Location Data Inaccuracies

Location Based Advertising

Making good use of accurate location data from a mobile phone is something every advertiser pursues in order to offer highly relevant ads to shoppers. The reason for this is that ads are more effective when served to the right interest at the right time and right place. The installation of ad blockers is on the rise in part due to shoppers being bombarded with irrelevant and annoying ads.

On average studies have shown that 90% of location data in ad requests is inaccurate due to being stale or fabricated. The other 10% has a higher level of accuracy but determining which of those 10% has a level of accuracy good enough to target a shopper is difficult. The kicker is, advertisers have no way to know which data is good.

Existing solutions on the market focus on filtering the vast amounts of 3rd party location data available. How this data was obtained is unknown and therefor these attempts are flawed. To that, we remind you of one of the basic computer science principals, “garbage in, garbage out”.

Location is only one factor in targeting your intended audience, building customer loyalty and brand awareness, ultimately influencing the purchase decision. Effective advertising can and should be complementary within the context of your audience and their daily movements. AdAbouts technology combines accurate location with interests and behavioral patterns to enhance your audience profiles and ensure your campaigns are on target.

Ad Blockers And The Lack Of Content-Rich Advertising

Remarkably Relevant Ads

Ad blocking downloads have proliferated on mobile after the release of iOS 9 but the spread is not limited to Apple products. Android devices are now also capable of running ad blockers such as Ad Block Plus which filters traffic and removes advertisements.

In basketball, shot blocking is an important defensive skill that can greatly alter a game. Teams pay a lot of money for tall players with long arms to protect the rim, even if they are not skilled in other areas. This is because blocking what you do not want to happen is one way to increase the odds of something positive happening. The same principles that govern shot blocking in basketball are also responsible for the use of ad blockers on web browsers and mobile devices.

  • The Rise of Ad Blocking Software
  • There was a time when ad blocking software was almost exclusively constrained to web browsers on desktop computers however the environment has changed significantly in the last year. Apple’s release of iOS 9 last September helped popularize the so-called “ad free experience”, and it has had a resounding effect on mobile advertising worldwide. Various studies have found empirical evidence that shows more people than ever are blocking ads and that indicate the trend will continue in the future.
    A 2015 report published by PageFair and Adobe found that ad blocking is increasing by 41% each year and that nearly 200 million people are currently blocking ads. This is a sharp increase that Adobe estimates cost the mobile advertising industry about $22 billion in 2015. Additionally, a survey performed by GlobalWebIndex saw 40% of respondents say they are interested in blocking ads on their mobile devices in the future. When the continued spread of ad blocking software is taken into account, the amount of money lost due to ad blockers could climb above $40 billion in 2016.
    This increase should be worrisome to anyone who bases their business model around mobile ad revenue, including developers, mobile advertisers, and online content creators.

  • The Great Threat Presented by Ad Blockers
  • Ad blocking downloads have proliferated on mobile after the release of iOS 9 but the spread is not limited to Apple products. Android devices are now also capable of running ad blockers such as Ad Block Plus which filters traffic and removes advertisements. Scarily for mobile publishers, the expansion of ad blocking on mobile coincides with an increase in mobile web browsing meaning more traffic than ever is being filtered through ad blockers.
    The root of the problem is widespread advertising fatigue among consumers. In fact, of those who currently run ad blocking software, 41% say they are overwhelmed with the amount of ads and 50% say they feel their personal information has been misused for advertising purposes. So, the reason that people are employing ad blockers more than ever before is because they have been over exposed to irrelevant ads that negatively affect their browsing experience.
    With an ad blocker, mobile users see faster loading times, reduce their data consumption, and save screen space. Each of those is a positive result that makes ad blockers especially attractive to mobile browsers.

