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MOBILE WORLD CONGRESS

          THOUGHT
       LEADERSHIP
   CREATVIE MATTERS MOST... AGAIN!
                                     SERIES




www.inmobi.com
                                      14 - 17 FEB, 2011
MOBILE WORLD CONGRESS

                                                                     CREATIVE MATTERS
                                                                     MOST... AGAIN

  THOUGHT LEADERSHIP SERIES:
  DEFINING THE NEXT PHASE OF MOBILE ADVERTISING
  13 February, 2011


  As 2010 came to a close, it was clear that the debate over if “this will be the year of mobile advertising” ended with it.
  Good riddance! Mobile advertising is clearly here to stay and it’s absolutely huge. Ad spending figures aside, consumers
  have announced their intentions by flocking to mobile, and advertisers have no choice but to follow.


  While the journalists and bloggers busily draft lists and make predictions, at InMobi, we decided to take a slightly
  different approach. Rather than simply add to the noise, we took a step back and asked ourselves “what will define the
  next phase of mobile advertising?”


  We chose to develop a series of whitepapers and offer in depth analysis, for a select number of topics. For the series we
  discuss three concepts that we think will define the next phase of mobile advertising. We invited partners in the industry
  to collaborate with us, and invite you to join the conversation on twitter@inmobi or on our blog at
  www.inmobi.com/inmobiblog.


  James Lamberti
  VP, Global Marketing and Research
  InMobi



  ABOUT INMOBI
  InMobi is the world’s largest independent mobile advertising network. With offices on four continents we provide
  advertisers, publishers and developers with a uniquely global solution for advertising. Our network is growing fast and
  we now deliver the unprecedented ability to reach 194 Million consumers, in over 115 countries, through more than
  31.5 Billion mobile ad impressions monthly. We recently were selected as a 2010 AlwaysOn Global 250 Company to
  Watch in Silicon Valley.


  InMobi is venture-backed with marquee investors including: Kleiner, Perkins, Caufield & Byers and Sherpalo Ventures.
  The company has offices in London, San Francisco, Bangalore, Tokyo, and Singapore.




© 2011 InMobi. Creative Matters Most... Again.                                 Page 1                    www.inmobi.com
MOBILE WORLD CONGRESS

                                                                       CREATIVE MATTERS
                                                                       MOST... AGAIN

CREATIVE MATTERS MOST... AGAIN!
WHY MOBILE ADVERTISING WILL IGNITE A CREATIVE RENAISSANCE
Steve Jobs said, “Most mobile advertising really sucks.” We at InMobi agree. While our approach may be different
than that of Mr. Jobs, it’s impossible to deny that iAd brought some much-needed attention to mobile creative
execution. We’re convinced the important differences between mobile and the PC Web will spark the re-mergence of
creative as a driving force in digital advertising.


Creative’s impact on advertising is well understood and has been the focus of agencies for almost all of the 20th
century. As advertising began its migration to the PC Web the expectations were sky high. But after 10, instead of
ushering in a new era of creativity, Internet advertising creative has a tarnished reputation.


Creative on the Internet is generally viewed as either a nuisance, with the continued persistent of unfriendly formats
such as pop up windows. Or it’s factual and mundane, lacking all emotional impact. For example formats such as
Google search ad copy or tiny graphical ad badges offer little opportunity for creative talents to shine. To illustrate this
point I sometimes ask audiences when I speak, “When was the last time you saw a PC banner ad that you actually
remember?” and I usually answers this myself with, “Never.”
On mobile things are going to be different.


MOBILE ADVERTISING IGNITES A CREATIVE RENAISSANCE
Creative with high production values has already had a huge impact in the mobile advertising space. iAd alone
doubled the spending on mobile display in the U.S. and this demonstrates a real pent-up demand for high quality
creative in the mobile channel. Advertisers driven by the demise of television viewership, the failure of creative on the
PC Web, and the success of performance base advertising in digital, now see a golden opportunity to leverage the
creative potential of mobile devices.




© 2011 InMobi. Creative Matters Most... Again.                                    Page 2                   www.inmobi.com
MOBILE WORLD CONGRESS

                                                                    CREATIVE MATTERS
                                                                    MOST... AGAIN

  WHY CREATIVE ON THE PC WEB FAILED
  Creative did not work on the PC Web like it did in televisions for a variety of reasons. Initially the PC Web did not support
  animation, video, and website design was visually austere, and progressed only to become more cluttered and confusing.
  But the least quantifiable and what I believe is the most impactful reason why advertising creative never evolved, is the
  nature of the content that drove the PC Web’s success.



