Transition to mobile payment - impact on Mobile Ad Network

The rapid development of mobile technology, smart phones, mobile payment has penetrated all corners of the world. Mobile users increasingly use the smartphone to buy online, preferably an Apple and Android. Mobile payment platforms allow people to make payments, transfer money and manage their finances anytime, anywhere.

In mid-2015, 36% of global mobile payments at e-commerce sites are made on iPhone. Note that this index does not take into account mobile "in-app" payments. According to studies, the mobile share of online payments on mobile Internet sites increased from 27.2% in the first quarter of 2015 to 28.7% in the second quarter. In terms of volume of transactions, smartphones dominate to a large extent and confirm their first place, moving from 61.8% of mobile transactions in the first quarter of 2015 to 64.1% in the second quarter.

In retail, purchases of physical goods (ready-made, furniture, appliances and food) are growing in mobile phones. Purchases of video games, subscription to a service or hotel reservations and ticket sales are made by 26%, compared to 21% at the beginning of the year, in smartphones.

Europe tops mobile shopping -
Geographically, Europe continues to lead mobile purchases (30.4%), followed by North America (26.7%) and Asia (21.4%). It should be noted that all these regions saw the share of mobile payments increase by about one percentage point compared to the previous quarter.  Within the Europe zone, the UK remains the leader with 44.8% of mobile online payments, ahead of the Netherlands (32.9%) and Spain (28.3%) and Germany (23.6%).

Huge potential even in developing countries:
Total transactions in T-mall in China during 2015 amounted to US $ 14.34 billion, of which 68.67% were completed through mobile payment. With these success stories in the online payment market, Alipay.com launched its own Alipay mobile payment wallet; while Tencent, a successful provider of social networking services, launched WeChat mobile wallet.

Compared with PC-based online payment, mobile payment allows users to perform payment transactions at any time and from any location with the help of mobile networks and terminals. Mobile devices have several limitations, such as small screens, low processing capacity and inconvenient input. But overall trust is crucial to counteract uncertain situations, encourage future transactions and develop successful long-term relationships.

Mobile payment user's Perspective of trust -
This theory includes trust in the source, trust in the target and source-objective relationships as the core components of the trust transfer process. Based on the theory of trust transfer, this study proposes that trust in online payment (i.e., trust in the source) and two source-target relationship factors, i.e. perceived similarity and entitativity, affect trust in the mobile payment (i.e., trust in target). In turn, the resulting trust influences the user's satisfaction and the intention to continue towards mobile payment in a context of online-mobile payment.

Study Investigation -
As the leading electronic payment platform in China, Alipay.com was chosen for research. Initially launched in 2004, Alipay.com offers users an online platform, which was upgraded to Alipay Mobile Wallet in 2013. By the end of June 2015, Alipay had attracted more than 400 million unique active users. A total of 219 responses were taken for data analysis. Among these respondents, 43.4% men and 56.6% women, more than 85% were between 20 and 29 years old, more than 82% had a bachelor's degree or higher, 70% had more than five years of experience in the use of mobile phones to surf the Internet, and approximately 60% I had more than two years of experience using Alipay Mobile Wallet.

Study Results -
This study also offers several practical implications.

• - Trust in online payment has a significant influence on trust in mobile payment. This finding suggests that reputable online service providers can improve their mobile extension by leveraging on their user's previous trust in online services.
• - The finding indicated that if users are satisfied with mobile payment, they tend to use the service frequently.

Download research from https://www.emeraldinsight.com/doi/full/10.1108/IntR-11-2016-0359

Finally, it should be noted that, mobile payment online is progressing and occupying an increasingly important place, as a means of payment in stores. With the relationship between mobile ads and mobile payments becoming more pronounced and more important in recent years, it is not surprising that mobile Ad Networks are beginning to take seriously the potential of mobile payments to increase their reach and impact on mobile advertising market.

What are the various Ad Network platforms to drive mobile app downloads?

There are dozens of AD Network Platforms which can drive your mobile app downloads. Generally they are divided into 3 categories:

1. Social media like Facebook can be a great platform to drive app downloads.  But if you use the incorrect format, it can also be highly ineffective. An ad format that has proven to be really effective with CPI (Cost Per Installation) campaigns on social media are AD games. This is because it increase engagement x8 and decrease your CPC (Cost Per Click) by 70%. With AD games you can reach your target audience in a cool and playful way and they drive a lot more engagement than for example static or dynamic banner ads, full screen ads or video ads.
2. Platforms which helps to set up and manage your CPI (Cost Per Installation) campaign by your own. If you have experience in promoting your app, you to choose the first category of ad platforms. The best way would be to start with few self-serve platforms and compare their results.
3. Managed platforms like affiliate Ad Networks where managers will make all the settings and optimisations by themselves. Sometimes it is easier to give everything into professional hands. In case of third variant, you will not only save your time and money, but also receive access to bigger amount of traffic sources. Account managers of such AD Networks already know how to reach your audience. Before launching the Ad campaigns with Ad network, make sure that you provided them with all necessary information like your KPI's (Key Performance Indicators), ROI (Return On Investment) definitions, restrictions and total budget. 

Blockchain - It's use in Ad Network Industry

Blockchain: In Ad Network industry use case?