  • The Answer is AdAbouts
  • Further analysis of the ad vs. ad blocker dilemma results in an interesting dichotomy. Advertisements make free content widely available, in the same way that TV commercials subsidize TV shows. Without ads, free online content would largely disappear, so the question becomes: are consumers willing to pay a fee for content? Or, is there a better way to advertise that benefits everyone?
    Consumer behavior seems to indicate that web users are not willing to let go of free content, although more research on the subject is needed. As a result, major online advertisers like Google and Facebook are devising solutions to this conundrum. They want to allow faster loading times and create less intrusive ads for users while maintaining their free content.
    AdAbouts has a similar aim yet has capabilities that even the largest internet companies’ programs cannot match. Richard Sylvester, AdAbouts CEO puts it this way, “Yes, we compete with both Google AdMob and Facebook Audience Network. There are of course differences and our point is to be a premium exchange that offers fine tuning of some critical points other solutions don’t offer.”
    Of the many improvements AdAbouts makes to mobile advertising, new technologies lead the way. Enhanced Real-Time Bidding (eRTB) practices are used to select the most relevant and profitable ad, rather than simply picking the highest bid. To aid in the determination, AdAbouts incorporates Location 2.0 Technology that takes a person’s physical surroundings and current activity into account, rather than relying on unspecific inaccurate geographic coordinates.

  • Add Smarts, Add Relevancy, AdAbouts
  • For every action there is an equal and opposite reaction. In response to shot blockers, basketball players invented the pump fake which is a movement, like a fake shot, to draw the opposing player into the air, thus opening space for a shot. Likewise, consumers have become hardened to traditional mobile advertising approaches and have turned to ad blocking software for a solution. In order to skirt around ad blockers, mobile advertisers must adopt new tactics. AdAbouts represents a new tactic that promises to change the way mobile users see and respond to ads on mobile devices.

Where You Are Determines the Ads That You Will See

Location 2.0™ and Location State™ technology

AdAbout’s Location 2.0™ technology focuses on the physical location and the surroundings of a mobile user to deliver ads pertinent to their current situation.

Gift giving can be a daunting process. Whether you are shopping during the holidays or your best friend’s birthday, there is no way to guarantee that the gift you select will be a winner. Because gifts are typically given as surprises, you have to figure out what the person wants or needs without asking them. To do this you use your knowledge of their interests and habits to choose an appropriate gift and the same is true for mobile ads.

Relevancy is King in Mobile Advertising (and Gift Giving)

Basically, mobile advertisers have to figure out how to influence mobile users to click their ad and, hopefully, purchase their product. But, how do you know what a specific person wants or needs? Advertisers, like gift givers, use the information they have about their intended audience, including location, to determine relevant ads.
Consider facts from a recent study regarding mobile advertising. According to eMarketer.com, 70% of American adults were exposed to mobile ads in 2014, yet only 35% of them actually clicked a mobile ad. Furthermore, the top two reasons people reported not clicking ads were a lack of interest in and a lack of relevancy to the advertisements they saw.
This data clearly shows that relevancy, which can be defined as current interest + current location + right time, is the most important aspect of mobile and online advertising. The question becomes, how can mobile advertisers increase the relevancy of their ads?

Location, Location, Location

Recently, the benefits of location-specific advertising in the mobile ad market have been realized. AdAbouts is at the forefront of the movement to use real-time location services to increase ad relevancy. This new movement is predicated on the fact that most people carry a mobile device with them everywhere they go. For mobile advertisers, this means that information about a person’s location and surroundings is almost always available.
A simple, effective way to think about the importance of physical location to advertising is to consider the connection between location, opportunity, and desire. Someone browsing the web in rural Texas, for example, will have different desires and opportunities than a mobile phone user on 5th Avenue in Manhattan because of their location. That is, in essence, how location data increases relevancy; by providing information about the interests of a mobile user instantaneously. For mobile advertisers, location becomes even more important because of the lack of information that can be garnered from Cookies inaccessible to the mobile device.

Remarkably Relevant

AdAbouts technology combines location with interests and behavioral patterns to enhance your audience profiles and ensure your campaigns are on target.

