Statistics Prove a Mobile Strategy is Necessary

December 4th, 2012

Although there are numerous success stories for businesses using mobile marketing, very few big brands have embraced a mobile strategy. In 2011, mobile advertising was less than 1% of ad spending worldwide. Mobile has the potential to be the most effective form of marketing available, so now is the time to implement a mobile strategy.

Some recent stats to help you understand the importance behind mobile marketing follow:

  • Smartphone coupon usage increased over 100% in 2011 and is expected to the same this year.
  • Open rates for emails are about 11% compared to mobile phone texts with an open rate of 95%.
  • By 2015, there are expected to be over 788 million people who only use the internet via mobile devices.
  • By 2015, mobile users are anticipated to spend around $119 billion in mobile commerce each year.
  • Moms are more likely to own a smartphone than anyone else, with 25% of them using their mobile devices to look for discounts and coupons.

Mark Donovan, the senior VP of mobile marketing at comScore recently stated, “With nearly 86 million Americans now shopping on their smartphones, this pronounced shift in consumer behavior is simply too large for retailers to ignore, with the future of their business depending on how well they adapt to the new environment.”

If you haven’t implemented a mobile strategy for your business, now is the time. Don’t wait any longer!

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Mobile Key Player in Record Setting Black Friday& Cyber Monday Sales

November 27th, 2012

With this year’s Black Friday and Cyber Monday shopping days behind us, it’s safe to say that it was a record setting year for businesses. Cyber Monday became the biggest online shopping day ever, bringing in close to $1.5 billion in sales. This was a 30.3% increase over the same day in 2011. Black Friday also saw huge success, with over $1 billion in sales for the very first time and a 26% increase over Black Friday in 2011. Jay Henderson, strategy director for IBM Smarter Commerce stated that, “Combined with retailers offering great deals and promotions, consumers are feeling good about spending this holiday season.”

Mobile devices proved to be a big game changer this year, with over 18% of consumers using smartphones and tablets to browse websites, read reviews, and compare prices. Sales from mobile devices reached almost 13% this year, representing a more than 96% increase from 2011.

Although Black Friday and Cyber Monday are now over, retailers are still planning deals, promotions, and flash sales to keep business steady and round out the remaining holiday shopping days.

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Increase Sales with Mobile: 49% of Holiday Shoppers Redeem Mobile Coupons.

November 19th, 2012

With the unofficial kickoff the holiday season arriving this Friday, mobile is expected to be bigger than ever. Businesses that have integrated mobile marketing into their marketing campaign this holiday season can expect to see big returns. To see the most success this year, a few suggestions have been offered up:

  • Make sure your website is easily viewable on a smart phone
  • Create location based offers with different values
  • Think about the customer’s perspective during the buying experience

In a survey conducted in October, 48% of smart phone shoppers stated they plan to use their phones for holiday shopping and 24% have already made purchases on their phone. 49% have redeemed mobile coupons. Mobile coupons are becoming increasingly popular, as people are more likely to use them versus cutting out coupons or bringing offers received in the mail. Because customers almost always have their phone in hand, mobile coupons are much easier and effective. More than half surveyed said they use their phones to compare prices. For businesses, that means providing as much information as possible regarding the price and product benefits will be beneficial.

If your business hasn’t implemented a mobile strategy, be sure to take a look at these and see what changes could be made that could result in income gains. The number one thing to remember is that the customers are often already in the store, so you just need to make it easy for them to make the purchase.

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Tanger Outlet’s Thanksgiving SMS Strategy

November 15th, 2012

Tanger Factory Outlets is utilizing a SMS text-to-win sweepstakes as part of its marketing efforts during Thanksgiving weekend. The sweepstakes gives participating shoppers the opportunity to win a $1,000 shopping spree. To coincide with this, Tanger is also using their mobile app for iPhone and Android to give away a free compact mirror to any shopper who downloads the app before the end of November.

Because more people are in stores following Thanksgiving and leading up to Christmas, it’s a great time for stores to build up their mobile databases. Once they have shoppers opting in, they can then message them throughout the year to alert them of special deals and keep them shopping. Quentin Pell, director of public relations and communications, said the main goal of the SMS campaign is for Tanger to build the number of people in their Text Deals database.  Pell noted that, “SMS text messaging is a fun, fast and effective way to engage customers and using a text-based opt-in entry method gives them a quick way of entering a contest.” 

Over the Thanksgiving weekend last year the company was able to increase the list by about 30 percent. Pell stated that because of the high read rate of text messages, the text deals program is a crucial component to their marketing strategy. Tanger Factory Outlets uses its mobile channels year-round to engage customers and provide them with an excellent shopping experience.

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How to Write Marketing Text Messages that get Results:

November 8th, 2012

SMS messaging is a quick and simple way to connect with on the go consumers. However, to be effective, the messages must motivate consumers to act.

