Professional Documents
Culture Documents
CONTENTS:
Innovations 8
Proximity Marketing 9
Getting Started 12
Mobility in Play 14
6 Things you need to know about mobile
• Texting has eclipsed all other forms of communication for teens to connect with friends
• More than 500MM text messages were sent in 2010 by consumers 35+
MOBILE TODAY
IS MOBILE MARKETING STILL TOO SMALL? We love
We refuse to be the ten thousandth group to declare any
mobile marketing and the power to engage consumers,
year the “Year of Mobile”. Consumer usage, mobile ad
but we know we are still an absolutely small part of total
spend, smart phone penetration, and mobile site prolif-
marketing spend. Here’s some simple napkin math…
eration tell the story that the mobile consumer channel
eMarketer’s latest projections put total US mobile market-
has reached a level of maturity that no brand can afford
ing spend at about $775MM for 2010. The latest total US
to ignore.
Media Spend for 2010 projections are around $166B (with a
And yet, many leading brands have not yet put in place ‘B’). If a CMO had allocated their time based on category
even entry-level test programs to understand the role the size, then MOBILE would have received just over 9 hours of
mobile channel might play in strengthening consumer attention in all of 2010. Those same stats were true for the
relationships and driving their business. internet in 1999. Small? Yes. Strategically critical and
being used by your best customers? BIG YES.
Guess who is using smartphones For people 24 and under texting is king,
but you may be surpised to learn that
US
Smartphone
usage
by
ethnicity
breakdown
65+ers are also messaging
White
Hispanic
Black/African
American
Asian/Pacific
Islander
Other
Monthly
Voice
and
Text
Usage
By
Age
65+
More than 50% of english-
55-‐64
Texts
Sent
Received
speaking Hispanic users ...compared with 46% of
access the Internet on their 6%
3%
45-‐54
Voice
Minutes
Used
African Americans, and
phones... 33% of Caucasians
10%
35-‐44
25-‐34
19%
62%
18-‐24
<18
Age
2011 will likely see mobile as a strategic component of every major marketer’s plan.
Over the next five years, stats in the millions will become stats in the billions. Mobile phone ubiquity has pulled
“penetration” off the list of important mobile stats (it’s FULL), and so our attention will turn to indicators of
consumer mobile sophistication and usage
MOBILE USAGE Mobile User > Desktop Internet Users within 5 Years
The exploding growth of Smart Phone subscribers is 2000
becoming less-the-story, as focus shifts to what consum-
1600
ers are doing on their phones. All of the indicators are
Internet Users (MM)
tion will dominate the mobile agendas of most brands. Low Consideration Hi
PUSH VS P U L L
Every marketer aspires to a simple goal: the right ad
to the right person at the right time in the right place.
Proximity Marketing promises to turbo charge right
place. They tempt us with “what if you knew your cus- the evolving customer experience
tomer was in front of your store, or better yet, in your
competitors’ store?” Some marketing service compa-
Ve
r
nies can “sniff” your location and push a geo-relevant AT izon
&
Pla T k
message. Other marketing companies encourage cec boo
ast Face square
fo u r
consumers to check-in and self-identify their location.
10-Seconds of Truth:
• Even with the new Facebook Locations functionality,
the total “check-in” consumer population is too
small to run a campaign against outside of 20-25
The 2011 Battle: Push vs. Pull Marketing
year olds in Manhattan or San Francisco.
• It’s still too hard to programmatically get real time There are two main routes to location awareness with consumers:
consumer location information. Most carriers charge one which leads to PUSH MARKETING and one that leads to
for the data, and service providers use simplistic PULL MARKETING.
predictive algorithms to minimize their costs.
• Bluetooth proximity marketing barely works – it PUSH MARKETING tends to be interruptive messaging
doesn’t work on iPhones, it only works on some triggered by a passive discovery of a consumer’s location
Blackberrys, increasingly sophisticated consumers -- usually through pre-approved permission, the marketer
have decreasing ability to interact with this technology. becomes “aware” that a consumer is in an attractive location
and PUSHES them a message. This approach may accelerate
Why It’s Worth a Trial: the scale of potential campaigns, but the often context-free
• Your best customers want it. They are willing to give pushing of the message may diminish effectiveness.
up their location to have a closer brand relationship –
PULL MARKETING relies on the active acknoweledgement of
now is a great time to learn how location information
a consumer that they are in an attractive marketing location,
might deliver great customer engagement.
e.g., a foursquare check-in at Best Buy, effectively PULLING a
• It’s cool. Even if you have low participation, running marketing message. The growth in relevancy is offset at this
a foursquare test will attach some innovative cool time by a lack of scale -- not enough consumers actively identify
value to your brand. to build a compelling campaign.
