Beyond the Internet: Seamless Global Communication
Mobile Marketing Slide Deck
1. WHAT PR PROFESSIONALS NEED
TO KNOW ABOUT MOBILE
Presented by Kathryn Koegel, Chief of Insights
2. Introductions: Kathryn Koegel
Contributor to Ad Age
Primary researcher with work
accepted by ARF and ESOMAR
Consultant on digital marketing
strategy
Cited by: NY Times, Wall Street
Journal, eMarketer, Media Post,
Mobile Marketer, Internet
Retailer, DM News
Currently working on reports on
Mobile Couponing and Mobile
Commerce
2
3. What does mobile mean to PR
professionals?
Mobile is:
Exciting – consumers love this
Hot – and exceptionally press worthy
Social – it amplifies everything social
Activational – it can enhance any marketing
5. Wireless internet usage will soon
surpass wired
Global mobile vs. desktop internet user projection
Internet users in millions
Mobile web
usage will
surpass
‘tethered’ usage
in less than
three years
Source: Morgan Stanley, April 2010
6. Almost ¼ of all US households now
have no landline
U.S. Household Cellular-Only Penetration
The CDC reported in May 2010 that the number was now 24.5%, with 40% of consumers 18-
34 having no landline
24.5%
21%
18%
15% 15%
2006 2007 2008 2009 2010*
Source: Nielsen, 2006-2009; *For 2010, Centers for Disease Control and Prevention, May 2010
7. Never before has technology adoption
happened so fast
New Computing Cycles - 10x more Devices PCs
New= Reduce Usage Friction Via Better Processing Power + Improved User TVs
Interface + Smaller Form Factor + Lower Prices + Expanded Services Cars
1,000,000 Mobile Radios
Internet Phones
100,000
Desktop Gaming
Internet Tablets
10,000
Appliances
1,000 PC
10B+
Millions
100
Units???
Minicomputer 1B+
Units/
10 100MM+ Users
Mainframe Units/
10MM+
1 1MM+ Users
Units/
Units/ Users
0 Users
1960 1970 1980 1990 2000 2010 2020
Source; Mary Meeker, Morgan Stanley, 2010
8. There are a lot of devices out there
that can connect to the Internet
Cell phone 85%
Desktop 59%
computer
Laptop 52%
computer
mp3 player 47%
Game console 42%
e-Book reader 5%
Tablet computer 4%
Source: Pew, Americans and their Gadgets, September 2010
9. Smartphones will be the majority in US
by Q2 of next year
Consumers are armed with in-store portable computers/potential coupon delivery devices
FEATURE PHONE SMARTPHONE
Projected Smartphone Penetration
90% 87% 86%
84% 83%
81% 79%
77% 75%
72%
69%
66%
63% 54%
60% 57%
54% 49%
46%
43% 51%
37% 40%
34% 46%
31%
28%
23% 25%
19% 21%
16% 17%
13% 14%
10%
Based on survey data and projections. Source: Nielsen
11. Mobile phones have higher US
penetration in some demos than Internet
Mobile phone Internet
penetration1 penetration2
Gen Y (18-24) 85% 91%
Gen X (25-44) 85% 85%
Younger boomers 81% 79%
Older boomers 76% 72%
Source: 1-Insight Express 4Q 2010 Digital Consumer Portrait. 2-Pew 2010
12. Minorities are especially enthusiastic
about mobile
African-Americans and Latinos lead non-Hispanic whites in use of mobile data applications,
including early-adopter activities like purchasing via the phone
White, non- Hispanic (English-
All adults Black, non-Hispanic
Hispanic speaking)
Own a cell 82% 80% 87% 87%
Send/receive text messages 72% 68% 79%* 83%*
Access Internet 38% 33% 48%* 51%*
Use a social-networking site 23% 19% 33%* 36%*
Purchase product 11% 10% 13% 18%
* Statically significant difference. Source: Pew Research
13. 42.4% of US mobile phone users use
their phones for media
The number of people who are using voice only has declined 17.2% year on year, while
mobile media usage has grown 23%
Just Voice:
28.5%
Mobile
Media:
42.4%
SMS (and not
Mobile Media:
29.1%
Mobile Media = Connected Media (except SMS) in MobiLens, defined as used phone browser, applications, or downloaded content.
