UPDATED 23:04 EDT / JANUARY 26 2011

Verticals Dominate Mobile Ad Campaigns, Where Location and Social Media Rule

Mobile verticals are really starting to take off, as app downloads soar and mobile platforms offer increasingly integrated ways to access and manage these pieces of mobile software.  The December 2010 SMART report from Millennial Media captures this growth as far as mobile advertising is concerned, noting six verticals tripling in growth year-over year.

The automotive sector, for example, grew a whopping 623%, while retail and restaurants saw a 572% increase.  The entertainment vertical, which has remained a top category for several months now, grew 274%, while travel saw an increase of nearly 250%.  Finance and education round out the triple-digit growth verticals, increasing by 201% and 127% respectively.

Advertising around these verticals is also gaining speed, with marketers seeing the demographic groups shaping up around mobile app activity.  For December 2010, the telecommunications industry was most active, doubling their efforts from Q3 to Q4.  This is largely because of manufacturer promos being run during the holiday season—a great time to get a new smartphone.

Mobile web browsing is also becoming more commonplace, with more ads looping in features that direct users back to a website.  This made up nearly 50% of mobile campaigns, with 16% of campaigns encouraging users to download an app.

Location is rising in relevance, as more consumers demand features that orient their app interaction to their surroundings.  This resulted in a rise in mobile ads that use a store locator, now taking up 22% of that market.  The other major “call to action” was social media incorporation, with 14% of network campaigns offering interaction with Facebook or Twitter.

In fact, social media in particular saw significant growth quarter-over-quarter, with more marketers incorporating these options in their mobile outreach methods.  Both location and social interaction are areas of growing importance for mobile app developers too, as noted in Appcelrator’s quarterly report earlier this week.  It’s clear that apps and ads, as interactive as they are on mobile devices, are seeking more ways to contextualize the mobile experience, making more direct connections with consumers themselves.


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