• It’s cheap. Most market service providers are trying
to get into your test budget and know they can’t The Battle Lines are drawn, with PUSHERS chasing relevancy
run a SCALE test, so the price tag on projects is low. and PULLERS seeking scale. Our quick take -- bet on the
PULLERS, relevancy is the key to proximity marketing.
1 Borrell Associates, “Proximity Based Marketing: Mobile Devices Untether Advertising from Media” 2 Nielson and Forrester Research 3 Cisco. 9
66 Things
Things you
you need
need to
to know
know about
about mobile
mobile
Where do you expect to see the steepest growth curve The reason mobile is so hot is because retailers
in advertising spending 2011? look out onto their store floor and they see
consumers holding and interacting with their
Smartphone/mobile advertising 55.92%
phones. That’s it. Observable consumer behavior
Online video 20.39%
says that the mobile phone is part of shopping
Social Networks 14.47% experiences, and brands are choosing to listen
Hyperlocal Media 9.21%
and take action.
(36%)
$1,501.3
$1,102.4 (36%)
$743.1 (48%)
$416 (79%)
(30%)
1 eMarketer report. 2 Survey of “marketers who make decisions about media spend” spearheaded by the Mobile Marketing Association 3 DIGIDAY Q3 Apps State of
the Industry Survey
66Things
Thingsyou
youneed
needto
toknow
knowabout
aboutmobile
mobile
There are a lot of things you could read into this growth chart:
hurray for the booming economy for app developers,
consumer mobile behavior has experienced a sea change, the
power of the smart phone has unlocked wonderful marketing
opportunities… and you’d probably be mostly right with any of
them. What we’d like to add to the list of observations is that
there appears to be an extremely low barrier to entry for creating
an iPhone app.
to App or
not
to App
Y
N
Y
N
is my target demo in the have I identified a distinctly “mobile”
consumer value that isn’t delivered
top quartile of active app " better through other channels? "
downloaders and users?
It’s time for 2011 Mobile priority setting and we’re all at different places on the Mobile Sophistication Spectrum.
Wherever you are today, focus your priorities and achieve the next level of mobility in 2011.
DO! Prioritize the basics Break down the silos Prioritize consumer Renew, refresh,
value, not brand value reinvigorate
Make your websites Actively drive consumers Create mobile priorities Expand mobile
accessible by mobile between web, physical around successful relationship along
phone – this goes well media and phone consumer experiences, two dimensions:
beyond eliminating flash even if in potential utility and fun
“Activate” all marketing conflict with brand
Develop SMS database with links to mobile success Schedule regular
and capture permissions experiences or “act re-assessments of
and build consumer now” calls to action Tap into social motivators content of offering
mobile mindset including Self-Expression, for freshness, depth
Achievement and and relevance
Altruism
TARGET
YOUR NEXT
?
13
6 Things you need to know about mobile
MOBILITY IN PLAY
WHAT IS RIGHT FOR YOU?
Sometimes a consumer just “needs it now.” Whether she’s Everyone’s favorite shiny Apple toy saw the highest
riding a cross-town bus or he’s standing in your competitor’s release sales of any mobile electronic device currently
store, our m-commerce suite puts your catalog, offers and on the market. App development is beginning to
marketing right into the hands of the shopper. follow suit with over 150,000 apps so far, including
the likes of Target and Audi. Retailers are getting in
M-Commerce offerings include: on this opportunity knowing the platform gets their
• Full catalog browsing through a Smart Phone app and highly visual message directly to the consumer.
HTML5 implementation
• Seamless integration with e-commerce platforms and iPad’s versatility goes beyond uses just for the
identity management consumer. With your retail supporting iPad app this
• Real-time integration with retailer prices, promotions device functions as a roaming repository of informa-
and availability tion for sales reps and other employees. Allowing
• Advanced features include 1-Click Checkout and store employees to provide the highest level of customer
locations service with instant information as well as preform
• Available as a mobile app (Apple & Android) or as an more effciently with quicker input and output of data.
HTML5-enabled mobile website
15
5TH FINGER 2010 SNAPSHOT
AWARDED: 2010 Best Mobile Campaign, Big Star Awards for My Coke Rewards campaign
415.520.5585 | newbiz@5thfinger.com