Author: Anne Freier

Week in Review – What happened in mobile advertising this week

This week, three of the largest technology and advertising companies announced revenue results. Some of them did better than others. Here’s a little summary. Google Alphabet announced earnings at the start of the week, boosting its ad revenue by 18% to $22.7 billion. Total revenue increased 21%, largely driven by a combination of mobile and video ads, AI and its cloud products. Facebook also presented positive results with overall revenues increasing 44.8% to $9.32 billion during the second quarter of 2017. Mobile ad revenue made up 87% of the company’s total revenue. A focus on video and Instagram seems to be paying off for the social media giant. Furthermore, it acquired Source3 this week to boost the safety of content and increase content partnerships. Meanwhile,

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UK advertising expenditure increases 1.3% marking the slowest growth since 2013

UK advertising expenditure has grown 1.3% during Q1 2017 to $5.3 million, according to the latest Advertising Association/WARC Expenditure Report. However, that marks its slowest growth rate since Q2 2013. Whilst traditional media fell with TV ad spend down 6.2%, digital formats had a good quarter. For national newsbrands, digital ad income was up 25.4%, whilst radio grew 8.1% and out-of-home rose 27.6%. Total Internet advertising grew 10.1% year-on-year, with mobile formats noting the highest increase – up 36.2% compared to the previous year. Search advertising expenditure also performed well with one in four pounds of UK ad spend attributed to search. James McDonald, Senior Data Analyst at WARC, says: “The latest data show that large retailers – particularly supermarkets – and major food brands reined

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Twitter failed to grow its audience in Q2 – total revenue dropped 5%

For the second quarter of the year, social media platform Twitter fell short of expectations and failed to boost its monthly user figures. Total quarterly revenue dropped 5% to $574 million. Advertising revenue was down 8% year-on-year to $489 million, whilst data licensing and other revenue totaled $85 million. In the US, revenue decreased 7% to $335 million. That’s potentially bad news for a company whose biggest advertisers are all US-based. Its international revenue drop wasn’t quite as bad at 1%. The company’s long-term turnaround strategy depends on its audience. Right now, it has 328 million monthly active users, which is the same as its Q1 audience and a slight increase from the previous year (5%). However, that growth may not be fast enough to

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Facebook has acquired copyright protection start-up Source3

Facebook acquired content rights management company Source3 this week in an effort to boost its content creator partnership by ensuring that their content was safe. In a blog post, Source3 explained: At Source3, we set out to recognize, organize and analyze branded intellectual property in user-generated content, and we are proud to have identified products across a variety of areas including sports, music, entertainment and fashion. Along the way, we built an end-to-end platform to manage online IP and establish relationships with brands. The company’s technology identifies copyright-infringing as well as trademarked content, and helps content owners take action by taking ownership. Its system recognises and analyses intellectual property across user-generated content within sports, music, fashion and entertainment. In addition, the firm has been offering

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Mobile made up 87% of Facebook’s latest advertising revenue boost

Facebook increased revenues by 44.8% to $9.32 billion during the second quarter of 2017 following strong results from its mobile advertising revenue. Profits jumped a whopping 71% to $3.89 billion. Mobile ad revenue made up 87% of the company’s total revenue increasing 84% from the year-over. Facebook attributed that boost to video monetisation across its social media platform news feed as well as subsidiary Instagram. Though the company did not disclose exact figures for Instagram, it’s clear that the app has become a much larger focus for Facebook over the last two years. Indeed, Instagram Stories and also WhatsApp Stories now boast 250 million daily active users – each. During the earnings call, Zuckerberg revealed that WhatsApp had reached 1.3 billion monthly users, with one

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Shazam now lets brands takeover the whole mobile app screen

Shazam, the mobile app that lets you identify a piece of music, has added a brand new advertising product that lets brands “takeover” the music app’s whole screen for a day. Called the “Shazam Brand Takeover”, the feature boasts native-app functionality and enables brands to showcase their ads at the bottom of the screen matching the background of the display to the campaign image. Among the brands which have already trialled the brand takeover feature are Apple, Coca-Cola, McDonald’s, HBO, Deezer and Netflix. Shazam says they have “seen unprecedented engagement”. Greg Glenday, CRO at Shazam, explains: “The Brand Takeover is another prime example of Shazam continuing to innovate in the ad-tech space, which is an extension of the Shazam products that have become globally ubiquitous.

