The location based marketing industry will reach $55 billion over next 3 years, yet up to 90% of location signal data today is flawed. Yes, I said flawed.
Why is that? Most location signals from mobile devices can be attributed to false signals, fraud, waste, abuse and in many cases are just nonsensical. Any way you measure it, location signals powering this enormous growth, are challenged.
I was reading a Wall Street Journal piece published on August 25, 2015 entitled Mobile Readers Abound, the Ads, Not So Much which describes the challenges online publishers are having driving mobile ad revenues despite their surging mobile traffic.
My reaction to this piece was, Say WHAT?
The author, Jack Marshall, points out, “The problem is that for many [traditional news] publishers, mobile revenue isn’t keeping pace—by a long shot—creating what industry executives are calling a “mobile gap.”
Like several others in the tech & media sphere, I read last week’s WSJ piece “Mobile Readers Abound, the Ads, Not So Much,” which described the challenges online publishers face in driving mobile ad revenues despite surging mobile traffic.
My reaction to this piece was, “Say WHAT?”
What’s worse than a square peg in a round hole? How about trying to shove a peg 8 times the right size into the same space! And yet when thinking of mobile advertising, this is exactly what we are trying to do.
Let’s all agree on one thing: mobile is the media device of choice for most of us. It’s where we get our news, our weather, our stock updates, and our work communications. It’s also the place where we communicate with our family, view our personal photos, and stay in touch with friends. As a result, this device is always with us, so there is a level of intimacy that is sacred. If an advertiser wants to really reach me, they better start and end on my mobile device. And yet when I see advertising on my device (and that’s rare), what I generally get are irrelevant and intrusive messages that frankly leave me with a negative impression of the brand.
In addition to my role as Gravy CEO, I serve on the board of a flu and cold treatment company called Flunada. I was having a conversation with Flunada's CEO recently and he was telling me that business is going great and their products are now on the shelves in thousands of retail locations, but there was one thing keeping him up at night.
The 80/20 Rule of Customer Profitability is now Dead
Part One of a Multi-Part Series
We have all heard of the 80/20 rule (Pareto). While the rule is true, it can also be factored even further relative to customer profitability. Studies have shown that 20% of that 20% provide 80% of that 80% profit.
Say that again?