Millward Brown AdReaction 2012 Global Report: Marketing in the Mobile World

1. AdReaction 2012 – Global Report
Marketing in the Mobile World

2. AdReaction 2012 focuses on mobile advertising. Through
this research, we provide marketers with mobile insights and
a roadmap for navigating the mobile landscape – all to
support brand growth.
AdReaction Smartphone and tablet ownership, and time spent on mobile
2012 devices, are rocketing around the world. As we become a
more mobile-based society, it is clear that the relationships
between consumers and their mobile devices are unique,
GLOBAL OVERVIEW
and that while mobile media presents many new marketing
opportunities it also presents many challenges.
Marketing in the
MOBILE
This report first reviews how individuals use and relate to
smartphones and tablets, before exploring attitudes toward
mobile advertising and the roles that mobile can play in the
WORLD marketing mix. We then identify rules of engagement that
mobile marketers need to respect in order to be successful in
this intimate space. Finally, we wrap up with best practice
guidance for delivering effectively in the mobile world.
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3. Research Design
For more than 10 years, AdReaction has delivered insights and findings related to the opinions and perceptions of
advertising, particularly digital formats. AdReaction 2012 deep-dives into mobile and tablet advertising.
AdReaction 2012
QUANTITATIVE QUALITATIVE
Who: Smartphone and/or tablet users; Who: Smartphone and/or tablet users,
total of over 6,000 interviews non-rejecters of mobile marketing
What: Mobile usage and attitudes What: Deep dive into mobile advertising
towards mobile ads, apps & attitudes via individual examples
websites
How: Mostly online interviewing, some How: Mostly online forums with follow-up
mobile surveys depth interviews
3 Respondents were recruited between August – October 2012

4. Conducted in 18 countries around the world
U.S.
CANADA* FRANCE* SPAIN
GERMANY TURKEY
ITALY UK* CHINA
KOREA**
INDONESIA**
MEXICO INDIA
THAILAND**
KENYA
BRAZIL* NIGERIA
SOUTH AFRICA
4 *Quantitative only; **Qualitative only

5. 1. Mobile devices are increasingly 2. However, while most
central to our lives, so there is consumers will tolerate mobile
huge opportunity for growth in marketing, few consumers are
mobile communications favorable toward it
Key Findings
AT A G L A N C E
3. Mobile is highly effective at 4. The industry can improve 5. Marketers can use mobile
brand building and also very attitudes toward mobile websites, apps and ads
flexible - it can play a marketing by demonstrating to grow brands IF simple
number of diverse roles in greater respect for the best practice rules are
the media mix platform and the audience applied more
conscientiously
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6. the huge
OPPORTUNITY
MOBILE USAGE
on the rise
6

7. Mobile web is on the move
1.5 smartphones and tablets will be installed
globally by mid 2013 – overtaking laptops and
BILLION PCs*
37% in the number of global 3G subscribers in the
GROWTH past year**
13% traffic comes via mobile – more than double
last year; Mobile traffic share already over 50%
OF WEB in India***
*Source: Morgan Stanley Research; **Source: Informa WCIS;
7 ***Source: StatCounter Global Stats, 9/12

8. Mobile devices are indispensable efficiency tools
Please indicate how strongly you agree or disagree with the following statements about
your mobile device:
Having a mobile device makes me 33% 32%
more efficient
My mobile device is indispensable
30% 29%
because I’m always on the go
My mobile device is my primary
tool for organizing my personal life 21% 29%
My mobile device is my primary
tool for organizing my work life 18% 27%
My mobile device is my primary
tool for organizing my household 12% 22%
Strongly Agree Somewhat Agree
8 Sample: smartphone and/or tablet users, global average

9. People love their mobile devices
BEYOND “I take my smartphone everywhere. Life collapses if I
ESSENTIAL forget it.”
MULTI- “My tablet allows me to see the details, develop what I
TALENTED want, check or do work; I have more freedom.”
LIFE “Living in Lagos is so stressful with all the traffic, I
don‟t have to stress myself moving from one shop to
CHANGING the other when I can get online with my phone.”
TRULY “I always have an answer; my smartphone makes me
SMART feel like a hero when I solve problems.”
FUN “I feel like a wizard when I play and discover new things.”
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10. Mobile devices act as central hubs in our lives
Share of Time Spent Share of Time Spent
(Smartphone) (Tablet)
Video Video
8% Talking 16%
Games 16% Games
10% 15%
Web or
email
Music Texting
21%
12% 13%
Music
14%
Social Web or
Networking email Apps
Social
13% 14% 19%
Apps Networking
13% 16%
10 Sample: global average

11. Massive potential for growth in mobile marketing
11.7% among U.S. consumers is now spent on
OF TIME mobile devices
JUST 1% globally is committed to mobile marketing
OF SPEND
3X mobile ad spend predicted to grow from
BY 2015 $6.4 billion (2012) to $18.6 billion (2015)
11 Source: eMarketer

12. ARE BRANDS
WELCOME
in this intimate space?
ATTITUDES
toward mobile
marketing formats
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13. Most users will tolerate mobile ads; some more actively
embrace them
Please indicate how strongly you agree or disagree with the following statements about
your mobile device:
I'm happy to see ads on mobile
websites as long as the websites 17% 25% 26%
are free to access
I'm happy to see ads in my apps as
15% 25% 25%
long as the apps are free
I'm happy to share my location to get
13% 25% 25%
more relevant services and offers
I enjoy playing Advergames (games
9% 18% 24%
that incorporate ads/brands)
Strongly Agree Somewhat Agree Neither Agree Nor Disagree
13 Sample: smartphone and/or tablet users, global average

14. Attitudes toward mobile ads are much less favorable than
other media
How would you characterize your attitude towards advertising on….?
VERY/SOMEWHAT FAVORABLE, %
Non-Digital Digital
TV ads 51% Online display ads 36%
Radio ads 51% Websites/Microsites 36%
Magazine ads 50%
Social media ads 33%
Billboard ads 48%
Direct mail 32%
Newspaper ads 47%
Telemarketing 28%
Opt-in email ads 45%
Online ads with video 28%
Local deals 44%
Games 25%
Social media news feeds 42%
Cinema ads 41%
Mobile ads 23%
Online search ads 39% Online music players 23%
Product placement 38% Non-opt-in email ads 18%
14 Sample: smartphone and/or tablet users, global average

15. Ads on tablets are viewed more positively;
attitudes most favorable in Africa and India
How would you characterize your attitude towards advertising on mobile phones/ tablets?
VERY/SOMEWHAT FAVORABLE, %
Global Average 23 29
Kenya 48 55
Nigeria 48 39
India 43 51
South Africa 30 35
Brazil 23 29
China 22 30
Mexico 19 19
Italy 19 26
Turkey 17 28
UK 14 25
Germany 13 28
France 13 22
Spain 12 18
US 11 16
Canada 11 9
Sample: smartphone users Sample: tablet users
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16. Higher ad favorability appears largely to be driven by
importance of mobile devices
Mobile ad favorability vs. device importance
55
NIGERIA KENYA
45 INDIA
Mobile Ad Favorability
35
SOUTH AFRICA
25 BRAZIL
CHINA
MEXICO
ITALY
UK TURKEY
15 GERMANY FRANCE
SPAIN
US
CANADA
5
40 50 60 70 80 90 100
Having a mobile device makes me more efficient
16 Sample: smartphone users

17. Beyond news feed posts, there is little variation in attitudes
towards other mobile ad formats
SOCIAL MEDIA NEWS FEED POSTS (35%)
MOBILE SEARCH ADS (25%)
AUGMENTED REALITY (24%)
MOBILE DISPLAY ADS (23%)
SMS TEXT (23%)
VIDEO ADS (22%)
IN-APP ADS (21%)
MUSIC PLAYER ADS (20%) VERY/ SOMEWHAT FAVORABLE, %
For brands with a large number of fans or followers, social media news feeds may
represent the easiest way to engage with mobile consumers.
17 Sample: smartphone and/or tablet users; global average

18. Users have high expectations for mobile
1 2 3
Mobile Mobile Mobile will offer an
will be will know exchange of
competent who I am tangible value
And audiences can be receptive to mobile when it‟s done right.
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19. Mobile ads can be associated with many positive archetypes
COMPANION HERO MEDIATOR SERVANT
“Offers information in “Offers help when I‟m “I can compare prices, “All my „questions‟ about
different ways like a in need” features and brands, the brand/product are
solution provider” before deciding on answered directly”
what to buy”
BUT if it invades clumsily, negative associations can prevail
BULLY THIEF REBEL VAMPIRE
“I hate it when ads “It steals the little space “It's rebellious, it “It enters your space, as
interfere with my online I have on my screen” interrupts me while I if it were going to harm
activity, asking me to play or work” your phone”
click something that is
unclear”
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20. Brands are welcome when they align to broader
mobile benefits
USEFUL
“I like it when ads connect with the app, as it‟s
offering you some more information that may be
interesting.” [Spain]
“The Magnum gold door is very intriguing… makes
INTRIGUE me want to know what is inside…„Crack the code‟
seems mysterious and sounds like a game...”
[Indonesia]
“By offering me this friend request in the famous
CONNECT „Kakao Talk‟ social network, the brand is
demonstrating they will keep me regularly updated
with brand news.” [Korea]
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21. MOBILE
is
FLEXIBLE
AND CAN PLAY MANY ROLES
IN THE
MEDIA MIX
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22. Mobile ads generally have more impact on all brand metrics
than online ads
Percent Impacted (Δ)
MOBILE +4.8
Aided Brand
+2.1
ONLINE
Awareness
+17.3 Ad
+4.0
Awareness
Message
+10.0 +2.2
Association
Brand
+3.8
Favorability +1.3
Purchase
+4.3 Intent +1.2
Source: Dynamic Logic MarketNorms for Online, last 3 years through Q1/2012, N=2,211 campaigns, n=2,804,525
22 respondents; Dynamic Logic’s AdIndex for Mobile Norms, data from last 3 years through Q1/2012, N=181
campaigns, n=127,191 respondents.

23. Beyond brand impact, mobile ad exposure mostly drives
consumers to a brand’s website or search
Which of the following actions have you taken as a result of seeing a mobile ad?
Visited the brand website 33%
Searched for the brand 31%
Clicked/Interacted with ad 22%
Looked for brand in a store 19%
Visited a site for similar brand 16%
Downloaded brand's app 15%
Recommended the brand 15%
Purchased the brand 14%
Searched for more ads 13%
Mobile display ads are just one element of a mobile campaign; use display to drive
traffic to an optimized website for continued engagement
23 Sample: smartphone and/or tablet users, global average

24. Don’t just rely on mobile display to generate traffic; any
media can drive users to a mobile website
Which of these could make you visit a brand’s mobile website?
Recommendations 31%
Brand in Store Online 30%
Online Ad 29%
Print Ad 29%
Brand in Store Offline 28%
Event 28%
TV Ad 28%
Radio Ad 25%
Billboard Ad 25%
Brand Post in Social 23%
24 Sample: smartphone and/or tablet users, global average

25. Mobile users want content from many categories
What types of companies or brands would you most like to see delivering services or
features for your mobile devices?
Online shopping sites 37%
Online Newspapers or magazines 32%
retail Local restaurants 32%
37% Banks/Financial services 31%
Technology companies 31%
Retail stores 27%
Newspapers Food products/brands 26%
& magazines Hotels 26%
32% Airlines 26%
Fashion/Designers 26%
Telecommunication companies 25%
Sports teams/leagues 24%
Local Quick service restaurants 23%
Restaurants Drink products/brands 19%
32% Automotive companies 17%
25 Sample: smartphone and/or tablet users, global average

