Trusted Media Brands, Inc., a multiplatform media company, released findings from a survey on mobile advertising formats. The study, “Can Video and Native Formats Rule Mobile Advertising?, was conducted by Advertiser Perceptions and surveyed clients and agency executives to reveal that the overall perception of video and native ads on mobile are less intrusive than banner ads, build brand awareness lift and engagement, offer a better user experience and will surpass display banners as the top mobile formats in 2016.
Predicted: Mobile Banner Ads Dive 20%
While 63% of respondents used display banners in mobile last year, only 45% expect to do so this year. Almost half of respondents (45%) plan to use video in 2016, with 46% of total respondents planning to use pre- or mid-roll video and 45% planning to use native in mobile as well.
“Our survey showed that native gets high marks for giving the message an authentic brand voice and imparting a superior user experience, while the increased brand awareness and engagement of video are considered a top benefit for both marketers and agencies,” said Rich Sutton, Chief Revenue Officer for Trusted Media Brands, Inc. (pictured top left). “With video on mobile commanding better CPMs than desktop for many publishers and native CPMs four to five times that of banner monetization, the advantages for these two formats are clear.”
According to the survey, a majority of marketers at agencies and brands (63%) agree that mobile phones should have ads. Additional survey results include:
Benefits of Mobile Native and Video Ad Formats
The top three benefits of mobile native ad formats cited by agencies and marketers are that they are less intrusive (44%), increase brand awareness (32%) and foster better engagement and interaction (31%).
Among agencies, 31% cited the more authentic brand voice native ads lend, while 33% of brand marketers noted the better user experience as a benefit.
Sight, sound and motion give video the advantage of being an ad format that works for marketers at both the top and bottom of the consumer purchase funnel. Increased brand awareness was noted by 47% of marketers as the most important benefit of video ads on mobile, while engagement (34%) and how well suited video is to mobile consumption behaviors (31%) followed. Among 26% of agencies, video is seen as providing a more authentic brand voice, while 25% of marketers believe it impacts lead generation.
Mobile Ad Format Usage – Past and Planned
Pre- and mid-roll video is the top ad format planned for use in 2016 (46%), while native and display banners tied second at 45 percent each, representing a slight dip from the use of native ads by 50% of marketers last year. Measuring the success of native was cited as the format’s top challenge.
The Trusted Media Brands, Inc. survey was conducted in December 2015 among 283 U.S. media decision-makers from the Advertiser Perceptions Omnibus Panel. Respondents were those involved in digital/mobile and social advertising.