5 ways to nurture profitable customer relationships via mobile messaging

5 Ways To Nurture Profitable Customer Relationships Through Mobile Messaging

Presented by: Waterfall!April 25, 2014 Putting mobile at the heart of marketing

Michael Becker Co-founder & North American CEO

Michael Ahearn VP Customer Development

YOUR SPEAKERS

1. Research & Industry Trends

2. Integrate Existing CRM & Mobile Customer Data

3. Use Data for Personalized, Interactive Engagement

4. Add Surprise & Delight to Your Messaging

5. Measure And Iterate Success

6. Key Takeaways

Agenda For Today’s Webinar

Q&A

Don’t forget to Tweet about this session using hashtag:

#mCordis, #Waterfall, #personalizemobile,

@mobiledirect, @Waterfall, @ahearnwaterfall

© 2014 Waterfall. Proprietary and Confidential.

Waterfall

Personalized Engagementis a compelling message sent

... at the opportune time

... in the correct format

... to a precise location

... that incites action.

Company• Founded August 2005 • Offices in SFO (HQ), Austin, Atlanta Boston & NYC • Backed by Vista Equity Partners • Cross-channel mobile & social CRM via SMS, MMS,

IVR, Passbook, 2D Codes, Push, Coupons & Social

• SaaS platform via waterfall.com • API via apidocs.waterfall.com • Customizable support and account management • Clients include 7-Eleven, Pizza Hut, Anheuser-

Busch, LG, Constant Contact and the U.S. Army

Solutions






6. Key Takeaways



The Mobile Customer Advantage

Mobile is Preferred.75% of consumers prefer receiving ads via SMS. The opt-out rate for mobile messaging is less than 2%.

Sources: Smart Insights, eMarketer MarketingProfs: 2013 / Techcrunch, Microsoft: 2012

98 PERCENT

Percentage of Subscribers That View

Opt-in SMS

20 PERCENT

Opt-in Email

16 PERCENT

Facebook Updates

29 PERCENT

Tweets

ResponseTime

Mobile is Personal. The average American has 1 cell number, versus 3 email accounts (with an average 200 unread emails).

Opt-in SMS

Opt-in Email

90 SECS

2.5 DAYS


Effectiveness Of Mobile Marketing

Source: Salesforce, State of Marketing, 2014

5%

49% 30%

16%

How effective has it been to integrate mobile into your overall marketing programs?

16% Extremely Effective

30% Very Effective

49% Somewhat Effective

05% Not Very Effective

00% Not Effective


The Future Of Mobile Customer Engagement

88 PERCENT

Customers interested in mobile commerce

26 PERCENT

Customers already receiving SMS or MMS coupons

58 PERCENT

Customers willing to share personalization information

for better rewards

Source: Yankee Group, 2014 Consumer Survey, March


The Five Steps

Easy-to-implement tactics for nurturing profitable customer relationships via mobile messaging:

1. Integrate mobile messaging with third party software or database systems.

2. Modernize messaging for today's tech-savvy customers.

3. Personalize content to better engage a target audience.

4. Drive interactive conversations focused on inciting customer action.

5. Design mobile messaging analytics to facilitate iteration and improvement.


Goals:

• Mobilize an email customer database.

• Increase conversion rates and engagement.

Strategy:

• Customer information captured upon sign-up via any mobile or online channel.

• New data synced with CRM in real-time.

• Email-capture campaigns launched via SMS.

• Targeted outbound messaging and metadata synced to mobile CRM.

• Action Alert emails extended to mobile via “Reply Y” and emoji.

Results:

• Exponential month-over-month mobile subscriber database growth.

• Campaigns: average > 20% conversion rate, with ~50% acting within two minutes.

Case Study: PETA






6. Key Takeaways



Implement Mobile CRM The Right Way

CRAWLIntegrate mobile messaging with existing lists and marketing databases (oh, hello email).

WALKCapture profile and preference info upon mobile opt-in to launch segmentation and personalization.

RUN Integrate mobile messaging into existing CRM and analytics systems.

FLY Deliver dynamic, on-the-fly, personalized and rich content.


