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The last push to reach your 2015 ROI goals should be now with a great end of the year holiday ad campaign, just as the first push towards an effective 2016 marketing campaign should be now in terms of mobile video advertising.

And here’s why…

In response to the current trends of high consumer preference on social media, search, and video platforms mirroring with the growth of mobile usage, digital advertising specifically on mobile is becoming a landfill of opportunities. As mentioned in our article on how digital advertising will beat out television in 2016, currently the predictions for a strong growth in mobile usage is launching broad reaches in video advertising campaigns and program development. And the competition is growing.

So when your team comes together and debates the best place to bank those ad dollars, the clear winner should be mobile video advertising for your 2016 ad campaigns.

And the logic is simple.

Mobile is no longer a mere extension of online

Because we already know that mobile usage is growing, we know that the market is growing and expanding across cultures, generations, and platforms. According to the Pew Research Center, nearly two-thirds of Americans own a smartphone. And these persons are being termed “smartphone-dependent” for a reason as data is revealing. For many, mobile technology serves as the go-to multi-function lifeline for social access, health research and conditioning, educational resources, work connections, and other numerous important life activities. [1] And even further data can show the segmentation of mobile users according to their consumer preferences, usage patterns, and other activities. [2]

Still, the biggest headline is what experts like eMarketer reveal. In addition to the Pew Research Center, Venturebeat, and CNBC predictions, eMarketer points out that the rising “smartphone-dependent” population is more and more using using mobile devices as their sole entry point into the online world. [3]

And now comes the birth of ‘genius’

Creativity, research, testing, and more research brings us to the resulting ‘genius’ of how marketers and advertisers are responding. Highly calculated campaigns addressing mobile devices as individual platforms are already being tested, launched, bid on, and predicted as the pride and joy of 2016 revenue sources.

To name a few big ones, Facebook and YouTube are rolling out highly optimized video ad campaigns for advertisers to market on. These forms of video advertising will take advantage of the individuality of user personas and behavior with tailored advertisement. [4] Google as well has video search advertisement opportunities in the works for 2016. [ 5]

Overall, through interactive ad units, tailored video campaigns, and other dynamic initiatives, advertisers are isolating mobile devices as a separate platform from desktop entirely. Forget “mobile version” being a mirror of the “desktop version.” Mobile now carries more weight as its usage become more diverse and the users become more focused on it as a major technology capable of enhancing their daily lives.

Why the investment on video in particular?

CTR is high on video ads – mobile video ads that is

As Business Insider reports, video ads have an average click-through rate (CTR) of 1.84 percent – the highest click-through rate of all digital advertising formats. [6] What’s more, in comparison to video ads, the CTR for display is around 0.11 percent and falling as of April 2015 according to the report done by Smart Insights. [7] Mobile banner ads are moreover performing higher with an average 0.35 percent CTR according to Marketing Charts.[8] And the staggering statistics comes down to Mobile Marketer’s report that mobile video ads have a CTR of 11.8 percent. [9]

The trends in digital advertising is shifting focus to interactive native advertising – native video advertising that is.

Mobile video advertising equates revenue and demand

The figures above are reflective of the market demand and preferences of the rising amount of mobile users. But what should be noted as well is the dominant reshaping of the entire digital ad market as a result of programmatic ad-buying and selling tools in light of the development of more apps, programs, software, and overall video advertising campaigns. [6] For publishers dealing with native content and mobile video ads, Google now offers programmatic advertising in connection with its DoubleClick clients such as Ebay. [10] Optimizing video ad units for open auction and private marketplaces, such publishers are helping businesses and advertisers push their ROI limits.

The playbooks of advertisers are expanding.

Thus, combining mobile advertising with native advertising and programmatic means will leave your efforts as rivals among competitors.

Targeting the Hispanic Market?

Understanding where the competition lies in digital advertising with mobile videos is vital.

Already leading Hispanic focused companies are launching outstanding video campaigns. Univision Digital’s Udisea for example is a new online video platform in conjunction with YouTube video campaigns that will specifically target Spanish speaking millennials by showcasing live content across Facebook and Instagram. According to the chief news and digital officer for Univision Communications and CEO of Fusion, when it comes to digital, mobile, and social media, Hispanics and multicultural millennials over-index. Thus the company is expanding their efforts across their other major Hispanic focused digital properties such as Fusion, El Rey Network, Flama, and The Root. [11]

Now specifically, let’s take a look at why the Hispanic Market is the ideal target audience for mobile video advertising in 2016.

Firstly, Hispanic consumers are adopting mobile at a higher rate than any other demographic. Experian Marketing Services’ latest data reveals 63 percent of Hispanic adults own a smartphone. And of the smartphone user population, while Hispanics are 17 percent more likely than non-Hispanics to access the Internet on their mobile device, 45 percent of them are also mobile-dominant. [12] So Hispanic media consumption trends are not be ignored.

Secondly, they are spending more time watching online videos than the US average. With a high mobile device usage, Hispanics are also downloading more apps, watching more videos, and surfing the web more on mobile. According to Nielsen’s Q2 2014’s Cross-Platform Report, Hispanics spend 49 hours and 9 minutes a month on apps and the Web through their smartphones. That’s 90 minutes longer than the average time non-hispanics spend. [13] Next step is to understand their unique cell phone use habits as well as their social media mobile preferences.

As a great summary of what’s happening with Hispanics online, take a look at Thinkwithgoogle.com‘s article about Hispanics and digital advertising. The stats may surprise you!

 

 

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[1] https://www.pewinternet.org/2015/04/01/us-smartphone-use-in-2015/?beta=true&utm_expid=53098246-2.Lly4CFSVQG2lphsg-KopIg.1&utm_referrer=httpss%3A%2F%2Fwww.google.com
[2] https://www.pewinternet.org/fact-sheets/mobile-technology-fact-sheet/
[3] https://www.emarketer.com/Article/Mobile-Ad-Spend-Top-100-Billion-Worldwide-2016-51-of-Digital-Market/1012299
[4] https://www.cnbc.com/2014/10/27/facebook-earnings-the-street-bets-against-company-warning.html#sthash.tZUL7Xcw.dpuf
[5] https://www.forbes.com/sites/jaysondemers/2015/09/25/are-video-ads-coming-to-google-search-results#sthash.tZUL7Xcw.dpuf
[6] https://www.businessinsider.com/digital-video-advertising-growth-trends-2014-5
[7] https://www.smartinsights.com/internet-advertising/internet-advertising-analytics/display-advertising-clickthrough-rates/
[8] https://www.marketingcharts.com/wp/online/benchmark-ctr-for-us-in-stream-video-ads-at-103-22988/
[9] https://www.mobilemarketer.com/cms/news/research/16373.html
[10] https://www.adweek.com/news/technology/google-unveils-new-programmatic-native-and-full-screen-mobile-video-ads-168129
[11] https://www.rapidtvnews.com/2015120440897/univision-yields-online-video-platform-for-millennials.html#axzz3tNMmaTaz
[12] https://www.experian.com/blogs/marketing-forward/2014/05/19/hispanics-are-mobile-dominant-are-your-campaigns/
[13] https://www.nielsen.com/content/dam/corporate/us/en/reports-downloads/2014%20Reports/the-digital-consumer-report-feb-2014.pdf