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Ads for apps flood TV but ROI remains unproven

There has been a deluge of television ads hawking brand applications in 2015, but while the strategy speaks to the competition in this space, not everyone agrees TV is the best support strategy. 

Numerous big brands have invested heavily in developing best-in-class mobile applications to engage their customers, with a growing number betting on traditional TV ads to deliver a return on their investment. For example, Quaid Media says it has booked 12,000 ad spots promoting branded apps in the past six months, an amount ten times higher than in 2014,  with the spots dispersed over 11 countries.

?There are a few market conditions that influence the expanding use of TV to promote apps,? said Josh Rinsky, vice president of sales and marketing at Quaid Media, Los Angeles. ?For starters, there is a steady increase in competition for the mobile inventory that has been the staple for several years on the UA front.

?This increased demand in mobile is pushing marketers to look at other forms of advertising to reach their target audience, and TV is a great, established vehicle for this,? he said. ?At the same time, and while the overall market is maturing, most consumers are very familiar with apps and the download process, and traditional media becomes a more viable channel for mass-reach.

?Now we also have true brand-plays emerging mobile first as apps, and the qualitative aspect of new users driven through TV is appealing.?

Exploring other avenues
Quaid?s campaigns have primarily appeared in markets including the United States, Germany, Britain, France and Brazil, with the average spend per campaign coming in at $65,000.

The media company claims it is seeing many clients opting to run TV campaigns alongside other digital marketing efforts, including mobile search, YouTube and video. However, some experts believe that these digital avenues will likely yield a better return on investment than a more costly television campaign.

?Product owners looking to promote their apps should start advertising their product on social media platforms (Facebook in particular), and experimenting with Instagram and Google App campaigns,? said Carolina Garcia, strategist at Fuzz Productions, Brooklyn, NY. ?Not only are you more likely to convert users who are on their mobile devices already, but these platforms allow you to segment audiences and deliver much more relevant messaging to specific user cohorts.

?Additionally, when you advertise through these channels you have access to rich campaign analytics that will help you optimize campaign performance over time.?

Perhaps the biggest red flag for unsure marketers is the lack of an easy call-to-action on television ads. Showing a TV ad may increase product visibility among many demographics of consumers, but Ms. Garcia believes that app developers should stick to mobile platforms for their marketing goals.

If a user sees a mobile app ad on Facebook, Twitter or Google while scrolling through a smartphone, he or she can easily click on the ad and follow through to the appropriate app store to complete a download.

More importantly, the company can employ specific targeting efforts to optimize their reach, such as customized messaging and display ads.

Best practices
The key to engaging in a successful TV campaign for an app is to prepare beforehand, and launch the right message at the right time to viewers.

?Engaging any media strategy requires some preparation and TV is no different in this sense,? Quaid Media?s Mr. Rinsky said. ?Probably more so than the CPI banner campaigns, it is important to really identify the target audience in advance, which is how the station mix comes together during planning.

?Quantitative information on the user base and qualitative information (such as FB) come in to play here. Identifying the channels that deliver this audience is the responsibility of a good partner who is experienced in the region and can help set up the right TV test on an initial campaign, and provide the expectations for what it would take to scale.?

Quaid Media believes that when TV advertising is performed alongside mobile-first marketing, television will improve the effectiveness of the other media used. If targeted consumers see an advertisement while watching a program and then log onto their Facebook during a commercial break and see a follow-up spot, they may be more likely to download the app.

However, as experts? opinions on TV advertising for apps run the gamut, it is imperative that developers and marketers tap A/B testing and identify their ideal audiences to ensure their communication avenues of choice are a good fit.

?Depending on a brand marketer?s overall objectives, it is important to not look at TV in a vacuum,? Mr. Rinsky said. ?When TV is run in conjunction with mobile/digital/YT it can create a halo-effect and amplify the results at each touch point.

?The creative also has a checklist of best practices that can depend on the overall brand and performance objectives. And, just like with other media, it is important to test first.?

Final Take
Alex Samuely is an editorial assistant on Mobile Marketer, New York