Three-month average ending September 2010 Country: US, N=32,044 Source: comScore MobiLens
14. Mobile media activities have reached
critical mass
U.S. mobile media usage (past 30 days), Q4 2010
ALL SUBSCRIBERS FEATURE PHONE OWNERS SMARTPHONE OWNERS
152.3 M 90.8M 83.2 M 71.8 M 52.4 M 50.0 M 42.3 M
86%
80% 77%
66% 62%
60% 61%
50%
39% 36% 40%
32% 31%
20% 23% 22%
14% 15% 18%
8% 7%
Text Picture Mobile Internet Email App Downloads Text Alerts Location-Based
Messaging/SMS Messaging Services
Note: Location based services here refers to using anything from GPS on a phone to weather and entertainment info that are plotted to
location – not specficically a “check in” service
Source: Nielsen
15. What people do on their phones is
predictive by age and gender
Younger users buy ringtones, create their own ringtones and listen to music; mobile internet
services (browsing, apps and e-mail) skew 60%-65% male
Demographics of Mobile Media Activities
60%
Purchased Higher on chart = more female
Further to right = older
ringtone Size of bubbles = # of users
55%
Made own Social
ringtone networki
Ringback MobileUnlimited
% Female
ng
Data Plan
App Media
50%
Listened
to music
45% Purchased Played
game games Browser
E-mail
40%
25 26 27 28 29 Median Age
30 31 32 33 34 35
Three-month average ending September 2010. Country: U.S., N=32,044. Source: comScore MobiLens
16. Apps are so cool…but in terms of
reach of the US population, limited
Apps reach just 24% of the U.S. population, according to
Pew and Nielsen
All adults
82% use cell phones
35% have apps
24%
use apps
Source: Pew/Nielsen, The Rise of Apps Culture, September 2010
17. On the mobile web, search is tops,
followed by email and social
Top genres for mobile browsing
Search 48.7%
Personal e-mail 44.3%
Social Networking 43.0%
Weather 35.8%
News 34.0%
Sports information 29.2%
Entertainment news 27.6%
IM 27.6%
Photo or video sharing service 22.5%
Work e-mail 21.1%
Maps 20.7%
NEWS AND WEATHER GENRES
Tech news 19.5%
COMMUNICATING AND SHARING
Stock quotes or financial news 18.9%
OTHER
Movie information 18.6%
Bank accounts 17.6%
Three-month average ending October 2010. Country U.S., N=32,397. Source: comScore MobiLens
18. For apps, weather is tops followed by
maps and social
Location-aware services like weather, maps, restaurant information, movie information, traffic
reports are all in the top 10
Weather 25.8%
Maps 23.8%
Social Networking 20.0%
Personal e-mail 17.1%
Search 13.8%
News 12.2%
Sports information 10.1%
Work e-mail 9.2%
Restaurant information 8.9%
Movie information 8.5%
Traffic reports 8.2%
Entertainment news 8.1%
Bank accounts 8.1%
Photo or video sharing service 8.1%
Stock quotes or financial news 7.1%
LOCATION-BASED SERVICES
Tech news 5.6%
E-MAIL
Business directories 5.6%
OTHER
Gaming information 4.9%
General reference 4.7%
Television guides 4.7%
Three-month average ending September 2010 Country: U.S., N=32,044 Source: comScore MobiLens
19. The young and mobile are using those
phones while shopping
Source: Chadwick Martin Bailey, Consumer Pulse, March 2011, n = 1491, base = smartphone owners
20. Comparison shopping, checking for
locations and discounts most common
Source: Chadwick Martin Bailey, Consumer Pulse, March 2011
21. Smartphones enable consumers to do a
variety of shopping research in store
Source: Chadwick Martin Bailey, Consumer Pulse, March 2011
23. Mobile phones are sexy and personal
Phones are extension of
personal style
Much more 1to 1
communication with
marketers than TV, radio
or Internet
Ads on them have higher
impact than on the Internet
Consumers focus more on
the screens
24. Product Check-ins: People scan products and
collect points…
This man won 1,000 “Karma” points for CauseWorld (consumers donate points to
charity) program operated by Shopkick
26. Geo-Fencing: Messages can be triggered by
location
Geō-fence noun : a field around any location set to trigger a personalized
marketing message to a consumer entering or exiting the defined area.
