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Kiip exec: Connected car advertising requires more discipline than mobile

kiip

SAN FRANCISCO – A Kiip executive at the ad:tech San Francisco 2014 conference said that the same rules for unobtrusive, contextually-relevant advertising in mobile will have a bigger impact in connected device experiences.

Executives from Kiip and Mojio discussed the opportunities around connected device advertising during “The Next Ads Frontier: Smart Homes and Connected Cars” session. Although the explosion of new tech-driven appliances and devices present a big opportunity for brands, marketers cannot apply the same best practices from mobile advertising to these experiences.

“Ultimately there is a fine line between being interrupted while you’re driving and also adding value based on your activity,” said Brian Wong, CEO of Kiip, San Francisco.

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“The challenge that we’ve been facing is, ‘Do we want stuff to appear in the dash or on the phone as a console?’” he said. “We think this is the hub, so ultimately a lot of the data that comes from what you have done during your drive or what you did before your drive will be here, so we want this to be the display at the end of the day that you can at least claim or collect what you’ve earned.”

The Internet of everything
Kiip recently partnered with Mojio to incorporate branded rewards into the connected car app.

At the same time, security in the car is a concern for consumers, according to Jay Giraud, CEO of Mojio, Vancouver, Canada.

Therefore, there are three factors that are particularly important for in-car advertising versus other mediums: Transparency, value and control.


A Kiip reward

The average consumer keeps a car for seven or eight years, and with more automakers integrating smartphone-based experiences into the car, the next vehicle that consumers buy is likely to be connected in some way.

Integrated experiences
Similar to other types of mobile advertising, the opportunities within the connected car will likely be tightly integrated into the actual vehicles.

A basic ad within the dashboard of a car that uses geofencing to trigger a relevant experience is one tactic that marketers can use within the car. However, Mr. Giraud sees some shortcomings with these ads because they are not contextually-based.

The bigger opportunity is to leverage data about a driver’s habits to serve up ads.

For example, a consumer who arrives to work early one day could receive a reward for a discount at a local coffee shop. Similarly, logging a certain amount of miles during a road trip could unlock an offer for an energy drink.

The key is that the in-car ads cannot be nearly as frequent as mobile ads because of the safety concerns with driving.

“We’re seeing it with some of the major manufacturers doing it now, we’re seeing it with this ability to add devices to the millions of other cars that out there and connect them,” said Michael Sprague, head of marketing and partnerships at Kiip.

“The wearable space is really interesting, whether it be fitness-based, connected watches or things like Google Glass, and then even into my home where my thermostat is now connected to the Internet,” he said.

“What’s at the center of it all is a person with a mobile device, controlling, connected to their life and all the things that are around them. I think over the next several years, several months, we’re going to see a lot more of this, and we as brands, we as marketers need to be there in a way and take advantage of this.”

Final Take
Lauren Johnson is associate reporter on Mobile Marketer, New York

Lauren Johnson is associate reporter on Mobile Marketer. Reach her at lauren@mobilemarketer.com.

 
Related content: Advertising, mobile, mobile marketing, mobile commerce

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