According to the 2012 Mobile Advertising Survey by Hipcricket, young (ages 25-34) customers have the most interest and interactivity with mobile ads. 70% have made a purchase as a direct result of a mobile ad, and 58% would be willing to provide personal information via a mobile website in return for a reward or coupon, twice as likely as those in the 45-54 year old category. 48% of these young customers think more positively about their favorite brands after interacting with them via their mobile device, significantly more than any other age group. Overall, consumers who are familiar with mobile ads are comfortable making purchases or recommendations using them, but many still haven’t viewed them. 46% of smartphone owners have viewed a mobile ad, and 64% of those who have viewed an ad have made a purchase as a result of mobile advertising. However, more than half have never viewed a mobile advertisement on their phone, notes the report. There is a social, in the classic “sharing” sense of the word, element to mobile advertising too, as 45% of users have referred a friend to a product or service as the result of seeing or engaging with a mobile ad. Men are more likely to refer a friend as the result of a mobile ad than women (52% vs. 37%). Consumers have viewed and engaged with a variety of types of mobile ads, primarily mobile banner ads and SMS/text-based ads. Types of Mobile Ads Viewed (% of Responses; Multiple Response OK) Ad Type% Viewed Mobile banner 70% SMS/text message 44 Ad within a mobile game or app 42 Mobile video 38 Mobile email 31 Source: Hipcricket, August 2012 The primary means of interaction, says the report, has been clicking/tapping an ad (38%), followed by mobile coupon, clicking on a sponsored link in a text message, downloading an application, or viewing a mobile website. Engagement With Ads Viewed (% of Respondents; Multiple Choice OK) Engagement% of Respondents Clicked or tapped mobile ad 38% Never engaged mobile ad 35 Redeemed mobile coupon 31 Clicked sponsored ad in text message 29 Downloaded advertised app 28 Visited mobile website 25 Source: Hipcricket, August 2012 For those who have yet to engage with a mobile ad, the reasons were varied, led primarily by context: 43% stated the ads weren’t relevant to their interests and 39% responded that “it did not appeal to me.” Reasons For Not Engaging With Mobile Ad (% of Respondents) Reason% of Respondents Not relevant to personal interest 43% Not appealing 39 Thought it was spam 31 Unsure of source 21 Other 13 Inoperative on phone 4 Source: Hipcricket, August 2012 Consumers would be more likely to engage with brands if they include a reward, coupon or deal (58%), says the report. 44%are willing to exchange personal information in return for a reward, coupon or deal. Yet, to date just 28% have done so. Significantly, an overwhelming 74% of consumers say that their favorite brands are not advertising to them on their mobile device—a significant missed opportunity. Finally, demographic differences are summarized: