xAd: Retailers find success with location-targeted mobile ads in 2013

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By Brandy Shaul Comment

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Mobile-location ad platform xAd has released its 2013 Year in Review Report, analyzing the most popular trends in mobile-location advertising for 2013. The report showed mobile retail apps to be on a huge increase, as consumers continue to use their devices to research and shop for products, search for real-world store inventory and more.

While retail apps were the fifth most popular category in 2012, they jumped to No. 1 in 2013, followed by auto, banking / finance, restaurants and telecommunications for the top five categories. Overall, mobile ads were shown to be successful in driving interest to businesses, as the most popular post-click activity across all apps (the first thing a consumer does after clicking on a mobile ad) was to call a business.

For retail apps, the most popular activity was to look up directions or maps to the ad’s store, with xAd tracking over six million in-store visits related to mobile ad campaigns in Q4 2013 alone. Last year, 96 percent of xAd’s campaigns used geo-precise targeting, which includes geo-fencing and targeting of users based on search behavior. That’s up from 81 percent in 2012.

“The rise of geo-precise targeting is a testament to how effective techniques like geo-fencing and geo-conquesting are for driving customers to visit retail locations,” said Dipanshu ‘D’ Sharma, CEO at xAd. “This is particularly true for retailers, where consumers are often looking to make a fast transaction. By Q4 of last year, a third of retail campaigns on our platform had shifted focus away from CTR and towards a primary goal of driving in-store visits. This is a trend that we’ll continue to see grow in 2014.”

xAd measured these trends from the more than 400 billion location-verified ad requests on its platform last year. The full report is available on the company’s website.