Wednesday, February 14, 2007

AdMob Talks Wireless Success Strategies

Our editor in chief talks with the mobile ad network's CEO Omar Hamoui and Advertising Sales VP Tony Nethercutt about mobile marketing best practices, mistakes to avoid and more.

Recently, I've been hearing about a mobile marketing ad network called AdMob, founded by a young entrepreneur named Omar Hamoui. Recently, long-time industry veteran Tony Nethercutt, whom I last interviewed when he headed up sales at YouTube, joined AdMob as VP of Advertising Sales. I reached out to them to find out more about how they see the mobile marketing space evolving.

Brad Berens: Much of our iMedia audience will want to know precisely what AdMob is. One fear that a lot of advertisers have is alienating consumers by sending them SMS messages that cost them money, or asking them to download applications that cost them data time (and therefore money if the consumer is on a metered account). But I don't think that this is what AdMob is doing. So, what are you selling?


Omar is an entrepreneur with deep roots in the mobile industry. Today, Omar has taken a leave from his pursuit of an MBA at the Wharton School to focus on AdMob, and is now running one of the fastest growing and most innovative companies in the mobile world.
Tony Nethercutt: We are selling the opportunity for advertisers to reach an aggregated audience that we have gathered in our network of publishers. The ad units available are both graphical (bought on a guaranteed to run CPM) and text (bought on a bidded CPC).

Omar Hamoui: We are selling the idea, and the reality, that a mobile advertising marketplace can help make mobile marketing easy and efficient. We are full service for agencies and advertisers that would like our help, advice, and attention; and we are self serve for DR advertisers that are familiar with the mobile marketing space.

Berens: Is it interruptive?

Nethercutt: No. Mobile Web users have already decided to visit a site and we serve them a targeted ad along with the content they came to that site to view (just like on the internet).

Berens: Will it cost consumers money?

Hamoui: It does not cost the consumer money. Again, like with online advertising, advertising-supported content allows the consumer to access great content without having to pay for it. Advertising makes that possible.

Berens: And what's the best comparison to some form of traditional, non-interactive advertising or, perhaps, regular online advertising?

Nethercutt: Mobile is very similar to online advertising. An ad gets shown to a particular visitor to a mobile web site. That ad can be targeted, or not targeted. The ad is interactive within it, or when clicked upon, takes the person who clicked on it to the advertiser's mobile web site or landing page. The place the user ends up is, hopefully, relevant to the reason they clicked, and provides a valuable experience. The types of experience that advertisers can create are many. The degree, to which the experience is valuable, can also vary widely.

Berens: Another way of attacking and extending this same question -- and, Tony, this one might be particularly suited for you -- is "what sorts of questions are advertisers asking you when you pitch AdMob?" or, "what are the biggest hurdles you face when talking with advertisers?"

Nethercutt: Let's talk "hurdles" first. The biggest hurdle is simply that these are very early days. Mobile is of interest, but it does not yet have enough case studies and actual marketing investment momentum behind it.

In terms of the "questions," those fall into two main camps: strategy and tactics. Some advertisers ask for "Mobile 101" and are looking for education around how (and why) others are doing mobile advertising. On the tactics front, we are naturally asked by folks who have a mobile strategy (which is usually an extension of their online strategy); "how do I best accomplish my strategy in the mobile space?" We focus on tactics, and can help with strategy.

Hamoui: On the text side of our advertising offering, we get asked about things like "how do I get my text ad to show to the greatest number of potential customers?" We help them with that.

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