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MOBILE MARKETING BRIEFING
Author: Rob Thurner
Edited: Dr Dave Chaffey
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
!
Introduction – About this briefingOur free briefing on mobile marketing summarizes the huge changes in consumer use of mobile devices. It’s a sample of more detailed advice which we feature in our 7 Steps to mobile marketing strategy guide for Expert members.
This briefing is in two parts. In the first we share the latest statistics sources showing consumer adoption of mobile services on smartphone and tablet. In the second part we introduce the business opportunities for increasing leads and sales from mobile using the Smart Insights RACE Marketing Planning framework.
About our Expert member resourcesOur Expert member resources are focused on one thing - helping members get better results from their marketing.
The 7 Step Guide to Mobile Marketing Strategy
Our 7 Step guide advising on Mobile strategy for Expert members covers all the issues you need to plan for and act on to improve your use of online technologies in business. Here are some more details on each of the steps:
þ Step 1. Making the business case for mobile. Ideas on modeling conversion rates. þ Step 2. Create mobile strategy. How to structure a mobile strategy. þ Step 3. Mobile Design approaches. Including responsive design and app creation. þ Step 4. Search marketing. The opportunities of mobile SEO and AdWords targeting. þ Step 5. Mobile commerce and payments. The six key payment options. þ Step 6. Mobile CRM and mobile coupons. Encouraging longer-term mobile engagment. þ Step 7. Location-based marketing and social media. Key techniques for multichannel
businesses.We’ve created our 7 Step Guides for Expert members to be your constant companion as you learn, review and improve your approach to digital marketing. We know you’re busy and under pressure to get results, so they’re written to help you do just that. They take you through the questions you should be asking to improve performance and suggest the right approaches.
Our Ebooks are all created to help you:
þ Improve results. A focus on getting the best results from your digital marketing. þ Review your current approach. A unique workbook format helps create a plan. þ Apply analytics. Integrated advice on using Google Analytics to improve performance. þ Learn best practice. Strategy recommendations and practical tips highlighted
throughout.
What members say about our resources“We are at an early stage of our digital marketing journey, the templates, papers, videos and tutorials help us check and learn as we go”. Stuart Sykes, Digital Marketing Manager.
“Smart Insights is the first place I go for good, practical advice on digital marketing. The material available is very comprehensive but also current”. Jon Vasey, Ecommerce Manager.
u See our full range of Expert member resource
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
!
1. The growing importance of mobile marketingAnyone who works in digital marketing or e-commerce cannot have missed the forecast made by Mary Meeker an analyst at KPCB in 2011. She predicted that, by 2014, mobile Internet use would overtake desktop Internet usage globally1. This point has now been reached globally when measured by mobile traffic volumes. For us, one of the most striking charts from Meeker’s 2014 report2 shows how the rapidly increasing popularity of smartphones and tablets from 2009 to today has fuelled this growth.
The striking inflection point in this chart shows why businesses must continue to prioritise investments in mobile marketing. Reaching consumers as they use mobile devices and developing compelling mobile experiences is the future for customer communications and developing customer experiences, which must also be effective on desktop too.
What is it? Mobile marketingMobile marketing involves reaching and engaging audiences on smartphones, tablets and other mobile devices to create mobile customer experiences that help support omnichannel marketing goals.
How have mobile customer interactions increased for your business?Most businesses have experienced rapid growth in mobile use of their websites as would be expected from the dramatic growth in mobile shipments. How has mobile use of your sites increased according to your web analytics? This compilation from Statcounter, also presented by Mary Meeker shows rapid growth in all regions, averaging a 78% year-on-year growth worldwide.
1 Smart Insights: Mobile marketing statistics compilation2 Smart Insights: Summary of 2014 Mobile Internet trends
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
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This public example of use from the UK government site3 gives a typical indication of the level of usage and reminds us that what matters when making the case for mobile is to use your own stats showing trends of mobile device usage.
