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The State of Mobile Marketing
 

The State of Mobile Marketing

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DMA 2009 Presentation by Acxiom's Mark Ogne. Titled, "The State of Mobile Marketing and Its Role in the Multichannel Mix," this session was part of Acxiom's Global Marketing Performance Series.

DMA 2009 Presentation by Acxiom's Mark Ogne. Titled, "The State of Mobile Marketing and Its Role in the Multichannel Mix," this session was part of Acxiom's Global Marketing Performance Series.

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    The State of Mobile Marketing The State of Mobile Marketing Presentation Transcript

    • Tweeting now? Use #AcxiomSeries The State of Mobile Marketing and Its Role in the Multichannel Mix Matthew Valleskey, Neustar Josh Herman, Acxiom www.facebook.com www.linkedin.com www.twitter.com www.youtube.com www.delicious.com /acxiomcorp /companies/acxiom /acxiom /user/AcxiomCorporation /Acxiom
    • Evolution of “Computing”: Mainframe Mini Personal Laptop Mobile 1960s 1970s 1980s 1990s Now Computing continues to become smaller, more connected and more personal. 2
    • Mobile: personal, portable and ubiquitous Marketing today is no longer about reaching the masses..its using mass media to engage individuals one-on-one Today’s mobile phones can do much more then just make phone calls. This includes text messaging, the mobile web, streaming media and mobile apps. These features are becoming viable media channels as they carry both content and advertising. Mobile offers many of the same media attributes as Interactive and has unique attributes that make it a powerful platform to connect one on one with consumers: • Personal user experience, allowing access to richer consumer data • Portable pocketable platform, always up to date content & services • Ubiquitous always with the customer, promise of location marketing • Trackable user activity is highly measurable 3
    • Market: Mobility Extends and Builds Internet Strengths Mobile: Fastest Growing Advertising Medium, 300% Growth (2008 -2013) Marketing & Advertising Spend ($Billions) Strengths of Mobile vs. Personal Computer More ubiquitous (expect greater than 100% penetration within 5 years in many regions) More personal (functionality encourages customization – as personal as a wallet); worth premium relative to traditional media More available (mobility IS the Internet in most of the world) More response (higher click throughs) (getting 3- 5% click through rates vs. .2%-.4% on internet) Informa 2009, Carat Interactive 2008, Kelsey Group 2009, PWC, Wilkofsky Gruen Assoc, 2009 • Overall spend remains fairly stable • Mobile can integrate easily with all while percentage allocations to media traditional media change • No other medium has the reach or • Internet growing from 10% share to response potential of the mobile device 15% share (More mobile devices than TV and Computers combined) • New media provides more effective ROI (conversion) which is direct • Over 270 million mobile subscriber in US response value alone
    • How Brands/Direct Marketers Benefit As Mobile Channel Evolves, Advertisers Use Personalization Power To Drive Customer Loyalties Mobile Mobility has the potential to improve advertiser reach & ROI with targeted and personalized campaigns, reducing ia time between customer “awareness” ed and “sale” M ing tis Internet er Loyalty Ease of address book/community tie ins dv promote viral return for brand fA in ha no Action C Ease of payment and POS tie ins for tio TV lue Prospect to takes action on the offer olu Va Ev Desire Enhance desire by tuned content, more g qualified offer with Metadata tin rk e Radio Ma Interest Increase interest with user simplicity, immediacy & ease Print Awareness Grab attention with greater context/relevancy Evolution of Media & Marketing Value Chain
    • Worlds Collide – Mobile + Advertisers & Marketers • Traditional mobile players are looking for new revenue streams • Advertisers want to reach the mobile subscriber – One to one situation – Personalized content – Anywhere in context – On demand • This intersection represents a unique opportunity • New medium has entered the marketplace
    • Who are the players in Mobile Marketing • Wireless Carriers • Connection Aggregators • Application Providers • Traditional media companies and agencies • Mobile ad networks • Content providers
    • Mobile Media Value Chain: Development Advertisers Campaign Creative Agencies Media Planning/Buying Delivery Mobile Advertising Enablers Publishers Mobile Operators Devices Consumers
    • Mobile Media Engagement: Mobile Search Banner Messaging Advertising Mobile 2D Barcodes Web Sites Mobile Downloadable Email Content/ Abbreviated Mobile Apps Dialing Codes 9