No Cookies, No Problem

Online advertisers have an advantage over mobile advertisers in that they can take information about a person’s browsing history and use that to decide which ads to display. This data, called a cookie, is stored by web browsers on computers but cookies are not present on mobile operating systems. In fact, this is a major hurdle for mobile advertisers because they cannot easily target their customer’s interests based on cookies in the same way that online advertisers can. AdAbouts seeks to address this challenge with a two-pronged approach to mitigate the no-cookie conundrum.

The AdAbouts’ Advertising Attack

AdAbouts seeks to change the way mobile advertising is conducted by overhauling the inefficiencies of past mobile ad practices while incorporating new technology. The AdAbouts platform is efficient because it is a single software development kit that connects multiple ad networks, exchanges and DSP’s to reduce complications and increase communications. But, not only is AdAbouts more efficient, it is also generates more revenue for developers and advertisers by selecting more relevant ads. How you ask?
Firstly, AdAbouts delivers more accurate location data through Location 2.0™ and Location State™ technology. The important idea here is that Location 2.0™ technology focuses on the physical location and the surroundings of a mobile user to deliver ads pertinent to their current situation. Contrastingly, many less effective location-based services simply use geographic coordinates to select ads, which is much less specific.
Secondly, AdAbouts uses enhanced real-time bidding (eRTB) with Value Score to track ad relevancy over time for better conversion. AdAbouts evaluates advertisers and their specific ads relevancy and conversion rates and calculates a Value Score which is taken into account with their every bid. The higher the Value Score for a specific individual, the more likely the bid will be accepted. Other real-time bidding exchanges simply return the highest bid.

Join the AdAbouts Movement

No revolution would be complete without a devote set of followers and the AdAbouts movement is no different. We are calling all interested app developers to rally to the cause by joining our forum at AppMonetizationStrategies.com. Here you will be able to contribute to the development and design of AdAbouts by sharing your own expertise.
Be a part of the most exciting movement in mobile advertising, join AdAbouts today!

App monetization forum

We Want You! Join Our Forum

The Many Inefficiencies of Real-Time Bidding

Current inefficiencies of RTB
Imagine for a second that you are on the main floor of the New York Stock Exchange as the market opens. Papers are flying, phones are ringing off the hook, and traders are clamoring to cut deals as fast as they can. This is an example of real-time bidding in the financial sector. Stock brokers use the present information they have on hand, based on data and news collected from around the world, to buy and sell stocks instantaneously.
A similar concept of real-time bidding applies to the mobile ad market.

What is Real-Time Bidding? (RTB)

Real-time bidding is defined as a process in which advertising inventory is bought and sold on a per-impression basis, via programmatic instantaneous auction. Basically, when a mobile phone user sees a pop-up ad within an app or on a website, that ad got onto their screen by winning a RTB auction.
In terms of mobile advertising, the bidding group is the advertiser and the app publisher is the auctioneer. That said, mobile advertisers only pay a publisher for displaying their ad if the end user actually clicks on the advertisement.
In order to determine which ad wins a RTB auction, developers consider two primary variables: 1) the price of the bid and 2) the location of the user. The goal is to display ads that are both relevant and high-paying in order to maximize profit. However, traditional RTB practices have been exposed as inefficient recently and this is why.

Inefficiencies of Real-Time Bidding Practices

Traditional mobile advertising is inefficient because the calculations that publishers make to decide which ads to display are incomplete. According to software developer and CEO of AdAbouts Richard Sylvester, “the largest problem we see is the fact that all RTB servers work by returning the highest bid.” Of course, awarding ad exposure to the highest bidder makes sense, if payment were guaranteed. But remember, publishers only receive payment if a user clicks on a displayed advertisement. Therefore, the price of an ad must be weighed against the probability of converting the ad into a click from the user.
Sylvester goes on to explain this concept with the following example scenario:

“[A] bidder has an ad that is simply a white box with nothing inside of it. The bid payout for this ad is $0.50 if clicked.

Another bidder that was outbid by the above ad was for coffee while the end user was at a bookstore. The bid was only $0.30 if clicked.

