Are You Smartphone Smart?

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Presentation from AAF Cleveland mobile marketing event on 4/20/2010

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Scott Chapin

Director of Consulting ServicesDigiKnow-Circle44 Mobile

WHAT IS MOBILE MARKETING?

2

Mobile Marketing in the News

5

Apple announces iAd mobile advertising network

Can Windows Phone 7 keep Microsoft in the game?

Haiti donations via SMS exceed $40 million

iPhone reaches 150,000 apps, Android hits 30,000

Mobile Marketing is…marketing and communications to customers or constituents on portable devices wherever they may be.

Mobile marketing is not about what…it’s about where.

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US Snapshot

• 285 million cell phone subscribers

• 150 billion text messages (SMS) per month• Smartphone usage is over 25%• 19% of Americans said they accessed the

internet on their mobile phone yesterday

CTIAeMarketerPew Internet

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What is Mobile Marketing?

• Mobile Web

• Mobile Applications

• Text Messaging / SMS

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TODAY’S MOBILE MARKET

Mobile Internet

10

% of all adults

Mobile Internet – By Race

Have ever gone online with a handheld

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On a typical day go online with a handheld

2009

2007

35%

17%

33%

21%

20%

12%

White Hispanic Black

2009

2007

35%

17%

33%

21%

20%

12%

White Hispanic Black

Mobile Internet Projected Growth

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US Mobile Internet Users and Penetration, 2008–2013(millions and % of mobile phone subscribers)

(22.0%)

(26.3%)

(30.6%)

(35.6%)

(40.2%)

(43.5%)

Smartphone vs. Feature Phone

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3/1/2008 9/1/2008 3/1/2009 9/1/2009 3/1/2010 9/1/2010 3/1/20110%

20%

40%

60%

80%

100%

10% 13%14% 16% 17% 19% 21%

24%27% 31%

35%

40%45%

49%

90% 87%86% 84% 83% 81%

79%76%

73%69%

65%60%

55%

51%

Smartphone

Feature Phone

Smartphone Market

14

RIM, 42.10

%(+1.3%)

Apple, 25.40

%(-

0.1%)

Microsoft,

15.10%(-4.0%)

Google, 9.00%

(+5.2%)

Palm, 5.40%(-1.8%)

Heather Kramer

Director of Business Development

Cellepathic

SMS: Definition and Process

What is SMS?

Definition: SMS stands for short message service. SMS is also often referred to as texting, sending text messages or text messaging. The service allows for short text messages to be sent from one cell phone to another cell phone or from the Web to another cell phone. Including spaces, text messages traditionally can’t exceed 160 characters.

Process: Company advertises ‘Call to Action’ in traditional media, social media, in store, and with digital assets. The ‘Call to Action’ will include the offer, the keyword and also the short code.

Short code: A common short code (CSC) is a short telephone number, usually consisting of five digits, that is used to address SMS and MMS messages from a cellular phone.

SMS Tactics

• Text for Alerts: user texts a keyword to a short code to get alerts and updates. Think Flu Outbreaks, School Closings, etc.

• Text to Win: user text a keyword to a short code to enter to win a contest or sweepstakes.

• Text for Info: user text a keyword to a short code to get more info on a product or service.

• Text for Offer/Coupon: user texts a keyword to a short code to receive a discount or offer from a retailer or manufacturer.

• Polling: user texts a keyword to a short code to vote on a topic.

• Text to Join: user texts a keyword to a short code to join a mobile database.

Local Case Study: CellepathicClient: Cleveland Cinemas

Objective: To build a mobile database of loyal customers, extending brand and giving the movie company another channel in which to communicate.

Strategy: Build mobile database by conducting Call to Action:

Customer texts: FILM to 30622.

Customer receives 1st Message (this is the coupon):CLEVELAND CINEMAS: FREE 32oz Popcorn. Valid at all CLE Cinema locations. Now Showing http://bit.ly/6mmZZa Show cashier CODE: POPCORN

Customer receives 2nd Message (double opt-in to database to rec’v further msgs):Rply YES 2 enter 2 win a $50 Gift Card & join CLE CINEMAS. Csite4rules & alt entry http://bit.ly/xxxxxx Data&MsgRatesAply.

Customer texts: YES to 30622

Customer receives 3rd Message (confirming enrollment into your mobile club):UR entered 2 win a $50 CinemaGiftCard & 4 Xclusives from CLEVELAND CINEMAS & Cellepathic! 4 local deals Rply ZIP zipcode Msg&DataRatesAply. Rply STOP 2cxl.

Cleveland Cinemas Results:

Duration of CTA: January 27 2010 – April 5, 2010

Traditional Advertising used: Email Database, Website, Movie Screens, and on site

Mobile Database Status:

96 single opt ins (coupon)282 double opt ins into mobile database10 opt outs

75% Double Opt in rate!

Benefits of SMS

• Low cost compared to traditional media

• Call to Action/Database generation can be layered into traditional (and less expensive!) forms of media: Social Media, Email Databases, On site, Packaging, Print, Radio, TV

• SMS can drive traffic to mobile web site or applications

• Universal acceptance on all Smart Phones

• Highly trackable with mobile analytics

• Non intrusive – users have to double opt into mobile database as determined by the MMA (Mobile Marketing Association)

• Real Time Direct Communication

TEXT AAF to {REMOVED}to enter for a chance to win a free ticket to the AAF-Cleveland May

Luncheon featuring Mad Men and opt in to the AAF-Cleveland Mobile

Portfolio Club.

(Standard Message Rates Apply.)

Michael Schwabe

Account Managerthunder::tech

The Future of MobileThe Basics• You don’t need to know it all, but know it is changing… quickly

– Just like social media, there are no “experts”• Move from generic to specific

– Custom content– Web sites and apps / Platform apps / Texting

• Location-based technology and topic/location specific ads– Foursquare– Gowalla– MyTown– Coupons, offers, ads

The Future of MobileThe Nerdy Stuff• More accessibility, faster data networks (3G / 4G)

– More “borderless” work– Always on, heads down culture

• Consolidation of mobile platforms– Apple iPhone– Blackberry OS– Google Android – Microsoft Windows Phone 7– Palm WebOS– Nokia S-Series and MeeGo

• Changes in standards– HTML 5– CSS 3– W3C (Worldwide Web Consortium)

Steve Cencula

Principal

Form Group

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