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Unit 3

Mobile advertising encompasses ads on smartphones and tablets, offering benefits like extensive audience reach, cost-effectiveness, and easy tracking. Various ad formats include banner ads, video ads, interstitial ads, and native ads, each with unique features. Compliance with regulations such as the Consumer Protection Act and ASCI Code is essential for ethical mobile marketing practices in India.
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0% found this document useful (0 votes)
4 views7 pages

Unit 3

Mobile advertising encompasses ads on smartphones and tablets, offering benefits like extensive audience reach, cost-effectiveness, and easy tracking. Various ad formats include banner ads, video ads, interstitial ads, and native ads, each with unique features. Compliance with regulations such as the Consumer Protection Act and ASCI Code is essential for ethical mobile marketing practices in India.
Copyright
© © All Rights Reserved
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Q. 1. What Is Mobile Advertising Benefits Of Mobile Advertising ?

The term mobile advertising refers to any form of advertising that appears on mobile devices such as
smartphones and tablet computers. Companies advertise on these devices with text ads (via SMS), banner
advertisements, other display ads, and videos. Advertising may also be found when using downloaded
apps, including mobile games.

Here are five significant benefits of mobile advertising:

(a) Reach Your Audience Wherever They Are: Web traffic used to be dominated by computers, but since
2017, that hasn't been the case as more people have switched to mobile devices. In 2023, 54.67% of all
web traffic comes from mobile devices. There's even a growing group that only uses their mobile phones
to access the internet. When you use mobile advertising, you can better reach your target audience.

(b) Segmentation Allows You to Speak Directly to Audience Needs and Pain Points: Mobile advertising
allows you to segment your market and create targeted advertisements shown only to specific
demographics. This allows you to customize messages to speak directly to each customer's needs, which
can increase engagement and conversion rates.

(c) Cost-effective: Mobile marketing is significantly cheaper than traditional marketing techniques, and it
has a better ROI. Traditional advertising takes the shotgun approach, where an advertisement is shown to
a broad audience in hopes of the right customer viewing it. The main benefit of mobile advertising is that
there isn't as much wasted spend. Targeted mobile advertisements take a sniper approach. Rather than
wasting ads on the wrong audience members, mobile advertising tries to reach the perfect customer on
the right device at the right time, reducing wasted spend and increasing engagement.

(d) Easy to Track: Generating reports and evaluating your KPIs is easy. With more information, it's easier
to tweak and polish your campaign to increase click-through rates and conversions by making more
accurate and relevant high-quality ads.

(e) Continual Refinement: With mobile advertising, A/B testing is easy to perform to test various ad
creatives, targeting options, graphics, and CTAS. You can continually optimize an ad to create the best one
that speaks to your target audience.

Q. 2. Explain different types of Mobile advertisement?

Mobile ad formats are very diverse, you can use one ad or a combination depending on the baseline
marketing strategy. The following list includes the most common mobile advertising formats and their
main features:

(a) Banner ads: Also referred to as 'display ads', this type of advertising is the most traditional for both
mobile and desktop. The best display ad examples usually have strong call-to-action and appealing visuals.
Even though rich media tends to perform better, banners still remain popular due to simplicity, cost-
efficiency, and convenience.

(b) Video ads: For mobile advertising, video ads are especially valuable since most users prefer to watch
videos on their smartphones. They can appear on social media, within other apps, or as interstitial ads.
The best video ads are usually catchy and short since the main goal is to grab and maintain user attention.

(c) Interstitial ads: These are full-screen ads that completely overlay the screen on the user's device. They
are often placed at the logical points of interaction with mobile apps. For instance, users can often
encounter interstitials within mobile games while waiting for the new levels to load. An interstitial ad can
bring you the highest click-through rate, as It works well for capturing user attention.

(d) Native ads: Native ad formats often look natural within the app's environment and are not as direct
and loud as other types. Instead, they are treated as sponsored content and usually blend in with the rest
of the app's design. Natives are very convenient both for advertisers and users since they are less intrusive
and don't irritate most users.

(e) Social media ads: Social media mobile advertising is becoming one of the hottest mobile advertising
trends. Advertising on social media might seem like a complicated time-consuming process but with the
carefully planned strategy, these efforts get totally worth it. Facebook Ads alone can potentially reach
over 1 billion people and in combination with other social media apps, you can get even more.

