Jumptap and DIGIDAY Research Reveals Mobile Advertising Adoption Moves Mainstream

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CAMBRIDGE, Mass.—Jumptap, the leader in targeted mobile advertising, today announced results from the first “State of Mobile Advertising” survey developed in conjunction with DM2 Media, publisher of leading advertising blog DIGIDAY: Daily. Jumptap CMO, Paran Johar, presented the findings during a keynote session at the DIGIDAY: Mobile conference in Los Angeles.

The research finds that mobile advertising is heading into the mainstream consciousness of brands, agencies and publishers, and that the key issues mirror those of early Internet advertising adoption. The survey showcases that while advertisers are embracing mobile platforms, they still need better education, planning and measurement tools as well as targeting technology to help them get there.

Overall, the study reveals that mobile advertising is continuing its steady growth with nearly 85 percent of those surveyed engaged in mobile marketing or advertising. For those with near-term mobile marketing plans, 60 percent intend to draw their mobile budget from their current online budget. An additional 20 percent said that mobile will be an entirely new line item.

“These findings truly validate our beliefs about the market growth for mobile advertising. However, the real insight here is the need for education and better tools and technology to capture the market potential,” said Paran Johar, Jumptap CMO. “This is a call to action for the industry to make the process smart and simple.”

The survey aggregates responses from nearly 350 mobile advertising executives including brands, agencies, publishers and technology enablers. Additional findings include:

Targeting trumps price and reach: Targeting is the most important attribute for mobile advertisers, agencies and publishers when selecting a mobile advertising partner: approximately 75 percent of mobile advertisers selected targeting as their top priority. Respondent preferences were split between price and reach: 64 percent price and 63 percent reach respectively.

Creative pricing models pique interest: 40 percent were exploring hybrid options while the other 40 percent of respondents were focused on cost-per-click (CPC).
Android focused: while Apple was hot in mobile last year, 64 percent of respondents noted that Android was a significant consideration in developing and planning their mobile campaign.
Direct response vs. branding: Advertisers were evenly split between direct response and branding campaigns with 51 percent citing awareness/loyalty and 49 percent citing customer acquisition and retention
Separate buy for publishers: Publishers are committed to the medium with 73 percent offering it as a separate buy.
Entertainment leads the way: Entertainment is the category that publishers expect to generate the most mobile ad revenue in 2011, followed by technology and automotive.
Ad networks/exchange usage remains high: 62 percent of publishers participate in a mobile ad network or exchange. Advertisers chose Jumptap third, behind Google and ahead of Apple.

About DIGIDAY

DIGIDAY serves more than 40,000 digital media and marketing executives with information and strategies on how to apply emerging technology to their day jobs. Via a series of executive-level conferences, and industry-leading publications – DIGIDAY:DAILY, DIGIDAY:DATA and its knowledge base DM2PRO.com – DIGIDAY’s brand promise is to deliver everything innovators need to know to lead the evolution of digital media and marketing.

About Jumptap

Jumptap is the leader in targeted mobile advertising. With an unmatched portfolio of technology patents, Jumptap’s data-driven solutions deliver the highest ROI for advertisers, and the best yield for publishers, across multiple platforms. The company partners with digital and media agencies, publishers, wireless carriers and brand advertisers, to deliver an array of mobile advertising solutions. For more information, visit www.jumptap.com or follow us on twitter.com/jumptap