Location-based Mobile Advertising: A New Data Frontier - The Place Conference, Chicago, September 21

By: Verve Enterprise
Published Thursday, Sep 22, 2016



Location-based Mobile Advertising: A New Data Frontier - The Place Conference, Chicago, September 21

Location-based advertising is more than geo-fencing. It is a new data frontier that lets marketers better understand consumers by tapping into real-world behavioral data about where people go and what they do.

Pehr Luedtke, SVP Business Development at Valassis Digital and Melanie Kalemba, GM of Enterprise at Verve Mobile spoke at the Place Conference— a one-day event in Chicago, on cross-platform proximity marketing, indoor experiences and location analytics. Pehr and Melanie discussed how Valassis Digital are using this data-driven advertising to deliver ads that are personally meaningful, contextually relevant and ultimately high-performing.

Melanie and Pehr explained how using location data at each point of an end-to-end solution is key to realizing the full potential of mobile advertising:

Citing a report by Yahoo’s analytics business Flurry, Melanie said, “Nowadays, we are practically connected to our phones. What’s the first thing we do in the morning and the last thing we do at night? Well, for many of us it’s looking at our smartphones. On average, American’s spend more time on their phone than they do with any other screen, even television.”

Pehr added, “It’s because of this that mobile and location are becoming more and more linked.  The connected consumer delivers a constant stream of data about where she goes and when she goes there.  This enables you (the advertiser) to message people who would genuinely be interested in your product or service. After, you want to know that your ad investment delivered a return— that it compelled people to visit your store.”

The first ingredient is good data. “It’s critical,” said Melanie. “You can’t rely only on the exchanges to power a location-based ad solution. Up to 80 percent of exchange location data appended to ad impressions is inaccurate or unreliable. That means you can’t be sure ads are delivered where they should be, or that you are reaching the right person,” she said, referencing eMarketer’s recent report, Location Intelligence, H1 2016: Guidance for US Marketers on Consumer Behavior, Data Quality and Mobile Marketing Tactics.

Melanie went on to explain, “our solution to the data quality issue is to work directly with the publisher. That way we have data we can trust. Location based advertising is only as good as the data that powers it. Once you’ve got good data. You can use it to understand consumers. Location-based advertising is much more than geo-fencing— that’s kind of our mantra. We use location data to understand the things shoppers really care about; what they love to do; what they want to shop for. As a consumer, where you go defines who you are.”

Pehr added, “that’s exactly what we did on a recent ad campaign for a furniture store that was offering a holiday promotion. The advertiser was looking to reach millennials, mothers with children in the household, and people who frequently shop at home stores. We used behavioral location data— for example if they frequent children’s clothing stores or day care centers— to reach these types of shoppers.”

“Reaching the right person is the first step. Next, you need a great ad. Advertising should offer value,” Pehr continued. “We used high-impact carousel units that showed off the products and offered incentives to come to the store. They connect right back to the ad campaign. Finally, the ads were dynamically powered with location data, showing distance from the store, offering a map with directions, and highlighting other store locations. All of this was immediately connected to where the consumer was at the moment they were viewing the ad.”

Melanie added, “although we didn’t use it here, it’s feasible to measure the campaign’s impact on in-store visits with other data driven-capabilities. That’s a powerful capability— measuring incremental lift in store visits by comparing visit rates of people who saw the ad to those who didn’t."

And there you have it, location data powering a full end-to-end mobile advertising solution; creating audiences based on where people go; making the creative more useful by providing dynamic maps and distance information; and finally, measuring success by analyzing the increase in foot-traffic. That’s how to make the most of mobile, anything else is just digital advertising.

To learn more about Verve:

http://www.vervemobile.com/

https://twitter.com/vervemobile

https://www.facebook.com/VerveMobile

https://www.linkedin.com/company/vervemobile