Small and Medium Businesses Would Rather Pay for Leads Than Clicks for Mobile Ads
A new survey of small and medium businesses (SMBs) lends strength to the argument that paying for leads is preferred over paying for clicks or impressions, at least when it comes to mobile ads.
The survey, conducted by Borrell Associates on behalf of self-serve mobile lead-gen platform Pontiflex, found that 26 percent of SMBs would prefer to pay for sign-ups (i.e., the email addresses and phone numbers of people interested in their business) as a pricing model for mobile ads, while 18 percent would prefer to pay for clicks. Six percent would prefer to pay for impressions, while 52 percent of respondents don’t know which they would prefer.
These findings highlight a gap between what SMBs prefer when it comes to mobile marketing and what advertisers are currently offering, according to Pontiflex.
“This survey shows that SMBs need real returns from mobile advertising, and CPC and CPM pricing models are just not working for them,” said Zephrin Lasker, CEO and co-founder of Pontiflex, in a press release. “SMBs want to use mobile ads to grow their businesses.”
A recent study from TradeMob asserted that 40 percent of mobile ad clicks are “useless,” which makes SMBs’ preference for sign-ups
