54% Never Viewed; 35% of Viewers Never Engaged Mobile Advertising

by Jack Loechner, Aug 15, 2012, 6:15 AM

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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:

• 55% of those who have clicked on a mobile ad have an annual income of more than $75,000
• 29% of those who have clicked on a mobile ad have an annual income of more than $100,000
• 45% of those with an income of more than $75,000 have made a purchase as the result of a mobile ad
• Women expressed more interest in receiving mobile coupons (44% vs. 40% for men); however, men were more likely to redeem those coupons (35% vs. 27% for women)
• Men were more likely to make a purchase as a result of a mobile ad (68% vs. 58%).
• Men were more likely to refer a friend as a direct result of a mobile ad (52% vs. 37%)

The most interest and interactivity with mobile ads is among younger users. Among smartphone users age 25-34:

• 70% have made a purchase as a direct result of a mobile ad
• 58% would be willing to provide personal information via a mobile website if offered a reward or coupon (twice as likely as those in the age 45-54 category)
• 64% have not viewed a mobile ad from their favorite brand

And, smartphone users age 35-44 are the most interested in coupons and offers, with 63% reporting they'd be more inclined to engage with a mobile ad from their favorite brand if it included an offer or coupon.

For additional information from Hipcricket, please visit here.

 

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