying high levels of mobile PPC investment.
Device average order value and conversion rates
12 Over the past e v months we ha a n seen more tha e s 150% increa in tablet click C PP volumes from campaigns.
n AOV l Conversion rate £140.00 £120.00 £100.00 £80.00 £60.00 £40.00 £20.00 £0.00
Desktop
Smartphone
Tablet www.latitudegroup.com | 8
Think Works Mobile Review | July 2013
SHOPPERS LOVE THE TABLET, BUT DON’T FORGET ABOUT MOBILE
29% of the UK’s top 100 e-commerce
sites were not optimised for smartphone visitors, including giants such as Apple.com, Next.co.uk and Play.com.
23% of the top 100 were not returning mobile paid search ads despite showing a presence for desktop and tablet ads, including Newlook.com and Sainsburys.co.uk.
PPC device click share in retail Smartphone
Tablet
25% 20% 15% 10% 5% 0%
Ja n1 Fe 2 bM 12 ar Ap 12 r-1 M 2 ay -1 Ju 2 n1 Ju 2 l Au -12 g1 Se 2 pOc 12 t-1 No 2 v1 De 2 cJa 12 n1 Fe 3 bM 13 ar -1 Ap 3 r-1 3
Data showing low conversion rates and low average order value from mobiles has been shared by various sources over the past couple of years and has perhaps persuaded some brand owners that m-commerce is not worth the investment. We wanted to see if this attitude is still prevalent, so we took a look at the Hitwise Top 100 Hot Shops list – a list of the highest traffic e-commerce websites in the UK. We looked for evidence of a mobile-optimised website, seeking either a dedicated mobile website or responsive design. We identified which of the 100 brands also had a mobile-specific PPC strategy (seeking first a mobile PPC presence for their top brand and generic keywords and then evidence of ads that had been customised for smartphone users). The results were surprising:
This continuing upward trend in mobile visits to e-commerce websites shows that consumers are using smartphones more and more for online shopping, irrespective of what advertisers feel about last-click ROI figures. The twin facts of ever-increasing mobile traffic and fewer advertisers in the smartphone PPC auctions present an opportunity for the smarter advertiser. The key to mobile marketing success begins with understanding why consumers are using smartphones to visit e-commerce websites.
It seems that there are still a high number of brand owners who have not yet invested in mobile optimisation either in their PPC campaigns, or more worryingly, in the web service provided to customers. This means the current 12% of PPC clicks arriving via smartphones could be much higher. When we look at analytics data describing all traffic sources, we can see that mobile commerce is very much on the up, with 21% of all e-commerce site visitors now arriving on websites using smartphones.
21% of all e-commerce site visitors now arrive using smartphones.
Mobile traffic fewer adverti and se the smartpho rs in ne auctions pres PPC en opportunity fo t an r smarter adve the rtiser
www.latitudegroup.com | 9
Think Works Mobile Review | July 2013
SHOPPERS LOVE THE TABLET What are customers seeking if not an immediate purchase? Extensive research has been carried out in this area, including this recent study conducted by Google and Nielsen:
Mobile drives multi-channel behaviour – shopping Location
Motivation
Initiated on…
Outcome
69%
68%
56%
51%
17%
21%
38%
51%
7%
18%
4%
35%
4%
17%
2%
25%
1%
24%
At home
On the go
At work
In store
Needed info for future action or purchase Came across something interesting Other motivation
Web browser App
Voice
Passing time
Other app
2%
Someone else’s home
Other
Clicked links
Retailer website
Searched
Made a purchase Visited a store
1%
14%
0%
9%
At school
Other
Other place
Shared info
Source: Google/Nielsen Life360 Mobile Search Moments Q4 2012
The challenge here is for PPC advertisers to define mobile-specific KPIs; measuring last click ROI alone is too simplistic. Other metrics need to be considered too – metrics such as pages-per-visit or bounce rate can serve as basic indicators of visitor engagement. Other mobile-specific KPIs might include mobile visits to key pages (such as store location pages) or on-site click-to-call actions. Thankfully, more sophisticated tracking solutions are now becoming available. In March 2013 Google announced that they would make Universal Analytics available to all Google Analytics users. Universal Analytics could be a game-changer for many mobile advertisers as it provides insight into customer journeys across multiple devices.
Universal Analytics could be a game-changer for many mobile advertisers as it provides insight into customer journeys across multiple devices. In other words, it is now possible to measure the part that mobile plays in desktop, tablet and even in-store conversions. This has never been possible before. The insights on offer will finally give mobile marketers the empirical evidence needed to justify greater mobile PPC expenditure.
