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Why local-mobile will capture more ad dollars
Mobile was a breakout year across the majority of Centro's publisher partners in 2013. Many of them saw mobile traffic on their own sites and apps pass the 50% mark. How will local-mobile impact 2014?
Kristina: BIA/Kelsey released a report indicating local/mobile advertising will see a sharp increase over the next 4 years. Do you agree?
Katie Risch, SVP of Publisher Development, Centro: We continue to witness huge gains on local mobile revenue due to the development of a variety of technology such as Google's Enhanced Campaigns for SEM and extremely accurate hyper-local mobile display targeting. More and more brands are employing localized ad tactics to reach consumers in a personalized way that only mobile devices uniquely provide. The on-the-go media consumption on smartphones makes it easy for brands to recognize consumer purchase intent through click-to-call, click-to-map and similar location-specific activities. Looking ahead at other opportunities the BIA/Kelsey report mentioned (adoption of Facebook Sponsored Stories, native advertising, etc.) we don't see any reason for local mobile advertising to slow down any time soon.
Kristina: What is pushing the growth in local advertising?
Katie: Much of the growth in digital spend from SMB's can be attributed to increased knowledge and awareness of the digital media space. The number of digital point solution companies calling on the typical SMB has increased drastically, and these firms are selling everything from search, to hyper-local mobile, to website development. As a result, the SMB owner has increased his/her digital IQ, but is also hungry for a more streamlined way to execute local digital media campaigns. These are furniture store owners, restaurant managers, and shop owners who have businesses to run, and don't necessarily have the time to meet with and vet dozens of vendors to execute a digital marketing campaign. We expect to see more consolidation of digital solution providers in the local space, as a result. This is already happening on the national stage. Another dynamic to observe is the need for local advertisers to beef up marketing efforts because of the influx of competition from national and/or regional brands who are trying to steal market share. As a result, we are seeing more and more local brands spend more on advertising to stay relevant and top of mind with their local consumer base.
More from Katie and Centro later this week, including how device attribution is gaining ground.
Image via Shutterstock
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