Why Bother with Mobile Ads? Because They Work!

While some may question the value of ads on platforms like Facebook, no one is doubting – at least not anymore – the potential they have for mobile use. More and more websites are optimising for mobile, and some sites are forgoing traditional websites in order to capitalise on the increasing popularity of mobile access. Soon, it will outpace traditional modes of access, and this may be very good news for marketers.

Why? Mobile ads have an astonishing 42 percent click through rate (CTR), according to the Mobile Movement: Understanding Smartphone Users survey. But wait, there’s more:

• Nearly half of those who click through make a purchase.

• 35 percent visit the advertiser’s site.

• And more than a quarter calls the business.

To put this in perspective, let’s look at the CTR for Google ads: for ads in the first position, at the top of the page, the CTR is 8 percent. For those who don’t make it above the fold (or at position 6 or below), the click through rate is 0.80 percent. What about Facebook ads? These typically have a CTR of just 0.05 percent.

Why do mobile ads fare so much better? It could be because mobile searchers tend to be location-specific. 95 percent of mobile searchers, for instance, look for local information on a smartphone. Geo-location is a great way to target ads. Another factor is that most consumers shop with their phones. They can compare prices, read reviews, and check product availability.

It is important to optimise for mobile now. Today’s smartphone users are more likely to be young professionals who tend to go out more, shop more, and eat out more. They have paid handsome prices for their phones, and they are consumers. Almost 80 percent of top advertisers do not have sites that are optimised for mobile, and they are missing out on a tremendous opportunity. When smartphones drop in price, the efficacy of mobile ads may as well. For right now, however, it remains that the typical smartphone user is also a very savvy consumer who is not only willing to click through, but to take action. Are you ready for this consumer?