Immediate Opportunities: Do What You Already Do (Only Better)

Email Lists

CRM

Profile/Preferences via Web

Batch Segmentation

Integrated Segmentation Capabilities

Personalized Content

Learning & Optimization


Move From “Off-the-Rack” to Tailored Content

The old: “Off-the-Rack” Messaging - same message blast to everyone

Keyword based opt-in

One-offs: Voting, Offers

Sweepstakes/Instant Win

One-size-fits-all group blasts

Keyword based

Some segments via unique keywords or area code

The new: Tailored Messaging - personalized relevance

Web-based profile/preference capture at opt-in

Integration with existing customer data systems

Database driven segmentation: behavior, history, profile, preference, location

1-to-1 personalization of text and rich media content


The Connected Customers’ Journey

Account Creation

Web Profile/Pref Capture

Mobile Number Capture: incentives to marry mobile

# to existing database customer file

(CTA in email, web, social)

NEW CUSTOMER

EXISTING CUSTOMER

Existing Lists or CRM System

Mobile Messaging Platform w/segments


Perfecting Mobile: Evolution, Not Revolution

Partnerships: partner with market leaders who can help you mobile-enable your existing infrastructure and capabilities

Strategy: build roadmap for mobile that fits your company’s marketing & business objectives

Internal Resources: budget for internal mobile leaders to spread expertise company-wide

Capabilities: source toolsets for in-house mobile messaging execution

Prioritize: identify the most important initiatives that have measurable results

Required Mindset: family (not fiefdoms)—form cross-functional teams


Goals:

• Acquire new customers.

• Develop experience launching an acquisition campaign using emerging media.

Strategy:

• Text-to-win promoted during “Try BART Week;” geared toward acquiring new riders.

• Follow-up included various experimental messaging campaigns to transform new customers into long-term riders.

Results:

• BART CCO Linton Johnson:

• “You couldn’t buy that much good press or goodwill from customers.”

• “Nearly every day that week we were in the news and that contributed to the healthy increase in ridership. Our goal now is to keep those customers, and it looks good - ridership is up vs. last year.”

Case Study: BART


Goals:

• Build a compliant mobile customer database.

• Increase sales and customer loyalty.

Strategy:

• Implemented cross-channel mobile marketing including mobile messaging, mobile web and QR codes.

• Call to actions incentivized opt-ins through the use of instant-win functionality.

• Customized logic automatically optimized prize distribution to vast customer base.

Results:

• Mobile opt-ins in the hundreds of thousands and tens of millions mobile coupons redeemed.

• Increased subscriber database by multiple thousands per day.

• Opt-out rate remained less than 2%.

Case Study: Lane Bryant






6. Key Takeaways



Source: Aberdeen, 2010; etailing Group & MyBuys 2013; Experian 2013

54%46% Consumers are 46% more likely to buy from retailers that personalize customer content.

43%57% Personalized email is 57% more effective at generating customer return and produces 6X transaction rates and revenue.

The Necessity Of Personalization

34%66%Percentage of consumers who expect a personalized experience from retailers.


Source: eConsultancy, 2013

87%13% Percentage of companies that deliver a personalized mobile experience.

57%43%Percentage of companies that deliver a personalized desktop experience.

54% of companies plan to adopt personalization for mobile in the next 12 months.

Personalization For Mobile Marketing


Inciting Action with Relevance: Create Messages That Give A Damn

Profile

Preferences

History

Behavior

Demographic

Technographic

Social Profile


Goals:


• Increase sales and customer loyalty.

Strategy:

• Integrated mobile sign-up into existing online customer registration process.

• Deployed mobile CTAs onto existing marketing channels, e.g. social, print and in-store.

• Captured location data upon opt in.

• Synchronized subscriber data between mobile and ESP to maximize capabilities for CRM.

Results:

• Exponential month-over-month mobile subscriber database growth since April 2013.

• Location-based coupons allow franchisees in any given location to opt-out of a specific promotion.

• Thousands of coupons redeemed in-store and online monthly.

Case Study: Pizza Hut

Live example: Text HUT to 69488


Goals:


• Deliver mobile coupons integrated with existing point of sale.

• Increase brand awareness, sales and loyalty.

Strategy:

• Promoted mobile opt-in online and in-store.

• Integrated with existing loyalty program fulfillment technology providers.

• Offered free product incentive upon opt-in through integration with point of sale technology.

Results:

• Triple-digit list growth since program launch.

• Thousands of monthly loyalty transactions.

• Hundreds of thousands of Slurpees purchased via mobile messaging over 2-month time frame.

Case Study: 7-Eleven






6. Key Takeaways



Messaging Customers Love: Some Sizzle with Your Steak

Gamification

Interactive Web Experience

MMS

Get Emojified

Social Sharing

Consumer-generated Content

Send to Friend

123-45


Case In Point: Mobile Coupon Gamification


Goals:

• Build a mobile database to increase sales and customer loyalty.

• Unify brick-and-mortar with online marketing.

Strategy:

• Empowered retail employees to grow database.

• Each store received unique opt-in keyword for associates to promote to customers.

• Employee incentives awarded weekly for most opt-ins.

• Mobile messaging activated social networks.

• Personalized content using store, first name and other segmentation data.

Results:

• Tripled mobile subscriber database with average 44% opt-in rate per store.

