IgnitionOne’s Q2 2014 Report: Second Quarter Maintains Positive Growth for Digital Ads & Smartphones Close Gap with Tablets

Today, IgnitionOne released its Q2 2014 report, which delves into the digital marketing trends from this quarter.

Key findings in the report:

  • Q2 continues growth for search – With year-over-year (YoY) growth slightly accelerated over the previous quarter, US search saw advertising spend up 9% when compared to Q2 in 2013.
  • Smartphones level the mobile device playing field  – Smartphone spend is now nearly equal to tablets as both mobile devices combined comprise 27% of total US search spend. Spending growth YoY for tablets is up 47% while smartphones spend is up 173%.
  • Google regains engine market share– The Yahoo!/Bing Network lost some US search market share in Q3, down to 21% of spend vs. Google’s 79%,  reversing several previous quarters’ small growth.
  • Product Listing Ads (PLAs)  – As marketers begin to move to Google Shopping Campaigns by this August,  Q2 PLAs comprised 32% of total search spend, 34% of total clicks and 27% of total impressions for those advertisers who leverage both PLAs and paid search.
  • Partner networks dim– When compared to the primary search networks, partner network performance has taken a hit with impressions down 37% and clicks down 27% YoY due to the decrease in efficiency with almost all metrics down when compared to the main search sites’ metrics.
  • Programmatic inventory shifts  – Facebook Exchange (FBX) continues to grow and is now a sizeable 18% of display spend (up from 8% in Q2 2013). FBX is now responsible for 42% of impressions, 66% of clicks and 36% of conversions.

Read the full report here.

Weekly News Roundup

U.S. Ad Spend Hits $35B In Q1

The United States ad revenue hit $34.9 billion in Quarter 1. This showed a 4% increase in the United States ad spend. The Winter Olympics was the main factor in the heavy spike in ad revenue. Aside from television advertising, display advertisements saw the biggest increase in revenue. According to the article, “the Display Internet business was up 13%.” The company with the biggest advertising growth was General Motors.

How Marketers Can target Online Shoppers More Effectively: The power of segmentation

Nowadays, consumers have an endless amount of choices for certain products. As stated in the article, “Today your customers are really your only source of competitive advantage.” So, what is the best way to target and maintain your customers. The article talks about splitting up your customers into 2 segments: the careful shopper who conducts extensive research prior to making a purchase and the efficient shopper who doesn’t bother with deals and coupons. Once you have your customers placed into the 2 segments, you can adjust your promotional campaign to fit the needs of each segment.

Competitive Analysis in Search Is Linked to Higher Conversions

Knowing your competition is an extremely important tactic to implore in order to do well. However, in search, it is a must to know what your competitor is doing. Knowing your competitors backlinks, content and site structure will give you a leg up on the competition. According to the article, “only 40% of marketers integrate competitive analysis insight into strategy.” In contrast, competitive analysis is proven to be successful and companies should be latching onto it.

When Do Mobile Ads Work?

Marketers should take notice of mobile advertising. For those who are not aware, “mobile display ads can increase brand favorability and purchase intent.” The information on mobile ads are supposed to remind users of what they already know about that specific product being advertised to them. Mobile ads are also meant to be advertised after those initial products are advertised elsewhere in a different form of media. The article states that global spending on mobile advertising is meant to hit $36 billion by 2016.

Ad Spend on Social Media Platforms is Expected to Hit $11 Billion by 2017

Social advertising is growing at an enormous rate. That enormous rate is expected to be $11 billion by 2017. The article provides charts on various ways social advertising is heading in the market. An example includes the age group of males and females that are most targeted in the USA. In addition, “71 percent of agencies said that they ran social media ads alongside other online advertising, and 41 per cent in conjunction with offline advertising.”

Mobile Marketing Goes Awry for Pandora

Pandora, a very well recognized radio station has been known to give their users multiple ads throughout their listening experience. These ads are usually specific to the user’s zip code, which Pandora asks them to enter upon downloading the mobile app. The issue with this is that the zip codes are entered manually by the users. Once a user moves, they will continue to receive advertisements specific to their past location. Luckily for Pandora, advertisers are now interested in running much larger campaigns, nationwide. For now, Pandora has been checking IP addresses of mobile devices and will ask the user to change their zip code if required.

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Source: Silanis e-SignLive

IgnitionOne Announces $20 Million Series B Funding Led by SoftBank Capital

We at IgnitionOne are excited to announce $20 million in Series B funding. This funding was led by new investor SoftBank Capital with participation from existing investors including ABS Capital Partners and Brown Savano.

This additional capital will enable us to extend our lead as the industry’s broadest and most well-integrated digital marketing hub through additional strategic acquisitions, accelerated innovation of our Digital Marketing Suite technology and expansion of sales and marketing activities on a worldwide basis.

With a global footprint of over 450 employees in 17 offices across 10 countries, IgnitionOne is one of the largest independent marketing technology companies in the world. Our suite of innovative solutions encompass algorithmic media management across channels such as search, programmatic display and social; advanced data management; and marketing automation including user scoring, lead nurturing and lead optimization.

