Mocean Mobile’s Julie Preis To Speak at Application Developers Alliance Event in NYC

By Amy Vale

Mobile advertising is futile without the right mobile ad serving technology behind it to deliver results. Without the right tools and ad serving platforms, monetization will continue to remain a challenge for publishers and app developers. Helping developers find smart, effective ways to monetize their apps will be the topic of conversation at a panel hosted by the Application Developers Alliance, which takes place at the IAC Building in New York City on Tuesday, October 9^th. And we’re excited to report that our very own Julie Preis, SVP, Product Management, will be speaking on the Platforms/Tools panel at 12:45pm, and she will be joined by highly respected mobile advertising executives from Localytics, Double Positive and TapJoy.

The event will be live streamed across the Application Developers Network and, of course, you’ll be able to see all of the monetization action and dialogue on our Facebook and Twitter pages as well.

Three Rules For Luxury Mobile Monetization

By Amy Vale

What’s the first thing that comes to mind when you think of the word “luxury”? For me, it’s usually exquisite craftsmanship, beauty, privilege and a sense of exclusivity. Wealthy Americans, better known as that group of consumers earning a minimum of $150,000 a year, are apt to use their mobile devices for all kinds of activities associated with the purchase funnel. According to a study by The Luxury Institute and Plastic Mobile, 60% of wealthy Americans owned a smartphone, of which more than 80% had downloaded an app. The study goes on to show that mobile luxury shoppers are most interested in using apps to gain access to discounts. 46% of those who had downloaded or planned to download any mobile app said they expected a luxury app to provide them with a loyalty program. Early access to sales was the second-highest anticipated app feature, at 45%. For publishers and app developers, understanding these consumer perceptions will go a long way in serving up mobile advertisements onto smartphones and tablets that are relevant, engaging and, most importantly, deliver consistent revenue. Now, let’s look at three ways luxury publishers and app developers can maximize their monetization strategies.

Integrate banner ads into mobile-optimized luxury sites

The biggest benefit of a mobile-optimized site is that it can be used in conjunction with many mobile functions. So understand the type of ad content that will appeal and resonate with luxury mobile shoppers. For example, don’t try to do too many things with mobile banner ads. Less is more. Focus on one clear call-to-action that will increase clicks, downloads and eventually revenue. By doing so, publishers and app developers will be well on their way to monetization.

Deliver exclusivity via “insider access”

Luxury connotes a sense of exclusivity and “insider access.” Leverage that quality by serving mobile ads with exclusive content via rich media and mobile video. By serving mobile ads that are entertaining, engaging and, most importantly, let mobile luxury shoppers experience “never seen before” content will be an effective monetization strategy for publishers and app developers. In the case of luxury carmaker LandRover, video has proven to be a key piece of their mobile-focused advertising strategy. During the pre-launch of its 2012 Range Rover Evoque, Land Rover introduced a mobile app called Pulse of the City and also created an interactive online movie in hopes of entertaining and informing its early-adopter, tech-savvy target audience.

Leverage “appvertising” within gaming apps

Earlier this year, Juniper Research released its “MobileAdvertising: Messaging, In-App and Mobile Internet Strategies 2012-2017” report highlighting what brands are doing well, and not so well, to monetize apps and mobile sites. The report projects that in-app mobile advertising spend will reach $10.4 billion by 2017. Clearly, apps aren’t going anywhere any time soon, so understanding where, when and how to serve up mobile ads within apps is most important for publishers and app developers right now. One tactic to create a consistent funnel of revenue for app developers is to deliver ads within gaming apps. As recently as a few weeks ago, Toyota’s luxury brand Lexus hedged its mobile bets on video ads within the gaming app Gems With Friends. Video ads of the new Lexus ES model are served to Gems With Friends players, and then connect Gems With Friends players to the Lexus Facebook page. What’s important to understand is that not every gaming app will be the right place for publishers and app developers to serve up ads. Figuring out the right time, the right place and the right message will make monetization feel much more attainable for app developers. 

