Forrester is launching a new survey to find out how marketing leaders like you integrate the mobile channel into their marketing strategy.
Planning and organizing for the use of mobile technologies is a complex task. Some players are laggards. Some don’t think of the mobile channel as a priority. On the other hand, others are clearly ahead of the curve. Yet, the one question we consistently get is: “How does my organization compare with others in the integration of the mobile channel?”
We will try to answer that question with this ongoing Mobile Maturity Survey and more specifically how marketing leaders:
Coordinate the mobile channel with other existing channels.
Groundswell technology comes to consumers first. At home, we get social, mobile, video, and cloud services pitched to us 24x7. Facebook, Android, iPad, Foursquare, Google, YouTube, Office Web Apps, Twitter. The list is endless and growing every single day. Empowering technologies like these will always come to consumers first. Why? Because it's a wide-open market. A single developer can build an application that changes the world from their broadband-connected bedroom.
All this technology puts tremendous power directly into the hands of your customers. Your customers often have more information than your sales team — or medical staff — does. They can also whack your brand from their smartphone, with video even, while waiting impatiently in line. They can get a recommendation from someone in their business network while listening to your pitch. Customers are empowered by information and connections. You'd better make sure you give customers better information than they can get elsewhere.
The only way to do that is to empower your employees to directly engage the needs and expectations of empowered customers. Only empowered employees can solve the problems of empowered customers.
Fortunately, your employees are not standing still. People are problem solvers. Left alone, your innovative employees (we call them HEROes — highly empowered and resourceful operatives) are building new solutions using these same groundswell technologies — and many others besides — to solve customer problems.
In fact, 37% of US information workers — employees that use computers for work — use do-it-yourself technology to get work done. Personal mobile devices. Unsanctioned Web sites like Skype or Google Docs or LinkedIn or Smartsheet.com. Unsanctioned software downloaded to a work computer.
“What market research is about is adding value to the business.” This line got me a job once. It’s a perspective easily lost in the myriad complications of conducting market research but a value researchers must hold dear. The context in which I obtained that job was customer satisfaction research. I was asked how I might handle the presentation of survey results in a sensitive situation where the audience would be hostile about the results. My response was that companies don’t survey clients because they want a page full of numbers. Companies survey clients because they want to learn how to serve them better — with the end result being increased sales. My presentation wouldn’t be about customer satisfaction scores; it would be about increasing sales.
This is also a central theme for ForecastView. We have to remember, at the end of the day, that research and researchers are investments that companies make with shareholder money and that the end goal is a positive return on those investments. This applies to forecasts, as well. But this isn’t always easy because forecasts don’t always show steeply upward-sloping curves for all of the products our clients make.
I am back from beautiful Cartagena, Colombia where the ESOMAR Latin American 2010 conference was held. In addition, last week, I met with media and advertising professionals focusing on the Latin American market in Miami at the annual Portada Panregional Advertising and Media Summit. At both conferences, a consistent theme resonated throughout all the talks — the Internet is a powerful vehicle for Latin American consumers to connect with peers and even companies; however, the digital divide still persists in Latin America.
We find that, on average, 56% of metropolitan consumers in Brazil and Mexico are not online. Therefore, companies are still unable to reach a significant number of consumers through social media tools. Does that mean that if you have identified that the majority of your target audience is not connected that you are on the sidelines and unable to harness the “power” of social media? I think the answer is no.
Last year, every consumer brand seemed to be building an iPhone application. Towards the end of 2009, they began to say, 'We have an iPhone application. Now what?" For many, the answer seems to be "mobile Web." The open question is "how." I'll be publishing an in-depth study on how with my colleague Brian Walker, going into more depth on the implications of commerce for mobile Web builds. One of the strategic questions that must be answered first is, "do I build a mobile Web site for all devices (= long tail)?" or "do I have a more tiered approach with custom development for the handful of devices (short tail) which drive most of my traffic and a more automated approach for all the other devices (long tail)?" Good questions.
There are some good sources of information online. AdMob and Millennial Media publish monthly reports based on ad requests they see. Netbiscuits just published a white paper with a lot of good data.
First, how long is the long tail? According to the Netbiscuits white paper, it was 2,496 devices in February 2010. How short is the short tail (= 50% of the traffic)? In February 2010, only 12 devices. What is the number one device in each report? Yes, the iPhone -- or now iOS 4 platform. In terms of global traffic, Netbiscuits put Apple first with 36% of traffic while AdMob's numbers for Apple were a bit lower at 33%.
Most of the news this morning at WWDC was around iPhone 4 and iOS 4. Will leave the new device and platform play to my colleague Charles Golvin. I can't wait to get one of the new phones . . . very slick as it looks like a mini iPad in a modified format.
iAd . . . $60M committed for the second half of 2010. Initial advertisers include: AT&T, Best Buy, Campbell Soup Company, Chanel, Citi, DirecTV, GEICO, GE, JCPenney, Liberty Mutual Group, Nissan, Sears, State Farm, Target, Turner Broadcasting System, Unilever, and The Walt Disney Studios.
Pretty impressive. How do they get to $60M? Rumor is that the minimum buy-in is $1M, but it goes up from there. They claim to have 50% of mobile ad market share according to a J.P. Morgan study. I think it is a bold claim unless this is purely the media spend and doesn't include creative. Our number is comparable -- but without creative. Advertisers can count on the buzz surrounding iAd's launch on July 1. That alone may justify the initial buy. These initial advertisers are a smart bunch. A few million dollars isn't much to any one of them, but these are sizeable buys for mobile.
I think there are a lot of interesting questions to be answered. Many will be "wait and see," but here's my wishlist:
- What do I get for $1M+ in mobile advertising? Am I buying creative, development, ads, and analytics?
- How much targeting do I get?
- Is it performance-based? Or CPMs?
- What will work well on the i OS4 devices? Branding? Or, will the ads leverage context -- the context of how, where, and when I use these devices? Will the ads drive me to online purchases or into a nearby store to make a purchase?
- How much control do I get over where my ads are placed?
I get this question a lot from clients, and I saw a good example today so . . . I thought I'd share. How should we promote our services? Should we use TV? Online? Banner ads on cell phones? What is most effective? The high-level answer is "yes." Most of our clients are pursuing using their existing media -- whether it is ATMs in the case of Bank of America, the Web site for Walgreens, or TV ads by ESPN. Many are also using banner ads on the devices with which their devices are compatible. For example, they buy iPhone ads because the audience is right, and they can connect into the App Store on the application page.
Was watching ESPN this morning and saw a commercial advertising mobile TV in preparation for the World Cup.
What they did right and what I liked:
1) Used their existing media (TV) to promote mobile services. They also used an "event" (= World Cup) as a catalyst to promote their mobile TV service. With the World Cup being played in South Africa, there will be games at night, during the work day, and at many other times when people are unable to sit in front of their TVs.
2) The ad on TV gave the viewer context. "When would I use this application?" "Where would I use this application?" The TV ad shows the person switching on mobile video when he gets out of bed, is in the bathroom brushing his teeth, parking his car, and at work. They also demonstrate the quality of the application with zoomed-in views of the video service.