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The ‘Future of Mobile’ focuses in on location based services and the opportunities mobile presents for brands at the point-of-sale. ...

The ‘Future of Mobile’ focuses in on location based services and the opportunities mobile presents for brands at the point-of-sale.

This is part of Mindshare's ongoing Future Of... research programme which explores the development of the media and technological landscape, and assesses the likely impact on advertisers and media businesses.

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    Future of Mobile_Mindshare Future of Mobile_Mindshare Presentation Transcript

    • FUTURE OF... mobile
    • 2
    • The future is nowAs the UK approaches smartphone penetration of50%, the old joke of every year being billed as the‘year of mobile’ is starting to fade away. Althoughmobile internet usage is still relatively low ataround 20% of total time online and so talk of a‘post PC’ era is probably a little premature, therecan be little doubt we are entering a new phase ofthe digital revolution.From a marketing perspective, perhaps one of themost significant characteristics of smartphonesis their constant presence with consumers whenout of home and, crucially, while shopping. Theconsumer desire for connectivity on the movepresents marketers with a huge opportunity forlocation specific communications. 3
    • Location, location, location Mindshare’s Future of... programme challenges conventional thinking through consumer- centric insights. To investigate the location based opportunity, we have employed a number of different research techniques - qualitative groups, accompanied shops, and our very own online co-creation community of 300 digital natives. We have specifically sought to understand: • How do smartphone users feel about location-based services (LBS), and how should brands best utilise them? • Can mobile offer advertisers the opportunity to deliver more brand focussed communications at point-of-sale? From our research we have developed five core principles for brands to apply when considering using LBS.4
    • details 5
    • 01 Consumers look to mobile to solve everyday problems – think how your brand can provide this functional utility As smartphone usage begins to For most users, value lies in the solution of a mature, users are employing stricter small everyday problem – guidance around criteria when choosing to adopt mobile a store, a petrol station location finder or services than they were in the early a bank balance notification tool – rather days of smartphone adoption. With than pure branded entertainment. Services over 500,000 apps available on the which provide an on-going utility, no matter iPhone alone, branded mobile services how small, are much more likely to achieve need to offer users a strong value repeat usage than more entertainment proposition if they are to gain traction. focused mobile services.6
    • 02 Consider how you can overcome perceptionsof bias when providing a mobile serviceIn this space, brands are not only To overcome this problem, brands need to:competing with their traditionalcompetitive set, but with a myriad of • Make sure that the application returnscompanies outside of this set and any information on all brands within thenumber of app developers. When a brand category. For example, a Flora low-provides a branded app which focuses cholesterol app must return results acrosson a utility, consumers voice concerns the entire category.about the objectivity of the solutionsthe application provides. In a clutteredmarket, consumers will often choose an • Think about providing an application for a complementary category. For example, aapp from a more objective source. In a cheese manufacturer could provide a winepoint-of-sale setting the retailer is often tasting app.seen as more objective than the brand. • Ensure that the branding is subtle and discrete; remember the brand is the facilitator rather than the star. 7
    • 03 Be transparent about how you’re using consumer data Location based apps have the ability In this climate, brands need to be as to provide a service which utilises transparent as possible: other personal data besides a person’s location. We found that a major barrier • Reassure that no data will be shared with to consumers adopting location based any third parties, as people have concerns services is privacy - consumers are about spam. increasingly nervous about how their personal data is being used. For some, the privacy concern went beyond the use of • When explaining what data is collected and how it will be used, do so within the personal data and (somewhat overblown) App Store rather than within the actual app fears were raised about being followed via as this will slow down its performance. the GPS in your phone. • Provide users with a way to get in touch and ask questions, as this builds trust and allays fear of data privacy breaches.8
    • 04 Building on existing platforms often makes moresense than building your ownA common theme emerging from our So for example, a BP fuel location finder serviceresearch was the need to make location may be more successful if built into Googlebased services seamlessly and intuitively maps than as a standalone app. Similarly itaccessible. Consumers spoke of the may be more advisable to build a service thatperceived hassle of finding, downloading provides extra augmented reality informationand then repeat using bespoke apps as a on a physical product through a platform suchsignificant barrier to initial adoption. To as Blippar or Layar than as an independentthat end, brands need to consider whether brand delivered service.it is worth building their own app orintegrating their utility into a pre-existingplatform. 9
    • 05 Consider the potential of Location Based Services for amplifying traditional communication channels Mobile, and in particular location based apps, should be viewed as the ‘glue’ that holds different strands of a communications campaign together. Mobile apps allow for enhanced brand interaction for media consumed out of home, as well as leveraging the ever increasing trend of dual-screening. Here are a few things to consider when integrating mobile apps into traditional media: • Placing a QR code in the corner of your standard outdoor or print execution is not integration. Think about how your creative execution can stimulate further interaction. • Think about the principles of gamification and how you can use the interaction of location based apps with traditional media as a gaming mechanic. • Think about how you could use augmented reality on a second screen to enhance the viewing experience of a traditional AV advert.10
    • stance 11
    • Our Stance At Mindshare we believe that it is important to be grounded – there needs to be a reality check. How far along the adoption curve are your consumers? Just because the technology exists, doesn’t mean that your consumers are using it – just because a brand can do it, doesn’t mean a brand should. We believe that the smartphone revolution provides brands with fantastic opportunities and that as this space is relatively under-developed, you can get a headstart on many of your competitors. A mobile strategy is now an imperative part of any media mix; however to truly maximise the benefits, a considered approach, based on insight, must be adopted.12
    • what’s Next? 13
    • In 2012, Mindshare’s Future of... programme includes anaylsis of Television, Social, Connected TV and Consumer Choice. To receive these reports on their publication - or to request a place at one of our breakfast briefings on each subject - please email rsvp.london@mindshareworld.com with your details. Alternatively, you can contact Jeremy Pounder or Louise Richardson via firstname.surname@mindshareworld.com. 2012 Mindshare Media UK Limited. These materials remain the intellectual property of Mindshare and no licence or permission given to use or adapt these materials, the underlying ideas expressed therein, or any part thereof.14
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