Why Mobile Political Ads Are Here To Stay

By Amy Vale

The political landscape has changed considerably over the last several years, especially when you look at where and how people vote. Historically, people voted at polling stations located near their homes or offices, and it was standard practice for voters to receive “house calls” from political constituents looking to drum up support for a specific socio-political issue and fundraise. That’s all begun to change with the proliferation of smartphones and tablets and consumers’ increasing dependence on these small screen devices. Now people are using these devices to research social, political and economic issues affecting the country and the world, read news about political candidates, and even promote fundraising events.

In the context of this year’s Presidential Election, mobile is one channel that’s already getting the attention and advertising dollars of both Obama and Romney in their race to win the hearts and votes of Americans. So what’s the draw for publishers and app developers to make the most of mobile political ads? What are the best ways to monetize mobile political ads? According to eMarketer, video will account for 5.8%, or $151.5 million, of the year’s $2.61 billion total mobile ad spending in the U.S.

As the race to the White House heats up over the next few months, we’re seeing an increase in the use of mobile video and rich media ads within mobile sites and apps like Pandora and Facebook. The reason being is simple – both are smart ad-supported channels that reach millions of mobile users daily. By serving political ads that are engaging, relevant and entertaining within these apps and mobile sites, publishers and developers can effectively drive an increase in clicks, conversions and revenue. eMarketer estimates that by the end of 2012, nearly 82 million Americans will access a social media site on their mobile device. In fact, over 70% of music listening on Pandora happens on mobile, or “off the computer,” (in July, total listening hours hit 1.12 billion), and Facebook said last month that 543 million, more than half of its users, access Facebook from a mobile device. If there’s one thing we can be sure of, it’s that mobile political ads are here to stay and can create a consistent revenue stream for publishers and app developers.

Of course, one of the biggest assets of mobile devices is the ability to target users based on their location, time of day, device type and device features. For mobile political ads, the monetization that can result from delivering intuitive, targeted mobile ads across smartphones and tablets is very important. For example, mobile ads targeting voters in a typically “blue”, or Democratic state such as New York, will likely have higher engagement rates.

Last, but certainly not least, it’s important for publishers and app developers to pay close attention to the actual design and user experience of mobile political ads themselves. Less is more. Instead of pushing multiple messages through a banner ad, it’s better to focus on one particular call-to-action. With consumers apt to want information fast and delivered easily, the user experience should be a top priority in delivering mobile political ads. So, ensure that banner ads support this type of mobile usage/behavior to drive deeper and longer engagement (thus resulting in that all important metric – revenue and ROI).

What types of innovation would you like to see in mobile political ads? Would you be more responsive to a mobile ad that positioned a candidate in a negative light? How do you plan to use your smartphone and tablet in the days leading up to the Presidential Election? Tell us on our Facebook and Twitter pages.

Rejuvenate Your Health & Fitness App Monetization Strategy

By Amy Vale

There are over 40,000 health and fitness apps out there, and that number is climbing fast. Not to mention, these healthy apps are expected to bring in $1.3 billion in 2012, according to a Research2Guidance report. If you have any doubts or skepticism as to just how lucrative the health and fitness app market really is, take a look at these numbers. About 33% of people with smartphones in the U.S. tracked their diet or their exercise routines with their mobile devices, a comScore representative told the New York Times in April. comScore said that for tablet users the numbers climb a bit: 35% used the devices to track diet and 39% used tablets like the iPad to track their exercise. Clearly, the time is ripe for publishers and app developers to grow their mobile revenue through health and fitness app advertising.

Gone are the days when publishers and app developers rely on pay-per-download apps as their sole source of revenue. While the Freemium model isn’t going anywhere, we’re seeing a shift in the monetization tactics used to generate revenue from mobile apps, specifically using in-app ads and in-app purchases. First, health and app developers need to dig into the who, what, where and why their apps are being used. Who are the targeted “power” users of these apps? How likely are users to view and interact with ads that appear in health and fitness apps? What types of information and content is of interest to these users and what ad format would drive deeper engagement? By answering these questions, app developers can serve up ads that are more relevant, targeted and engaging. As a result, mobile traffic and revenue will undoubtedly surge.