Assuming the white box has a click through rate (CTR) of 0.1% due to curious people and accidental clicks this equates to an eCPM of $0.50 for 1 click per thousand impressions.

Now assume the second ad won. It could have a much higher CTR of, say, 5% due to its relevancy. Based on this CTR the developer would have an eCPM of $15 for the 50 clicks at $0.30 cents.”

The above example is dramatic, but it clearly shows the issue with traditional RTB practices. To summarize, the highest bid is not always the most profitable. This means that publishers should take relevancy into account when deciding which ads to display in their apps.

Enhanced Real Time Bidding

AdAbouts turns the tables on RTB by focusing on ad relevancy rather than the price of a bid.

The Efficiency of AdAbouts

AdAbouts turns the tables on RTB by focusing on ad relevancy rather than the price of a bid. This philosophy is important because, as the example above shows, revenue is about click through rate, not necessarily bid price. To maximize CTR and generate the most revenuefor both developers and advertisers, AdAbouts improves upon the two traditional variables associated with RTB (price and location).
First, AdAbouts is revolutionary in that it condenses multiple ad networks into one program for easy comparison. So, instead of taking bids from advertisers in succession, AdAbouts simultaneously receives bids from all interested advertisers. Resultantly, greater transparency and competition leads to higher bids.
Secondly, AdAbouts uses a different type of location data gathering software called Location 2.0 Technology (patent pending). Whereas traditional RTB location data focuses on geographic coordinates, Location 2.0 focuses on the immediate environment of the mobile phone user. In the example above, AdAbouts would deduce that the user is inside of a bookstore, a fact that makes a coffee ad more relevant.
Thirdly, AdAbouts measures and monitors ad content over time and applies a Value Score to the advertisers content which measures relevancy and effectiveness in determining which bid wins the AdAbouts Enhanced Real-Time Bidding auction.
The result of these three tactics is advertisements with more relevance to each individual user which equates to more clicks which leads to more profit.

Win At RTB with AdAbouts

Real-time bids for mobile advertisements are placed billions of times a day across the globe. For a publisher, the potential difference in revenue that can be obtained by using AdAbouts advanced metrics is staggering. And for advertisers, the increase in ad impressions can be equally as steep. Take it from AdAbouts developer Richard Sylvester, “The highest bid doesn’t always win, the most relevant ad does.”
AdAbouts is the future of mobile advertising, and, in the future, everyone wins.

AdAbouts: One SDK to Rule Them All

Remarkably Relevants  Ads

The landscape of mobile advertising is changing. Over the course of a few short years, the mobile app economy exploded into a multi-billion dollar industry and had advertisers clamoring to cash in. They saw the opportunity to gain massive amounts of exposure by exploiting the insane amount of time that individuals spend on their mobile devices. So, mobile ad companies of all sizes began writing code for integration into apps. The only problem is, they are advertisers, not app developers and without an app to install their code into, their SDK is useless.

What’s an SDK?

SDK stands for “Software Development Kit” and are packages of code created by companies to perform a specific function within an app. There are SDKs that collect user data, analyze trends, and in the case of mobile advertising, monetize apps. With a large number of SDKs available and mobile ad companies aggressively pursuing developers, the SDK pool has become flooded with options, to the chagrin of app developers.

Remarkably Relevant Ads

The AdAbouts algorithm is configured to determine the most relevant, click-worthy advertisement yielding the highest value.

Problems with Multiple SDKs

As stated, SDKs come from outside of a developer’s studio, from some other company and, therefore, integrating an SDK into an app carries an inherent risk. The foreign code could introduce a bug or glitch into an application that negatively affects user experience. Because of this, every SDK that is integrated into an app must be tested for compatibility before it is deployed to the market. This means that developers must devote a substantial amount of time to monitoring and correcting the SDKs they choose to incorporate.
Beyond the initial difficulty with SDK integration, they can also present additional, indirect hurdles. For example, each SDK that is added to an app increases the size of the app which increases the download time. Furthermore, bugs, crashes, and slow downloads result in lower app store ratings, a threat that can cripple an app’s popularity.
Basically, there are too many mobile ad companies with SDKs and too few developers willing to integrate them due to the risk factors. Oftentimes, rather than explore new, potentially damaging SDKs, developers tend to stick with the advertisers they know and trust. This may be the safe route, but without continual exploration, app developers may sell themselves short in terms of ad revenue.
The question then becomes, how can developers test new SDKs while mitigating the associated issues?