    • Messaging & Common Short Codes: Short Message Service (SMS or texting) is the most widely used messaging vehicle available for mobile marketing. • In the US, 75% of wireless users engage in text messaging, and 100% of devices are SMS capable. • 73% of college students in the US use text messaging daily. • Worldwide, there are more than twice as many SMS users as there are e-mail users. • As of June 2007, over 8 billion text messages are sent every month – and that number has grown by 300% over the last two years. • Over the next 3 years, Gartner forecasts a compound annual growth rate of over 33% in SMS volume in the US. 10
    • Messaging: Benefits: • Broad device capability – nearly 100% of mobile devices are SMS enabled. • High attention level – users rarely delete messages without opening and reading • Push SMS offers contextual targeting based on content subscribed. • Message resides on the phone and is available immediately (no wait to load). • Allows marketer to reach opted-in audiences wherever they are. • Interactive capabilities can engage users • Parallel to direct mail / marketing Challenges: • Reach limited to opt-ins • Non-graphical text format. Multi-media messaging capability has less penetration, but is growing. Carriers are adding more resources. • Long provisioning times Pre-requisites: • Short code (e.g. PIZZA/74992) • Aggregator to handle delivery across networks • Mechanism for user acquisition (SMS ad network, tv contest, print advertisements, outdoor advertising, etc.) 11
    • How data flows from a Common Short Code Carriers Application and/or Mobile (18 participating) Aggregator Subscriber Content Provider (c) 2008 NeuStar, Inc. Confidential and Proprietary
    • Mobile Web: Marketing via display ads on mobile web pages. Ads can be banners or text links. • More than 83MM US wireless customers subscribe to the mobile web. • More than 32 million US wireless subscribers regularly go on-line with their cell phones. • The number of mobile web users increased >20% CAGR. • CTRs range from .75% to 3% (reflective of creative messaging and call to action) 13
    • DMA Education © 2009 Direct Marketing Association, Inc. 14
    • Mobile Web: Benefits: • Interactive and richer visual experience. • Proven viability for brand and direct response campaigns • Broad reach and use. • Leverages many assets from existing Interactive campaigns. • Viable means to reach to target consumers • Leverage the unique capabilities of the mobile medium to engage consumers: – Click-to-Mobile Web Site – Click-to-Call – Click-to-Locate – Click-to-Download – Click-to-Buy Challenges: • Fragmented buying experience. • Mobile web site to support campaign goals. • Limited text-entry capabilities. • New creative formats and assets. Best practices still emerging. 15
    • Downloadable Content: Any content that the user downloads to their device. Includes songs, ringtones, themes, wallpapers and applications. • The introduction of devices like the iPhone, Google Phone, and Android based phones have accelerated the mobile application space • Over 50,000 downloadable apps available • Over 1B apps have been downloaded on IPhone alone. • Growth will continue as new phones hit the market and unlimited data plans increase. * Source: January 2007 M:Metrics 16
    • Downloadable Applications and Content: Benefits: • Relatively inexpensive for certain types of content • Brand can benefit from perception of offering mobile content (I.e. being trendy) • Can communicate offer across multiple mediums • Great method to drive online users to branded mobile experience Challenges: • Market penetration is only slightly over 10% • Frequency of app usage diminishes after first use • Not a great use for direct immediate direct response • Need to have data plan to download Development Time and Cost: • Varies based on the type of downloadable content you plan to offer Best Practices: • Content most commonly delivered via WAP • Need to understand specific carrier environments when delivering content 17
    • RESOURCES www.usshortcodes.com www.mmaglobal.com www.ctia.org www.mobilemarketer.com Matthew Valleskey 571-434-5397 matthew.valleskey@neustar.biz www.neustar.biz
    • Send us your tweets on Twitter.com Use hash tag #AcxiomSeries
    • Thank you. Questions? The global interactive marketing services company www.facebook.com www.linkedin.com www.twitter.com www.youtube.com www.delicious.com /acxiomcorp /companies/acxiom /acxiom /user/AcxiomCorporation /Acxiom
    • Tweeting now? Use #AcxiomSeries Don’t Miss Our Next Event High Performance Marketing & Advertising Stan Rapp, Engauge Tim Suther, Acxiom November 4, 2009 Live reception in New York City & via webinar