Of course, we can’t ignore a huge “power” market for health and fitness apps – mobile moms. Moms are often referred to in the medical community as “Chief Health Officer”, and today’s mom has an even greater reliance on her smartphone or tablet to keep her family healthy, wherever she may be. Recently, our mobile ad network Mojiva released its “Moms on Mobile” report, which revealed that one-third of moms own a connected device and they spend an average of 6.1 hours a day on their smartphones – that’s more than the time spent reading magazines, watching TV or listening to the radio. Plus, 62% of these mobile moms use shopping apps and 46% took action after seeing a mobile ad. To this group of “power” users, mobile is more than just another channel; it’s an essential component of their everyday routine. These connected moms are sleeping with their mobile devices next to their bed andthey’re scrolling through emails and social updates first thing in the morning. They’re tracking their family’s health and fitness goals on these small screens (i.e. calories burned, miles run, healthy recipes). And they’re even using the devices to research more serious health conditions such as Diabetes and Heart Disease. According to a Baby Center study, one in three moms used her smartphone for health purposes, compared to 22% of the general population. Further, a Baby Center “Dr. Mom Study” showed that nine out of 10 moms who own smartphones used the devices to research health conditions.

When it comes to health and fitness apps, it’s all about the user experience. Is it engaging? Does it provide useful and relevant health tips and information? How often do users use the app? Much in the same way the user experience impacts how users engage with an app, this same “usability” factor should be taken into consideration when serving up ads within an app. For instance, rich mobile ad units, such as expandable banner ads, click to social and video, can meet these “usability” needs and, in doing so, ensure that publishers and app developers achieve optimal ROI and deliver against their KPI metrics.

In addition, in-app purchases are also being hailed as a smart and effective monetization route. According to a recent study conducted by IDC and Appcelerator, 50% of developers say that in-app purchases will be the most important monetization strategy, tying with app store sales. In the case of health and fitness apps, a lot can be learned from gaming app developers who create ongoing revenue streams through in-app purchases, also referred to as “tokens” or “power ups.” Much like Words With Friends and Angry Birds, power users are fiercely loyal and will be more receptive to make in-app purchases once they’ve used the app more than 10 times. These in-app purchases, or “tokens,” can be redeemed for a number of “goods,” including gym discounts and exercise video packs. The more relevant and targeted these in-app purchases are, the greater likelihood they will make money long-term for publishers and app developers.

Health and fitness apps are here to stay, that’s for sure. What remains to be seen is how publishers and app developers will turn what some may call a “fad” into a long-term, lucrative business that deliver real revenue and ROI. 

iOS 6 Software: A Boon For Mobile Revenue

by Amy Vale

Apple fans all over the world are waiting with bated breath for the release of the new iPhone 5. Images of the new device and snippets of information continue to be leaked, but there’s still some time before we’ll hold the latest iPhone in our hands. With a host of incredible new developments and features, the iOS 6 software has the potential to boost mobile revenue (in big ways) for publishers and app developers.

To begin with, the iPhone’s Siri voice-recognition technology is expected to undergo some massive improvements. The new software will allow users to launch applications and games directly from within Siri, thus opening the door wide for mobile monetization. As a result, we anticipate seeing more advanced functionality and features within apps in general, and in turn this will allow publishers and app developers to serve up in-app ads that are smart, engaging and relevant to users’ needs, and a better ROI on their marketing dollars.

The new software also plans to make significant changes to Facebook access and bring about more complete integration with other apps and device features across the board. Some of the changes will include accessing Facebook from within the iOS 6 platform itself-which will integrate seamlessly via Siri, the Notifications Center, status updates and more, so users can share their favorite apps across social networking sites. All of these updates in time will allow publishers and app developers to get more bang for their buck with the use of in-app ads and in-app purchases on the new iPhone 5.

