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Mobile advertising gets smart: M&C Saatchi Mobile predicts a surge in real time bidding and serving for targeted mobile ads

2013 is set to be the year when real-time ad bidding and serving properly takes hold in mobile, according to a recent white paper published by M&C Saatchi Mobile, the leader in performance targeted mobile marketing.

In the white paper, entitled “Inside Mobile Advertising: Top 5 Trends and Insights”, M&C Saatchi Mobile points to the growing influence of Demand Side Platform (DSP) technology as the catalyst for smarter mobile ad networks with built-in Real Time Bidding (RTB) capabilities. These smarter ad networks give advertisers better “real time” insights into mobile audiences. As a result, they can serve more accurate and targeted adverts to mobile consumers, according to more precise criteria such as end-user demographic and behavioural data. This in turn delivers more efficient and cost-effective use of available inventory by advertisers and brands using the mobile channel.

Real-time ad serving has been used in the fixed online space for the last decade, but is still relatively new in mobile. However, according to M&C Saatchi Mobile, its proliferation in mobile will be faster and exceed its original uptake in the fixed online world. Unlike in the fixed space, an advertiser or agency cannot track a user’s online behaviour and activity. To overcome this, the advertiser will use DSP resources to identify and learn traffic models that lead to an end-user activity, such as an app download or viewing a video.

This type of predictive end-user mobile traffic analysis, plus the ability to access mobile ad inventory in real-time with extra layers of targeting, is why advertisers and agencies will increasingly invest in their own in-house mobile DSP resource in 2013.

(Speaking from the London headquarters of M&C Saatchi Mobile,) James Hilton, global CEO said, “Thanks to Demand Side Platforms and real-time bidding, mobile ad networks in 2013 are getting smarter. This in turn is changing how brands and agencies purchase mobile inventory, giving them more control over the process and letting them reach specific consumers more accurately with targeted and relevant ads.”

Eric Mugnier, Managing Director of M&C Saatchi Mobile for North America, added, “As the world’s number one purchaser of mobile media, M&C Saatchi Mobile is witnessing first-hand the benefits of new, more intelligent mobile ad networks. These networks let brands track the success of their mobile campaigns and provide measurable ROI from the channel. With smarter mobile ad networks, we can be more transparent than ever before, tracking the results and effectiveness of a mobile campaign and showing clients precisely where their inventory budget is being spent.”

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