Aaron Horvath is the Founder and CEO of Mobilize Solutions.
Small businesses are evolving with the digital age as mobile has become the most dominant form of ad spending. As mentioned in BIA’s 2022 U.S. Local Advertising Forecast, direct mail ad spend is expected to reach $33.4 billion, slightly behind the forecasted $34 billion for mobile.
This difference will only widen during the next decade to come. The fact is we carry our smartphones everywhere and depend on them for nearly everything we do. Whether we’re waiting in line at the store or picking up food at a local restaurant, most of us are likely glued to a screen to pass the time.
These critical moments of idleness are the perfect time for brands to get their message across. But although it is a great opportunity, there are caveats to keep in mind when considering mobile ads. For one, the smaller screen allows for a greater potential to annoy someone with the ad, based on the fact that it may become a burden to someone who’s scrolling through news or playing their favorite game.
That’s why local mobile advertising needs to be careful about how they advertise on mobile devices. You have to engage users organically through timely, relevant and appealing experiences. From my experience in the industry, the following are some tips for creating these types of experiences using augmented reality (AR) in your marketing.
Align and integrate your AR-driven customer experience.
Whenever people are out and about, whether they’re at a special location or a particular event, they often want to capture these memories on their devices and store photos in their galleries. Bigger brands and organizations like Snapchat and Instagram have already begun to be a part of these moments by including sponsored augmented content and filters that align with an experience.
Imagine a group of music lovers at Coachella who want to boast to their friends about their presence at this year’s festival. Perhaps that picture might be overlayed with carnival-themed AR art, or perhaps with an artist from the lineup standing right next to them in virtual form. A beverage company might sponsor that imagery. But while enhancing those special moments, the brand takes a backseat in the grand scheme of things, and the person using the camera doesn’t care about the beverage at the moment—all they care about is the experience.
Likewise, recently at the Rose Parade, attendees were able to engage with timely and relevant content in the form of Snapchat filters and interactive experiences where users could point their cameras at the Rose Parade logo for augmented imagery. Even though a car manufacturer would be sponsoring the content, the consumer engaging with the content would be solely focused on the special day. They wouldn’t mind if a car company were the sponsor.
Whether at Coachella or the Rose Parade, these examples show some of the ways in which AR can help brands create engagement—plus the virality that comes from users sharing those special moments. Brands are serving ads during the moments that matter, without it feeling like an advertisement since it’s simply integrated within the AR content as a backdrop to users’ experiences.
Look for local opportunities.
Given its potential, there is no secret why AR is being leveraged by brands for events and extensive marketing campaigns. But would it be possible for smaller brands and mom-and-pop shops to be in customer experiences at the local level? I believe so.
Just as a Clydesdale can walk right behind a user at an event sponsored by a beer, the local high school mascot could be standing next to customers while picking up an order at the local pizza place.
What’s more, the democratization of high-end content allows for smaller businesses to bring these high-tech AR solutions at a more affordable cost. Similar to how YouTube democratized video production for the masses, there is a new wave of platforms looking to make AR content available to every establishment willing to pay a small fee for a subscription. There is no need to build a $30,000 app that can produce the mascot effect. Instead, businesses are able to generate the effect from a platform that houses a general library. Then, they could activate that content at the right time on the customer’s phone.
Moreover, if you use geofencing technology, your businesses can make the AR content exclusive to a location (as opposed to a larger radius or area) to proactively drive foot traffic, generate engagement and build brand recognition.
Think of a movie theater doing local promotions in and around a film as opposed to a national campaign. Only people going to these specific locations could have access to the AR content in addition to a coupon or special promotion. The same could be said of a car dealership promoting a special holiday sale—only in-person attendees could discover an exclusive deal as they see themselves in their potential new car through their phones. These are only a few ways you can specify and localize your marketing.
Consider including an NFT component.
One more thing that local businesses can start to do is turn these experiences into NFTs. In other words, not only do you get to experience the mascot walking behind you, but because there are only a limited number of people in the world experiencing this, it can become a digital collectible (NFT) that people can store in a digital wallet.
So, on top of these immersive digital assets, the power of geofencing allows consumers at an event to “collect” their experience as NFTs. Your business can use this to create more powerful branding and turn a standard promotion into something tangible and fun.
With AR, the possibilities are endless. What’s better is that due to the growing proliferation and financial accessibility of this technology, it is easier than ever for businesses to get into it. Making sure to seamlessly incorporate your AR, localize your advertisements and even include an NFT component can help you become a part of this future in mobile advertising.
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