“We are committed to simplifying the lives of marketers by assimilating the most important marketing and advertising technologies into a single stack and this capital raise will allow us to accelerate that vision,” said Will Margiloff, CEO of IgnitionOne. “IgnitionOne is leading the industry with the most integrated and complete digital marketing technology.  We will continue to be relentless in our drive to bring far greater simplicity and superior performance to marketers, through the power of an integrated solution.”

See the full announcement here

Data + Media & the Future of the Digital Marketing Hub

Marketing leaders remain in the hot seat, with increased pressure to deliver higher ROI, better brand engagement and growth. At the same time, the marketing landscape has increased in its complexity. 

Last week, Roger Barnette, President of IgnitionOne, and Brian Deagan, Global Business Director of the DMP, hosted a webinar that detailed what  will soon become central to the future of marketing. In the webinar, Barnette and Deagan cover the utilization of user data and how to navigate the integration issues, privacy challenges and strategic efforts associated with digital marketing.

This information-intensive webinar isn’t something you will want to miss. You can watch the whole thing here.

Weekly News Roundup

Here’s What GroupM’s Big Change Means For The Ad Exchange Market

GroupM recently decided to stop buying online ads from open ad exchanges because of lack of transparency and quality of ad inventory. Critics are concerned that GroupM will not follow through with this. Instead of buying through open ad exchanges, GroupM will purchase ads directly from publishers and private exchanges. The article claims that GroupM’s top clients do not spend as much money on these open exchanges anyway, so the pressure on this move will not be too great.

Global Ad Revs Expected To Hit $516B In 2014

Analysts are expecting global advertising to achieve its greatest growth in 2014. The World Cup, Olympics, and the U.S. midterm elections have contributed to this growth. The U.S. alone is contributing 6.0% revenue growth. Television comes in first with the most in percentage gains at 40.2% market share. Programmatic buying, including RTB for display, social and video campaigns, will reach $18.4 billion. Overall, the global ad revenue is anticipated to reach $516 billion this year.

“Moneyball” vs. Creative: Where Data and Marketing Collide

It takes creativity to have successful marketing efforts, but the data behind it must not be left out. An impactful marketing campaign must have the right data mixed with the right creativity. The article states that, “there is no (one) best idea;” opportunities are limitless.

Mobile Marketing Over Email is Becoming Vital

Half of all active users on the web are now opening email on the their mobile phones, increasing the popularity of mobile marketing. Studies show that this percentage will increase in the future. According to the article, the most popular devices that are used during these transactions are Apple’s iPhone and iPad. Mobile advertising is becoming a huge part of the digital advertising industry. If companies do not jump on board, they may get left behind.

Google Study Claims Search Ads Improve Awareness

According to Google, search ads improve brand awareness. Because of this, paid search is becoming even more useful to businesses. In a sample tested to see the effectiveness of paid search, Google secured this claim:

Mondelez, Heineken Take The Programmatic Bull By The Horns

Programmatic buying has become a hit for big named brands. Brands such as Kimberly-Clark, Kellogg’s, American Express, Procter & Gamble, Allstate Insurance, 1-800-Flowers, Unilever, and Mondelez International have emerged on the exchange trading platform. The idea is to now create a more effective model that works for agencies.

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Source: Come And Take It America

The inaugural IgnitionOne Client Summit – Driving Consumer Behavioural in an Omni-Channel World

The IgnitionOne US Strategic Partner Summit is legendary and last week, the European team decided to launch their first-ever European Client Summit at AutoWorld in Brussels. Continue reading The inaugural IgnitionOne Client Summit – Driving Consumer Behavioural in an Omni-Channel World

2014 IRCE Takeaways

Last week, Internet Retailer hosted their 10th Annual IRCE event in Chicago to discuss the latest digital strategies and trends for marketers and retailers. This year the conference sessions covered a large array of topics from understanding how emerging laws will change your e-commerce models to refining email marketing programs to better optimize desired results. Throughout each session three major themes played a large role across the presentations, each one rooted in understanding how to use your data to better serve your customers. The following are the three key takeaways from the conference:

Mobile is Revolutionizing the Consumer Experience – During a keynote presentation by Wikipedia, the speaker explained that for $41.00 (the cost of a smartphone in Nigeria), you can have all of the world’s knowledge in your pocket. This immediate access to knowledge offers retailers infinite amounts of data to be collected, analyzed and repurposed for marketing. Research from Goldman Sachs, presented in a different session, suggested that in 2014 consumers spent $204 billion dollars shopping on their tablets ($134 billion) and smartphones ($70 billion). More so than ever, people are pulling out their tablets and smartphones and integrating them into their shopper journey at moments of convenience. Understanding their patterns and usage will lead to more efficient targeting and ultra-personalized messaging at moments of high-receptivity.

Global E-Commerce Growth is on the Rise – According to one study presented in “Where Global E-Commerce Growth will come in 2014 – and beyond,” there are 2.4 billion internet users worldwide. With the access to the internet on the rise, gone are the days having a small set of local customers as the internet has allowed mom-and-pop shops and big-box retailers to be available anywhere in the world. For retailers, it is important to ensure an infrastructure is setup to support this system (both from a logistics and technology perspective), while making sure the focus is on the customer. For example, taking a channel agnostic approach by setting company objectives (as opposed to channel specific ones), helps avoid internal cannibalization and better serve the customer on all levels. Furthermore, setting up localized sites with in-depth analytic tracking provides customers with a better customized experience and interaction with the brand, while allowing the company to collect user data.

