Retail Mobile Marketing: Driving Customer Acquisition, Traffic, Loyalty and Engagement using SMS, MMS, LBS and financial statements.

Mobile Marketing for Retail January 13, 2012Confidential & ProprietaryThis document contains proprietary and confidential information of iLoop Mobile, and may be used only in accordance with a written agreement between iLoop Mobileand the recipient. No portion of this document may be reproduced, republished or distributed to any third party without the express written permission of iLoop Mobile.

About iLoop Mobile• Industry leading technology and services make it fast and easy to create, manage and analyze mobile marketing campaigns and content delivery initiatives worldwide• Award winning iLoop Mobile Platform for creating state-of-the-art SMS/MMS campaigns, mobile sites, mobile coupons, CRM & LBS segmented messaging, apps and other mobile marketing initiatives• Industry leader in mobile marketing strategy, managed service campaign delivery and professional services• Campaign design that achieves mission critical marketing objectives, answering the individual needs of customers• Customers include Fortune 500 brands, agencies, media companies, and other tier-one companies

The Big PictureMobile drives consumer engagement

Why Mobile Marketing for Retail?Marketing objectives mobile can achieve: • Customer acquisition with database build • Improved customer service • Generate retail and Web traffic • Promotional communications • Consumer awareness • Cross selling and up-selling • Customer loyalty and trust with brand • Lead generation and prospecting affinity • Increased interactivity with • Customer retention customers or audience • Viral marketing/word of mouth • Increased use of traditional & Web marketing channels • Product sales monetization Mobile is the most effective retail marketing that exists.

Shopper Connect Mobile Marketing Mobile is most effective when tactics are subservient to marketing strategies and objectives across the customer journey. ENGAGEMENT SHOPPER CONVERT TRAFFIC DRIVER LOYALTY & RETENTIONEstablish brand preference Convert shopper to buyers Increase foot traffic Deliver value ✓SMS ✓Mobile Web ✓SMS/MMS ✓SMS/MMS ✓Mobile Web ✓Apps ✓Location Services (GPS) ✓Mobile ✓Sweepstakes ✓Mobile Web ✓Coupons ✓Mobile Video

Choose Tactics to Fit Objectives MOBILE SMS WEBSITE/ MOBILE WEB OPT-IN SMS/MMS SWEEPSTAKES MOBILE CRM PROFILE TEXT TO WIN APPS MOBILE COUPON & APPS PUSH ALERTS FACEBOOK DATABASE GATHERING WIDGETSBRAND ✓ ✓ ✓ ✓ ✓AWARENESS ✓ENGAGEMENT ✓ ✓ ✓ ✓ ✓ ✓ ✓PERCEPTION ✓ ✓ ✓ ✓ ABOVE THE LINE MARKETING OBJECTIVES BELOW THE LINE MARKETING OBJECTIVESACQUISITION +LEAD GEN ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓LOYALTY +REWARDS ✓ ✓ ✓ ✓ ✓ ✓ ✓RETENTION +UPGRADE ✓ ✓ ✓ ✓ ✓ ✓

Where Mobile Can Take Retail• Build and integrate your CRM database for segmented marketing messages (SMS/MMS) that will improve and drive store traffic and customer loyalty based on customer preference and profile• Increase product information via push marketing that relates to online behavior data (cookies) to drive store traffic with option of relevant coupon• Deliver incentive marketing programs via mobile that will increase customer loyalty and retention with option of full POS redemption/tracking• Make your marketing communications location relevant with LBS messaging campaigns based on real-time carrier lookup• Deliver anytime, anywhere access to rich content, information and purchase via the mobile web and apps• Create rich media messaging (MMS and mobile web) for PUSH marketing to drive customer engagement, loyalty and store traffic• Offer the latest technologies for mobile engagement (ex. 2D bar codes) that facilitate customer interaction and increase customer satisfaction• Enable customer service engagement via mobile for customer statements, loyalty program access, and shipping/billing alerts MMS account/loyalty point statements

Mobile Includes Precise AnalyticsReal-time measurement and reporting onmessaging campaigns and site traffic/behavior• Instant graphic analysis across calls-to- action, performance metrics and SMS/MMS traditional media channels• Analyze which media channels and impressions activate the most mobile opt- ins and conversions• Slice-and-dice data depending on different needs, views, time increments and objectives• Measure web use, behavior and preferences using familiar online metrics Mobile Web Site & Apps

