New Report by BIA/Kelsey Focuses on Measuring Mobile Advertising’s Effectiveness

January 16, 2014
Press Releases

‘Attribution: The Next Phase in the Age of Mobile Advertising’ spotlights the reality that most U.S. retail spending happens offline but is increasingly influenced by mobile engagement

CHANTILLY, Va. (Jan. 16, 2014) – A new report by BIA/Kelsey reveals the tipping point for advertisers embracing mobile will arrive this year. Improved location targeting, such as geo-fencing, demonstrates the ability to influence consumers’ offline purchase decisions. “Attribution: The Next Phase in the Age of Mobile Advertising” is available as a free download on the BIA/Kelsey website.

“Mobile holds a 12 percent share of consumer’s current media consumption, but has a disproportionately low – three percent – share of U.S. ad dollars,” said the report’s author Michael Boland, vice president of content, BIA/Kelsey. “However, we see a few factors that will counterbalance this in the coming year, including location-targeted ads and the ability to measure effectiveness through attribution technologies.”

BIA/Kelsey’s U.S. Local Media Ad Forecast projects the breakdown of ad dollars associated with location-targeted campaigns to be 37 percent of total ad revenues ($1.4 billion) in 2012 and growing to 52 percent ($10.8 billion) by 2017.

A term gaining recognition by marketers is attribution, which involves measuring advertising effectiveness and its return on investment. The report examines ways mobile advertising and attribution are materializing, how mobile location data is playing a central role in these approaches and where they’re moving next.

The report classifies developing attribution methods in three ways: location data analysis, (tracking users spatial behavior post ad exposure); panel data (tracking large samples of mobile users to derive insights); and offline purchase data (correlating lifts in sales to ad effectiveness).

Mobile adoption, especially by brand advertisers who spend the most on mobile advertising today, is driving demand for more precise ROI metrics. As this trend continues, development of attribution solutions will accelerate. For advertisers, publishers and ad tech players, attribution tactics will involve a combination of methods outlined in the report.

About the Report

“Attribution: The Next Phase in the Age of Mobile Advertising” was produced with Verve Mobile – www.vervemobile.com – a pioneer in location-based mobile advertising.

Chapters in this 20-page report include:

Location saves the day
Location targeting’s problems (and solutions)
Location powered “big data”
Drilling down on attribution
Location data analysis
Third party/panel data
Offline purchase data

The report can be downloaded here: www.biakelsey.com/Research-and-Analysis/Reports/Sponsored-Research/Mobile-Advertising-Attribution.asp.

BIA/Kelsey Sponsored Research

BIA/Kelsey Sponsored Research is commissioned by companies that wish to spotlight areas of coverage around their expertise. BIA/Kelsey maintains full editorial control and applies its longstanding standards of editorial practice and objective market analysis. Companies interested in contracting BIA/Kelsey to cover a particular topic or profile sectors of local media innovation should contact spasswaiter@biakelsey.com for more information.

About BIA/Kelsey

BIA/Kelsey advises companies in the local media space through consulting and valuation services, research and forecasts, Custom Advisory Services and conferences. Since 1983 BIA/Kelsey has been a resource to the media, mobile advertising, telecommunications, Yellow Pages and electronic directory markets, as well as to government agencies, law firms and investment companies looking to understand trends and revenue drivers. BIA/Kelsey’s annual conferences draw executives from across industries seeking expert guidance on how companies are finding innovative ways to grow. Additional information is available at https://www.bia.com, on the company’s Local Media Watch blog, Twitter (http://twitter.com/BIAKelsey) and Facebook (http://www.facebook.com/biakelsey). Stay connected by subscribing to the firm’s bi-monthly newsletter.