(f) Gamified ads: A very promising format, gamified (or also called 'playable') ads work remarkably well if
your goal is to get more engagement. Playable ads are the most interactive ads and they naturally spark
more interest compared to other formats. A good example of a gamified ad an ad showcasing mobile
apps, that lets the user test the new game before deciding to purchase.

Q. 3. What are the Pros and Cons of Mobile Advertising?

Mobile advertising offers advantages like cost-effectiveness, targeted reach, and immediate engagement,
but also faces disadvantages such as ad-blocking, user privacy concerns, and potential for intrusive ads.

Advantages of Mobile Advertising:

(a) Cost-Effectiveness: Mobile ads are generally cheaper than traditional advertising methods like print or
television.

(b) Targeted Reach: Mobile advertising allows for highly targeted campaigns based on location,
demographics, and user behavior.

(c) Immediate Engagement: Mobile ads can reach users at the right moment, enabling immediate
engagement and action.

(d) Personalized Experience: Mobile advertising allows for personalized messaging and offers based on
user preferences and data.

(e) High Conversion Rates : Mobile ads often lead to higher conversion rates compared to traditional
advertising channels.

(f) Measurable Results: Mobile advertising allows for easy tracking and measurement of campaign
performance.

(g) Increased Brand Awareness: Mobile advertising can help businesses increase brand awareness and
reach a wider audience.
Disadvantages of Mobile Advertising:

(a) Ad Blocking: Many users employ ad-blockers, reducing ad visibility and reach.

(b) User Privacy Concerns: Data privacy regulations and user concerns about data collection and usage
can impact mobile advertising campaigns.

(c) Intrusive Ads: Poorly executed mobile ads can be intrusive and negatively impact the user experience,
leading to disengagement.

(d) Accidental Clicks : Users may accidentally click on ads, leading to wasted impressions and conversions.

(e) Platform Fragmentation: Different mobile platforms (iOS, Android) have different ad formats and
requirements, which can make it difficult to create a consistent campaign across all devices.

(f) Security Risks: Mobile devices are vulnerable to malware and security breaches, which can
compromise user data and damage brand reputation.

(g) Limited Screen Size: Mobile ads need to be optimized for smaller screens, which can be a challenge for
some advertisers.

Q. 4. Explain different types of Programmatic Ad Buying ?

Programmatic ad buying refers to the automated process of buying digital ad space using software
and algorithms. Unlike traditional methods that involve human negotiations and manual insertion orders,
programmatic advertising uses artificial intelligence (AI) and real-time bidding (RTB) to target specific
audiences with personalized ads.

At its core, programmatic buying connects advertisers to publishers via platforms such as:

 Demand-Side Platforms (DSPs): Used by advertisers to purchase ad inventory.


 Supply-Side Platforms (SSPs): Used by publishers to sell their ad space.
 Ad Exchanges: Digital marketplaces where advertisers and publishers transact in real time.

Types of Programmatic Ad Buying

There are several models within programmatic advertising, each with different levels of automation and
control:

 Real-Time Bidding (RTB): Also known as open auction, RTB allows advertisers to bid for individual
ad impressions in real time. It’s cost-efficient and ideal for wide audience reach.
 Private Marketplaces (PMP): A more exclusive version of RTB where select advertisers get access to
premium inventory from publishers.
 Programmatic Direct: Involves automated buying without bidding. Deals are pre-negotiated
between advertiser and publisher, ensuring guaranteed impressions.
 Preferred Deals: A hybrid model where advertisers can buy inventory at a fixed price before it’s
made available on the open market.

Benefits of Programmatic Advertising :

Programmatic ad buying offers numerous advantages over traditional ad buying methods:


 Efficiency and Speed: Automation speeds up the buying process, reducing human error and
administrative workload.
 Precision Targeting: Advertisers can target users based on behavior, interests, demographics,
location, and even device type.
 Real-Time Analytics: Campaigns can be optimized in real time based on performance data.
 Cost-Effectiveness: By targeting the right audience at the right time, advertisers reduce wasted ad
spend.
 Scalability: Programmatic platforms enable advertisers to reach vast audiences across multiple
channels including web, mobile, video, and connected TV (CTV).

Challenges and Concerns :

Despite its advantages, programmatic advertising comes with challenges:

 Ad Fraud: Fake impressions and bot traffic can result in wasted ad spend. Solutions like fraud
detection tools and verification partners are essential.
 Brand Safety: Ads may appear on inappropriate or low-quality websites if not properly managed.
 Lack of Transparency: The complexity of the supply chain and intermediaries involved can make it
hard to track exactly where ad dollars go.
 Data Privacy: With growing concerns around user data and laws like GDPR and CCPA, advertisers
must ensure compliance in how they collect and use data.

