Jiuxiao Wang, Pinga
Benjamin Francis
Guided research
Jan 30, 2015
Mobile Advertising

Outline I. Introduction * The introduction of advertising * What is the mobile advertising II. The mobile Internet advertising spending share and its allocation
1.Horizontal comparison of mobile advertising
2. Vertical comparison of mobile advertising III. Popularization of mobile equipment and development of mobile advertising platform * The popularization of the mobile phone * Examples of Apple and Samsung IV. The efficiency of the mobile advertising * The speed * The quantity V. The decay of traditional advertising media * Television * Newspaper and Magazine * Classic advertising case VI. The limitations of the mobile advertising * Disorder * Emerging industry * The occupation of traditional advertising VII. Conclusion
I. Introduction
One definition of advertising is: “Bringing a product (or service) to the attention of potential and current customers. Advertising is focused on one particular product or service. Thus, an advertising plan for one product might be very different than that for another product.” With the development of hundreds of years, the types of advertising are various. For examples, the television advertising, online advertising, press advertising, street advertising, billboard advertising and the mobile advertising. There are so many choices for the business company, so which one is the best choose or which one has the most efficiency? Considering with the recent years data, the developed trend of the traditional advertising, the consumers’ usage habits and the advertising platform, mobile advertising is the most useful way of publicizing to audience in the fast-paced society. * What is the mobile advertising?
It is a form of advertising by mobile phones or other mobile devices (wireless and online), and it is the subsidiary of the advertising. The advertising forms conclude picture, character, html5, video, cut-in, interlinking and so on. Mobile advertising, this burgeoning advertising industry followed the trend of mobile marketing. It is a new marketing way via the mobile phone platform. Compare with the traditional advertising, the mobile advertising is more accuracy, interactive, and individuated. Thus, the advertising service is more focused on convenience, viewing scene of user, and the bear of the Internet. Because of these differences, the mobile advertising platforms have their own way of advertising product, brand choice and ministrant organization. In order to maximize the interests in nowadays marketing environment, the most beneficial choice is to launch the mobile advertising.

II. The mobile Internet advertising spending share and its allocation
The mobile advertising at the recent years won the bigger markets. This is the horizontal comparison. The mobile advertising spending can reflect it. There is the data can illustrate the fast increasing that mobile advertising spend will hit $8 billion this year in the United States and by 2017, mobile will eclipse online advertising, according to eMarketer. Mobile advertising revenues nearly doubled from 2012 to 2013. (Carter McNamara)
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Thus, The mobile equipment will take a bigger bite out of the advertising market continuously. Undoubtedly, more and more companies are willing to choose the mobile and online advertising, one of the biggest reason is that it can provide the maximize profits. The profits’ increasing is not only the percentage, but also the total. There is the data come from the Interactive Advertising Bureau (IAB), it can states the revenues of the global mobile advertising through 2013 versus 2012. The total data was increased almost 90%, and relatively, the revenues increased almost the same percent.
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The occupation rates of the mobile advertising of all advertising types are increasing at express speed. For examples, the social media advertising, the TV advertising, the standard display advertising and so on. Accordingly, because of the increasing revenue of the different types of the advertising, nearly three-quarters (70%) of brand marketers plan to increase their use of social media in 2013, followed closely by mobile advertising (69%) and video advertising (64%). These numbers are all up from 2012 projections, indicating a continued shift toward the channels where consumers are spending an ever-increasing amount of their time. And the brands aren’t alone in their thinking. Agencies are also projecting growth in mobile advertising (81%) and video advertising (73%), followed by social (57%) (2013 Online Advertising Performance Overlook, Nielsen Website)
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Moreover, in the vertical comparison among the mobile advertising, the increasing is apparently. The latest S.M.A.R.T. report found that mobile ad spending is increasing at amazing rates in several industries. Not surprising were the top two growth areas: Automotive and Travel which historically adopt new advertising methods more quickly. However, two areas that were somewhat surprising were education and government services.
The companies gradually realized that the mobile marketing is very important, and they would like to pay money on it. This is the strongest evidence to illustrate that they can receive a satisfied result by mobile advertising. When they put their advertisement online and in the mobile platform, they can see the continuously revenues. In conclusion, the mobile (wireless and online) advertising is the most useful way to publicize the products.

