the rise of solomo in local advertising budgets

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SoLoMo Social, Local, Mobile AAF Luncheon, San Angelo, March 26

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SoLoMo, Social Local Mobile Advertising has altered the marketing landscape for local advertisers. See how the trends impact budgets and strategies on a local level.

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Page 1: The Rise of SoLoMo in Local Advertising Budgets

SoLoMoSocial, Local, Mobile

AAF Luncheon, San Angelo, March 26

Page 2: The Rise of SoLoMo in Local Advertising Budgets

The Rise of MobileThe smartphone has evolved from phone to communication tool, to connected device, to 3rd screen .

Page 3: The Rise of SoLoMo in Local Advertising Budgets

Mobile/Tablet Operating System Market Share

Page 4: The Rise of SoLoMo in Local Advertising Budgets
Page 5: The Rise of SoLoMo in Local Advertising Budgets

MARKETER CHALLENGE:

HOW DO YOU REACH CONSUMERS WITH

THE RIGHT MESSAGEAT THE RIGHT TIME AND….

ON THE RIGHT DEVICE

Page 6: The Rise of SoLoMo in Local Advertising Budgets

IMPLICATIONS FOR CONSUMERS

IMPLICATIONS FOR ADVERTISERS

Page 7: The Rise of SoLoMo in Local Advertising Budgets
Page 8: The Rise of SoLoMo in Local Advertising Budgets

PlatformAgnosticDesign

The Message & The Medium

Page 9: The Rise of SoLoMo in Local Advertising Budgets
Page 10: The Rise of SoLoMo in Local Advertising Budgets

of mobile internet users go online mostly using their phones, and not using some other device such as a desktop or laptop computer.

34%

Source: Pew Research, 2013

Page 11: The Rise of SoLoMo in Local Advertising Budgets

Mobile TrendsThe shift from desktop to mobile, whether smartphone or tablet, is happening across a variety of activities, including social networking and digital video viewing.

Source: eMarketer March 2014

Page 12: The Rise of SoLoMo in Local Advertising Budgets

Total time spend on mobile devices (other than phone calls) has increased from 24 minutes to more than 2 hours in three years.

Source: eMarketer March 2014

Mobile Trends

Page 13: The Rise of SoLoMo in Local Advertising Budgets

Mobile Ad SpendIn 2014, mobile ad spend is on pace to rise 75.1% to $31.45 billion, accounting for nearly one-quarter of total digital ad spending worldwide.

Source: eMarketer March 2014

Page 14: The Rise of SoLoMo in Local Advertising Budgets

$8.76

$17.96

$31.45

$45.85

$61.40

$77.67

$94.91

2012 2013 2014 2015 2016 2017 2018

Mobile Internet Spending Worldwide, 2012-2018Billions and % change

Mobile internet ad spending % ChangeNote: includes display (banners, video & rich media) and search; excludes SMS, MMS, P2P messaging-based advertising; includes ad spending on tablets.Source: eMArketer, March 2014

119.5%

105.0%

75.1%

45.8%

33.9%

26.5%

22.2%

Page 15: The Rise of SoLoMo in Local Advertising Budgets

Mobile… Social.

Source: eMarketer March 2014

In 2012, Facebook accounted for just

5.4% of the global advertising market.

In 2013, that share

increased to 17.5%.

In 2014 it is predicted to rise

to 21.7%.

Page 16: The Rise of SoLoMo in Local Advertising Budgets

Mobile… Local.As the number of visitors to sites via mobile devices continues to grow, local search plays an even more significant role.

Page 17: The Rise of SoLoMo in Local Advertising Budgets

Mobile… Local.Consumers’ number one activity on mobile devices is search. nearly 86 million people now seek local business information on their mobile phone in the U.S. alone.

Source: ComScore study 2013

Page 18: The Rise of SoLoMo in Local Advertising Budgets

Mobile… Local.As the mobile market continues to grow, businesses of all types need to fundamentally rethink how they engage with local customers.

Source: ComScore study 2013

Page 19: The Rise of SoLoMo in Local Advertising Budgets

Mobile… Local.Mobile phone searchers over-index in saying they found maps, driving directions, and distance to the business helpful features on mobile sites.

Source: ComScore study 2013

Page 20: The Rise of SoLoMo in Local Advertising Budgets

Email Marketing 72%

Events 59%

Online Ads 57%

Offline Ads 47%

Social Media & Social Ads 73%

Channels in Which Hypergrowth SMBs* in North America Have Increased Spending % of Respondents

Note: *that have experienced significant increase in overall revenue vs. prior year.Source: Linkedin *Priming the Economic Engine: How Social Media is Driving Growth for Small & Medium Business (SMBs)In partnership with TNS, Feb 12, 2014.

A 2013, 73% spend increase by SMBs in social media and social ad space points to the local growth and penetration in local markets by social mobile

Keep an Eye On Small Business!

Page 21: The Rise of SoLoMo in Local Advertising Budgets

Social…LocalSmall, local businesses have found the value of using SM to reach out to their local market.

With geo-fencing and niche targeting capabilities, mobile and social provide accurate, affordable inventory.

Geo-fencing is a system that allows advertisers to pick highly specific points of longitude and latitude to put a “fence” around, and target.

Real-time insight across hundreds of

millions of smartphone and

tablet devices lets us anticipate and

influence audience behavior.

Page 22: The Rise of SoLoMo in Local Advertising Budgets

Geo-fencingThe precision that geo-fencing gives advertisers is extremely useful for local, social reach.

A local business can target areas of community congregation such as sporting events, conventions, malls, concert halls, and/or all of their respective parking lots.

Page 23: The Rise of SoLoMo in Local Advertising Budgets

Case StudyWhole Foods needed a local, mobile solution to increase

awareness and drive visitors to store Grand Openings.

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Working with our mobile ad publishers, Broad Street created rich media ads targeted at a 5 mile proximity to new stores.

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Users had the option to “click to call” or to find driving directions in their native map application.

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Results:1.2 million customers reached

Source: ComScore study 2013

6,840 customers engaged with the ad unit1,845 customers called or looked for directions

All within a 5 mile radius of the store.

Page 27: The Rise of SoLoMo in Local Advertising Budgets

Charlie RayPresident(512) 275-6227 [email protected]

@BroadStreetFacebook.com/BroadStreetCo

Broad Street Co.2905 San Gabriel StreetSuite 300Austin, Texas 78705

164 Market StreetSuite 266Charleston, SC 29401