This example also shows us that mobile is still not the dominant platform, yes it is important and becoming more so, but we have to develop site designs that remain effective for desktop use too and not necessarily develop a company app for reasons we will discuss later.
3 UK Government live usage figures for 8 million monthly users
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
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Strategy recommendation 1 Don’t blindly invest in mobile because of the hype Yes, mobile marketing has already transformed the way the Internet is used by many for some activities, but it doesn’t mean every business has to have a mobile app or a fully mobile-optimised site – you have to choose the cost-effective option for your business.
To benchmark use of mobile devices for your site compared to others we recommend reviewing the quarterly Monetate benchmark which we present data for in our regular quarterly updates of benchmarks4. This is particularly relevant for transactional sites comparing conversion rates. It shows that mobile use now accounts for over a quarter of site visits. However, smartphone use is only just over 10%.
The UK government site example also reminds us that when we plan improvements to mobile customer experiences, we have to ensure we use an approach that works for both smartphone, tablet and the emerging ‘phablet’ devices which are in between. Both smartphone and tablet use gives a different form factor and context of use, but in both cases we need to remember that use of these devices isn’t independent; it’s closely related to other channels including:
þ Desktop websites – these are still where the majority of sales transactions occur þ Social media sites – the majority of social media use occurs on mobile devices þ In-store (where relevant) – we will see that many retailers successful integrate mobile
use in store þ Traditional media (where relevant) – mobiles are commonly used when users watch TV
(multiscreening), listen to the radio or read newspapers and magazines. þ Call-centre (where relevant) – it’s natural that consumers or businesses who are
interested in a product or service may want to call the provider for further information.
4 Smart Insights Quarterly Benchmark updates
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
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2 The opportunities for businesses to create new mobile interactions for customersWhen assessing how we use mobile devices and media for marketing, there is a tendency to limit our thinking to mobile commerce transactions. There are certainly great opportunities for mobile commerce shown by the early, enthusiastic adopters like Amazon and eBay.
Amazon’s continued success online is today underpinned by a strong mobile performance, with sales via its mobile site and app reaching $1 billion for the first time in 2011. eBay reported mobile sales transactions of $22 billion in 2013, an increase of more than 70% compared to 20125. eBay’s senior director for EU mobile Olivier Roars, reminds us of the real threat mobile presents to traditional retailers:
‘Almost 50% of people with smartphones will check prices in-store. When something isn’t available on the rail, the smartphone is a more efficient way of shopping. The smartphone is giving a lot of power to the consumer.’
What are the main consumer brand interactions?To help make the case for mobile and make the most of the many opportunities it presents, you need to explain the full range of interactions beyond mobile commerce.
Google infographic summarising the new multiscreen world
5 eBay Investors relations: Annual report
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
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There is a natural ebb and flow of mobile and desktop use through the day. This comScore summary shows the pattern of behaviour you should keep in mind to prioritise communications through the day.
A summary of the multidevice day: Source: comScore
Strategy recommendation 2 Develop mobile strategy based on new consumer behaviours We recommend that you start developing your strategy, not by thinking about mobile sites or apps, but instead thinking about the different situations where consumers use mobiles.
For example, as they follow up on a TV ad as they sit at home; search for a restaurant in town; scan barcodes or action codes in a store or simply read their emails as they commute to work. Don’t think smartphones, but smart users. Ask ‘How are our early adopters using smartphones and tablets in practical and innovative ways?’
The next diagram shows how we see the many mobile touchpoints and the opportunities they give for brands to interact in new or different ways with their customers.
Your mobile marketing strategy should be split into reviewing the best investments for mobile brand discovery which are the options for mobile marketing communications through messaging and other sites and mobile brand experiences which is where you create mobile-optimised sites, apps or mobile commerce sites to interact more deeply with customers.
Mobile brand discovery mainly involves promotional push to encourage adoption of mobile services and interaction with the brand, plus pull via search engine optimisation (SEO) as customers use search, publisher sites, messaging and offline ads (for example through QR (Quick Response) codes).
