Mobile In-Game Advertising Takes Off

Most people see the average gamer as someone who is in college, male, and has all the latest consoles and gadgets. However, upon further review, this is actually a false perception. In actuality, according to the Entertainment Software Association, the average gamer (68% male, 47% female) is 30 years old, has a college degree, and has been playing video games for 12 years. The average social network gamer is someone who earns around $50,000 a year and is around 30 years old. So you can see why mobile in-game advertising has become a very important part of mobile marketing.

Considering that social network gamers spent $24.7 billion on gaming equipment and software in 2011, there is clearly a lot of money to go around for marketers. If you are not putting aside a spot in your budget for mobile in-game advertising, you are missing out on that $24.7 billion. That number is actually bigger now since the mobile in-game advertising market is growing. It is only natural for you as a marketer to go where the masses are. Right now, the masses have mobile devices such as smartphones and tablets, and on those devices they are playing games such as Angry Birds, Temple Run, and Ruzzle to name a few. This is where mobile in-game advertising comes in. Because of the onslaught of people using mobile games, marketers have learned to adapt with product placement, advergames, billboards advertsing real brands within virtual worlds, mobile email, SMS, and push notifications.

Before diving into mobile in-game advertising, you need to be aware of two things. One, mobile devices hold a TON of potential when it comes to advertising, and two, today’s gamers are used to being bombarded by in-game advertising. This means you need to figure out the delicate balance between successfully marketing to people on mobile games, and overdoing it to the point where you are only hurting yourself and your brand.

Studies have shown that gamers are extremely fickle when it comes to advertisements. 61% of them prefer in-app advertising if the game is a free download. 39% would rather just pay for the game without advertisements. However, a whopping 72% of gamers actually prefer immersive ads and push notifications as opposed to banner ads.

Considering all of this, marketers need to be smart about when and how often they send out messages and pay attention to details such as mobile device type, location, and buying habits of the user in order to best take advantage of mobile in-game advertising. Ideally, your messages will have max relevance with max influence. You will also want to retarget messages that are not getting the response you want. Ari Brandt, CEO of MediaBrix, a social branding company, gave an example of how companies can leverage in-game advertising to their favor, “Imagine you’re playing a game, and you need a power-up. So a message pops up and says: ‘John, your power is low. Interact with this Coca-Cola ad and receive five free power-ups.'”

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Brandt’s example highlights the importance of push notifications. Push originally started as a service to continuously update wireless email inboxes, but has since morphed into what we see on our mobile phones today. Push IO, one company that is using push, reported a 25% growth rate and now boasts over 6 billion push notifications sent to date. Other companies have also reported astound push numbers. Urban Airship, a push provider, reported over 10 billion notifications sent, and Apple’s Push Notification Service has reported an unparalleled 1.5 trillion push notifications sent. With such large amounts of push notifications being sent out, it is only natural to come to the conclusion that mobile gamers are not only receiving them, but they areresponding to them. You WILL NOT survive in today’s marketing environment if you just ignore push notifications and in-game advertising.

So we’ve already illustrated why mobile in-game advertising is important, but simply launching a campaign does not guarantee its success. You must be able to put together messages that provide value, are delivered at opportune times, and are delivered in the proper format. This will require real-time analysis of what’s working and what isn’t. Companies and brands can best do this by using targeting, retargeting, and A/B split testing techniques. (A/B split testing is sending out different versions of a message to see which gets the best response.)

Video games are fun, engaging and are a great way to reach and engage users and expose them to your brand. However, in the game of marketing, you do not get extra lives. Make sure that you and your company are taking full advantage of the opportunities that mobile in-game advertising offers and see your high score (ROI) blow through the roof of your previous record.

So come join the game and let’s play!

Have Push Notifications Crossed The Line?

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Ideally, push notifications are a way for marketers to reach their consumers and customers with pertinent, well-timed messages. However, recently it seems as if push notifications are starting to wear out their welcome due to a number of issues concerning them. For one, they can become annoying or burdensome over time due to their ability to notify users at any time throughout the day or night, and two, they can drain your smartphone’s battery quicker than usual. There is also the issue of making sure your notifications don’t violate Apple’s terms and conditions. Considering all this, it still seems as if the biggest thing marketers need to learn with push notifications is to maintain moderation.

Cezary Pietrzak, Director of Marketing at Appboy in New York commented on the subject, “Much of the success of push today can be attributed to the fact that it is a new marketing channel and has not yet been exploited by the developers, but as adoption rises and more apps abuse their power to proactively contact their customers, we can expect the efficacy of push notifications to fall.”

When push notifications are used correctly, they can be extremely efficient. For example, fitness social network Fitocracy uses push to remind their customers to work out on a regual basis, airliner JetBlue uses push to alert their customers on upcoming trips, delays, or cancellation, and ecommerce retailer Fab uses push to send invitations to customers as soon as flash sales go live. “There is no question that push notifications are valuable,” Mr. Pietrzak said, “But they must be relevant to their audience and served at the right time, place, and context to achieve the greatest impact.”

“One-size-fits-all messaging does not work,” he continued, “To do push right, you first need to segment your audience into more specific groups based on their individual profiles and behaviors. You should then send them push notifications that relate to their specific needs, so that the message enhances their in-app experience.” Pietrzak noted that push is becoming eclipsed by the rise of in-app messages. In-app messages are considered a less invasive form of push notifications due to the fact that they stay within their specific apps; they don’t notify users every single time there is an alert. Users have to go to the app first.