The Future of Programmatic Advertising :

As technology advances, programmatic advertising continues to evolve:

 Artificial Intelligence and Machine Learning: These tools are making targeting and optimization
even more sophisticated.
 Programmatic TV and Audio: The model is expanding into new formats like connected TV,
podcasts, and streaming platforms.
 Cookieless Targeting: With third-party cookies being phased out, the focus is shifting toward first-
party data, contextual advertising, and alternative identifiers.
 Sustainability in Ad Tech: New initiatives are being developed to reduce the carbon footprint of
digital advertising campaigns.

Programmatic ad buying has transformed the digital advertising landscape by automating and
optimizing the buying process. It offers powerful tools for targeting, measurement, and scalability, but also
demands careful management to address issues like fraud, transparency, and privacy. As the industry
moves forward, embracing ethical practices and innovative technologies will be key to maximizing the
value of programmatic advertising. For marketers and advertisers, understanding this dynamic ecosystem
is essential to staying competitive in the digital age.

Q. 5. Explain different Most Popular Mobile Loyalty Programmes ?

Digital loyalty card identifier:

Mobile loyalty apps provide a convenient way to engage in a loyalty program directly from a smartphone.
The shift from physical loyalty cards and stamps to loyalty apps undeniably makes life easier for customers,
They can genuinely engage with the program by quickly accessing rewards, tracking their points, redeeming
offers, and receiving personalized promotions anytime, anywhere.

Scan & earn: collecting QR codes on Pampers packs:


The "scan and earn" mechanic in mobile loyalty apps involves customers scanning specific items, QR codes,
or barcodes to earn rewards and in-app currency such as points. The mechanism uses the smartphone's
camera function to scan and capture information, which is then transferred to the loyalty gram and
rewards system. For companies, such a mechanic customers actively participate. in scanning activities. It
also ps increase engagement and improve interactions, as allows companies to gather valuable data on
people's behavior, duct preferences, and buying patterns.

Loyalty rewards catalog: The loyalty rewards catalog allows customers to browse and redeem rewards and
benefits loyalty program offers. It's like a digital store where loyal embers can see all the available rewards
and find out how to e the loyalty points or reward currency they've earned. The mechanics of the loyalty
rewards catalog are designed to provide buyers with a wide range of enticing rewards and benefits,
Increasing customer engagement and brand loyalty. The catalog also serves as a platform for companies to
show If their offerings and give customers extra value beyond their main products or services.

Loyalty coupons: The loyalty coupons mechanics involves the distribution and redemption of digital
coupons as part of a loyalty program. These coupons are specifically designed to incentivize and reward
customers for their loyalty and encourage them to make purchases, boost repeat business, and provide an
added sense of value and exclusivity.

Dynamically generated tiers: The tiers mechanic in the loyalty mobile app refers to a system where
customers are placed into different tiers or "levels" as part of loyalty program membership based on their
engagement, spending, or other predefined criteria. These tiers provide varying levels of benefits, rewards,
and privileges to customers, encouraging them to continue to engage with the brand, and ultimately
solidifying their allegiance and commitment to the brand.

Trackable achievements: The concept of trackable achievements in mobile loyalty apps revolves around
establishing specific objectives or benchmarks for members to attain as a part of their participation in a
loyalty scheme. These objectives are usually linked to particular activities, habits, or spending levels, and
offer customers extra rewards or advantages upon successful completion.

OCR (Optical Character Recognition): The OCR (Optical Character Recognition) mechanics in mobile loyalty
apps involve the use of technology to extract and process text information from images or documents
captured by smartphone cameras. This functionality enables the app to automatically recognize and extract
relevant data, such as barcodes, QR codes, receipts, or other textual information, to enhance the user
experience and streamline processes within the loyalty program.

Q. 6. Explain various Mobile marketing Rules and Regulations in India?

In India, mobile marketing is governed by regulations ensuring consumer protection and ethical
practices, including The Consumer Protection Act, 2019, and the ASCI Code, which emphasizes truthfulness
and fairness in advertising.

Here's a breakdown of key rules and regulations related to mobile marketing in India:

1. Consumer Protection Act, 2019 :

False and Misleading Advertisements: This act of provides regulations against false and misleading
advertisements, ensuring that consumers are not misled by deceptive marketing practices.

