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Is Broadcast Advertising a Billion Dollar Market on Mobile?

Recently, Scott Maddux, who leads our AWE division, moderated a panel at The NAB Show (National Association of Broadcasters) in Las Vegas titled “Is Broadcast Advertising a Billion Dollar Market on Mobile?”  He was joined by Sean Gilligan from Flurry, James Rothwell from FreeWheel 
and David Siemer from 
Siemer and Associates, LLC.

Using research on media consumption across all devices, the panel focused on the rapid growth, phenomenal potential and strengths and weaknesses of mobile TV advertising.   Scott opened with a high level view of the mobile advertising opportunity from the viewpoint of a television media company.  Pulling a page from Mary Meeker’s 2013 Internet Trends Report, we see the percentage of time spent as consumers (US Market) vs. total ad spend per media format.  Not surprisingly, print and radio ad dollars are under pressure but television is holding steady with 42% of time spent across all media and commanding 43% of total ad dollars or about $75 Billion US.   The big story, of course is mobile where consumers are spending 12% of their time while only 3% of the ad spend finds it way to mobile.  Remember – this is data from 2012 and 2013 was an epic year for mobile by all measures.  The data reflects a $20 billion dollar delta in potential ad spend for web and mobile or approximately a $14 billion dollar delta on mobile alone! 

The 2013 numbers will increase dramatically.  The potential ad spend is on the increase and for anyone in the mobile media space, this is extremely good news.  We are in the early stages of the market and it is all going up from here as the market matures.  

2012 Internet Trends

We can only assume that some of the $75 billion dollars is going to be spent on mobile… so what does television need in the mobile environment?   

Television networks and distributors  are very active in the mobile space.  We see that there are single show apps for the super fan to get that deep deep experience for their engaged and dedicated audience.  

Content Distribution on Mobile

Then we hop to the network level, an area where Bottle Rocket and AWE have deep experience.  This is an area of some short term content but mostly long format.  We are also seeing live linear, so what is available on your television right now, is also available on your mobile device in the app.  All of this is in the interest and support of advertising.  The ad sales departments within the networks are actively engaged with selling mobile products and mobile inventory.

Next, other MVPD’s including Netflix, Hulu…. Are in a category of their own.  Hulu Plus monetizes very effectively.  When we think of advertising, most of the success so far has been on the video ad side, so when you are watching ‘The Black List’ on NBC, the network is monetizing these apps and content very effectively.  They are seeing  $25 to $45 CPM’s.  Hulu plus pushes closer to $100 CPM’s as they are very target ads.  

It is a great time to be a content owner!  There are ZERO barriers for distribution right now.  You can get your content out across many many channels.  It is not like the old days when you had to have a cable distribution deal to get your programming across.  

So you can find Conan on the Conan app, you can also find Conan on the TBS app, and you could also find Conan in your Xfinity or Time Warner Cable app.  

From a network’s perspective, the story doesn’t end at mobile.  There is a huge battle going on around the living room right now and we have Sony, Microsoft, Apple, Google and Amazon all making huge plays for the television viewer as Over-The-Top solutions completely outside of cable.  This includes Chromecast, Apple TV, Kindle Fire TV the upcoming Android TV, Xbox One and Sony’s PS4.  The numbers are not quite competing yet but they will very soon.  

It is apparent just in the products that we have in market now that ad sales teams are very hungry to sell inventory on mobile.  It is important to look beyond video ads and look at the potential to deliver rich media experiences or transaction based experiences.  It is also apparent that marketers are very hungry to communicate their brand on mobile.  While we have the distribution as well as the consumption, we haven’t yet identified the standard formats, packaging, pricing or the value proposition.    Buyers and sellers want it, but no one knows exactly what it is.  The Nielsen ratings do not yet reflect mobile consumption.  As soon as they turn the switch later this year, it will help ease the path for a lot of this market to mature.  

We are really looking forward to seeing Mary Meeker’s 2013 trends.  This is an exciting time to be in advertising! 



In a recent Harvard Business Review article, Jeneanne Rae confirms what we have believed all along… that ‘Design Can Drive Exceptional Returns for Shareholders’. In other words, user experience (UEX) is one of the most important drivers of return on investment (ROI).

She calls out the tug of war battle of the past between those who believed design impacts value and those who didn’t understand design in the first place.  She notes “From Target to Uber, business managers everywhere are starting to understand that the strategic use of design is making a difference in achieving outsized business results.”

Rae’s company Motiv Strategies and the Design Management Institute came up with the Design Value Index, a tool that tracks the results of design-focused companies against others. The index shows how a group of companies that meet certain criteria for design commitment have surpassed the S&P 500 by 228%.  Many Ogilvy and Bottle Rocket clients are among them.

She goes on to explain…

The index was constructed in the same fashion as other indexes that seek to isolate an industry sector (banking, biotech), geography (China), or size (large cap), for example. In our version, we sought to identify only companies that are design leaders. Starting with a list of over 75 publicly-traded U.S. firms, we found only 15 that met our six criteria: publicly traded in the U.S. for 10+ years; deployment of design as an integrated function across the entire enterprise; evidence that design investments and influence are increasing; clear reporting structure and operating model for design; experienced design executives at the helm directing design activities; and tangible senior leadership-level commitment for design. Corporations who made the index based on this criteria include Apple, Coca-Cola, Ford, Herman-Miller, IBM, Intuit, Newell-Rubbermaid, Procter & Gamble, Starbucks, Starwood, Steelcase, Target, Walt Disney, Whirlpool, and Nike.

As Bottle Rocket UX Strategist, Adam Polansky, points out “User and customer experience has become a priority – in many cases a mantra -- for many of the world’s biggest brands. This index offers some solid evidence that the benefits are both tangible and sizable.”

