The wearables revolution is here at last.
Apple began taking orders for the Apple Watch in early April, and the first batch sold out almost immediately. By some estimates, Apple may sell more units of its Apple Watch in the first year than all smartwatches previously sold.
In other words, it looks like Apple has done it again.
But Apple’s success means that once again, marketers and advertisers now have a new screen size and form factor to study and understand. And they better do it in a hurry. Because according to a new study from Juniper Research, advertising on smartwatches will grow to $68.6 million by 2019, up from $1.5 million this year.
Of course, you can’t just slap a banner ad across these new gadgets. Juniper Research notes that when it comes to advertising on a smartwatch, marketers will have to think about a few issues, such as:
- How to create and implement entirely new advertising formats that fit small screens.
- What are the behavior differences between how people use and interact with smartphones and smartwatches? When you get only a second or two of attention from someone glancing at their watch, how do you engage them with a message?
- How to use ad exchanges and ad networks to efficiently manage your spend and optimize the reach of your message.
- Navigating an increasingly complex landscape and an array of new players who will coming flooding in to the wearable advertising space. It’s critical to create a process for evaluating which ones may or may not help you navigate this new realm.
The other important challenge is to continue monitoring the hype. While the growth is expected to be fast, overall the use of smartwatches and other wearables is going to remain quite small compared to, say, smartphones. Experiment, yes — but don’t get too carried away.
Posted in Sales & Marketing by Lisa PetrucciLisa Petrucci is Vice President of Dun & Bradstreet Global Alliances and Partnerships.