The core mobile marketing touchpoints requiring managementWe’re not saying you need to work on all these activities! Instead, this diagram shows your range of options for reaching and interacting with consumers on mobile for which you will need to review the balance of investment as part of your mobile strategy.
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
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Mobile touchpoints needing management
This table shows how you can summarise your mobile plan. It defines the options you have selected for interacting with mobile users across the touchpoints of the RACE customer lifecycle.
Funnel stage
Key mobile marketing activities KPIs
Reach Mobile discovery and promotion of mobile services
þ Mobile search marketing þ Mobile display þ Offline prompts through action
codes
þ Mobile share of search (% of site visits referred through mobile)
þ Mobile reach through display þ Unique visits to mobile sites
Act Encouraging mobile consumer interactions
þ Mobile-optimised sites þ Mobile-specific content þ Mobile-specific offers þ App downloads
þ n, % of mobile opt-ins þ n, % of app downloads
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
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Funnel stage
Key mobile marketing activities KPIs
Convert Online and offline sales delivered by mobile
þ Mobile commerce sites þ Transactional mobile apps þ Mobile voucher campaigns
þ Mobile conversion rates and average order value
þ n, % mobile channel sales and profit contribution
þ Offline sales referred by mobile vouchers
Engage Creating customer loyalty and advocacy
þ Social commerce interactions þ Mobile CRM þ Mobile messaging
þ Repeat mobile commerce sales þ Repeat app usage þ Mobile satisfaction ratings þ Mobile messaging response rates
and value generated
Best Practice Tip 1 Define KPIs to show mobile contribution to effectiveness across the customer lifecycleThe table also shows how it is useful to identify KPIs which show the effectiveness and efficiency of mobile across all customer interactions.
In later sections of this guide we will explore, in more detail, how mobile marketing activities can be used to support each of the areas of RACE.
About the Lead author of our 7 Steps Guide, Rob ThurnerRob Thurner is a mobile consultant, author, trainer, and speaker with 10 years experience in the mobile sector.
He is Managing Partner of Burn the Sky, the mobile communications agency which helps clients to communicate with consumers through connected screens.
Rob delivers mobile consultancy and mobile talent development projects for clients including American Express, Barclays, Barclaycard, Betfair, Carphone Warehouse, Heineken, O2, Paddy Power, Richemont, TUI and multiple global agency groups.
He runs workshops and digital marketing courses for marketers of all levels of expertise across Europe and the USA. His training partners include the IDM, Econsultancy, The Knowledge Engineers, Emarketeers and the IAB.
Following a BSc (Honours) in Politics from Bristol University, Rob began his career as a journalist and then public affairs consultant before joining media start up TDI (now CBS Outdoor). He moved to Clear Channel International and served as Group Marketing Director for the company’s Business Units across 40 countries in EMEA and Asia Pacific.
© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
!
About the Smart Insights Expert member resourcesOur Expert member resources are focused on one thing - helping members get better results from their marketing. Our resources are all practical, showing members how to create strategies and then execute them using best practice. The guidance includes videos, workbook templates and the in-depth 7 Step Guides.
The 7 Step GuidesWe’ve created our 7 Step Guides for Expert members to be your constant companion as you learn, review and improve your approach to digital marketing. We know you’re busy and under pressure to get results, so they’re written to help you do just that. They take you through the questions you should be asking to improve performance and suggest the right approaches.
Our Ebooks are all created to help you:
þ Improve results. A focus on getting the best results from your digital marketing. þ Review your current approach. A unique workbook format helps create a plan. þ Apply analytics. Integrated advice on using Google Analytics to improve performance. þ Learn best practice. Strategy recommendations and practical tips highlighted
throughout.
What members say about our resources“We are at an early stage of our digital marketing journey, the templates, papers, videos and tutorials help us check and learn as we go”. Stuart Sykes, Digital Marketing Manager.
“Smart Insights is the first place I go for good, practical advice on digital marketing. The material available is very comprehensive but also current”. Jon Vasey, Ecommerce Manager.
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