Want to catch the attention of the Millennials? Zero Down on Location!
‘Reaching the right audience at the right time’ – This phrase is like an unsaid rule for mobile marketers. Although mobile has unanimously claimed its spot as the most relevant route for reaching out to consumers, the availability of numerous options regarding ‘Things to do on mobile’ like, using mobile apps for watching viral videos, live music streaming, playing games or booking tickets for the latest movie at the cinemas, hasn’t exactly narrowed down the chase for advertisers. Now, the audiences are scattered across different segments; they’re quickly swapping between music apps, game apps, food ordering apps and that too within an unpredictable timeline.
So, the big question here is – ‘How do we catch the attention of the millennials?’
Thanks to the emergence of location based technology, marketers have something new to work with. It’s actually interesting to see how location based services have found their way into the mobile ecosystem and how mobile users have rapidly started embracing the location based features on Facebook, Instagram or apps like Foursquare, for that matter.
Earlier, when location based technology made its entry, it was not that easy to track down the exact position of the users. That’s the reason why marketers faced those initial hiccups in using location-based advertisements and allotted lesser ad spends to such ads. However, things have improved drastically over the years. Now, location based technology is known to give more accurate results by pinpointing the exact position and movement of the users. In fact, real time mobile location data provides marketers with a detailed insight on factors like the real world behaviour, taste, demographics, purchase intent and path-to-purchase of the target consumers.
Going by the word of marketers, almost 66% of them believe that location-based advertising is one of the most exciting trends for 2016. A study by the ‘Internet Advertising Bureau’ (IAB), forecasts that location-based ads are going to be the next big thing in 2016.
Also, it has also become equally important to tap the data regarding ‘on-the-go’ searches done by consumers. According to Google, more than 50% of the total mobile search activities have local intent, and 17% of search activities happen while consumers are on-the-go. This clearly highlights the fact that consumers are constantly looking for certain products and services while they’re travelling from point to point.
Correlation between Location-based Ads & CTRs
When it comes to achieving high click-through-rates (CTRs), location-based Ads deliver excellent results. Data indicates that there is a strong positive correlation between geo-targeting ads and CTRs for mobile brand campaigns. Location-based Ad Campaigns are actually effective in improving the performance of an ad and can lead to higher CTRs and impression counts for advertisers.
However, an important point to be noted here is that CTRs also depend greatly on the type of location-based targeting being used. As per the ‘The Local Search Association (LSA)’ study on data derived from over 10,000 real ad campaigns, it was noted that almost double CTRs were realized for geo-fencing and geo-aware ad campaigns, as compared to a mere 50% improvement for ads based on DMA/Zip Code targeting.
But is it really enough to solely rely on the location of the target audience while running campaigns?
The answer is ‘No’.
In order to get the best results, mobile advertisers need to combine location data with the information derived from the past purchase behaviour of target users. Running a location-based ad campaign without understanding the taste, preference and overall interests of the target audience, will not optimize the campaign. In fact, it might actually imply serving your advertisements to users who do not even come under the bracket of your target audience. This will only mean a pure wastage of your ad spend and impressions. Thus, it serves as a good reminder to prioritize on adequate research to ensure the success of location-based ads.
To talk about a successful location-based brand campaign from our own idea factory, Affle had achieved some brilliant results for its Diwali campaign on Canon.
When it comes to introductions, a brand like Canon needs none. As a highly reputed global brand, Canon is mostly popular for manufacturing some of the finest digital cameras, camcorders, printers and photocopiers available in the market.
So, when a client like Canon approaches us, the stakes are high!
For this Diwali campaign, Canon wanted us to generate awareness about its festive offer on EOS 700D, which is one the best entry level DSLRs in the market. The target audience for this campaign were amateur or beginner level photographers, who would be interested in purchasing an easy to use DSLR to pursue their passion for photography.
During the festive season, the market is always flooded with thousands of attractive ads and offers. In this scenario, how does a marketer grab the attention of the millennials?
That’s when we decided to zero down on ‘location’!
But like we had mentioned earlier, just going with location-based ads was not enough.
So, we began with the process of user targeting by gathering data on factors like the behavioural attributes of users, their search history and purchase history. We also collaborated with major music, news and travel portals to ensure visible presence across high end smartphone users. On the basis of these collective observations, we rolled out our location-based Ads to reach out to the target users at the Airports.
In terms of performance, we were thrilled with the results from this campaign. This campaign had a track record of scoring high CTRs with reduced or minimum spends. The overall CTR attained for the Canon campaign was 1.1%. During the last week of the campaign (week 5), CTR was as high as 1.7% with the lowest level of spends and we generated some pretty good leads for the client!
To specifically mention the success zones, Terminal 1 & Terminal 3 of Delhi Airport recorded the highest CTRs. We also got some great response from Hyderabad, Mumbai & Bangalore as well. Apart from the impressive CTRs, the Canon campaign was also effective in generating thousands of leads.
With this campaign, we gathered a greater understanding of how location, when pooled with data on target users, can play an influential role in improving the engagement rate to create micro-moments.
Thus, using location-based ads can definitely add that extra edge to your brand campaign and help you deliver high CTRs, if implemented correctly.
Are you looking for mobile marketing solutions ?
Connect with the relevant audience & optimise your business prospects. Drop me a line at firstname.lastname@example.org to explore strategic marketing solutions for your brand using Affle’s MAAS platform.