HRM 3400 Lecture Notes - Lecture 6: Admob, Mobile Advertising, Market Segmentation
23 May 2018
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HRM 3400 Lecture 6 Notes – Advertising
Introduction
• Wind stream Communications, a telecommunications company with 3 million
customers, worked with Nielsen to perform a market segmentation and used the results
to drive its marketing strategy.
• As a result, direct mail response rates have risen more than 50 percent, and
telemarketing sales increased almost 500 percent.
• Mobile ad networks distribute mobile ads to publishers such as mobile Web sites,
application developers, and mobile operators.
• Mobile ad impressions are generally bought at a cost per thousand (CPM), cost per click
(CPC), or cost per action (CPA, in which the advertiser pays only if the customer clicks
through and then buys the product or service).
• The main measures of success are the number of users reached, click through rate
(CTR), and the number of actions users take, such as the number of downloads
prompted by the ad.
• The advertiser is keenly interested in this data to measure the effectiveness of its
advertising spending and may pay extra to purchase the data from the mobile ad
network or a third party.
• AdMob is a mobile advertising provider that serves up ads for display on mobile devices
and in applications like those that run on the Android and iPhone.
• With AdMob, smartphone application developers can distribute their apps for free and
recover their costs over time by payments from advertisers.
• With Google’s auisitio of AdMo ad Apple’s e iAd oile adetisig podut,
lots of innovation and change can be expected in mobile advertising.
• Because m-commerce devices usually have a single user, they are ideal for accessing
personal information and receiving targeted messages for a particular consumer.
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