Based on a study from Google that claims approximately 94 percent of mobile users have searched for local information via their handsets, the new ad formats are meant to specifically improve features such as directions and click-to-call.

"Mobile consumers want to take action immediately. In the redesigned formats, we saw that users loved to see the business? website as soon as they clicked on the ad," said Surojit Chatterjee, lead product manager of mobile search ads at Google, Mountain View, CA.

"We also wanted to make it easier for people to do the things they care most about on mobile. Actions such as click-to-call and getting directions are really important for mobile users, so we prioritized them in the ad unit.  Removing the interstitial pages for ads and surfacing important actions right in the ad itself drove a really positive response from consumers," he said. 

Targeted campaigns
The new Google ad redesigns rolled out to Android phones on Friday.

Via the updates, click-to-call and directions are now more prominently placed in ad units with more options to let users click on.

Google has also rolled out a new marker feature that pinpoints where a user is compared to a marketer?s location.

Additionally, in-app ads direct users to a marketer?s mobile or Web site from inside the app instead of directing users to a mobile browser. Therefore, the ad formats keep users in one place for a longer period of time.

Google claims that the new improvements to the ad formats will increase click-through rates up to 100 percent, showing the growth in location-based ads and search for marketers.

The new ad improvements point to the growing need for marketers to develop location-based campaigns that drive in-store traffic and sales.

Instead of idly browsing as a consumer would on a desktop, a mobile user has a specific, time-sensitive task when searching, meaning that consumers want quick access to contact information such as phone numbers or a company?s Web site.

Call on mobile
As an example of how mobile ads need to be treated differently than Web, T-Mobile recently worked with Google on a campaign that was aimed at getting users to T-Mobile stores.

To better target consumers, T-Mobile split up its ad campaign into desktop and mobile versions, each with different goals. For example, different keywords were used for the mobile portion of the campaign.

The campaign resulted in a thirteen percent click-through rate and drove 162,000 consumers to the company?s Web site within one month.

Additionally, 20,000 phone calls were generated to stores in one month from the campaign.

As mobile users rely on their devices more, personalization and relevancy is playing a larger role for marketers.

"This will help advertisers connect with mobile users more easily, and more effectively," Mr. Chatterjee said.

"In general, marketers need to think of what's the most useful information for a user on the go and surface it on their site. Creating a mobile specific site and focusing on mobile interactions such as calls and directions are going to be really  important," he said.

Final Take
Lauren Johnson is editorial assistant on Mobile Marketer, New York