• Mobile grew Facebook fans 600%.

Case Study: Ashley Stewart






6. Key Takeaways



Actionable Insights for Iteration: What You Should (and Can) Measure

Mobile Carrier Data

Mobile Analytics Data

A/B Splits

Mobile Results Data (redemption)

Channel Value

Customer Lifetime Value


Case In Point: Mobile Dashboard With Cross-channel Integration


Goals:

• Empower local recruiters with mobile technology.

• Effectively personally engage millennials.

Strategy:

• Developed a custom platform for recruiters to build SMS database and create campaigns focused on regional recruiting.

• Inserted pre-approved content to comply with U.S. army administrative guidelines (e.g. trivia, parental guide, ASVAB, MOS info, local follow-up).

• Partner with U.S. Army agency, MRM Worldwide, to create training materials and conduct webinars that disseminated mobile marketing education and best practices.

Results:

• Marked improvement across all regional recruiting outlets.

• Ease HR management by tracking individual recruiters’ success driving opt-ins.

Case Study: The U.S. Army

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6. Key Takeaways



One Channel To Unify Them All…

Mobile is the Silo Buster

Breaks down walls across email, television, radio, social, print, direct mail, online. Everything.


Support

Sales Marketing

Communications

…One Channel To Bind Them

Mobile is the Silo Buster

Binds departments, e.g. Marketing, Sales, Support & Communications, by providing Scale Economies and Data Synergies.


Start increasing mobile ROI now: The Big Picture

Mobile messaging provides glue for engagement

Mobile is an evolution, not a revolution

Focus on mobile-enabled, not marketing

All marketing channels are mobile

Know your customers, and communicate using data

Measure mobile messaging and its effects

Learn and iterate


How Bizarre

Source: Mary Meeker KPCB 2012 adapted by Bill Gross; Derek Thompson The Atlantic May 31, 2012

23

18

1

3


Art Of The Call To Action

Comprehensive gallery of mobile calls to action with commentary in order to understand best practices and ROI.

http://artofthecta.com/


The Five Steps

Easy-to-implement tactics for nurturing profitable customer relationships via mobile messaging:

1. Integrate mobile messaging with third party software or database systems.

2. Modernize messaging for today's tech-savvy customers.

3. Personalize content to better engage a target audience.

4. Drive interactive conversations focused on inciting customer action.

5. Design mobile messaging analytics to facilitate iteration and improvement.


CHI 6/17NYC 6/04SF 5/13

Nurturing Profitable Customer Relationships Via Mobile Messaging

Part of the Mobile Marketing Thought Leadership Series presented by Waterfall and mCordis

Request an invite @ bit.ly/waterfallmcordis


Further Research For market statistics and best practices, please:

Read the latest post on our blog @ waterfall.com/blog Research your most pressing need @ waterfall.com/library

!

!

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Contact Michael Ahearn [email protected]

Don’t Just Message. Have a Conversation.


Addendum Mobile Marketing Stats


Source: mLightenment, 2013

Mobile Marketing Spending In The U.S.

2010 2011 2012 2013 2014 2015

$7,686

$5,910

$4,273

$2,964

$1,878

$1,248

$9,207

$7,078

$4,871

$3,060$1,743

$991$2,912$2,174

$1,312$669$336$166

Mobile Direct Response Enhanced AdvertisingMobile Media AdvertisingMobile CRM

$2,405

$3,957

$6,693

$10,456

$15,162

$19,806 52%

44%

77%

56%

CAGR

Millions of Dollars


Source: mLightenment, 2013

2010 2012 Chg

Television 89.5% 88.3% -1%

Desktop PC 62.5% 58.1% -4%

Radio 60.6% 58.8% -2%

Newspapers 38.6% 36.1% -3%

Magazines 28.6% 24.8% -4%

Mobile Device 84.2% 89% +5%

Share of U.S. Adult Population Reached


What’s The Primary Use of a Handset?

0

200

400

600

800

1000

1200

1400

1600

1800

Q4 2007 Q4 2008 Q4 2009 Q4 2010 Q4 2011 Q4 2012 Q4 2013

PCs Smartphones Tablets

Source: Enders Analysis, 2014

Estimated Global Installed Base (m.)


Source: Salesforce, State of Marketing, 2014

Current Growth of Digital Marketing Budgets

98% of marketers plan to increase or maintain their budgets for 2014.

Email

SMS / MMS

Social

Push

Display

SEM / SEO

Mobile Ads

Automation

0% 25% 50% 75% 100%

31%

34%

39%

44%

32%

36%

33%

38%

60%

55%

54%

43%

49%

57%

53%

58%

IncreaseRemain SameDon't KnowDecrease