In-app video is proliferating. One in three consumers watch video on their mobile devices. Ad platforms and ad-tech giants are revving up their mobile video capabilities.
And the demand for instream video ad units is exploding. 65% of U.S. marketers plan to increase their mobile ad budgets to account for video. The market for mobile video advertising is expected to double in 2017, up from $2.8B in 2015 to to $5B.
There’s general agreement that this is powerful stuff. But there are some challenges. Let’s take a look.
According to a recent study, 47% of marketers report that mobile video ads improve brand awareness, and 34% say that the ads lead to better consumer engagement and interaction.
But note that only 21% of marketers feel that the people who engage or click through their mobile video ads are “better quality” customers. In other words, marketers can’t quite reach the audiences they want. Can this figure be improved? We say the answer is “yes” — but only if you can get the right video to the right people at the right time.
The secret for accomplishing this is location data. Marketers universally agree that location data provides an excellent tool for understanding offline consumer behavior, enabling you to target your ads based on the way people work, play, and shop in the real world. That’s why we’ve developed the Thinknear GeoVideo toolkit, a full suite of audience targeting solutions that allow you to fine-tune your mobile video advertising campaigns to reach the consumers you want.
For the first time, location data is connecting rich video content to the right audiences. Brand advertisers who want to reach a specific audience can use GeoFence, GeoAudience, and GeoBehavioral targeting to target users with specific location-based profiles. A luxury brand can display video to consumers who live in areas with high HHI or who shop at high-end stores. And a CPG company can reach people who shop at Walmart, Target, and Safeway.
Location targeting lets you find the perfect match, while video drives the engagements. The great thing about mobile in-app video is that pre-roll and in-stream videos are integrated into the app and display at optimal points in the user’s mobile experience to increase user interest and engagement. When targeted correctly, video completion rates can reach up to 87%.
Mobile video is huge and a key piece of any marketer’s plan, but there are challenges. You don’t want your best creative going to the wrong audience. Location-based data and toolsets tie it all together, ensuring that brands reach the audiences most likely to be interested in their products.