                                    Figure 1. The Mobile User Experience Is Free Of Clutter




             PC Web deisgn is cluttered and confusing. The ads            Mobile design is simple and straightforward.
              are hard to find, and generally ignored by users.                The advertisements take center stage.




  The PC Web is primarily a fact-based medium. Consumers love to “Google” facts and figures, look-up information in
  Wikipedia, read the news online, get driving directions, research major purchases, browse travel sites, the list is endless.
  But what all these tasks have in common is that they are fact based. The entire medium lacks a major element that has
  traditionally made advertising on television so compelling. That essential element is, fiction.


  The lack of fictional content is what drove the advertising to all be fact based. Performance based ads with compelling
  offers and coupons succeeded, because the PC Web became synonymous with factual content. There was no place for
  fiction.




© 2011 InMobi. Creative Matters Most... Again.                                  Page 3                   www.inmobi.com
MOBILE WORLD CONGRESS

                                                                 CREATIVE MATTERS
                                                                 MOST... AGAIN

MOBILE, YOUR PERSONAL ENTERTAINMENT DESTINATION
Mobile content on the other hand is almost entirely entrainment or fiction based. Games are by far the most popular
form on content on the iPhone. The charts on the iTunes store are dominated by games and entertainment apps. With
the monumental success of Angry Birds, this game alone is poised to define the medium, much in the same way
Pac-Man did for early video games. Consumers will soon clearly see this division of content by device. The PC will be
relegated back to the office, and survive purely as mundane business machine, relegated to boring and serious tasks.
The smartphone will be the “fun place”, where you go to relax and be entertained – exactly like television.


WHAT DOES THIS MEAN FOR ADVERTISERS?
For advertisers this means high impact creative execution will be the new standard on mobile devices. Consumers will
expect the advertising to be as entertaining as the content. While we have seen movies and games pioneer mobile
advertising, youthful brands, such as athletic apparel and inexpensive cars have been quick to follow. In 2011, as the
smartphone moves from the early adopter to the mainstream, expect to see more conservative brands embrace mobile
and its creative potential.


Gregory Kennedy, InMobi




                                                        3D MOBILE ADS FROM COOLIRIS
                                                        InMobi is partnering with Cooliris, a
                                                        leading edge company from Silicon
                                                        Valley, to develop 3D mobile ads.
                                                        The technology utilizes the ability of
                                                        most smartphones and tablets to
                                                        detect the position of the device and
                                                        then rotates a 3D object, embedded
                                                        in an ad in real time.




© 2011 InMobi. Creative Matters Most... Again.                                Page 4                   www.inmobi.com