During the era of early advertising, the purchase and sale of advertising space was a tedious and time-consuming, almost without transparency. The negotiations between advertisers and publishers took hours to be finalized. Then came the programmatic purchase that revolutionize the industry. It brought automation combined with real-time offers through which advertisers had access to a large pool of advertising space at the best possible price. Few limits of programmatic buying that Blockchain can fight are:

1. Increased online fraud: the most commonly used metric to measure the effectiveness of an online advertising campaign is the counting of clicks, views and likes. But some of the industry's most famous minds have begun using Bots that replicate human behavior and provide false clicks and views. For this reason it is almost impossible for advertisers to analyze the performance of their campaign and end up losing huge amounts of money.

2. Ads irrelevant to the public: it is not enough to buy the advertising space and serve the campaign. Ads must be shown to the right people at the right time. Program purchases do not always guarantee that ads are targeted to the desired audience. Users are being flooded with unwanted ads, resulting in frustration in countering which install ad blocking software.

Blockchain allows you to share content in a chain of nodes and to conclude secure purchases in just a few steps

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Blockchain Overview

It’s use came across a couple of times is where you can see the blockchain as a sort of Ledger. This comparison is not entirely correct, because the accountants know that a ledger always contains debt and credit that must be in balance. The spreadsheet is, where each transaction is added to the bottom of a new row.

The term register, however, seems to be the most appropriate. Furthermore, it is often explained that the blockchain contains the registration of a transaction. So something goes from one owner to another, in other words. In practice, the application is mainly cyptocurrency. Thus the blockchain principle could be described as a "register in which transactions are recorded".

How does it work?

Keeping in mind what is the current operation of your bank account. The bank records the transactions on your bank account. Automatically the bank knows the balance on your account. The bank therefore has the function of validating and trusting party, that you actually have the balance if you want to make a transaction. The only point is that your bank account (i.e. the register with your transactions and the balance you have) is only transparent for you and the bank.

Blockchain is a public register. In other words, everyone in the system can see your mutations. However, they do not see your name and bank account number because all data is displayed with long codes of numbers and letters (see example below). However, your "wallet" (digital wallet) is linked to these codes. To simplify your business, you can create a QR code from a code on your wallet, so you can easily scan to perform a transaction.

Below you can see a cryptocurrency transaction, which is registered in the blockchain:

Source: https://coinsutra.com/blockchain-explorer/

The innovative aspect of this system is that the transfer of ownership can take place digitally and that is clear to everyone. So a money transaction is not only visible to you and the bank. You can simply open and view the transactions above, as shown in the image. Moreover, it is no longer the bank that validates a transaction in the blockchain, but the system itself does this. The system can determine that you are actually the owner of a cryptocurrency (in this case), because it came to you once. The system thus assumes the function of the bank.

It is important to realize that you start with transactions, always preceded by a starting point. In other words, how do cryptocurrencies enter the system to be able to transact? This is done by "mining". This means that programmers, or perhaps very intelligent software, create Cryptocurrencies that cost time, energy, and computational power of computers. Every "miner" who created a cryptocurrency sells it to a party that wants to buy it. This transaction is partly in current currencies, with supply and demand that determine the price. But the buyer can therefore get rid of working with his Cryptocurrencies.

Cryptocurrency blockchain

The term blockchain isn’t limited to a single use case of cryptocurrency. It is also not an actual store of value but the accounting and transacting of value.

Source - https://www.ogilvy.com/topics/topics-digital/blockchain-will-be-worth-more-than-cryptocurrency/

Fraud Protection

Blockchain is a so-called peer-to-peer network. This means that transactions all over the world are on various databases. This forms a decentralized computer network. This makes it already difficult to manipulate it. Furthermore, transactions are stored in so-called "blocks". These blocks contain cryptographic codes based on data in the transaction. Of all the transactions in a block code, the codes are recreated and these then form the block header. If a block is "full", a new block is created, starting from the header of the previous one. In other words, a historical transaction can never be manipulated again, because then the blocking headers will go. And everyone in the system can therefore see.

Source https://bitcoin.org/en/developer-guide

Blockchain and Ad Network:

Monetization: Decent content distribution platform had announced the launch of Publiq, a rewarding system that allows writers and content creators to distribute content on the blockchain and be paid in real time.

Advanced TV: A technology created by Comcast's advertising division allows brands to purchase  TV advertising using the blockchain. The group, plans to allow advertisers, publishers and program creators to share data without the obligation to store them a specific place.

Frauds: in June MetaX and the Data & Marketing Association launched adChain, an open protocol on the Ethereum blockchain that tags an online advertising and follows the course in the network to see who benefits from it, to understand who saw it and what the subsequent actions. As in the case of Comcast, the protocol is open to various subjects in the value chain of advertising, from the agency to the publisher to the advertiser, able to work simultaneously on the data collected but independently from one another.

MetaX also uses an adChain registry for the use of adToken cryptocurrency that encourages people to judge publishers' trustworthiness, thus allowing brands to spend money only on publishers who have returned to the reliable category.

Source https://adtoken.com/overview/

Ad buying: The New York Interactive Advertising Exchange, a marketplace for buying and selling advertising, will be launched soon. The idea is to make the execution of contracts automatic until the agreed conditions have been met. In the launch phase, the marketplace, intended for brands and publishers, will be reserved for digital advertising.

The future

It is hard to say where it's going. It is true that many and large parts are already working on applications. In addition, the tools will become simpler with the application of blockchain technology. The most obvious, for example, is the use of apps in which transactions can be performed, without seeing the technological effect in the background.