III. Popularization of mobile equipment and development of mobile advertising platform
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As we all know, the popularization rates of mobile equipment are very high in current society. Almost every one has at least one mobile phone, of course except the poor districts. The other essential factor of the mobile adverting is Internet. We can get the accurate data from the ‘ Our Mobile Planet’ website. We can choose the country, the year, the direction of the mobile and so on. Based on the data, most developing and developed countries have the smartphone’s using custom. Thus, launching the mobile advertising is a good choice because it has a big market and many enough audiences.
We can know the sales information of the popular operators of mobile phones, such as Apple, Samsung. Just like the last year, Apple's latest iPhone 6 and iPhone 6 Plus smartphones made the company achieve about 50 percent of the fourth-quarter 2014 smartphone sales in the United States. IPhone6 helped the Apple handily beat its closest competitor, Samsung, LG and the rest, by a two-to-one margin. Big data in mobile is still getting bigger. Moreover, better cloud technology combined with a continued shifting of online traffic to mobile devices will force mobile-centric companies to scale rapidly or they will be left behind.(Chris Cagle, Why 2015 Is The Year For Mobile Advertising )
Nowadays, due to the popularization of the mobile phone, more and more advertising companies provide the mobile platforms. For instance, Google Admob Ads, the biggest player in mobile ads three years ago; According to Chris Cagle, Millennial Media, one of the big pure-play mobile advertising companies and the leading of independent player in mobile outside of Google; Apple’s iAd, the second most popular smartphone OS behind Google’s Android and the most successful app store when it comes to revenue. (Chris Cagle)Those developed companies can bring the buyers huge revenue. They have the mature experience and successful precedent, so they can promote the development of the mobile advertising.
In conclusion, the equipment and the experience are both enough to practice the mobile advertising in the current market. Undoubtedly, the mobile advertising is a vital part of the advertising industry.

IV. The efficiency of the mobile advertising
The two factors of the efficiency are speed and quantity.
There is no doubt that the speed of information spread of the mobile advertising is the superiority comparing with other advertising types. The speed of news spread can illustrate the situation of advertising spread. The most famous social media is Twitter. It’s ability to spread the news quickly has posed a challenge to traditional news media in their efforts for quickly and reliable reporting and led them to adopt social media platforms themselves. To spread news in the mobile or online just need one click. The needed time is shortened greatly than that of publishing in the traditional media. Furthermore, the spread volumes are very huge. Although the mobile advertising is easier than some traditional advertising to be ignored and forgotten, the volume and the frequency of occurrence are bigger than the traditional advertising, so it can’t affect the efficiency of mobile advertising heavily.
Nowadays, social networks have been evolving to online social networks such as Facebook, Twitter, and Google+ that link humans, computers and the Internet, and information spreading in social networks has been changed from the way of “word-of-mouth” to “word-of-text”, “word-of-voice”, “word-of-photo” an “word-of-video”. For examples, in the American Election Eve, Twitter’s message sent achieved 875000 per minute and 327452 tweets directly related to the election per minute. Of course, a lot of Facebook’s strength is in its numbers — more than 1 billion members and still growing. (O'Dell, J. VentureBeat) Exactly, the mobile advertising in those social networks wins the advertising in the traditional media because of its speed and volume.