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Mobile Marketing Association Germany announces new partnerships as German mobile advertising economy is set for rapid growth

The Mobile Marketing Association (MMA) Germany has officially announced a new phase of growth following the addition of leading tech and ad tech companies to its executive committee. The additions include social media firm Snap Inc., mobile video advertising and monetisation firm AdColony, mobile measurement provider adjust, marketing analytics and attribution platform AppsFlyer and upday, the personalised news aggregator app for Samsung smartphones. Launched back in September 2016, by founding members adsquare, Coca-Cola, Facebook, Google, SAP XM, Smaato, Telefónica and Unilever, the MMA Germany provides guidance on mobile marketing and advertising as well as advertising technologies. It is part of a wider network of non-profit trade associations with over 800 member companies from almost 50 countries worldwide. Mark Wächter, Mobile Strategy Consultant at MWC.mobi and Chair

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ironSource launches programme to target mobile advertising fraud – credits back if fraud is detected

Advertising fraud is becoming a growing problem as part of an even faster growing industry. According to research by BI Intelligence, $16.4 billion were wasted in 2017 on fraudulent traffic and bots. Now, ironSource, the mobile monetisation and marketing firm, has launched an Active Protect programme to help mobile advertisers ward off frequently used types of ad fraud across non-SDK traffic such as attribution and device manipulation. The programme has been designed to block fraudulent or manipulated traffic in real-time and re-credits advertisers for any spending that has been wasted on fraudulent traffic. Omer Kaplan, CMO and Co-founder at ironSource, explains that fraud is a problem that concerns the entire industry. However, many advertising networks are pushing the burden off toward external companies. “Many of

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Google and IAB attack fake advertising inventory by running secret tests

Google wants to put an end to fraudulent digital ads and has been running a series of tests with leading media companies. Together with the Interactive Advertising Bureau (IAB) Tech Lab and major publishers NBCU, CBS and The New York Times, the company is now focusing on tackling ad fraud known as “spoofing” as part of the ads.txt initiative. The term describes the ways ad buyers can be tricked into paying for unavailable advertising space. As an example, a spoofer may purchase cheap ad space and then list it as quality traffic on sites such as NBCU. Given the rise in programmatic ads, which make it difficult to verify if an advert really ran, spoofing has picked up with multiple premium publishers reporting that their ads

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The APAC factor: Liftoff, Drawbridge and MobAir announce expansions

Liftoff launches presence in Japan Liftoff, the performance-based mobile user acquisition and re-engagement company, has expanded into Japan and appointed Kota Amano as Country Manager. A former Senior Director of Partner Development, APAC at Criteo, Amano will be leading growth in the country to establish a third international office. Liftoff says that the move secures a presence in one of the top growing mobile app economies globally. The company will be rolling out new solutions to expand and capture market share. It’s not its first venture into the country either. Liftoff recently launched a data center in Tokyo to start-off business. Last year, the firm announced leadership teams in offices in London and Singapore. Mark Ellis, CEO and co-founder of Liftoff, explains: “When we established our

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71% of Internet users are now accessing social media platforms once a month

Around one third of the world’s population and 71% of Internet users are now accessing social media networks once a month. That’s according to the latest eMarketer estimates. The figures represent an increase of 8.2% compared to 2016, driven by the growing mobile phone adoption. In addition, social networks such as Facebook and Twitter have been busy expanding their video content options to ensure they remain ahead of the competition. Meanwhile, apps such as Snapchat continue to innovate and launch new features and products to keep users engaged. It seems to be working as more and more Internet users flock to social networks to consume other media on a daily basis. A study by Pew Research Center has previously identified Facebook to be the most

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Men view digital adverts for longer than women – the right image can boost ad campaign attention

Men view digital adverts for 0.4 seconds longer than women, according to new research from photo stock website Shutterstock, conducted by eye-tracking company Lumen. According to the findings, men tended to look at ads for around 0.9 seconds compared to women viewing them for 0.5 seconds. In addition, men noticed around 33% of adverts, whilst women noticed just a quarter of adverts. Image-led campaigns which included children tended to engage people who had children more. Indeed, parents viewed 25% of these ads for an average 1.3 seconds, compared to those without kids who viewed them for 0.8 seconds. Similarly, stock photos with elderly couples tended to be noticed more and viewed longer by people over the age of 55 years. The findings are potentially interesting

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Google Alphabet significantly boosts advertising revenue driven by mobile search and programmatic

Google Alphabet has announced a 21% rise in revenue to $26 billion for the second quarter 2017, largely due to a strong offering that combines mobile adverts and video ads, artificial intelligence and the cloud. Overall, advertising revenue jumped 18% to $22.7 billion, driven by a 52% increase in paid clicks. Total ad revenue minus traffic acquisition costs (TAC) was slightly lower at 16%. According to Ruth Porat, CFO of Alphabet, the strongest growth areas included mobile search and programmatic. However, TAC may also be the reason why stocks slipped just two hours after the announcement. Indeed, as Google’s business model changes to include more mobile ad revenue partners, its costs may be increasing. In addition, Google faced a $2.7 billion fine by the EU after a

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Number of mobile phone messaging app users increases 15.5% in 2017

