It Takes Two To Tango: Mobile Engagement Needs User Experience And Context

Katyayan Gupta

The growing affordability of smartphones and increasing ubiquity of high-speed wireless broadband are driving customers toward a mobile mind shift: the expectation that any desired information is available, on any device, in context, in a person’s moment of need. Firms in Asia Pacific in general and India in particular have become cognizant of this fact; in 2014, more firms plan to build a mobile strategy for customers or partners than for employees.

I recently spoke with members of the application development team at Torry Harris Business Solutions (THBS) in India. THBS develops mobile apps for clients worldwide. The team revealed that THBS clients now focus much more on user experience (UX) design — so much so that some of them are even willing to spend an additional 5% on top of the total app development cost to get a better design. UX design represents about 30% to 40% of the total mobile app development cost. But a great UX is only half of a mobile engagement; context is the other half. To develop a complete and effective mobile engagement, eBusiness and channel strategy professionals must:

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Five Global Marketplaces All Brands Must Know

Zia Daniell Wigder

Global online expansion is not the same game it was just a few years ago. Today companies are taking a multi-pronged approach to international expansion and looking at a variety of different ways to tap into online shoppers in different markets. One approach that has been gaining momentum is the use of global marketplaces.

Traditionally dominated by small- and medium-sized businesses, online marketplaces have been extending their offerings for global brand owners. Brands today have a growing number of options to build out enhanced official storefronts on these global marketplaces, reaching hundreds of millions of online shoppers in the process.

Our report published this morning on Five Global Marketplaces All Brands Must Know (client access required) focuses on the opportunities and challenges of selling through global marketplaces. In the report, we profile:

Amazon. The giant of US online retail offers brands more than just a point of entry into the US market – brand store options are available in all 10 markets in North America, Europe and Asia in which the company operates marketplaces.

eBay. eBay's global offerings are growing rapidly: Current marketplace options for brands in countries such as the US, the UK and Australia being supplemented with new offerings in emerging eCommerce markets. The company has taken innovative steps to tap into the cross-border online shopper. 

MercadoLibre. This long-time leader in Latin American eCommerce has rolled out enhanced brand store options over the past year, opening up opportunities for brands looking to tap into the millions of new consumers starting to shop online in the region every year.

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European Online Retail Sales Continue Double-Digit Growth, Spurred By Mobile

Michelle Beeson

This morning when I woke up, one of the first things I did was pick up my iPhone. It’s increasingly part of my morning ritual – whether its checking the weather app for the day’s forecast or using the Starbucks app to pay for my morning coffee on the way to work. And I am not the only one. Forrester forecasts that European online retail sales will increasingly come from sales completed on mobile devices like smartphones and tablets.

 Forrester has now updated its  Western European online retail sales forecast for 2013 to 2018, which plots the growth rate of online sales across 17 European countries and 22 categories. Key takeaways from the forecast include:

  • European online retail sales will continue their double-digit growth through 2018 with a CAGR of 12% from 2013 to 2018, resulting in an online retail market worth €233.9 billion by 2018
  • Southern European markets will grow faster than Northern European markets as they continue to mature. However, the more mature northern European markets are larger online retail markets overall.
  • Online retail sales will be increasingly from mobile devices. Just under half of all online retail sales across the EU-7 will be from online purchases made using a smartphone or tablet by 2018
  • The online grocery category will grow at the fastest rate through 2018 and will surpass consumer electronics to become the second-largest online category in Europe by 2018.
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Winning In Your Customers' Mobile Moments

Julie Ask

Globally, consumers will own more than six billion mobile phones by the end of 2014, and about two billion of them will be smartphones. With this penetration comes the mobile mind shift - the expectation to be able to access any information or service on the mobile device, in the moment of need.

What’s more, consumers reach for their mobile phones 100 to 200 times a day. In these mobile moments, they expect companies to understand their context and offer relevancy as well as both curated and streamlined experiences on mobile devices. They want to see if their children are home from school, buy coffee, access coupons, check in for a flight, check stock prices, use Skype to call Singapore, and play Candy Crush. Enterprises must learn how to, and then serve, customers in these mobile moments. Otherwise, they will lose – an entrepreneur like Uber’s Travis Kalanick will disrupt their business just like he did with taxis.

Mobile moments extend all of the way through the customer’s journey.

But while mobile has definitively become the most important digital platform for most companies to engage with their customers, too few enterprises have embraced this opportunity. Too many view the mobile phone as simply a smaller screen or another channel.

Only a few businesses, like Starbucks, have been able to curate and own mobile moments with their customers. More than 10 million customers engage with the coffee chain each week through its mobile payment app. Starbucks owns what we call Loyalty Mobile Moments. For them and others like Citibank, USAA, and United Airlines, they must strive to excel in those moments of truth.

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US Mobile Banking Benchmark: Chase And U.S. Bank Earn Top Scores But Banks Lag On Innovation

Peter Wannemacher

When it comes to mobile banking, customers' expectations are growing faster than the hair on a Chia Pet. So every year, Forrester reviews and scores the mobile banking offerings from the largest retail banks in the US across seven categories: Range of touchpoints; Enrollment and login; Account information; Transactional functionality; Service features; Cross-channel guidance; and marketing and sales. You can read the complete report here or by clicking on the link below:

Here is a sampling of some of our findings:

  • Chase and U.S. Bank tie for the top spot. With scores of 69 out of 100, Chase and U.S. Bank received the highest overall scores among the five banks we evaluated. Chase delivers the basics superbly, with a wide range of transactional features for transfers, bill pay, and P2P payments as well as strong cross-channel guidance for customers to contact Chase and find ATMs and branches. By contrast U.S. Bank stands out for more advanced features, including marketing and research for additional products, the ability to take a picture of a paper bill to enroll in bill pay, and the ability to pay another person using the contact list in a mobile phone.
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Canadian Mobile Banking Benchmark: CIBC Leads Overall Followed Closely By BMO And Scotiabank

