27% of adults have a smartphone, (60% YoY increase)* 47% of teenagers have a smartphone (87% YoY increase)* ...Phenomenal adoption: can we keep up...? *Ofcom, Communications Market Report, August 2011
The iPhone is aspirational and enjoys the highest ABC1 concentration 16-24 yr olds prefer the Blackberry (37%) to the iPhone (25%) … mobile offers fascinating insight into users *Ofcom, Communications Market Report, August 2011
iPhone records twice as many clicks as the iPad Apple devices have 70% traffic
iPad’s high conversion closes the gap Apple takes 73% of sales In Aug iPad made 50% of sales
Mobile strategies Mobile Non-mobile Mobile Current 50/50 split on sales
“ Blackberries are owned by people who think they're incredibly important, whereas iPhones are owned by people who think iPhones are incredibly important and Android phones are owned by poor people who don't matter.”
The Daily Mash, 13/10/11
Low disposable income
Consumer of the future
High ABC1 disposable incomes
Comfortable with tech
Smartphone entry point
Typically less valuable
Mobile basket dissected
‘ True’ mobile sales (excluding iPad) 5.9% 94.1%
0.1% of overall sales in September 2011 came from mobile checkouts Mobile sales occurring in spite of, not because of online efforts
What do they have in common?
Does it make a difference? 2.1% sales through mobile 4.2% sales through mobile (with iPad) 3.1% sales through mobile 5.4% sales through mobile (with iPad)
Are they incremental sales? At present, we don’t know Advertisers focus on the iPhone Sector & time considerations (low basket, impulse) m-commerce sites enable mobile optimisation and happy customers...
Hugely successful affiliate
Burgeoning sector worth c.£1bn
Over indexes on many customer quality indices
Created powerful retail brand (top 50 UK Hitwise retail sites)
Offers range of promotional opportunities
Focused on demonstrating incremental sales
Multi-channel – 2011 app launched...
Missed opportunities? DevMobile “ Probably . My other app based on Dutch retailer bol.com , saw conversion increase from 8 to 12%: a 50% increase in sales.”
… and they will come…
Just the ticket
Mobile sales: 5.7%
Travel ticket advertiser mobile sales: 46%
Mobile sales: 6.8% Mobile sales: 7.7% As % entertainment advertiser: 45%
Closing the loop
Follow the consumer
17% of mobile phone users downloaded a voucher on their mobile device in Q1 2011
32% of shoppers would not have bought it they didn’t have a voucher
10% MVC traffic through mobile...
High traffic, fewer sales
Female, high earners
iPhone/Android now neck and neck
Used to increase footfall & AOV
Connection speed issues
What impact will NFC have?
Strong offer = wider geographic reach: B&Q
Let’s do it better
NETWORKS : Better reporting
ADVERTISERS : Mobile sites with tracking
AFFILIATES : Use the technology
Mobile performance innovation
Click to sale for touchphones
Expands CPA realm (CPCall, CPA)
Comes with the territory
CPM on a CPA?
New publisher opportunities?
Affiliates are becoming multi-channel :
Understand the range of activity
Incremental sales or minimising lost traffic?
Reporting requirements heightened
Tracking is a serious threat
Prioritise, test and optimise
Who knows how big mobile could be…?
Some final thoughts
? Kevin Edwards, Affiliate Window [email_address] 020 7553 0354 Sign up for the Strategy Newsletter [email_address] Thank you!