As another example, Fly Over is Apple’s new map application, a 3D photographic model of cities in the same vein as Google Earth. Not only will this new app be a big feature of the iPhone 5, but the iOS 6 software has also fully integrated Siri into the rest of the device’s features so the maps are voice-navigation compatible. Apple has also wisely tied this into millions of businesses so it will be easy for users to get information or read customer reviews from, for example, Yelp while still using the map app. From publishers’ and app developers’ perspective, this feature could be a platform for new forms of mobile targeting.

The reports are also saying that new software plans to use geo-fencing technology to upgrade the phone call features of the iPhone. For example, users can be reminded to call a particular person when they have left or arrived at a particular location. It will be interesting to see how publishers and app developers leverage specific parameters of mobile targeting, including day-parting, geo-location, contextual keywords, device type and device feature, to serve up ads and boost clicks, impressions and revenue. Targeting isn’t the only path for monetization with this new iOS 6 software; we already know that video viewing and social networking on Smartphones are on the rise. In fact, eMarketer estimates that by 2016, more than 110 million Americans – or one-third of the total U.S. population – will watch video content on a mobile phone at least once per month. Perhaps we’ll see mobile ads served up on the iPhone’s hugely popular video-calling application – FaceTime.

Lastly, another great iOS 6 feature is a new app that lets users merge all of their passes and tickets into one location. Essentially, users can store their movie tickets, boarding passes and store cards in one single location. What’s more is that when users enter a movie theater, their movie ticket will pop up on the small screen of their mobile device. This poses a huge opportunity for publishers and app developers to serve up ads across iPhones that are specifically targeted and relevant to where users are located, what they’re doing and what types of content they prefer to engage with.

How can iOS6 create ongoing revenue streams for publishers and app developers? Is monetization a top priority for publishers and app developers leading up to Apple’s anticipated release of the iPhone 5? Feel free to tell us your thoughts here, or on our Facebook and Twitter pages.

Mobile Dating Steers Publishers & App Developers To Monetization

Mobile Dating Steers Publishers & App Developers To Monetization

By Amy Vale

Finding love and romance isn’t always easy, especially in a world where people live on-the-go and are always rushing to the next activity with multiple devices in their hands. It’s this very rushed style of dating that’s driven the huge surge in popularity of online dating sites. And that popularity is moving to the small screen too, as mobile dating is on pace to overtake online dating as the preferred channel for finding love around the world. Statistics now say that 80% of single people prefer mobile dating apps over online dating sites. If that isn’t proof enough, a Snap Interactive survey of 50,000 people found that four out of five single people prefer using Smartphones to get dates, compared to online dating sites. With the number of mobile users worldwide rising at a pace faster than we could imagine, how can publishers and app developers monetize the high traffic of mobile users searching for love on-the-go?

According to a New York Times article, mobile dating apps are fast becoming the favored method of finding love due in large part to the ease of use and immediacy offered by location-based targeting capabilities. Essentially, users can flirt and set up dates at a much faster rate on their mobile devices. With the added benefit of “instant dating,” these app users can find someone with similar interests who is nearby instantly. So how can publishers and app developers prevent their dating apps and mobile sites from becoming a one-hit wonder and generate consistent streams of revenue from them?

Since a growing number of mobile dating sites and apps leverage location-based features, using geo-location targeting in the mobile ads and in-app ads has tremendous value because they fill the instant and local needs of mobile daters. In late 2011, the hugely popular online dating site OKCupid delved into the mobile world with its ‘OKCupid Locals’ app. The dating site’s bid to monetize with mobile is a very smart move, and exactly the type of mobile move analyst Mary Meeker would approve of. OKCupid Locals has found that a tenth of its 2.5 million active members use the location features within the mobile app. Given these high numbers, location-based targeting will make mobile ads a lucrative business for publishers and app developers. Imagine a thirty-something female professional sitting at a local coffee shop on a Saturday afternoon, idly browsing through the OKCupid Locals app on her Smartphone. Geo-location targeting ensures that the mobile ads served within the app on her Smartphone are geographically relevant to her. When it comes to dating, the more relevant and targeted these ads are (whether on a mobile-optimized dating site or app), the greater the likelihood of converting mobile site visits into a consistent source of revenue.

