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Saturday, December 18, 2010

Tablet Advertising: a Salvation for Legacy Marketers


Some traditional marketers apparently can't move on -- they cling to the notion that that the legacy advertising business model can be kept on life-support via new tablet media applications. Recent market studies continue to give them the hope that they crave.

eMarketer reports that the tablet category is going to be a magnet for brand advertisers in 2011. Though many companies had experimented with tablet-like devices -- and eReaders were already a proven entity -- no one had created a gadget that people would actually pay for and use, until now.

eMarketer expects worldwide tablet sales to reach 81.3 million units in 2012, up from 15.7 million in 2010. The Apple iPad will remain the market-share leader through the forecast period, with an expected 69 percent of the global market in 2012 -- that's down from 85 percent share in 2010.

Consumers in the U.S. will be big drivers of tablet sales, accounting for 62 percent of all tablets sold in 2010.

"Because tablets offer so many ways of engaging with content, they represent a huge opportunity for marketers," said Paul Verna, eMarketer senior analyst. “Some brands have experimented with the format by advertising in iPad editions of popular periodicals. Nevertheless, many brands are sitting on the sidelines waiting to see how the tablet market develops."

A Nielsen survey noted that Apple iPad users were more likely than users of iPhones and other connected devices to click on ads of various types, including video, text, multimedia and interactive -- giving yet more false hope to legacy marketers.

The Tablet Ad Bonanza: a Likely False Prophecy
Many believe that mainstream consumer marketers who take the plunge into tablet advertising will be rewarded with an audience that is engaged, predisposed to the Wow-factor -- and therefore primed to purchase.

Survey results indicate that the demographic profile of a typical tablet user is high-income, 18 to 34 years old, male and more likely than average to respond to an ad by completing a purchase -- whether through a tablet app, a website or a phone.

"Just as Apple seized the early-mover advantage by launching a groundbreaking product without the certainty of metrics, brand marketers can edge out the competition by making a bold entrance on the tablet stage," said Verna. "Some improvisation may be required, but the potential rewards far outweigh the risks."

And there you have it; the salvation. Tablet advertising will apparently 'save the day' for those marketers who just can't seem to let go of a bygone era in product marketing history.