mobile marketing slide deck
TRANSCRIPT
WHAT PR PROFESSIONALS NEED
TO KNOW ABOUT MOBILEPresented by Kathryn Koegel, Chief of Insights
Introductions: Kathryn Koegel
Contributor to Ad Age
Primary researcher with work
accepted by ARF and ESOMAR
Consultant on digital marketing
strategy
Cited by: NY Times, Wall Street
Journal, eMarketer, Media Post,
Mobile Marketer, Internet
Retailer, DM News
Currently working on reports on
Mobile Couponing and Mobile
Commerce
2
What does mobile mean to PR
professionals?
Mobile is:
Exciting – consumers love this
Hot – and exceptionally press worthy
Social – it amplifies everything social
Activational – it can enhance any marketing
Stats you need to know
The Excitement
Source: Morgan Stanley, April 2010
Global mobile vs. desktop internet user projection
Internet users in millions
Mobile web usage will surpass ‘tethered’ usage in less than three years
Wireless internet usage will soon surpass wired
Source: Nielsen, 2006-2009; *For 2010, Centers for Disease Control and Prevention, May 2010
U.S. Household Cellular-Only Penetration
The CDC reported in May 2010 that the number was now 24.5%, with 40% of consumers 18-
34 having no landline
15% 15%
18%
21%
24.5%
2006 2007 2008 2009 2010*
Almost ¼ of all US households now have no landline
Source; Mary Meeker, Morgan Stanley, 2010
Mainframe
Minicomputer
PC
DesktopInternet
MobileInternet
0
1
10
100
1,000
10,000
100,000
1,000,000
1960 1970 1980 1990 2000 2010 2020
Millions
New Computing Cycles - 10x more DevicesNew= Reduce Usage Friction Via Better Processing Power + Improved User
Interface + Smaller Form Factor + Lower Prices + Expanded Services
10B+
Units???1B+
Units/
Users100MM+
Units/
Users10MM+
Units/
Users
1MM+
Units/
Users
PCs
TVs
Cars
Radios
Phones
Gaming
Tablets
Appliances
Never before has technology adoptionhappened so fast
There are a lot of devices out there
that can connect to the Internet
85%
59%
52%
47%
42%
5%
4%
Cell phone
Desktop computer
Laptop computer
mp3 player
Game console
e-Book reader
Tablet computer
Source: Pew, Americans and their Gadgets, September 2010
Consumers are armed with in-store portable computers/potential coupon delivery devices
Projected Smartphone PenetrationFEATURE PHONE SMARTPHONE
Based on survey data and projections. Source: Nielsen
10%13% 14% 16%
17%19% 21% 23% 25%
28%31%
34%37% 40%
43%46%
49%54%
90% 87% 86% 84% 83% 81% 79% 77%75%
72%69%
66%63%
60% 57% 54%
51%46%
Smartphones will be the majority in US by Q2 of next year
Who’s mobile and behaviors
Source: 1-Insight Express 4Q 2010 Digital Consumer Portrait. 2-Pew 2010
Mobile phone
penetration1
Internet
penetration2
Gen Y (18-24) 85% 91%
Gen X (25-44) 85% 85%
Younger boomers 81% 79%
Older boomers 76% 72%
Mobile phones have higher US penetration in some demos than Internet
* Statically significant difference. Source: Pew Research
African-Americans and Latinos lead non-Hispanic whites in use of mobile data applications,
including early-adopter activities like purchasing via the phone
All adultsWhite, non-
HispanicBlack, non-Hispanic
Hispanic (English-
speaking)
Own a cell 82% 80% 87% 87%
Send/receive text messages 72% 68% 79%* 83%*
Access Internet 38% 33% 48%* 51%*
Use a social-networking site 23% 19% 33%* 36%*
Purchase product 11% 10% 13% 18%
Minorities are especially enthusiastic about mobile
Mobile Media = Connected Media (except SMS) in MobiLens, defined as used phone browser, applications, or downloaded content.