26. PRINCIPLES
for a brand‟s
MOBILE SUCCESS
26

27. RESPECT for the mobile audience and platform
will ensure a constructive future
Relevance Surprise & Exchange Time &
delight place
Engagement Play to Competence
strengths
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28. Relevance
Mobile content needs to be tailored to both the target audience
AND the context where they will most likely experience it.
Guerlain, Spain
• Full-page cover up ad when consumers launch the
mobile site of a Spanish fashion magazine
• Appropriate placement and a high-quality ad unit
makes this high-impact format permissible
• Also polite: easy-to-close
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29. Engagement
Mobile provides opportunities to go deeper when users
have moments of downtime.
Carling Black Label, South Africa
• A unique one-off soccer match where fans could
select the players and vote for substitutions in
real-time via mobile devices
• Event was promoted heavily in traditional media
and over 10 million mobile votes were cast
• Event generated huge interest
• Mobile acted as the primary route to engage – it
was the technical glue holding the entire
campaign together
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30. Surprise & delight
Put a smile on the face of your consumers with every
mobile connection you deliver.
Le Trèfle, France
• To re-launch this 20-year old brand, new and humorous
TV ads presented toilet tissue as a personal care
product, and a mobile app “where are the toilets?” was
developed
• Funny, distinctive and surprising campaign created buzz
• The mobile app was humorous but also useful –
everyone needs to know where to find toilets now and
again
• Synergistic effects between TV and mobile
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31. Play to strengths
Mobile can play a unique role in the wider media mix since it is
both portable and personal.
Renault Twizy, Spain
• TV ad for this electric city car encourages users to tag
songs with Shazam which links to a sponsored page
within the Shazam app
• Music is an integral part of the ad; Shazam helps
consumers find the song and deepens engagement
• Seamless integrated experience
• Mobile website content makes more information easily
accessible for those who are interested
• Use of technology aids innovative brand positioning
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32. Exchange
Users are looking for something of value in return for access to
their mobile phones.
McDonald’s, Germany & Nigeria
• In Germany, coupons are offered when using the
McDonalds app; in Nigeria, they are delivered via SMS
• Basic, but effective
• The German app rewards loyal customers; the app
page is not overloaded and the offer is clear
• In Nigeria, the simple addition of a brand logo makes the
coupon stand out: “Most text ads I see don‟t have
pictures or brands on them so this is unique”
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33. Competence
More than any other media, mobile marketing needs to be clear,
functional and focused.
Volkswagen up!, Italy
• Mobile banners & website for VW’s new up! car
• Simple banner message (price focused)
• Simple and clean mobile site design
• Good mix of text and graphics
• Exhaustive information for each model
• Easy-to-use
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34. Time & place
Mobile content needs to be tailored to when and where it is most
likely to be consumed.
Rolex TED Sponsorship, Global
• A feature within the TED app: users select how
much time they have on the Rolex watch and then
suitable TED videos are recommended
• The feature serves a clear purpose within the app
• Obvious connection with the brand
• It is interactive and playful
• Surprises positively, updating Rolex perceptions
from “traditional” to more “creative” and “intriguing”
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35. MARK ETING
BEST
PRA CTICES
for
MOBILE WEBSITES,
APPS AND
DISPLAY ADS
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36. Start doing something: all kinds of mobile marketing can
improve brand opinions if done well
When using your mobile phone or tablet, which of the following can improve your opinion of
a brand?
They send or display deals or coupons 35%
They have a good mobile website 34%
They offer an app for my mobile device 30%
They give me access to free tools (like organizers, calendars,
29%
shopping lists, reminders)
Their mobile website makes it easy to download their app 29%
They send the latest breaking product news 26%
They send or display information tailored to my interests (like recipes
25%
or sports scores)
Their website works well on my iPhone/iPad, no Flash content 23%
They send or display information specific to my geographical
21%
location (like locations of stores, promotions)
They let me do something entertaining like play a branded game or
20%
listen to a free song
They send me Facebook/ Twitter posts with links that work on my
20%
mobile device
36 Sample: smartphone and/or tablet users, global average