Get in touch
Interested to hear more about Universal Analytics? Contact us to find out more. E: info@latitudegroup.com T: 08450 212 223 W: www.latitudegroup.com
www.latitudegroup.com | 10
Think Works Mobile Review | July 2013
MOBILE VISIBILITY
THROUGH RESPONSIVE DESIGN, DYNAMIC SERVING OR A SEPARATE DOMAIN?
W
e have touched upon different methods of taking your website mobile in previous reports, but what remains clear is that the topic is still the cause of much confusion in the industry. The truth is that there is no 100 percent right or wrong answer. Google advises that responsive design is their preferred set up, although it isn’t always so straightforward to implement.
Google advises that responsive design is their preferred set up, although it isn’t always so straightforward to implement. It is important to take a look at your current site when weighing up the options. Are the pages heavy or are they light and clean? If your site is already relatively simple, responsive design may indeed be your best bet. If your site on the other hand is large with many features and functionalities, it can be quite difficult to scale the site down using responsive design. You also need to consider load times which are going to affect user experience and bounce rate.
Responsive design
Using responsive design is great for SEO as there is just one URL to crawl. CSS is applied to manipulate the site to render differently on a mobile handset and fluid design is frequently used to make sure that the site is displayed well across a variety of handsets. Responsive design is the ideal solution, if the content you want your mobile visitors to access is the same as what they would be presented when visiting the site through desktop.
Responsive design is the ideal solution if the content you want your mobile visitors to access is the same as desktop. Dynamic serving from the same URL
Dynamic serving means that mobile visitors are presented with different content to the desktop site. Some retailers or gaming businesses may want to have a specific offer only accessible to mobile visitors. You also may have a specific feature that you only want to be available for mobile visitors.
Separate site on subdomain
This solution means to have a completely standalone website for mobile visitors. A popular set up would be using a subdomain, for example m.mysite.com. However, there are additional technical considerations when serving a separate mobile site. Where there is a corresponding desktop page for the mobile site, annotations are recommended by Google. To do this a ‘rel=alternate tag’ would be placed in the head of the desktop page to alert the crawlers that there is a mobile version of this page. Alternatively, ‘rel=alternate’ can be implemented in the sitemap. On the mobile pages there would be a ‘rel=canonical’ tag to the desktop version placed in the head. This is to cover any duplicate content concerns and help with the crawlability of both sites. A mobile sitemap is also required with it and it’s also beneficial to include a link from the mobile site to the desktop and vice versa. Latitude has been trialling the use of ‘rel=alternate’ mark up with a view of establishing a best practice set up. Despite being advised that this approach should be adopted, there is very little evidence of sites actually having this set up working correctly.
www.latitudegroup.com | 11
Think Works Mobile Review | July 2013
GO SOCIAL ON MOBILE
M
obile user behaviour is an important part of any mobile strategy and learning to incorporate social media into your strategy is vital. Last year O2 completed market research, which uncovered that whilst making calls used to be the most commonly completed action on a handset, using search engines to gather information, participating in social media, listening to music and playing games are now all more frequently completed tasks. The O2 ‘All About You’ report suggests that users spend approximately 25 minutes browsing the Internet, closely followed by 17 minutes on social networks.
Users spend approximately 25 minutes browsing the Internet, closely followed by 17 minutes on social networks. If you can think creatively, you can benefit from this activity and achieve greater brand exposure. Mobile users are mostly signed into their social accounts by default around the clock. It is therefore key to make sure that sharing socially is made easy for visitors and develop ideas that are likely to be shared naturally.
It is key to make sure that sharing socially is made easy for visitors and develop ideas that are likely to be shared naturally.
In fact, if you still don’t have sharing icons on your website or blog – add them and make sure they are visible and easy to click. Research suggests that the average ‘click’ on a handset is 44px. If your brand allows for it, look to include humour in your strategy, as social are used for entertainment purposes.