The AdAbouts Solution

The current culture of confusion and apprehension toward SDKs in the mobile ad world is a direct result in the lack of continuity between developers and mobile advertisers. But what if all of the various mobile advertising SDKs could be condensed into one that can provide all the mobile ad monetization services that a developer needs? AdAbouts is the answer to that question.
AdAbouts is a single SDK that takes care of all the advertising needs of mobile app developers. The beauty of AdAbouts is that once it is integrated, AdAbouts does not require the constant tests, additions, and updates of traditional SDK packages. This streamlined approach is accomplished through a variety of groundbreaking strategies that optimize advertising campaigns in all AdAbouts-enabled apps.
First, AdAbouts brings together its entire ad networks, demand-side partners, and ad exchanges through server-to-server integration. Ad requests are submitted simultaneously to all of the platforms and bids are scored via an algorithmic to determine which ad will be most profitable. There is a myth that the highest bid is always the best choice when in fact a combination of bid price, relevancy and ad creative most likely to induce a click from the user is most valuable. The AdAbouts algorithm is configured to determine the most relevant, click-worthy advertisement yielding the highest value.

Accurate location based advertising

Location 2.0™ focuses on the physical place that an app user is at rather than their geographic coordinates to give advertisers the best chance of conversion.

One important consideration in determining a relevant ad is the location of the individual who is going to view it, but the problem with current location data is that 90% of it is inaccurate or completely false. AdAbouts addresses the issue of inaccurate location data with a new technology called Location 2.0™ (patent pending). Location 2.0™ focuses on the physical place that an app user is at rather than their geographic coordinates to give advertisers the best chance of conversion. And, when a user’s location is combined with the behavioral data collected by AdAbouts, mobile advertisements become irresistible to app users.
Finally and most conveniently for developers, as the AdAbouts team integrates additional advertisers and demand partners, apps immediately benefit without any effort from the developer’s side. AdAbouts essentially takes on the responsibility of testing and integrating new advertising partners so that the most relevant and competitive ads always appear in the app. This leaves developers the time and energy to focus on improving their core apps, not troubleshooting SDK issues.

The Answer is Here
SDKs are the bane of app developers and, unfortunately for mobile advertisers, have diluted the market and made advertising more difficult. AdAbouts represents the next generation of SDK and is a benefit to both developers and advertisers alike. Developers receive the convenience and peace of mind a single SDK offers while advertisers get more accurate data to work with. AdAbouts is what it’s all about.

The evolution of location based advertising [Infographic]

If you have heard about location based advertising, then you may know that it has become more relevant for businesses and marketers to know their audience and the best places to reach them.
For a good mobile advertising campaign to deliver desired results, it’s important to have high quality, accurate location and place data. This info must be top notch in terms of accuracy and comprehensiveness.

AdAbouts gathers the requirements for accurate place based advertising with a simple, evolutionary solution that has the capability to provide remarkably relevant mobile ads.

AdAbouts infographic

Have comments or questions about AdAbouts, send us an email to info@adabouts.com.

Mobile Cloud Labs Attends NOAH in Berlin

Mobile Cloud Labs attends NOAH conference in Berlin

Photo by m.a.r.c. on Flicker.

Mobile Cloud Labs’ CEO Richard Sylvester will attend the NOAH Conference in Berlin on June 9-10, 2015. This will be an opportunity for our company to meet Internet CEOs, executives and investors to establish new business relationships.

The NOAH Conference is a space organized for industry leaders and competitors in technology fields such as automotive, energy, education, travel, advertising, healthcare, TMT (Technology, Media & Telecom), retail, gaming, home automation and wearables.