Peter Wannemacher

In Canada, mobile banking is growing up faster than Justin Bieber. So from March 21 to April 9, 2014, Forrester reviewed and scored the mobile banking offerings from the five largest retail banks in Canada across seven categories: Range of touchpoints; Enrollment and login; Account information; Transactional functionality; Service features; Cross-channel guidance; and marketing and sales. You can read the complete report here or by clicking on the link below:

Here is a sampling of some of our findings:

  • CIBC earns the highest overall score with BMO and Scotiabank on its heels. With an overall score of 71 out of 100, CIBC received the highest overall scores among the five retail banks we evaluated, continuing the firm’s leadership in mobile banking since it launched its first iPhone app four years ago. But the other large Canadian banks are hot on CIBC’s trail: BMO and Scotiabank each earned a score of 70 out of 100 with impressive – and recent – overhauls of their mobile offerings. Scotiabank lets users apply for new products via mobile with pre-filled, mobile-optimized applications. BMO, meanwhile, ensures that all mobile money movement task flows are clear and consistent -- incorporating the same progress meter at the top of every screen.
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Drive Digital Transformation Through Strategic Partnerships

Martin Gill

I’m house hunting.

 

It’s a very enlightening way of seeing digital disruption in action. When my wife and I bought our current house over a decade ago, we found it on a property website, but that’s where the digital engagement ended. We physically went to the estate agent to book a viewing. We were given a printed brochure about the house. Our mortgage application was done in person. We took photos of the house, printed them at the local Boots and stuck them in an album. When we moved we had to call our friends and tell them we’d moved.

 

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eCommerce Evolution in Latin America

Zia Daniell Wigder

I just got back from a couple of days at eTail Latin America in Miami — it was my third year at the event and I always come away having learned an enormous amount from the other attendees. This year, some of the takeaways included:

Everyone’s talking about mobile, but the real shift is coming. The online retailers I spoke with had all either rolled out or planned to roll out smartphone offerings, but mobile investments overall are still quite small. Tablet commerce initiatives are few and far between. Retailers’ mobile revenues, while growing, are not typically at the same levels seen by many leading eCommerce players in Asia. This dynamic will shift significantly as both smartphone and tablet penetration increase: Across the region, penetration of both types of devices will shoot up over the next few years.

Payback periods on new eCommerce offerings remain long. A theme we write about frequently is the fact that businesses often assume short payback periods on new global digital offerings. The unfortunate reality, however, is that eCommerce initiatives often take many years before becoming profitable. This challenge is front and center in Latin America. There are some profitable businesses — the founder of Brazil’s Beleza na Web talked about how he got his company into the black — but many large online retailers continue to suffer losses. Businesses jumping into any of the Latin American eCommerce markets must be patient.

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GoPro Lets Us Share Our Most Exciting Mobile Moments

Julie Ask

Why do we use Facebook on our mobile phones? Because when we are out and about doing something fun, we want to tell our friends about it.

If I were posting from home, my posts would be:

“I am working.”

“I am watching TV.”

“The cat just sat on my laptop.”

“My cat just knocked over my water cup.”

Yawn. Boring. It is much more exciting to post updates to our friends about the latest sashimi we’ve eaten or the last run we skied on Val d’Isere. These are the mobile moments we want to share with our friends. This is part of the mobile mind shift, the expectation that we can get what we want, in our immediate context and moment of need.

GoPro takes the capture and sharing of mobile moments to new heights. We (yes my family owns one) not only use our GoPro at cool, exciting outdoor places like Yosemite and Tofino to capture HD images, but also use it when we are in motion – fast motion down hills on skis, snowboards, and bikes, or in the water.

But rather than waiting until the day’s adventure has ended, GoPro enables the consumer to share these moments in context with friends and family, thanks to wifi enabled cameras and the GoPro mobile app. It’s immediate proof and boasting rights for some of the most exciting mobile moments.

Here’s one of my favorite mobile moments GoPro has enabled:

What is it like to free fall from a space capsule?

http://www.youtube.com/watch?v=g9CsZMsIgRU

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eCommerce Grows But Physical Stores Will Live On

Sucharita  Mulpuru

If I had a dime for every time I heard the question “Isn’t eCommerce taking over retail?”,  it wouldn’t make me wealthy, but I’d certainly have a few hundred dollars more than I do now. Nonetheless, it’s a question that is unfortunately misguided and has permeated our zeitgeist. The truth is that yes, eCommerce is growing - but physical retail is far from doomed. Let me take the two parts of that last sentence and address them each separately. 

First, the fact that eCommerce is growing. Forrester just released the latest five-year online retail forecast and to no one’s surprise, the numbers are big. We’re projecting $294B in eCommerce sales across 30 retail categories in 2014, expected to grow to $414B by 2018. The web keeps doing what it has always done well: it provides huge assortments of products, at comparable, often lower, prices than physical stores, with 24/7 access and often free shipping. For many categories like media products or electronics, we’ve already observed a heavy shift to the web channel away from physical stores. Add to that the ubiquity of mobile devices and that drives even more shopping in more instances and places. In fact, we’re projecting that $87B of that $294B will happen on phones and tablets in 2014, and that doesn’t even include another $28B in additional mobile transactions on sites and apps like Uber and Domino’s Pizza that aren’t even in that aforementioned mobile commerce number. 

But all this growth certainly doesn’t mean that stores are dying. Here’s why:

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