Blogpost (Digital Marketing)

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Week7-MobileMarketing.pdf

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Mobile Marketing MKTG1415/1427 Week 7 Presented by Torgeir Aleti

Mobile Marketing Defined

• Kaplan (2014) • “any marketing activity conducted

through a ubiquitous network to which consumers are constantly connected using a personal mobile device.

• Shankar and Balasubramanian (2009) • “the two-way or multi-way

communication and promotion of an offer between a firm and its customers using a mobile medium, device, or technology,”

Why is mobile important?

• “Mobile is happening faster than all of our internal predictions.” • Eric Schmidt (2011)

• According to the Yellow Social Media Report (2018), more Australians own a smartphone (87%) than a laptop (76%).

• 74% use smartphones to access social media (laptops 49%) • 60% used desktop and 34% used

smartphone to access social media in 2011.

Source: http://mashable.com/2011/02/28/schmidt-mobile-growth/

Why is mobile marketing different? • Becker (2016): Businesses and

marketers don’t need a mobile marketing strategy. Rather, their strategy needs mobile. • Mobile and digital have fundamentally

changed consumer behaviour forever. Successful marketing strategies today start with customer insight.

• Mobile marketing is: • Personal (devices are seldom shared!) • Interactive • Time relevant • Location independent (Kaplan, 2012)

How is mobile different?

• Location of search • More local intent • Time sensitive • The device – capabilities • The device – limitations • Voice search • Search by image and visual search • Mobile apps

So u rce : h ttp s://m o b ifo rge .co m /n e w s-co m m e n t/th e -1 0 -w ays-m o b ile -se arch -d iffe re n t-im p licatio n s-yo u r-m o b ile -w e b se arch -strate gy

Does almost everyone have a phone?

Source: ITU World Telecommunication / ICT Indicators database

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“Fourth Screen”

https://vimeo.com/43641044, https://mediumsandmessages.org/2017/11/14/fourth-screens/

• 1st screen: movie theatres (The Silver Screen), • 2nd screen: Televisions transported The Silver Screen

to living rooms. • 3rd screen: Computers gave us access to the

Internet; an entire new world of information available to the average person.

• 4th screen: In our pockets – back into the ‘real world’

Source: https://www.visualcapitalist.com/how-long-does-it-take-to-hit-50-million-users/

Product / Technology Time it Took to Hit 50 Million Users Airlines 64 years

Automobiles 62 years

Telephone 50 years

Electricity 46 years

Credit Cards 28 years

Television 22 years

ATMs 18 years

Computers 14 years

Mobile Phones 12 years*

Internet 7 years

Facebook 4 years

WeChat 1 year

Pokemon Go 19 days

* Smartphones were much faster. E.g. Apple reached 50M after 2 years and 9 months on April 8, 2010 From the original iPhone's launch on June 29, 2007.

Source: https://www.kleinerperkins.com/

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From pope to pope… Mobile device is not a simple product! • Converging hardware: • GPS • Cameras • Bluetooth • PDAs • Tablet PCs • Gaming • Public touchscreens

• Converging software: • Messaging (SMS / MMS) • Apps • Email • Voice / IVR • Location Based Services

(Bluetooth, NFC, iBeacon)

• Mobile internet • Device-resident portals • Passbook • Wallet

Mobile Marketing Tools

• Mobile Ads • Mobile Coupons • Mobile Websites • Mobile Apps • Location Based Mobile Marketing • Mobile Payments

Kaplan, Andreas M . (2012). “If you love something, let it go mobile: M obile marketing and mobile social media 4x4. Business Horizons, Vol. 55(2), 129-139

Classification of mobile marketing application

Mobile Ads (strangers or groupies) • Mobile banners and displays • Mobile PPC • Idle screen advertising • In-game advertising

• A big usability challenge: • Migrating existing services to devices

with small screens and tiny keyboards

• Consumers often accept this in exchange for free apps.

Mobile Coupons (groupies, victims or patrons?)

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Common features of successful apps • Solve a problem

• Being amused or entertained is not enough. The app needs to have a purpose

• Easy to Use • Consumers are too busy to learn; must be able to use right away

• Update Frequently • To keep consumers engaged, you need to provide new features

• Built for Native Platform • Think Facebook, WhatsApp…

• Make a Business • Think Airbnb, Uber, eBay

• Kind to Phone Battery • Check the battery consumption of your phone and you will find that the

best apps have consumed least battery power. • Free

• Looks like fee has won. Look for in-app purchases or freemium options. Sources: https://www.forbes.com/sites/gabrielshaoolian/2017/06/07/5-mobile-app-features-your- customers-want/#11e198e647bf; https://www.octalsoftware.com/blog/successful-apps-common-feature; https://liquid-state.com/ingredients-successful-mobile-app/; https://techbeacon.com/app-dev-testing/5- secrets-mobile-app-success-top-design-firms

Kaplan, Andreas M . (2012). “If you love something, let it go mobile: M obile marketing and mobile social media 4x4. Business Horizons, Vol. 55(2), 129-139

Classification of mobile social media applications

Kaplan, Andreas M . (2012). “If you love something, let it go mobile: M obile marketing and mobile social media 4x4. Business Horizons, Vol. 55(2), 129-139

Figure 1. Mobile social media advice Successful Branded Mobile Apps – Starbucks

Sources: https://appsamurai.com/mobile-app-success-story-starbucks-app/, https://www.fastcasual.com/blogs/mcdonalds-starbucks-dominos-pizza-dunkin-donuts-which- has-the-best-app/

• Rewards • Orders • Music • Payment • Omnichannel Marketing • Location-Based Services • User-Generated Content

Successful Branded Mobile Apps – Nike+ • Free And Simple • Personalization and More Personalization • Challenges • The More, The Merrier • NRC Success Stories

Source: https://appsamurai.com/mobile-app-success-story-nike-run-club/

Successful Branded Mobile Apps – TripAdvisor

Source: https://econsultancy.com/tripadvisor-new-social-app-future-travel/

• A more social travel experience • Solving problems for customers • A personal travel agent

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Location based marketing

https://www.youtube.com/watch?v=8_hrbSw0p5I

Google Micro-Moments

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

I-Want-to-Know Moments

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

I-Want-to-Go Moments

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

I-Want-to-Buy Moments

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

I-Want-to-Do Moments

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Be There

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

Be Useful

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

Only 9% of users will stay on a mobile site or app if it doesn’t satisfy their needs

Be Quick

Source: https://www.thinkwithgoogle.com/intl/en-aunz/marketing-resources/micro- moments/micromoments-guide-pdf-download/

Models for mobile payments • Mobile Wallets

• PayPal, Google Wallet, WeChat Pay

• Credit card-based payments • Apps that allow the phone to be used as a credit card

• Carrier billing (Premium SMS or direct carrier billing) • E.g. M-Pesa (Kenya)

• Contactless payments NFC (Near Field Communication) • E.g. Vipps (Norway) and MobilePay (Denmark); users with

an account at the right bank can debit their account, while other users can debit their card)

• Cashless future? Race to become first cashless society. • Sweden is leading, but the race is on! • Pros and cons?