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MOBILE WORLD CONGRESS - CREATIVE MATTERS MOST... AGAIN

  • 1. MOBILE WORLD CONGRESS THOUGHT LEADERSHIP CREATVIE MATTERS MOST... AGAIN! SERIES www.inmobi.com 14 - 17 FEB, 2011
  • 2. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAIN THOUGHT LEADERSHIP SERIES: DEFINING THE NEXT PHASE OF MOBILE ADVERTISING 13 February, 2011 As 2010 came to a close, it was clear that the debate over if “this will be the year of mobile advertising” ended with it. Good riddance! Mobile advertising is clearly here to stay and it’s absolutely huge. Ad spending figures aside, consumers have announced their intentions by flocking to mobile, and advertisers have no choice but to follow. While the journalists and bloggers busily draft lists and make predictions, at InMobi, we decided to take a slightly different approach. Rather than simply add to the noise, we took a step back and asked ourselves “what will define the next phase of mobile advertising?” We chose to develop a series of whitepapers and offer in depth analysis, for a select number of topics. For the series we discuss three concepts that we think will define the next phase of mobile advertising. We invited partners in the industry to collaborate with us, and invite you to join the conversation on twitter@inmobi or on our blog at www.inmobi.com/inmobiblog. James Lamberti VP, Global Marketing and Research InMobi ABOUT INMOBI InMobi is the world’s largest independent mobile advertising network. With offices on four continents we provide advertisers, publishers and developers with a uniquely global solution for advertising. Our network is growing fast and we now deliver the unprecedented ability to reach 194 Million consumers, in over 115 countries, through more than 31.5 Billion mobile ad impressions monthly. We recently were selected as a 2010 AlwaysOn Global 250 Company to Watch in Silicon Valley. InMobi is venture-backed with marquee investors including: Kleiner, Perkins, Caufield & Byers and Sherpalo Ventures. The company has offices in London, San Francisco, Bangalore, Tokyo, and Singapore. © 2011 InMobi. Creative Matters Most... Again. Page 1 www.inmobi.com
  • 3. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAIN CREATIVE MATTERS MOST... AGAIN! WHY MOBILE ADVERTISING WILL IGNITE A CREATIVE RENAISSANCE Steve Jobs said, “Most mobile advertising really sucks.” We at InMobi agree. While our approach may be different than that of Mr. Jobs, it’s impossible to deny that iAd brought some much-needed attention to mobile creative execution. We’re convinced the important differences between mobile and the PC Web will spark the re-mergence of creative as a driving force in digital advertising. Creative’s impact on advertising is well understood and has been the focus of agencies for almost all of the 20th century. As advertising began its migration to the PC Web the expectations were sky high. But after 10, instead of ushering in a new era of creativity, Internet advertising creative has a tarnished reputation. Creative on the Internet is generally viewed as either a nuisance, with the continued persistent of unfriendly formats such as pop up windows. Or it’s factual and mundane, lacking all emotional impact. For example formats such as Google search ad copy or tiny graphical ad badges offer little opportunity for creative talents to shine. To illustrate this point I sometimes ask audiences when I speak, “When was the last time you saw a PC banner ad that you actually remember?” and I usually answers this myself with, “Never.” On mobile things are going to be different. MOBILE ADVERTISING IGNITES A CREATIVE RENAISSANCE Creative with high production values has already had a huge impact in the mobile advertising space. iAd alone doubled the spending on mobile display in the U.S. and this demonstrates a real pent-up demand for high quality creative in the mobile channel. Advertisers driven by the demise of television viewership, the failure of creative on the PC Web, and the success of performance base advertising in digital, now see a golden opportunity to leverage the creative potential of mobile devices. © 2011 InMobi. Creative Matters Most... Again. Page 2 www.inmobi.com
  • 4. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAIN WHY CREATIVE ON THE PC WEB FAILED Creative did not work on the PC Web like it did in televisions for a variety of reasons. Initially the PC Web did not support animation, video, and website design was visually austere, and progressed only to become more cluttered and confusing. But the least quantifiable and what I believe is the most impactful reason why advertising creative never evolved, is the nature of the content that drove the PC Web’s success. Figure 1. The Mobile User Experience Is Free Of Clutter PC Web deisgn is cluttered and confusing. The ads Mobile design is simple and straightforward. are hard to find, and generally ignored by users. The advertisements take center stage. The PC Web is primarily a fact-based medium. Consumers love to “Google” facts and figures, look-up information in Wikipedia, read the news online, get driving directions, research major purchases, browse travel sites, the list is endless. But what all these tasks have in common is that they are fact based. The entire medium lacks a major element that has traditionally made advertising on television so compelling. That essential element is, fiction. The lack of fictional content is what drove the advertising to all be fact based. Performance based ads with compelling offers and coupons succeeded, because the PC Web became synonymous with factual content. There was no place for fiction. © 2011 InMobi. Creative Matters Most... Again. Page 3 www.inmobi.com
  • 5. MOBILE WORLD CONGRESS CREATIVE MATTERS MOST... AGAIN MOBILE, YOUR PERSONAL ENTERTAINMENT DESTINATION Mobile content on the other hand is almost entirely entrainment or fiction based. Games are by far the most popular form on content on the iPhone. The charts on the iTunes store are dominated by games and entertainment apps. With the monumental success of Angry Birds, this game alone is poised to define the medium, much in the same way Pac-Man did for early video games. Consumers will soon clearly see this division of content by device. The PC will be relegated back to the office, and survive purely as mundane business machine, relegated to boring and serious tasks. The smartphone will be the “fun place”, where you go to relax and be entertained – exactly like television. WHAT DOES THIS MEAN FOR ADVERTISERS? For advertisers this means high impact creative execution will be the new standard on mobile devices. Consumers will expect the advertising to be as entertaining as the content. While we have seen movies and games pioneer mobile advertising, youthful brands, such as athletic apparel and inexpensive cars have been quick to follow. In 2011, as the smartphone moves from the early adopter to the mainstream, expect to see more conservative brands embrace mobile and its creative potential. Gregory Kennedy, InMobi 3D MOBILE ADS FROM COOLIRIS InMobi is partnering with Cooliris, a leading edge company from Silicon Valley, to develop 3D mobile ads. The technology utilizes the ability of most smartphones and tablets to detect the position of the device and then rotates a 3D object, embedded in an ad in real time. © 2011 InMobi. Creative Matters Most... Again. Page 4 www.inmobi.com