Location-Targeted Advertising Accounted for Roughly 85 Percent of MaxPoint’s Mobile Ad Spend During the 2015 Holiday Season
RALEIGH, N.C.–Mobile advertising accounted for 57.7 percent of all digital ad impressions served by MaxPoint (NYSE: MXPT) between November 26 and December 25, 2015, versus 30.6 percent during the same period in 2014. According to MaxPoint’s analysis, location-targeted advertising on phones and tablets amounted to approximately 85 percent of its customers’ mobile ad spend with the company during the 2015 holiday season.
“We’re connecting the dots for top brands and retailers with proprietary location-based intelligence that allows them to execute multi-channel and multi-device marketing programs.”
According to BIA/Kelsey, mobile phone and tablet ads that drive consumers to take offline action (i.e., location-targeted ads) accounted for 40 percent of all mobile advertising dollars in 2015 compared to the 60 percent spent on non-location-targeted ads. BIA/Kelsey projects that through 2020, location-targeted advertising, as a percentage of all mobile ad spend, will increase while the percentage of non-location-targeted mobile advertising will decrease.
Among MaxPoint’s customer base, mobile advertising is quickly becoming a key way to drive significant offline actions, such as visiting a retail store to purchase a new product or a dealership to test-drive a vehicle. Of the mobile programs MaxPoint ran on behalf of brands during the 2015 holiday season, ads drove shoppers to complete offline activities at a variety of national retail destinations, including grocery, fashion, specialty, and big-box stores, as well as auto dealerships.
“The shift in mobile ad spend toward location-targeted campaigns is driven by new technologies, deep data expertise, and an understanding of neighborhoods and the stores they surround,” said Joe Epperson, CEO of MaxPoint. “We’re connecting the dots for top brands and retailers with proprietary location-based intelligence that allows them to execute multi-channel and multi-device marketing programs.”
The MaxPoint data reveals significant opportunities for retailers and their partner brands to benefit from location-targeted advertising programs, especially as mobile use among consumers rises. According to predictions from eMarketer, consumers 18 years of age and older will use their phones and tablets for non-voice activities an average of 198 minutes per day by 2017, an increase of 13 percent from daily usage in 2015.
MaxPoint’s research and development will continue to yield proprietary technology solutions that help marketers harness real advertising opportunities in an increasingly mobile world.
MaxPoint is a marketing technology company that generates hyperlocal intelligence to optimize retail performance. We provide a platform for brands to connect the digital world with the physical world through hyperlocal execution, measurement, and consumer insights.
The company’s proprietary Digital Zip® technology and the MaxPoint Intelligence Platform™ predict the most likely buyers of a specific product at a particular retail location and then execute cross-channel digital marketing programs to reach these buyers. For more information, visit maxpoint.com.