Consumers are increasingly turning to their mobile devices to decide where to shop as they wander about storefronts, and now Google is helping marketers capitalize on this rising trend by offering location-based display ads. Perhaps best of all – marketers don’t pay unless they get clicks.
The new format is an offshoot of Google AdWords, reports AdWeek. It taps into the ever-rising mobile ad industry, upward trending display ad units and increasingly popular location-based technology.
While Forrester Research suggests most geo-social location apps need further market penetration before they offer marketing value, the Google mobile display format does not require user opt-in. Surojit Chatterjee, Google’s senior product manager for mobile ads, explained to the source that Google will use nearby WiFi networks and Internet Protocol addresses to determine users’ locations.
Officials are working hard to develop effective location-recognition strategies. “We’re trying to infer it from indirect means as best we can,” Chetterjee told AdWeek. He said that the proximity of ads to storefronts may vary, from within a couple mile radius to within a block.
The ads will run on applications included in the Google Display Network, and users will see a thumbnail graphic – a recent development under Google’s Search Image Ads – as well as a text call to action. When smartphone owners tap the ad, they will see a Google Map of the business and a phone number to call.
The ads may offer incomparable ROI – Google will only charge companies when users tap to call the business or visit the advertiser’s mobile ecommerce site. Plus, local searches through smartphones are proving a valuable way to draw consumers into stores. A Compete survey shows one-third of smartphone users have visited local businesses they found through their mobile devices.