Question

According to eMarketer, mobile ads will top 100 and it accounts for about 16.5 percent of total advertising spending in 2016. The top five spenders of mobile ads are the United States, China, the United Kingdom, Japan and Germany. This number is expected to increase as the worldwide adoption of smartphones continue to grow. In 2015, there were about 2.6 billion smartphone users. This number is expected to top 6.1 billion globally by 2020. Businesses are increasingly using mobile ads. Location data from mobile devices is the key element for a successful mobile ad campaign. Facebook and Google are two biggest players that generate the highest revenue from mobile ads. PlaceIQ, a technology form headquartered in New York city collects billions of data points from mobile devices and other sources and is able tract potential customers as they move from one retail location to another retail location – such as from one car dealership to another. PlaceIQ is also able to help businesses find out if the ads can translate to an actual visit by a customer. In addition to its huge data set for business, PlaceIQ also offers location data and analytics tools to businesses and allows them to do their own advertising. Audi is using the Place IQ data to measure how many potential customers will visit its dealerships before and after they have seen ads. They also want to target potential customers who are visiting their competitors’ showrooms. Stacom Media Group is using PlaceIQ in order to find out how mobile location data can be helpful and eventually attract more customers to a business. Questions: a) By 2020 how many smartphones will be existing globally? b) Who are the two leading companies that generate the biggest revenue from mobile ads? c) How PlaceIQ impact businesses? d) Why is Audi using the services offered by PlaceIQ? e) Your overall observation and learning from the above case study.

Answer 1

The answers of the questions are ----

a. By 2020 it is expected to exist approx 6.1 billion smartphones globally.

b. Facebook and Google are the two leading companies that generate biggest revenue from mobile ads.

c. PlacelQ collects data from mobile phones and other sources. These data are mostly related to user's location history. So by using these location, they are able to track the history of visits of any customer to any shop . They also try to analyse the probablity of visiting a custormer to a shop given that the customer have seen some ads of the shop.

d. Audi try to know that how many customers have visited their dealership if they have seen their ads previously. This increase the revenue of Audi and helps to track potential customers.

e. This case study clearly show the power of online ads. People have cosntant access to their smartphone. So ad companies are trying to put relevant ads to potential customers to increase the selling of their clients. This case study depicts that in future , with the advancement of technology people will rely more on technology and that can be used for mapping the cusutomers to suitable seller.