Central Consumer Protection Authority (CCPA): The CCPA is the central authority responsible for issuing
guidelines and regulating matters relating to consumer protection, including preventing unfair trade
practices and false/misleading advertisements.
2. ASCI Code (Advertising Standards Council of India):

Self-Regulation: ASCI seeks to ensure that advertisements conform to its Code for Self-Regulation, which
requires advertisements to be legal, decent, honest, and truthful, and not hazardous or harmful, while
observing fairness in competition.

Ethical Advertising: The ASCI Code promotes ethical advertising practices, ensuring that marketing
campaigns are not deceptive or misleading.

Guidelines and Regulations:

(a) Ensure that you are sending information to consumers who have chosen to opt-in to receive it.

(b) Send your mobile SMS messages using the same short code (short phone number) that consumers text
a keyword to to opt-in to your materials.

(c) Content should be focused on your brand and products.

Should not stop companies rom collecting experience in the field of automatic resizing by working along
their own guidelines. Advertisers are advised to ensure that their creative is suitable for automatic resizing,
especially in cases where visual detail is essential.

7. Explain the key steps to mobile marketing compliance ?

Fortunately, compliance is straightforward when you now the rules. With a little care, you can
design a compliant campaign and send SMS messages with confidence.

(A) Get express consent: Here are four common methods:

i) Texting keywords: Keyword text sign-ups make it simple to give consent. Just ask customers to text a
specific word to a phone number to opt in. Using different key-words for specific kinds of messages lets you
target messages more easily, and you can choose keywords that reflect your brand's personality to increase
engagement.

ii) Sign-up widgets: Many businesses host a sign-up widget on their app or website. Typically, it opens the
customer's mobile inbox, and then they text to give con-sent.

iii) Web forms: A signup form on your website provides a checkbox to affirm consent and presents your
terms and conditions, as well as the privacy policy. (Bonus: you can Capture and request consent for both
email and SMS marketing with just one form.

iv) Paper forms: This is a less convenient approach, but some businesses use it if they send other paper
forms in the mail or gather sign-ups at in-person events.

(B) Provide required disclosures at opt-in: Whatever consent method you use, you must share the
following with the subscriber:

i) Company name: Include your company's legal name or ABN/DBA.

ii) Campaign purpose: Say what you will be sending: alerts, marketing messages, sweepstakes, etc. You
cannot use consent for one type of campaign for another (like infor. mational versus marketing), so be
specific!
(iii) Message frequency: Give the number of messages you plan to send per month.

(iv) Message and data rates: Some people must pay to receive messages, and if they click your links, they
might use data. Explain that message and data rates may apply.

(v) Terms and conditions: as well as privacy policy. You don't have to include the full text of these
documents, but you must tell the subscriber where to find them.

(C) Send an appropriate confirmation message: Each new text subscriber should receive a confirmation
message, like this example :

AstraBelle: Thank you for signing up! Use code SMSAstra for 10% off your next order. Msg&Data rates may
apply, up to 4 msgs/month. Reply HELP for help and STOP to cancel.

You must include:

(a) Your company name or ABN/DBA.


(b) Expected message frequency.
(c) Potential for message and data charges.
(d) Simple instructions for opting out.

(D) Publish terms and conditions and privacy policy: You need SMS-specific terms and conditions, separate
from your standard terms and conditions. If you don't have these already, take a look at the example at the
end of this post for template. You'll likely need to update your privacy policy as well. For example, sharing
information like mobile numbers with third parties or affiliates is prohibited.

(E) Never send prohibited content: SHAFT stands for the top five prohibited SMS topics: sex, hate
(including threats of violence, hate speech, or graphic violence), alcohol, firearms, and tobacco. Texting
about these topics could result in an immediate ban, if not legal action, from phone carriers. There are
some exceptions for alcohol and tobacco if you do appropriate age verification and tracking.

(F) Keep every campaign compliant: Once you have consent, you must honor it to remain in compliance, as
well as to maintain good relationships with your customers. In addition avoiding prohibited content, keep
these tips in mind as you're creating campaigns and managing your subscriber lists:

Include your business name in every message.

(a) Make sure every campaign falls within the specific consent provided by the recipients. If you've
gathered consent for different kinds of messages, be sure your segmentation is targeting the right
audience.

(b) Include opt-out instructions with every text as a best practice. It's far better to have customers opt out
than to report your messages as spam because they can't figure out how to unsubscribe.

(c) If a customer opts out, they should never receive an-other message (other than a confirmation that they
have been unsubscribed). Be sure your automated messaging platform instantly unsubscribes people who
request it.

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