37. What makes a good mobile website?
Loads quickly 64%
Speed & display Displays clearly on my mobile device 53%
Easy to find via mobile search 47%
Easier to use than the brand's
32%
regular desktop website
Different features to the brand's
25%
Unique to screen regular desktop website
Looks better than the brand's regular
24%
desktop website
More fun than the brand's regular
21%
desktop website
Includes location based features 23%
Targeted
37 Sample: smartphone and/or tablet users, global average

38. Mobile websites should be fast and functional
What makes a good mobile website?
do: don‟t:
make it fast feel compelled to outdo your
online website
make it clean forget mobile users are goal directed
make it easy to use value entertainment over competence
Simple is safest until network speeds improve
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39. What makes a good app?
Free to download 59%
Quick to download 54%
Easy to acquire
Easy to find in app store 32%
Easy to find on brand's website 31%
Doesn't crash 47%
Competent Works for all software versions 38%
Doesn't bug me for a rating too often 35%
Clearly explains updates 36%
Clear Clear and comprehensive description in
32%
app store
Easier to use than desktop website 27%
Different features than desktop website 23%
Not too complex Includes location based features 19%
More fun than desktop website 19%
Looks better than desktop website 18%
39 Sample: smartphone and/or tablet users, global average

40. Make apps easy to acquire and easy to use
What makes a good mobile app?
do: don‟t:
be free if possible and crash (don’t be too resource
easy to find intensive)
clearly explain what you offer, build one unless it will be used
and what you’ve updated regularly
focus on ease of use feel compelled to make it too
complex
deliver something of value bite off more devices than you can
chew (better no app than a poor app)
40

41. Huge variation in effectiveness between best and worst
performing mobile display ads
Percent Impacted: Delta (Δ) Mobile Best Performers
Overall Mobile Performers
Mobile Worst Performers
+41.9
+26.4
+17.3 +17.0
+16.3
+14.3
+10.1
+4.8 +3.8 +4.3
-4.3 -0.5
-1.3 -5.2 -5.7
Aided Brand Mobile Ad Message Brand Purchase
Awareness Awareness Association Favorability Intent
Source: Dynamic Logic’s AdIndex for Mobile Norms, data from last 3 years through Q1/2012
41 Overall Mobile N=181 campaigns, n=127,191 respondents. Delta (Δ)=Exposed-Control

42. Mobile display ads need clear branding, communication
and call-to-action
What makes a good mobile display ad?
do: don‟t:
clearly brand your creative show your brand only on a
product shot
make sure you have a clutter your ads with too much
clear call-to-action text or too many logos
make the ads interactive repurpose online creative only to
and engaging leave it cropped
target as tightly as use intrusive formats unless
possible context is highly relevant
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43. More detailed AdReaction findings
For further information on the Global AdReaction study please contact:
Delyth Hughes +44 (0) 1926 826 247 or delyth.hughes@millwardbrown.com
If you are interested in more detailed country-level findings, please contact your local
Millward Brown Office via www.millwardbrown.com.
Customized analysis reports are also available.
FURTHER READING
• TNS Mobile Life: http://discovermobilelife.com/
• Google Mobile Planet: http://www.thinkwithgoogle.com/mobileplanet/en/
• Google Mobile Playbook: http://www.themobileplaybook.com
• Mobile Marketing Association case studies: http://www.mmaglobal.com/resources/case-studies
• More mobile examples: http://digital-examples.blogspot.com/search/label/mobile
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44. AdReaction is part of Millward Brown’s Changing Channels campaign, a series
of published insights helping marketers navigate the changing media landscape
and explore new opportunities to connect with consumers.
VISIT WWW.MILLWARDBROWN.COM FOR MORE INFORMATION.
VISIT WWW.MILLWARDBROWN.COM FOR MORE INFORMATION.
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