In 2010, Apple Inc. AAPL +0.29% co-founder Steve Jobs proclaimed, "Mobile advertising really sucks." Now, however, the rule book for what works in mobile advertising is slowly being written.
Some of the ingredients to success include ads that play on the unique properties of mobile gadgets, including location, or ads disguised as a game, coupon or information that consumers want, say ad executives and industry observers.
What doesn’t work? The same old Web ads plopped into a smartphone.
Mobile advertising has been touted as the next big thing since Apple’s iPhone debuted in 2007. Yet the promise remained unfulfilled because marketing companies have to navigate consumers’ desires for privacy with the enticements mobile devices offer, such as fresh information about users’ location and spending habits.
Accidental clicks on mobile ads, difficulties buying ads in big quantities, and fuzzy metrics also have kept a lid on mobile ad spending, marketers said.
This year, research firm eMarketer Inc. projects less than 2% of all U.S. marketing spending, or just $2.6 billion, to go toward mobile advertising. Meanwhile, consumers using smartphones and tablets now generate more than 10% of Internet traffic, according to data provider StatCounter Inc.
Story source: www.http://online.wsj.com
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