Bottle Rocket and Rae agree on this: 8 ways design can be used as a strategic business tool to increase ROI. 

  • Wow Factor
  • Brand Expression
  • Solving Unmet User Needs
  • Developing Better Customer User Experiences
  • Rethinking Strategy
  • Hardware/Software Interaction
  • Market Expansion through Personal Development and User Understanding
  • Cost Reduction

To us here at Bottle Rocket, UEX driving ROI makes a lot of sense. People use things that add value to their lives, are intuitive, easy to use and add delight to their day. This is true for both consumer and enterprise applications. Mobile has taken this to a whole new level, especially for enterprise where little value has been placed on UEX in the past. But that’s changed, forever…

Customers like Starwood Hotels & Resorts (noted in this index) embrace design at every level of customer interaction, from the first mobile app or web experience through their hotel stay. They take their digital guest experience just as seriously as their hotel stay experience. The same care that goes into making a stay at a W Hotel is also found in their apps. 

The same applies to forward-thinking brands in their enterprise apps. For example, take the suite of serious games and sales enablement tools we built for Baker Hughes. They hold design and user experience to a higher standard as a differentiator in a highly competitive industry, complete with surprise and delight normally only found in consumer applications.

Bottle Rocket places an exorbitant amount of emphasis on design and it is a huge part of the strategy of each mobile solution we produce.  It is important to understand how design can effectively drive ROI for our clients. 

Read the complete article here: Harvard Business Review


Rocketeer Charity: The Meals On Wheels Association of America

This month, Rocketeers are supporting The Meals On Wheels Association of America.  Meals on Wheels is the oldest and largest national organization composed of and representing local, community-based Senior Nutrition Programs positioned in all 50 US States.

There are over 5,000 local Senior Nutrition Programs in the US that provide over one million meals to seniors every day. Some programs serve meals at locations like senior centers, some programs deliver meals directly to the homes of seniors whose mobility is limited, and many programs provide both services. 

This organization was submitted by Rocketeer, Kirby Sander, who says “I feel that it is such a great charity because a lot of senior citizens want to live independently for as long as they can, understandably. This allows them do that. Not only are they offering a needed service but they are offering companionship as well for that brief time they are there." 

Kirby's grandfather was heavily involved with for a long time.  She explains "It was very inspiring me to me because I thought... here is a guy who is close to the age of some of these people he is delivering meals to but he was out there every Friday helping out. He realized that even though he was older he was still physically capable of getting out there and helping out those who truly cannot help themselves."

Kirby also mentioned that her grandfather has such a huge heart and took care of his own mother who lived on her own until she was in her 90’s. Perhaps he saw a little bit of her in the people he brought meals to. 

For more information about Meals on Wheels, visit


Rocketeers in Orbit: Matt Johnson attends Game Developers Conference

Matt Johnson, who leads Bottle Rocket’s Thruster team, recently attended the Game Developers Conference (GDC), which is the world’s largest, and longest-running professionals-only game industry event.  The conference featured over 400 sessions of game development topics taught by leading industry experts. In addition, the GDC expo showcased the most relevant game development tools, platforms and services helping to drive the industry forward. 

A large portion of the conference focused on what drives the choice of one game over another and how to best integrate in-app purchases to maximize profits.   During the Customer Psychology in Game Purchases session, they took the top grossing apps and broke down how they are monetizing based on a variety of purchase types: 

  • Fun – Users are intrigued and want to see what happens when they play a particular character or use a particular power up
  • Need – Users may be stuck on a level and will purchase something that can help them get through it.
  • Peers – Users will but an item because their friend has it... and they want to fit in
  • Value – Users will buy something because it is on sale or it is offered as a value pack bundle.

The Thruster team takes a deep look at "fun first" before every engagement.  Games are a great way to teach about products, services and processes... but the game can fall flat in delivering the learning if the user does not first feel engaged and immersed in the experience.  We recently created a series of casual games for major oil and drilling company that employs this approach.  The core purpose was to educate employees about logistics in the oil field and services across the company, but not at the expense of fun.  We utilized variants of proven game mechanics and created competitive scenarios (with company wide leaderboards) to draw employees in, get them engaged and we then provided learning within the game experience (to improve your position and score) as opposed to traditional approaches of showing summary screens with an educational message.  The initial response to these types of enterprise tools has been amazing, it is becoming a bridge to the younger workforce who expects more than slide shows and diagrams to advance their knowledge.

For learn more about how the Thruster team can develop a ‘fun’ approach to your sales process, contact us: 


App Launch: BET NOW is currently available on the App store and Google Play

Congrats to our partner BET Networks, on the launch of their first ever brand app BET NOW.  Fans can download the new app for free on iPhone, iPod Touch, iPad and Android devices. BET NOW is currently available on the App store or on Google Play.

 “With BET NOW, users are one download away from consuming some of their favorite BET shows on their tablets and phones” said Brandon Lucas, Vice President and General Manager of BET Mobile. “Apps are an increasingly important part of the mobile eco-system given the ubiquity of smart phones, the ability to have a direct connection to our consumers, and the growing rate of video consumption on these devices.”

BET NOW provides fans access to a library of full episodes of some of their favorite current shows including The Game, Let’s Stay Together, Being Mary Jane, Real Husbands of Hollywood and 106 & Park as well as hit classics. Users can access this content via TV Everywhere authentication – a process whereby users verify their subscription through their TV provider. It is now available to 55 million households across more than 20 distributors, including some of the largest, such as AT&T U-verse, Cablevision, Cox, DIRECTV, Time Warner Cable, and Verizon FiOS. Motions®, a trusted source in multi-textured hair care and styling, is the BET NOW launch sponsor.

For more information visit


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