Another way to monetize these dating apps and make them stand out from the pack is the Freemium model, whereby it’s free to download an app initially and a healthy portion of revenue comes from in-app purchases. According to IHS iSuppli’s market intelligence, revenue from in-app purchases is expected to increase to $5.6 billion in 2015, up from $970 million in 2011, and will account for 64% of total market revenue. To make the case for in-app purchases in the world of love and flirting, let’s look at one app that’s monetizing a bit differently from other socially-driven apps like Instagram, Pinterest and Tumblr. Skout boasts some pretty serious engagement numbers asthe dating app supports 300 million messages a month,  its average user checks in about 8 to 9 times a day and it’s signing up about one million users each month. Instead of using mobile ads, Skout’s mobile revenue stream comes in large part from in-app purchases. Essentially, Skout app users can purchase “points” which can be used in a number of ways, including sending virtual gifts, seeing who is viewing their profile and sending “wink bombs.”

Clearly, mobile dating is gaining favor with consumers around the world. And the benefits of finding instant, local love on the small screen aren’t only confined to daters; there’s plenty of revenue to be made long-term following the route of in-app ads and in-app purchases.

The Monetization Rush For Mobile Payment Apps

By Amy Vale

As people trade in their older, clunkier mobile phones for sleeker, more advanced Smartphones and tablets, the number of benefits to their lives increase exponentially. That can be said for the mobile shopping experience, with the percentage of mobile shoppers who are Smartphone users jumping from 75% in 2010 to 93% in 2011. With this up shift in mobile use, so does the need for retailers to create a seamless shopping experience for their customers, both offline and online. As retailers rush to adopt mobile-first strategies, we’ll likely see the release of more mobile payment apps to cut down on time shoppers spend waiting in line at their stores, much like the one launched by Carphone Warehouse last week. But how (well) will publishers and app developers cash in on these mobile payment apps?

We already know that consumers aren’t as frustrated or averse to seeing mobile ads, as we once thought. In fact, the Interactive Advertising Bureau reports that 76% of mobile commerce users used their mobile devices in the retail store, and 22% of mobile commerce interactions were driven by a mobile ad. To monetize mobile payment apps, it’s not enough for publishers and app developers to simply make the decision to develop in-app ads. If publishers and app developers want to see those ads drive a significant portion of overall revenue, they must embody, respect and enhance the overall user experience. And that may very well mean abandoning banner ads and pre-roll. Instead, in-app ads for these mobile payment apps must tell a visually interactive, compelling and relevant message to users. For instance, if a regular JC Penney customer is using their Smartphone to play a gaming app, they’ll be more responsive (and interested) in interacting with an ad that says: “Interact with this JC Penney ad and receive 5 free power-ups.” What this means is that delivering the right in-app ad at the right time can effectively increase the number of clicks, impressions and revenue that publishers and app developers see. For mobile users, it’s a win-win situation because they not only get to enjoy playing the gaming app, but they’re given ads that are both interactive and relevant to their needs (super gaming users want more power-ups). For publishers and app developers, being strategic in the types of ads delivered to Smartphones and tablets will ensure greater ROI and revenue.

To top it off, just last week a group of 14 merchants including Wal-Mart Stores Inc., Best Buy and Target Corp. (calling themselves Merchant Customer Exchange, or MCX) announced plans to create a mobile payment app that would give some of their competitors a serious run for their money. In addition to creating a convenient and seamless shopping experience, the payment app plans to integrate ads offering personalized deals, promotions and coupons to customers.

The reality is that there is a systematic cultural shift happening in retail – consumers are coming to assume mobile, from full-featured apps to mobile websites, will be a large part of the shopping experience. It will not only assist shoppers in getting the right information, products and services before they arrive at brick-and-mortar stores, but these new technologies will also simplify and improve the in-store shopping experience tremendously. So the important lesson here is that publishers and app developers need to custom-build and design in-app ads that are innovative and interactive, without interrupting the overall user experience.