Three-month average ending September 2010 Country: US, N=32,044 Source: comScore MobiLens
The number of people who are using voice only has declined 17.2% year on year, while
mobile media usage has grown 23%
Mobile
Media:
42.4%
Just Voice:
28.5%
SMS (and not
Mobile Media:
29.1%
42.4% of US mobile phone users use their phones for media
Source: Nielsen
SMARTPHONE OWNERSFEATURE PHONE OWNERSALL SUBSCRIBERS
U.S. mobile media usage (past 30 days), Q4 2010
66%
39% 36%31%
23% 22%18%
60%
32%
20%14%
8%15%
7%
86%
61%
80% 77%
62%
40%
50%
Text Messaging/SMS
Picture Messaging
Mobile Internet Email App Downloads Text Alerts Location-Based Services
152.3 M 90.8M 83.2 M 71.8 M 52.4 M 50.0 M 42.3 M
Note: Location based services here refers to using anything from GPS on a phone to weather and entertainment info that are plotted to
location – not specficically a “check in” service
Mobile media activities have reached critical mass
Younger users buy ringtones, create their own ringtones and listen to music; mobile internet
services (browsing, apps and e-mail) skew 60%-65% male
Three-month average ending September 2010. Country: U.S., N=32,044. Source: comScore MobiLens
40%
45%
50%
55%
60%
25 26 27 28 29 30 31 32 33 34 35
% F
em
ale
Median Age
Demographics of Mobile Media Activities
Made own
ringtone
Purchased
ringtone
Listened
to music
Social
networki
ng
Purchased
game
Ringback
Played
games
App
Mobile
Media
Browser
Unlimited
Data Plan
Higher on chart = more female
Further to right = older
Size of bubbles = # of users
What people do on their phones is predictive by age and gender
Apps reach just 24% of the U.S. population, according to
Pew and Nielsen
Source: Pew/Nielsen, The Rise of Apps Culture, September 2010
All adults
82% use cell phones
35% have apps
24%
use apps
Apps are so cool…but in terms of reach of the US population, limited
Three-month average ending October 2010. Country U.S., N=32,397. Source: comScore MobiLens
17.6%
18.6%
18.9%
19.5%
20.7%
21.1%
22.5%
27.6%
27.6%
29.2%
34.0%
35.8%
43.0%
44.3%
48.7%
Bank accounts
Movie information
Stock quotes or financial news
Tech news
Maps
Work e-mail
Photo or video sharing service
IM
Entertainment news
Sports information
News
Weather
Social Networking
Personal e-mail
Search
NEWS AND WEATHER GENRES
COMMUNICATING AND SHARING
OTHER
Top genres for mobile browsing
On the mobile web, search is tops, followed by email and social
Location-aware services like weather, maps, restaurant information, movie information, traffic
reports are all in the top 10
Three-month average ending September 2010 Country: U.S., N=32,044 Source: comScore MobiLens
25.8%
23.8%
20.0%
17.1%
13.8%
12.2%
10.1%
9.2%
8.9%
8.5%
8.2%
8.1%
8.1%
8.1%
7.1%
5.6%
5.6%
4.9%
4.7%
4.7%
Weather
Maps
Social Networking
Personal e-mail
Search
News
Sports information
Work e-mail
Restaurant information
Movie information
Traffic reports
Entertainment news
Bank accounts
Photo or video sharing service
Stock quotes or financial news
Tech news
Business directories
Gaming information
General reference
Television guides
LOCATION-BASED SERVICES
OTHER
For apps, weather is tops followed by maps and social
The young and mobile are using those phones while shopping
Source: Chadwick Martin Bailey, Consumer Pulse, March 2011, n = 1491, base = smartphone owners
Comparison shopping, checking for locations and discounts most common
Source: Chadwick Martin Bailey, Consumer Pulse, March 2011
Smartphones enable consumers to do a
variety of shopping research in store
Source: Chadwick Martin Bailey, Consumer Pulse, March 2011
Mobile can be do many things…
The Hot Stuff
Mobile phones are sexy and personal
Phones are extension of personal style
Much more 1to 1 communication with marketers than TV, radio or Internet
Ads on them have higher impact than on the Internet
Consumers focus more on the screens
Product Check-ins: People scan products and
collect points…
This man won 1,000 “Karma” points for CauseWorld (consumers donate points to
charity) program operated by Shopkick
Shopkick app: Consumers earn points just by
walking into a store
Geo-Fencing: Messages can be triggered by
location
Geō-fence noun : a field around any location set to trigger a personalized
marketing message to a consumer entering or exiting the defined area.
