GigaOm has a post that supports one of the points I have been making on the where changes will be occurring. Real-time ad bidding combined with contextual information.
Mobile advertisers paying 4x more for location-based impressions
Location, location, location: it’s not just for real estate. Mobile advertisers are increasingly prizing location-based ads,according to real-time bidding exchange Nexage, which said that mobile publishers and developers are getting 3.8 times more for eCPMs, or ad impressions, that include location data in the last three months.
Demand for location-based ads are also going up, jumping by 170 percent over the same period. More and more, advertisers are pursuing mobile ads that include location data because they can find users where they are, target specific areas and can drive consumers to take actions locally.
As Google expands around the world, they are in a position to support real-time ad bidding and location. Location may have privacy issues, but it is valuable information and provides a huge context. Are you at home, at work, at a mall, or on the road? You should get different ads.
“We don’t see any end in sight for demand. As people see the value especially for offer-based advertising and publishers manage their privacy issues, we think it will continue to grow. If publishers do the things we talk about today, it’s not really theory anymore. It’s fact; you will see an uplift in revenue,” Cormier said.