If your brand allows for it, look to include humour in your strategy. Social channels are used for entertainment purposes. A leading fashion retailer with a target demographic of females aged between 18 and 25 currently benefits by sharing their Pinterest board of male celebrities on their Facebook channel. One such upload managed to acquire over 1,700 likes in a very short period of time. As with any activity, it is important to have a strategy around what types of images visitors are likely to pin. We completed research into a number of e-commerce clients and unsurprisingly stock photos of items do not gather much interest. You may achieve a number of pins from potential customers who wish to purchase said item, but what you will witness being pinned frequently are current topics of interest – the ‘Keep Calm and Carry On’ slogans, humorous e-cards and uplifting mottos. Look to use these ‘hooks’ to drive traffic and encourage re-pins on Pinterest. If you are not in the retail vertical – look to become an industry specialist by providing news updates and infographics related to your market. Lastly – remember that your mobile users are after something different from you. Take a look at your top landing pages in either Google Analytics or Google Webmaster Tools and compare how they vary from desktop search. Our research confirms that many mobile users are seeking advice through their handsets; the top landing pages for a retail client is often the company blog when customers are accessing the site through mobile. Mobile users often use a handset to research, learning more about the product before likely purchasing through a desktop. Many consumers are still a little hesitant when completing a large purchase on a mobile so it’s vital to whet your customer’s appetite through mobile.
Many consumers are still a little hesitant when completing a large purchase on a mobile so it’s vital to whet your customer’s appetite through mobile. www.latitudegroup.com | 12
Think Works Mobile Review | July 2013
TARGETING THE RIGHT CUSTOMER, AT THE RIGHT TIME, THROUGH REAL TIME BIDDING
I
n today’s digital marketing landscape, it’s becoming increasingly crucial for campaigns to span multiple screens and ad formats in a cohesive way. Real-time bidding, a method of selling and buying display advertising in real time one ad impression at a time, has been around for a number of years now but it has only recently grown across mobile. You can now access billions of impressions, and rely on powerful audience and contextual data to target the right customers in the right moments by utilising RTB.
You can now access billions of impressions, and rely on powerful audience and contextual data to target the right customers in the right moments by utilising RTB. One of the key benefits of advertising via RTB is the precise level of targeting offered. Mobile advertising is still largely dominated by blind ad networks, such as Admob. Whereas a blind ad buy is typically a bulk buy, it is now possible to target each and every ad impression. You get to know exactly where your impression is appearing, exactly which publisher provided the most effective traffic and where you can start focusing your budget.
The targeting offered by can vary but you can usually pinpoint users via: Location Device (i.e. Samsung Galaxy SIII) Operating system (i.e. Android, iOS) Carrier Previous sites visited and apps used App categories The day and the time of day Enhanced targeting can reduce concerns over the lack of tracking offered in mobile while increasing predictability. Of course, the main benefit of real-time bidding, compared to ad networks, is that you’re getting access to a wide variety of inventory from different networks and exchanges.
The main benefit of DSPs, compared to ad networks, is that you’re getting access to a wide variety of inventory from different networks and exchanges. This coupled with the transparency on offer from bidding on an impression-by-impression basis, lets you get the most value for your spend. Looking forward, mobile RTB and mobile advertising overall will continue to grow with more rich media and video ads, additional and more refined targeting capabilities, and the growth of tablet advertising, which earns more engagement from consumers.
Get in touch
Interested in finding out more about the possibilities of real-time bidding? We’d be happy to help. E: info@latitudegroup.com T: 08450 212 223 W: www.latitudegroup.com
www.latitudegroup.com | 13
Think Works Mobile Review | July 2013
FUTURE GAZING WILL GOOGLE GLASS TAKE OFF?
G
oogle released the Google Glass terms a while back, which to the surprise of many, state that developers “may not serve or include any advertisements in your API Client”. This has been interpreted by some to mean that Google Glass will be an advertising-free platform. However, this is probably not the case. It is important to note that only third-party developers are (currently) prohibited from placing ads. Google itself is not bound by these app development rules. Many app developers create a ‘free’ version of their apps, which are supported through advertising. It is this particular form of advertising that Google wants to prevent. Some might even argue that this is Google’s attempt at further controlling their advertising revenue streams, considering the enormous reach of Google’s own Search and Display Network (Google Search, Shopping, Maps, Images, Groups and search partner sites). If Google is not careful, this could potentially even lead to further antitrust implications.
If Google is not careful, this could potentially even lead to further antitrust implications.
We also have to keep in mind that the data collected by the sensor array of Glass is very valuable to Google’s Analytics programs and Glass certainly will drive users to other advertisement revenue streams where said data will further contribute to personalised ads. Google’s primary goal for the release of the consumer version will be mass adoption.
Google’s primary goal for the release of the consumer version will be mass-adoption. This means Google can’t afford to alienate potential buyers with any form of ad spam or an otherwise cluttered interface. Hardware performance is also problematic. The first generation of Glass will be severely underpowered, just like the first generation of Android phones released in 2008. However, previous Android devices evolved tremendously in just a few years and Glass will certainly follow this trend. The most viable option is that Glass could potentially open up opportunities for Augmented Reality advertising.
