Today, around 68% of American adults own a smartphone. And since trends show that mobile searches are quickly overtaking searches conducted on laptops and PCs, marketers are responding with increasing efforts geared towards mobile advertising. These marketers also know that local searches are among the most popular, so they’ve wasted no time building in location requests for these mobile ads to help reach users in a given area. The idea has really taken off, too: in just the last year, data shows that ad requests containing location data increased by a whopping 170%.
Research conducted by Inneractive, an independent mobile ad exchange, shows that mobile ads truly are the most important component of creating a more personalized advertising experience. When users find ads to be relevant to their interests and general location, they’re much more likely to stay engaged, rather than skipping over an ad or resenting its presence.
The data was based on Inneractive’s own mobile ad traffic of over 800 million unique monthly visitors around the world. More than 2.5 million ad requests were processed every single minute to determine how high the demand is for this location data.
The trend is particularly popular among mobile video ads, which is a sector that’s growing in itself. According to Positive Media, the growth of location-based mobile video ads now represent 17% of all mobile video ads that were run in Q4 of 2016. That’s a 12% increase from the year’s halfway point. Throughout 2015-2016, Inneractive found that mobile video ad requests for location data increased by 133%.
Local mobile ad spending was projected to grow from $800 million to $18 billion by last year’s end. All in all, it seems like marketers have found a better, less obtrusive way to deliver their ads to users.
Roni Anavi-Fass, VP Product at Innerative, adds, “Location data delivers a win-win-win situation, with users receiving more relevant ads and advertisers and publishers enjoying higher engagement. The data on our platform shows that ad requests are enriched by GPS information, and location data has a higher value on exchanges.”