Five tips have been identified that will help in writing texts and getting results:

  1. 1.       Be brief and focused. Because of character limit in texts, there isn’t room for detail and any extra information. To be efficient, you must know who your target audience is and how best to speak to them.
  2. 2.       Avoid hype, slang, and abbreviations. You don’t want your text to look like spam because consumers likely won’t read it and will delete it without thinking. Using slang and unnecessary abbreviations looks cheap which leaves consumers with a bad perception of the brand and/or the company.
  3. 3.       Offer something of immediate value. If you’re trying to entice consumers to make a purchase, offer a discount that’s only redeemable for a small amount of time that. This type of offer displays the benefits of acting immediately and serves as a call to action. 
  4. 4.       Identify yourself. If you want to be taken seriously, you must let consumers know in the text the company/brand. Otherwise, you run the risk of your text being deleted without being read.  
  5. Make consumers feel special.  Don’t send texts with information that can easily be found online or in stores. Those who take part in mobile want to feel important, so provide them with special promotions that aren’t available to everyone.

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Small Businesses See Benefit of Mobile Marketing

October 29th, 2012

Small business owners are finding out that one of the easiest ways to attract new customers is through their mobile devices.

According to a survey conducted earlier this year, 84% of small business owners who used mobile marketing techniques stated they saw an increase in new business. One of the biggest ways to attract new customers is by making sure the business has a mobile friendly version of its website. Potential customers want to be able to find contact information, services and products a company provides, and how to order quickly and easily.

Small businesses can also reach customers via SMS messaging, social media, and a multitude of other mobile media tactics. With open rates above 95% and most texts being read almost immediately, SMS messaging is a great way for small businesses to drive customers to their doors.

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Mobile Device Usage Doubled in Past 2 Years

October 23rd, 2012

In the past two years, the time people spend using mobile devices has more than doubled. It is estimated for 2012, the amount of time US consumers spend using mobile devices will grow 51.9%, which is an average of 82 minutes a day. This is up from 34 minutes in 2010. This new mobile growth is occurring as time spent online with desktop and laptop computers is growing at a slower pace. According to 2012 estimates, time spent online is only expected to rise to an average of 173 minutes per day, as compared to an average of 167 minutes per day in 2011.

While mobile has a small base to work from, it is proving to grow quickly, due to more consumers acquiring smartphones and tablets. Advertisers now must find ways to get into the mobile arena before they lose substantial amounts of money. Currently, only 1.6% of US ad spending is focused on mobile, although 11.7% of adults say they are accessing media on their phones and tablets. 

During the next few years, mobile advertising is expected to grow at a brisk rate. By 2016, US mobile advertising spending is estimated to be nearly $12 billion.

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Kiehls Drives Purchases with SMS texts

October 16th, 2012

Kiehl’s cosmetic brand has found great success in utilizing a mobile campaign. Once customers opt-in, the company is able to send out location based texts.  Data shows the results for text messaging are much stronger when they are received by customers near a store, showing that 73 percent of customers who opted-in to receive text alerts made a purchase after receiving one of the messages.

Because Kiehl’s is able to do targeted messaging, they can get people in the store for products that are completely relevant to their needs. Due to this highly targeted method, the open rates have shown to be much higher than email campaigns. In turn, this has allowed the company to increase brand awareness and drive traffic into stores.

During the initial phase that ran for six month, Kiehl’s recruited over 1,000 customers to the campaign and sent out more than 7,000 messages to participating users. This summer, the company promoted the campaign in an email blast and had 4,500 new users opt-in. Customers who opt in receive about three messages a month on new products, seasonal items, special events, and promotional offers. Upon surveying message receivers, 81 percent recalled getting text alerts and there was a 77 percent increase in the likelihood of a customer visiting a store after receiving a text message.

Consumers like to receive text alerts because they are easier to act on than ads, coupons, emails, or direct mail offers because they always have their phone with them. Text offers can also drive loyalty, becoming more valuable over time as offers become relevant to their interests.

Read more: / Source: Mobile Commerce Daily.

Simple & Successful: SMS Marketing

October 8th, 2012

It often seems that marketers dismiss the usefulness of SMS text message marketing because it does not have the “wow” factor that augmented reality or native apps offer. Coincidentally, SMS marketing is absolutely one of the best mediums a company can use in moving their business forward. By using SMS, marketers can establish an ongoing relationship with consumers. Rather than focusing on the fact that SMS doesn’t feature the glitz of other mediums, marketers should instead concentrate on what will lead to success. Because consumers are acting as active participants, companies are likely to notice a drive in loyalty and sales.

The top two obstacles marketers must overcome with SMS is having a clear and concise call to action, as well as offering consumers an incentive for opting in. Marketers should keep in mind being respectful of the time messages are sent and the frequency of which they are sent. If consumers are bombarded, they are likely to view it as spam.

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Hello world!

February 2nd, 2012

Welcome to the new PowerPlay Mobile website. Stay tuned for informative mobile marketing editorials on how to increase your business’ sales and customer loyalty with the addition of a mobile strategy. Be sure to check out the site while you are here!