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However, learning how to better target your users will enable you to send more relevant and appropriate push notifications, which will make users far less likely to see your messages as irritating or annoying. Marketers want to remember to market to individual user segments, not general groups of people. “There’s rarely a scenario where it makes sense to send the same message to your entire user base,” Mr. Pietrzak said, “Instead, focus on the needs of individual segments and tailor your offer accordingly.”

“Also, add value to the message – it is not enough to tell people, ‘Hey, come back to my app.’ You need to add some real value to the content you send, whether it is through timely reminders, breaking news, relevant offers or location-aware notifications,” he said. “Create a schedule and limit the amount of messages that you send to each person during a particular period.”

“Push is very powerful, but is easy to do incorrectly. Stop and reevaluate your strategy if it does not work. The worst thing you can do is annoy people to the point that they shut off your ability to contact them via push. If your current strategy does not work, stop contacting them, take a break and try something different – quality always beats quantity.”

Ken Gaebler, Principal and Founder of Walker Sands in Chicago, agrees. He thinks push notifications can be a very potent threat in customer engagement, but he still maintains that moderation is key. He says companies need to stop thinking purely about quantity and start thinking about the messages they are sending. “Let them determine how many they get and what topics are allowed,” he said, “The lessons are the same ones that many marketers have learned with other marketing methods, such as email marketing methods. Send too many out and you are likely to see your customer base run for the exits.”

Probably the biggest thing you want to learn about push notifications is that they should be transparent and honor your promises. It is imperative that marketers live up to their promises and not sneak in backdoor marketing that will instigate a conflagration with their customers. You also want to be aware of possibly violating Apple’s terms and conditions. “Many push notifications that are being sent out may violate Apple’s rules about not sending messages that contain advertising, promotions or direct marketing of any kind,” Mr. Gaebler said.

“When a marketer breaks those rules, they put their firm’s relationship with Apple in jeopardy and they tarnish their brand in the eyes of their end users,” he said. “It is playing with fire and the downside far outweighs the upside.”

So, as you can see, push notifications have sparked a bit of controversy considering their invasiveness. But if you know how to be clever and crafty with them, they can become a very important tool for your mobile marketing strategy. Remember Apple’s rules regarding push notifications and that moderation is key and you should be golden.

Push Notification Marketing, Good or Bad?

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With the onslaught of mobile technology developing quicker and faster each day, it is hard to keep up with all the new innovations, both from the marketer’s standpoint as well as the consumer’s standpoint. Among these new innovations, one has become particularly intriguing because of its uses for the consumer for news updates, weather updates, app updates, requests, and calls-to-action, as well as its uses for advertisers as a marketing tool. This new innovation we’re talking about is push notifications.

Push notifications are a way for app developers to share general news with their clients along with presenting new apps and new features. However, push notifications can have the tendency to become annoying or irritating to the consumer, because if they’re misused, they can put the user under a barrage of unwanted and invasive material. The fact is, consumers love push notifications when they’re useful, and they usually are if the user knows how to implement them, but if they’re being used to spam consumers or bombard them with advertising, many users do not know how to eliminate them, and eventually become unhappy with their notifications. This results in the consumer automatically disabling all future push notifications, even though they have the option to personalize their notification settings. The problem is a lot of consumers are not aware that they can do this.

The style that push notifications are presented to you in will depend on the type of smartphone you are using. The most prominent one, being the iPhone, allows you to customize your push settings, but you have to do it through the iOS settings, not within the actual app. iPhone users have the ability to go to the Settings on their phone, click on Notifications, and they will be shown a Notification Center with all the apps they’re receiving notifications from, as well as a separate list underneath it that shows the apps they aren’t receiving notifications from. Oftentimes, iPhone users attempt to adjust notification settings within the actual app, but depending on the app, this can be difficult to find sometimes or difficult to adjust, so customers grow frustrated, delete the entire app, and either re-upload it or simply never mess with it again.

The Android and Blackberry run off Android’s program, so their setup is similar. On both phones you can adjust the notification settings within the actual app pretty easily (much easier than the iPhone). You do not have to go to the actual phone settings to adjust notifications.

Knowing all this, there is still the debate whether or not push notifications are good or bad. It seems the value of the notification to the consumer depends on what it is. Consumers love push notifications when they are used for breaking news events, breaking weather events, sports events, and game notifications, such as notifying the user that it is their turn in the game. However, they become extremely turned off towards notifications when they turn into spam or are overzealous in their notifications. A user only wants a certain number of notifications, so when companies cross the line and use push notifications to advertise, or even simply send too many notifications for something that could’ve been sent in one notification, consumers become distraught and will probably eliminate either the notifications from the app, or the app altogether.

The truth is that there is a fine line between prompting the consumer with useful push notifications and bombarding them with spam. If you choose to use push notifications to advertise for your company, you have to be careful not to cross the line, or you will probably be more detrimental to your cause than helpful. The jury is still out on push notifications because consumers are still learning how to adjust the settings for their own personal use, and marketers are still learning how to advertise to consumers without going overboard. You can choose to use push notifications to promote your company or business, but your success will depend entirely on how well you toe the line between being useful to the consumer, and being annoying.