Mobile Cloud Labs’ goal in NOAH Berlin 2015, is to discuss the evolutionary platform AdAbouts while also learning about the latest innovations in mobile advertising.

Our company is looking forward to establishing new business relationships, being inspired by others’ ideas and of course, having a great time at the NOAH business networking dinner party.

What’s The Craze With Location Based Targeted Ads?

AdAbouts Location based advertising.
Imagine yourself walking in the mall during lunchtime. As you walk by the food court, you receive a notification on your smartphone from a Japanese restaurant stating that if you drop by within the next 15 minutes, you’ll receive a 30 percent discount off their lunch menu. Meanwhile on the other side of the mall, a woman walking near a shoe store sees a personalized message pop up on her phone, alerting her to new sales in the spring boots collection, something she was interested in.

If this situation has happened to you, then you are in the realm of location-based advertising. A new technology that marketers and advertiser are using to show their ads to the right people, at the right time and at the right place. This means that mobile users, like you and me, will be able to see ads based on our genuine interests along with places and businesses we frequent in the physical world.

Currently, several companies are working on the development of this new technology in which most of them are partnering with 3rd party apps and publishers to get access to mobile users’ location data. Advertisers and marketers use this data to analyze customers’ location and context so they can build consumer profiles based on their behaviors in the real world.

With all this in mind, this technology doesn’t sound all too bad, but let’s take a brief look at the financial perspectives, benefits and downsides in location based advertising.

First of all, it is worthy to mention the results from a recent report by Interactive Advertising Bureau (IAB) and PwC. This report showed that in the United Kingdom mobile ads make up 23 per cent of the £7.2 billion that was spent in 2014 on digital marketing. Perspectives are not less favorable in the United States, in which according to BIA/Kelsey location-targeted mobile ad revenues are projected to grow 35% annually from $4.3bn to $19.3bn during the 2014-2018 period. According to estimations made by eMarketer, it is expected that in 2015, global mobile ad revenues will hit $65bn with $28bn coming from the US alone.

Considering the financial perspective, this will not only benefit big marketing companies and brands, but will also be favorable for small to medium size businesses that want to drive more in-store visits and increase their brand awareness.

The highest accuracy in location based ads

On the other hand, everybody is getting benefits in the game of accuracy; including mobile users like you and me, who will receive relevant ads that will match our interests and desires with discounts and coupons. With this in mind, location-based ad technologies will enhance our shopping experiences through a more personalized service and access to discounts and deals.

As a matter of fact, users are already showing a growing acceptance towards location-based targeted ads in exchange for relevant shopping benefits . In the most recent report from Cayan “State of Payments Industry”, 78 percent of consumers are interested in using their mobile phones while shopping to get deals and coupons. In another study, conducted by ReasearchNow and Swirl, 77 percent of individuals would be willing to share location data with merchants in exchange for something valuable whereas, 50 percent of people polled by Cisco assure that discounts represent an incentive to share personal information.

All together this technology sounds like a great deal for businesses and mobile users but there are still many challenges to conquer. One of them is concerning privacy, especially for those who are non technology natives or half technology natives; who tend to perceive location-based targeted ads as intrusive and invasive with their personal info. The other issue is accuracy, even though many companies have invested time and money in the development of different platforms and proprietary algorithms to narrow location accuracy, ads are often sent to the wrong people at the wrong time and hence, budgets are being wasted as a consequence of this.

Happy customers
The solution to these problems could be laying in the capability of matching the right customers to every product and also offer marketers the tools to refine their campaigns so they show meaningful ads that connects to their customers’ interests and needs. It is also key to understand that not only is location accuracy important but content as well. Mobile users want to know what deals are available but they also want to feel connected with merchants and the brands they root for. For this reason, analytics and insights are as relevant as location accuracy.

With location based advertising, we will be able to receive ads, discounts or coupons based on places we go as well as our behavioral and search interest. In this way, merchants and brands can measure, analyze and create customer profiles to drive us into the right stores. This is a strategy to compete in the growing online market and connect more with customers.