How it’s created:
• Upload location addresses
• Proprietary translator creates a “Place Profile”
• Program the desired geo-fence around a
location
Flexibility:
• Geo-fences can be created around any
location
• Add, remove & optimize geo-fences
Geo-fencing Strategy:
• Based on program objectives, trade areas, and
customer demographic/psychographic profiles
27. How this works…
Geo-fence is Dynamic message
Consumer Opts-In
triggered delivered
Customer opts-in to Customer is out She/he receives an
alerts program shopping in a retail SMS alert on mobile
through your area, office area Message presents a
– Web site during lunch time, personalized offer
– Social Network sporting event, Dynamic message-
– SMS or email program concert, or any promotional, branding,
– Web or mobile banner sponsorship or a
other location POI
– Inside store locations: reminder
window signage, POS Triggers the geo- Option to leverage
cards, receipts, etc. fence set by brand digital assets & WAP
28. Companies doing LBS messaging
Acquisition Retention
• Carrier’s subscribers • White label program for brands
• Portal with multiple brands • Integrate into CRM or loyalty
programs
• Carrier owns the audience
29. Loopt and Virgin America: A PR Coup with
a Taco Truck Activation
EMAIL
promo
code
30. QR codes can unlock games, coupons,
link to more info
35. Anybody can still build a top app: Eighth
grader Robert Nay unseats Angry Birds
36. Dennis Crowley: Dodgeball &
Foursquare founder and PR maven
Is this man 23 or 35?
Are you his PR person?
37. Pay attention to anything at
South by Southwest
But display healthy skepticism
It is a bubble just like Sillicon
Valley and Sillicon Alley
Will both men and women do
this? And do it again?
How much work does it take?
How will it scale for marketers?
Is there a real marketing
application?
39. Key considerations
Are you customers mobile?
Balancing desire for smartphone cool with reach
Is your customer an iPhone person or are they happy with
their feature phone?
WAP optimization often overlooked
Essential for all with consumer facing brand, retail locations
Branded app…or not
What can be done to enhance your brand, encourage
people to interact with it?
Don’t go for the fun gimmick
40. What PR professionals typically
encounter with mobile
• The pressure to make top app lists
• Social – even more and faster – 24/7 access to
consumer reviews
• Activation and LBS
41. Branded apps die every day
75% of all apps gets deleted within 90 days of download
– Flurry analytics
Apps have to be marketed just like any other product
PR and making top lists is great but won’t last long…
Click to download ad buys work brilliantly and are cheap
Come up with a real measurement and content strategy:
Is PR generation the primary goal?
Are 10K downloads worth it for a mass market brand?
Look at Not just downloads but usage
How are you refreshing that content?
Do you understand how people use the app?
Does the app also embrace unique attributes of tablets?
42. Social moves that much faster
How do you understand the conversation when it
moves so fast?
What is the value of a like or a share?
No excuse for no measurement
Measurement tools:
Cymphony
Radian6
ScoutLabs
Trendrr
43. The sexy stuff that can get so much
press…
LBS
It’s more a PR than a reach play but go for it
Social Couponing and Flash Sales
The Groupon and Gilt phenomenon
But how long can it last now that everyone is doing it?
Activation of Promotions
Done more in ROW, but why?
Any promotion can go mobile
Any outdoor can trigger more information – lead people to a
new destination
Data
In the absence of it in mobile, any piece of research can get
press – especially as it relates to tablets
44. My favorite mobile activation/PR
stunt/sampling program
http://www.youtube.com/watch?v=eXI8doq1k5Y
45. Resources
IAB Mobile Center of Excellence
Research and creative examples
Mobile Marketing Association
Standards
GSMA Awards archive:
Best mobile programs from around the world
Stats:
Comscore: semi-annual update on US usage
Nielsen: US usage, new research on multi-screen behavior
Pew: impact on news consumption, teen usage
46. Questions?
To understand more about mobile from a
marketer’s perspective: Quarterly Series
from Ad Age on Mobile Marketing
http://adage.com/whitepapers/