How it’s created:
•Upload location addresses
•Proprietary translator creates a “Place Profile”
•Program the desired geo-fence around a
locationFlexibility:
•Geo-fences can be created around any
location
• Add, remove & optimize geo-fences
Geo-fencing Strategy:
•Based on program objectives, trade areas, and
customer demographic/psychographic profiles
How this works…Geo-fence is
triggered
Customer is out
shopping in a retail
area, office area
during lunch time,
sporting event,
concert, or any
other location POI
Triggers the geo-
fence set by brand
Dynamic message
delivered
She/he receives an
SMS alert on mobile
Message presents a
personalized offer
Dynamic message-
promotional, branding,
sponsorship or a
reminder
Option to leverage
digital assets & WAP
Consumer Opts-In
Customer opts-in to
alerts program
through your– Web site
– Social Network
– SMS or email program
– Web or mobile banner
– Inside store locations:
window signage, POS
cards, receipts, etc.
Companies doing LBS messaging
Acquisition
• Carrier’s subscribers
• Portal with multiple brands
• Carrier owns the audience
Retention
• White label program for brands
• Integrate into CRM or loyalty
programs
Loopt and Virgin America: A PR Coup with
a Taco Truck Activation
promo
code
QR codes can unlock games, coupons, link to more info
Burger Kind rich media ads reveal promotion and tap to map
Subway: play a
game, find a location
Checkin’ in for Choos
Starbucks mobile payment system now
nationwide
Anybody can still build a top app: Eighth
grader Robert Nay unseats Angry Birds
Dennis Crowley: Dodgeball &
Foursquare founder and PR maven
Is this man 23 or 35?
Are you his PR person?
Pay attention to anything at
South by Southwest
But display healthy skepticism
It is a bubble just like SilliconValley and Sillicon Alley
Will both men and women do this? And do it again?
How much work does it take?
How will it scale for marketers?
Is there a real marketing application?
Well the world is going there….
Should your brand be mobile?
Key considerations
Are you customers mobile?
Balancing desire for smartphone cool with reach
Is your customer an iPhone person or are they happy with their feature phone?
WAP optimization often overlooked
Essential for all with consumer facing brand, retail locations
Branded app…or not
What can be done to enhance your brand, encourage people to interact with it?
Don’t go for the fun gimmick
• The pressure to make top app lists
• Social – even more and faster – 24/7 access to consumer reviews
• Activation and LBS
What PR professionals typically encounter with mobile
Branded apps die every day
75% of all apps gets deleted within 90 days of download – Flurry analytics
Apps have to be marketed just like any other product
PR and making top lists is great but won’t last long…
Click to download ad buys work brilliantly and are cheap
Come up with a real measurement and content strategy:
Is PR generation the primary goal?
Are 10K downloads worth it for a mass market brand?
Look at Not just downloads but usage
How are you refreshing that content?
Do you understand how people use the app?
Does the app also embrace unique attributes of tablets?
Social moves that much faster
How do you understand the conversation when it
moves so fast?
What is the value of a like or a share?
No excuse for no measurement
Measurement tools:
Cymphony
Radian6
ScoutLabs
Trendrr
The sexy stuff that can get so much
press…
LBS
It’s more a PR than a reach play but go for it
Social Couponing and Flash Sales
The Groupon and Gilt phenomenon
But how long can it last now that everyone is doing it?
Activation of Promotions
Done more in ROW, but why?
Any promotion can go mobile
Any outdoor can trigger more information – lead people to a new destination
Data
In the absence of it in mobile, any piece of research can get press – especially as it relates to tablets
My favorite mobile activation/PR
stunt/sampling program
http://www.youtube.com/watch?v=eXI8doq1k5Y
Resources
IAB Mobile Center of Excellence
Research and creative examples
Mobile Marketing Association
Standards
GSMA Awards archive:
Best mobile programs from around the world
Stats:
Comscore: semi-annual update on US usage
Nielsen: US usage, new research on multi-screen behavior
Pew: impact on news consumption, teen usage
Questions?
To understand more about mobile from a
marketer’s perspective: Quarterly Series
from Ad Age on Mobile Marketing
http://adage.com/whitepapers/