V. The decay of traditional advertising media
The traditional advertising media gradually lost their original influence. One of the most important reasons is the fast-developed new media. The Internet and the mobile advertising shocked the share of the television advertising, newspaper advertising, and the print advertising.
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Advertising on TV has been maligned and undermined by the hubbub about the ascent of mobile viewing and "time-shifting. In addition, with the technology developing, TV viewers can record the program and watch it later, so the audiences can skip the television advertising. This technology improvement impacted the effect of the advertising directly. Benjamin Swinburne who is Morgan Stanley analyst and his team published a data that the slow decline of old-fashioned broadcast and cable TV, and the number of advertising dollars is chasing the dinosaur medium. There has been a 50 percent collapse in broadcast TV audience ratings since 2002, Swinburne says. (Benjamin Swinburne)
At the same time, there has been a 50 percent collapse in broadcast TV ratings in the last decade. So advertisers are now paying much more.
The worse situation is happened in the traditional paper newspaper. It has a long time, the newspaper advertising played an important role in the marketing, because there is a lot of people have the customs to read newspaper everyday, and the newspaper is the unwonted way of spread. However, due to the development of E-news, the newspapers are gradually replaced. Of course, its worth is not as important as before. Thus, the traditional advertising platform, newspapers advertising platform, is losing its markets. One important event for the media circle is that the Wall Street Journal Newspaper decided that stopped publishing the outburst news in the newspaper, because it can save many space to reduce the costs. The WSJ’s pages page width and length both be reduced. Virtually, the change affects the newspaper advertising seriously. The companies haven’t got enough space to publicize their advertising. Furthermore, not only the newspaper but also the magazine also has the same situation, just like the News Weekly, this famous news magazine stooped it’s papers publish. The reason is the sales reduced drastically. Thus, this alternation gives the mobile advertising many developed space. The last but not least, the reason why traditional advertising fell down is that the classic advertising cases are repeated and uncreative. It can’t catch the audiences’ eyeballs. Just one picture or the same style and short time commercials made people feel boring and unattractive. In addition, the online advertising may have different kinds of advertising and no time limitation. There are some very successful advertising cases, like the love story of ‘New Balance’, the series story of ‘Coca-Cola’ and the mini movie of ‘Dove chocolate’. Because of the time and scales, these interesting videos just can play by the Internet.
In conclusion, the traditional advertising platforms are losing their goodness. The business must pay a lot on it, but can’t receive the same proportion profits.

VI. The limitations of the mobile advertising
Every thing has its two-side including the mobile advertising. One of the most direct problem we faced is the mobile platforms are too much to choose a right one and the advertising launch is too disordered. Because people all lack of the experience in this new coming industry, they don’t know or they haven’t got the ability to distinguish which platform should be chose. Moreover, the mobile platforms compared with the traditional platforms, they are disordered, because they haven’t got the some supervisor. The publics can’t identify which is useful or beneficial information. This condition leads the efficiency decreased contrarily. Consequently, to produce the relative policies is necessarily.
Plus, the mobile advertising is an emerging industry. People are not familiar with it, so it needs a long time to adapt the fast development and broadcast it. Although, there are amount of young people are familiar with this new industry, the older people also are the important consisting parts of the markets. The companies also have the products focus on the elder publics, so they need to make the mobile advertising to them too. This process needs time, but the results will be satisfied.
Finally, the traditional advertising still occupies the most of the marketing share due to the history development. One solution can help this condition is to combine the two forms of advertising. They can share the market together to maximize the benefits. To take both their strong suits and avoid or minimize their abuses can make the advertisement develop towards the correct way.

VII. Conclusion
Combing the goodness of mobile advertising and the marketing current situation, the business company can achieve considerable profits by the mobile advertising. With the progress of the technology development, the mobile advertising will be the leader of the advertisement industry. Furthermore, assimilating successful experience of traditional advertising, mobile advertising would have its own market.

Works Cited
McNamara, Carter. 'Basic Definitions: Advertising, Marketing, Promotion, Public Relations, Publicity, And Sales'. Managementhelp.org.
Interactive Advertising Bureau (IAB) IAB Internet Advertising Revenue Report conducted by PricewaterhouseCoopers
Knap, Daniel. Global Mobile Advertising Revenue The State of Mobile Advertising Around the World
Silverrank.com, 'Mobile Advertising Statistics 2012 & 2013 | Mobile Advertising Agency'.
Todd.R Weiss. 'Apple IPhone 6 Smartphones Top U.S. Sales For Q4 2014'. Eweek.com
O'Dell, J. 'Twitter V. Facebook By The Numbers: Which Network Won Election Night?' Venture Beat
Edwards, Jim. 'BRUTAL: 50% Decline In TV Viewership Shows Why Your Cable Bill Is So High'. Business Insider
Benjamin Swinburne 'Summary Of Morgan Stanley's Facebook (OW), Google (EW) And Twitter (EW) Initiations'. Forbes.