US: Navigation system-based local offers push users into taking action based on where they are. In other words, “A needs-based location-aware mobile-based advertising platform that is a part AdSense and part Groupon” is the way local advertising market will grow, according to Ian White, CEO and founder of Urban Mapping, geographic data and services company. Many companies are ready to go after this market, like Multiplied Media which has developed Poynt Local Search app and recently launched the Poynt Offer Engine, a location-aware advertising and offer platform.
White said that local advertising is an untapped market, yet the odds of a national player making a go of it are virtually impossible. In the past, phone companies used to rule the local advertising business by publishing Yellow Pages, but that business isn’t going too well these days. Just check out the declining the latest quarterly report from Dex One. It reads like a page out of a vampire novel.
So, Poynt isn’t the only one with that idea. TeleNav has launched a new advertising platform for on-the-go users. The platform will allow advertisers to target their messages based on a person’s location and get more context from their search query. The company has also developed action-based metrics such as “Drive-to Rate,” a metric that captures the number of users who viewed an ad and chose to drive to the advertiser’s business location. Sort of like how Google provides the click-through rates for its AdSense customers. “I like this advertiser-centric, data-driven approach, as it makes the advertising platform more accountable.”
TeleNav says its navigation services log about 700 million minutes of usage each month. Users of TeleNav’s search and mobile GPS navigation services view more than 40 million mobile search pages each month. The ad platform is going to target those users. TeleNav’s platform combines need (search) + location + local + offers, giving it a fighting chance in the market that is very crowded.
“Everyone from Geodelic to Whrrl to Foursquare is targeting the local advertising market. Each has their own twist. Of course, giants Yelp, Apple and Google are lurking in the background, each hoping to get a piece of USD 3.8 billion mobile advertising market. So far, I give Foursquare the edge over others, mostly because it had the brand recognition and tractions with brands and advertisers,” continued White.