A Little Data Changes Everything – Gamestop, a retailer that sells video game consoles and products, realized they had a lot of data, but little info about their customers. In an effort to collect more relevant, insightful data they launched their PowerUp program designed to track their consumers’ shopping activity across-device. Upon coming into the store, consumer’s cards could be scanned and qualified sale’s associates could view their profile to ask them about their latest gaming experiences. They took the approach that their clerks would be able to offer most relevant information based on their profiles to help increase their sales. By implementing a centralized data system, pulling in previous purchases and other available customer activity, the system was “designed to facilitate the most relevant conversation” between the customer and the retailer. The key to success, profit and loyalty was collecting and accessing their owned data.

For brands to survive and thrive in the ever-growing digital market space they need to understand their product, their consumer and the connection between the two (be it in-store or digital). These connections are what allow consumers to transcend from a simple transaction to a loyal, repeat buyer who has a strong connection to a brand. The key is located not only in the amount of data brands have on each consumer, but in their ability to centralize and integrate this data to offer the best in-store/online experiences across all platforms.

 

This post originally appeared in Knotice’s blog.

IgnitionOne Honored Among Most Promising Digital Marketing Solution Providers and Most Innovative Companies

We at IgnitionOne are proud of our history of innovation. We are also very excited about all the innovative and ground breaking work we release every day to help our clients.

 

And all that hard work is being recognized in the industry! We are honored to accept a Bronze Stevie Award (American Business Award) for Most Innovative Company of the Year – Up to 2,500 Employees. The American Business Awards are the nation’s premier business awards program. with over 3,300 applicants. 

 

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And we are also  proud to be one of the Top 20 Most Promising Digital Marketing Solution Providers by CIO Review Magazine. It is consistent with our goal of bringing simplicity to marketers and delivering powerful, centralized technology.

 

CIO Review recently brought together a distinguished panel comprising of CEOs, CIOs, CMOs, VCs, and analysts to choose the top Digital Marketing Solution Providers from over thousand companies. 

 

The editorial team of the magazine believes that the success of today’s marketing strategies is linked to the adoption of the best digital technologies. Because of that, CMOs and CIOs need to work closely together so that marketing has the right set of tools to fully communicate with customers with the right message at the right time through the right channel. 

 

You can see the full list here, a spotlight on IgnitionOne here, and the digital copy of the magazine here

 

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Weekly News Roundup

Facebook explains its decreased organic reach

 Facebook has received a backlash of complaints on their recent decrease in organic search. According to the article, there was an “internal tweak” that caused much anger for brands because now they have to pay to reach their audience.  Originally telling their agencies that getting enough likes was sufficient enough to generate an audience, but now that organic reach has decreased, brands have to pay to reach their audience. This will cause Facebook’s ad revenue to increase, but decrease brands trust in them. Facebook has been working to improve their communication for future changes.

Google Penalizing Brands When Smartphone Clicks Don’t Deliver The Goods

There has been a recurring problem with searches on mobile devices.  Smartphone users have been getting directed to a company’s mobile site rather than the webpage they were actually looking for.  Google is urging brands to fix this problem so that it is easier for users to get the information they are looking for.  The problem that comes along with fixing this issue is that it requires a good deal of money and time for the companies to expend.

Customers First, Company Needs Next, Individual Agendas Last

There has been a recent trend in companies to put their needs in front of their members.  Many companies make decisions that are best for the company, but not the members.  The author explains that this habit must be discontinued.  Companies must stop worrying about what technology is the best, but worry about what will make the members happy.

Search Apps Stealing Mobile Search Ad Revenues from Google   

 In the realm of paid search, it is no doubt that Google tops the chart. However, the article explains recent trends with users on mobile apps, pushing Google behind first place. These mobile apps use alternate sources of revenue generated outside of Google ads.  According to the article, 85.9 percent of digital ad search projected for 2018 is through mobile advertising alone. Sure, Google will lose the top spot in the mobile advertising world, but that’s not to say they won’t be too close behind.

Six Social Media Marketing Trends That Will Stay On

Social media has made the world of marketing into a much larger platform of attention. Marketing is now all about satisfying the customers individual needs. No longer are brands targeting just an audience, but also, individuals within that audience. According to the article, there are six trends in social media that are bound to continue to hold a large promotion for marketers in their business. These six are content, social listening, Google+, visual social media, paid social advertising, and smartphones.

All Facebook mobile app ads will include Page links and social context from August 6

Starting August 6th, mobile devices will begin to include Facebook links. This is particularly targeting mobile app ads in order to have the same appeal those ads would have when accessing Facebook through a desktop. This change shows just how important mobile ads on Facebook are becoming.. According to the article, most of Facebook’s social revenue network comes from mobile, and this new version will only reach more users and continue to grow their total advertising income.

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Source: Silanis eSignLive