There’s a difference between knowing something’s important and actually acting on it.
That’s clear from a new Interactive Advertising Bureau (IAB) report that shows that although “more than three-quarters (76 percent) of brand marketers consider programmatic buying in mobile advertising to be an important development,” few are now purchasing ads programmatically.
This research, commissioned by the IAB’s Mobile Marketing Center of Excellence and conducted by Ovum, takes a holistic look at marketers’ views of mobile.
Per the data gleaned from surveys of 200 top-level brand marketing executives, 41 percent of marketers now believe that mobile programmatic advertising “would help them reach their target audiences.” But far fewer marketers (just 27 percent, to be precise) are now buying inventory in this way.
“It is clear that programmatic advertising is strongly embedded in the minds of many mobile marketers,” said Anna Bager, Senior Vice President for Mobile and Video at IAB. “However, there is still much work to be done before mobile programmatic can reach its full potential. IAB is committed to educating mobile marketers about the benefits of this growing format and, towards that end, recently released a Mobile Programmatic Playbook. Our efforts on the mobile programmatic front have only just begun, and we look forward to increased adoption as familiarity improves.”
Also in the report: a look at what brand marketers are interested in. Hot arenas include advertising opportunities with new-generation connected devices, including connected TVs (73 percent), followed by connected cars (69 percent), and wearables (66 percent).
“The 2014 survey also asked about sources of mobile ad budgets. While a large share of mobile ad spend represents new ad dollars, about one-third came from substitution, in which funds from other media were shifted to mobile advertising,” noted the report summary. “Most widely cannibalized were print budgets, with 58 percent of respondents saying they had shifted funds from this area to mobile advertising.”
Other budgets affected by mobile ad substitution include PC/desktop digital (31 percent), TV (31 percent), Outdoor (20 percent), and Radio (18 percent).