If you use a smartphone, you know all about mobile ads. Maybe a promo just popped up on your iPhone for a store you’re passing, or you’re offered a discount on a product mentioned in a news article you’re reading on your tablet during your commute. But what you may not know is the compute power required to serve you those tiny, enticing advertisements. We’re not talking about just a few servers, either—we’re talking about a whole bunch of data-processing giants capable of handling thousands of transactions simultaneously while ensuring the proper message is delivered to the correct user on the right device at the ideal time. That’s not a simple undertaking, and certainly not a trivial implementation of infrastructure.
Online and mobile advertising in general is complex. There are hundreds of different factors that come into play each and every time an online ad is served. Sophisticated advertising platforms track a large range of variables, including:
- User location
- User preferences
- Exposure history
- Purchase history
- Copy & digital content
- Device information
- A variety of other touch points
The result of all this data-crunching is ads that seem customized for a specific user, increasing conversion and revenue for the advertiser and presenting a better overall experience for the customer.
Why should advertisers jump on the cloud?
Infrastructure-as-a-Service (IaaS) growth is already reaching stratospheric heights and is predicted to continue to grow, with 62% of companies reporting use of the cloud within their organizations. Similarly, the advertising market—and specifically mobile advertising—grew by 111% in 2012 and is expected to reach $11 billion by 2017. When you pair the cloud with advertising and then throw mobile into the mix, you have a marketplace that’s primed for tremendous growth and, of course, tremendous opportunity.