Glass could potentially be the beginning of the future of advertising – Augmented Reality. Real-time augmentation of the physical environment with virtual elements in semantic context offering a unique user experience is what some marketers believe to be the final frontier of advertising. Google Glass and the myriad of imitators it will spawn if it takes off (it surely won’t take long until we see “Samsung Galaxy Eyewear” and “iGlasses”), will irrevocably change the way we perceive and interact with the world. This will of course include the way we interact with brands. The Internet has completely changed marketing over the past 20 years and while we probably (and hopefully) won’t see any ad spam aka “ADmented Reality” anytime soon, the “Outernet” is bound to revolutionise marketing in a similar way.
How’s your day so far?
www.latitudegroup.com | 14
Think Works Mobile Review | July 2013
FUTURE GAZING – THE ADVERTISING POTENTIALS OF GOOGLE GLASS What about adoption rates, you might ask. Flurry Analytics reported last August that smartphone adoption was 10 times faster than the PC revolution in the 80’s and three times faster than the social networking revolution (both still ongoing of course). “If we go back look at how fast things are adopting lately compared to 10 to 15 years ago, we’re looking at mass adoption in 2015 or 2016,” says Andrew Couch, CEO of Candy Lab, an AR company. According to Juniper Research’s study ‘Mobile Augmented Reality: Entertainment, LBS & Retail Strategies 2012 – 2017’, the industry expects to generate $300 million in AR related revenue through a mixture of advertising, paid apps and post-download content this year alone. Juniper expects that more than 2.5 billion AR apps will be downloaded by 2017, generating a revenue of $5.2 billion in 2017 alone. We certainly have to take these estimates with a grain of salt, however, they also caution that lack of consumer awareness concerning AR remains a major hurdle. Technological limitations are also a huge concern (bandwidth, cameras, battery life etc.) as manufacturers fight to live up to consumer expectations. While we are just witnessing the dawn of the truly wearable computing, the biggest challenges to mass-adoption of AR devices like Glass are perhaps human biology and sociology.
While we are just witnessing the dawn of the emergence of truly wearable computing, the biggest challenges to mass-adoption of AR Devices like Glass are perhaps human biology and sociology. Who, except geeks, would really want to wear Glass? Even if Glass becomes indistinguishable from regular prescription or sunglasses, Google is essentially attempting to convert us all into fighter pilots by means of heads-up displays. Surely the average person will find this disorienting at the very least? Although we increasingly distract ourselves with our smartphones, we are by no means used to having a permanent Terminator-style HUD of ‘assisting’ data to process. Social etiquette is the other elephant in the room. Perhaps the ultimate factor deciding over Glasses success is not the user experience but the experience of those not using them.
Perhaps the ultimate factor deciding over Glasses success is not the user experience but the experience of those not using them. If early adopters don’t feel the social acceptance they desire by using a device that allows them to record people and events at all times (lifebits), they might abandon them quickly. Of course all of this has massive privacy implications, which all need to be considered. So, will Google Glass be a hit? The device is already reportedly set up for app store with a rumoured release date of sometime in 2014, but as often with any new technological advancements, only time will tell whether users will actually adopt it!
Got any plans for later? www.latitudegroup.com | 15
CONTRIBUTORS
BEN WIGHTMAN HEAD OF PPC HOLLY WILDE HEAD OF DISPLAY & PERFORMANCE MEDIA JANET PLUMPTON SEO STRATEGIST MALTHE KARLSSON PPC EXECUTIVE SEBASTIAN KOKEL OPERATIONS EXECUTIVE
About
Latitude Digital Marketing has pioneered the use of digital channels in the UK and internationally for 10 years. Areas of expertise include search engine optimisation (SEO), pay-per-click (PPC), social media marketing, online display advertising, affiliate marketing and conversion analytics. The business works across a range of sectors including retail, gaming, leisure and travel with clients such as Post Office, bet365, Effortless Skin and Haven Holidays.
Search
Analytics
Social
Affiliate
Display
Academy
Exceptional results from the brightest minds in digital.
Get in touch
Part of the Callcredit Information Group
To talk about your mobile strategy or arrange a FREE audit of your mobile marketing campaigns, contact us now. E: info@latitudegroup.com T: 08450 212 223 W: www.latitudegroup.com www.latitudegroup.com | 16