Location-specific Mobile Advertising on the Rise

Janet Lee
Reading Time: 2 minutes

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A recent study by JiWire, a Wi-Fi provider and mobile ad server, found that most users of its public Wi-Fi services spent more than 30 minutes a day using smartphone apps. 63% of users frequently use apps that require them to give their location to serve specific content. A little more than half were willing to give their location just to receive more relevant advertisements.

Over a third of respondents were more likely to click on a mobile ad that was customized for their specific location. Almost half said that it would not make a difference. Overall, 76% of users preferred ad-supported free apps over paid ones. This presents a huge opportunity for businesses desiring to utilize location specific advertising, as more than one-half of mobile device users had clicked an in-app ad, went to the advertiser’s website, or made a purchase.

Millennial Media, a mobile advertising network, found through a recent study that smartphones account for almost one-half of mobile ad impressions in the US. Even though more subscribers have feature phones, these users have less interaction with advanced mobile content, and therefore only account for one-third of mobile ad views.

iPhones continue to dominate ad impressions within the smartphone category, followed by BlackBerrys and Androids. Androids have seen that largest increase in ad requests, rising 72% month over month. March was the first month the Android phone was one of the three top smartphone operating systems. Requests were up 20% from Apple phones and 25% from BlackBerrys.

On other mobile devices, such as iPads, iPod touches and connected video gaming devices, Millennial Media found that those devices took a significant share of impressions. iPad impressions climbed 713% during the first full week the device was available for purchase. Numbers will only climb as the iPad and similar mobile devices continue to proliferate.

While Apple’s tight hold on the smartphone market continues, the Android has gained significant ground because of its high customer satisfaction and loyalty. Indications that Android also represents a robust mobile app platform also point to a greater share of mobile ad impressions in the future.

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