Mobile messaging apps have proven to be particularly appealing to consumers worldwide. Indeed, messaging apps may be the most successful smartphone apps with the number of WhatsApp messages sent per day now exceeding standard text messages. Now, eMarketer has released new projections on the growth of messaging services. According to the latest estimates, it predicts that 1.82 billion mobile device owners worldwide will be using apps such as Facebook Messenger or WeChat in 2017 – a rise of 15.5% the year over. That means an additional 243 million mobile Internet users worldwide will begin to use messaging apps in 2017.  That growth is wide-spread, across all of the 22 countries which were measured in this analysis. Cathy Boyle, principal analyst at eMarketer and author of

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Mobile moments: majority of marketers agree that location data boosts mobile ad campaign goals – but challenges remain

Mobile devices have become a central part of consumers’ lives, but to successfully reach them, advertisers are increasingly relying on location data to add contextual value. Indeed, location data helps direct consumers to stores and provides insights into their attitudes and behaviours. Yet, 38% of advertisers are finding it difficult to contextualise historical insights about consumers, whilst 37% are unable to target them. Now, Verve has released a new report, conducted by Forrester Research, which discusses how mobile advertisers in the US are using location data and what challenges they are up against. According to the answers of 203 marketing executives, top advertising objectives include driving up conversions rates (40%), retaining customers (33%) and improving ROI (31%). However, the trouble comes with the execution. Indeed,

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Glispa rolls out self-service monetisation platform for in-app advertising – Avocarrot

Self-service has arrived for developers. Mobile ad tech firm,Glispa Global Group, has launched its latest product, the Avocarrot   self-service monetisation platform for in-app ads, programmatic and performance-based formats. The move is part of the company’s acquisition of Avocarrot back in September 2016. Avocarrot used to offer native ads via its SSP back in 2016. Now, it has been expanded to include functionalities from Ampiri, the mediation platform, as well as Glispa’s Audience Platform, the user data profiling platform. Glispa says that the new solution provides the potential to maximise monetisation by enabling developers to mediate between brand and performance sources. They no longer choose between CPM and CPI models. Instead, the SSP is connected to over 50 DSPs for RTB brand demand and has access to leading

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Tapjoy celebrates mobile ad platform growth reaching 600 million consumers by Q2 2017

Tapjoy, the mobile advertising platform, has announced that its platform grew to 600 million mobile consumers by the end of Q2 2017. That growth is largely driven by the firm’s rewarded video product which increased 80% year-on-year in daily unique views. Shannon Jessup, Chief Revenue Officer of Tapjoy, explains: “Our ad platform experienced tremendous growth during the past two quarters thanks to several important advances in our technology, a continued supply of engaging ad content from industry-leading advertisers, and of course, our partnership with some of the biggest names in app publishing. We are honored to work with many of the most popular titles in the app stores today to bring our fun and highly-engaging rewarded ads to millions of additional consumers.” Tapjoy added around

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Week in Review – What happened in mobile advertising this week

Snap Inc has made it official – Snap Publisher is out now and advertisers of all sizes can create their own Snapchat ads. The company hopes that the move can boost revenue. The firm also revealed that geofilters were now viewed 1.5 million times by app users amounting to 2.16 billion views a day. Facebook is making it easier for publishers to see the real benefits from its Instant Articles by launching a tool that measures article performance on Facebook compared to web performance. It will be exciting to see some initial results. WeChat is approaching 500 million users in China alone this year, according to the latest eMarketer estimates. Nearly 80% of the country’s mobile device owners are using the app regularly and adoption is

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AerServ launches Cost Per Completed View for programmatic mobile video

With in-app video advertising now a top choice for app developers and mobile publishers, cost and viewability are core factors in choosing the right ad partner. AerServ, the inventory and audience management platform, has now launched a Cost Per Completed View (CPCV) transaction basis for programmatic mobile video buyers and sellers. The update comes at a crucial time as 62% of respondents expect mobile video budgets to increase over the coming 12 months, according to the IAB’s Video Ad Spend Study. In addition, buyers which use digital budgets for their video ads were optimistic about mobile video’s potential (66%). Josh Speyer, AerServ’s CEO, explains that mobile-first is at the heart of what AerServ does and the latest addition is a testament to the firm’s commitment. “With

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IAB releases updated best practices for mobile and digital adverts

The Interactive Advertising Bureau (IAB) has just released a finished version of its IAB Standard Ad Unit Portfolio, which provides best practices for ads of a variety of sizes and resolutions. Best practices are of growing importance in an ever more fragmented advertising industry. Though not every marketer will follow these guidelines, it’s important to establish a rule book to help stave off ad blockers by ensuring mobile and digital ads aren’t annoying to the end user. Randall Rothenberg, President and CEO, IAB, explains that the latest update is all about the user experience. “These new ad units have gone through comprehensive testing, with expanded mobile and video capabilities that will take interactive marketing to new heights.” The ad portfolio is based on HTML5 technology,

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