Mobile Strategy Follows Technographics Key Retail Demo Example: Moms, 25-49, HHI $75k+ (Not ethnic specific) Device(s)Demos & Psychographics Half own smart phones. Most likely to be on Tier 1 carriers‣ Median household income $75k with 3G or 4G connection and ―unlimited‖ data and messaging‣ Price sensitive, majority say they „shop around‟ before making a purchase‣ Brand loyal Key Takeaways‣ Are influenced by trends, i.e., “what‟s hot” 1. The average smart phone user spends over an hour a day‣ 4 out of 5 say they are always willing to try new things interacting with the device, and one of the top three activities is shopping.Top Mobile Activities 2. Target group cares about convenience and anytime, 87% Send/Receive SMS 38% Research using phones anywhere access. Regularly enter mobile 39% Send/Receive MMS 13% sweepstakes 3. SMS most preferred mobile channel. Use their phone to find/redeem a Use their phone to check the 24% coupon 21% status of an order 4. Majority of mobile purchases are between $20-9911% Regularly use mobile coupons

Methodology: Profile—Strategy—TacticsRecommended customer touch points determinedby customer mobile profile and strategic objectives Marketing Goal Awareness & Purchase Incentives Customer Brand Loyalty Purchase Retention Create Mobile Site Create alert opt-in Send time-sensitive Use SMS/MMS to to SMS/MMS mobile cross sell alert customers to incentives messages or “next new products or (coupons, sweeps, product” reminders promotions promotions etc.) as child enters new age groups Appropriate Mobile Tactic

Most Prevalent Behaviors for Mobile Shopping ANGELS DATA SLIDES1 in 3 Mobile Users1 in 4 Mobile Users 1 in 5 Mobile Users

SMS | MMS Marketing

Why Mobile Messaging?Immediacy • 5/5/5 Axiom—5 days print, 5 hours email, 5 hours SMS/MMSEngagement • Stickyness—unlike other fleeting messaging (social) messages stay on phone • Direct Consumer Response—click to call, click to web, POS redemption, SMS/MMS responsePersonalization • Messages can be personalized to interests, needs and profile of individual consumers or groupsPerformance • 300% increase of SMS opens vs. email Hello John, Albertson‟s @ California & Franklin • 60-70% of emails sent are blocked has special packages of Ballpark Franks where • Conversion rates in double digits and as high as 50% you can win season tickets for the Giants. • Increase purchase intent as high as 40% Pick some up to grill for today‟s game. • ROI branded campaigns reporting as high as 1000%Interactivity • Especially with MMS, increase user interest with rich media interactivity

SMS + Smart Phones = Success

SMS Marketing CampaignsiLoop Mobile enables a wide variety ofsolutions and marketing services for usein mobile marketing campaigns including:• SMS subscriptions & alerts with CRM segmentation• Promotional marketing texts• Standard mobile coupons with redemption codes• Smart SMS Messaging integrating database conditions (weather, zip) for segmented messaging• Mobile coupons integrating POS redemption/tracking• MMS video and rich media messaging• On-pack promos• Consumer data gathering Thanks for joining the• Broadcast text initiatives VANSMOBILE ALERTS. We’ll• Instant win & sweepstakes send you offers on skate, surf,• Quiz, poll & vote snow, BMX, girls, music and more,• Text to Screen plus mobile sweepstakes!• Links to mobile sites• Publisher mobile content downloads• Click-to-call (IVR)• Much more

CRM Based SMS/MMS Marketing• Negative aspect of one message for all recipients from customer perspective…‖why did I get that message?‖• Deliver segmented SMS messaging using CRM data assuring relevance, increasing opt-in, Vans Alerts customer acquisition, engagement, conversion, Vans Skate Club and ultimately revenue Special offer 20% all Ska Skate shoes this Sat. all Vans stores. Show this code 4rrrsk• Personalized messaging on their personal device for discount. extends the brand into a 1 to 1 relationship with Text HELP for help. Text STOP to cancel. customers increasing loyalty and Msg&DataRatesMay engagement…‖you know me!‖ Apply 877-561-8045 TC:tc.mtiny.mobi• Integrates into and leverages data in existing CRM databases, email databases and loyalty marketing merging customer’s mobile profile and preferences data Hello John, The San Francisco• Part of cross channel marketing that can bring Microsoft store has surgical relevance to mobile Web, MMS and 20% off all Guitar other rich media environments Hero accessories until Sunday. Txt STOP to• Increase the redemption/conversion/sales of your stop.Txt HELP 4 Message components direct and incentive marketing while cutting costs sourced from existing CRM help. Msg & Data database dynamically Rates May Apply. integrated into the message (name, local store, relevant• Add a layer of relevance and measurement not products) available to basic keyword based SMS marketing that reduces opt-out and database loss

SMS Dynamic Messaging & CRM Integration• Use CRM databases for dynamic messaging—insert names, use profile data and preferences to personalize messaging and create rule sets that increase relevance and conversion• Integrate mobile campaigns with Hello John, The San Message existing or external CRM databases, Francisco Macy‟s components sourced from data feeds and content management stores have 20% off all existing CRM systems Kenneth Cole shoes database and dynamically and suits until Sunday. integrated into the Txt STOP to stop.Txt message• Integrate with your existing reporting HELP 4 help. Msg & systems—send data from the mobile Data Rates May Apply. platform to external reports and view reports in your reporting systems

MMS For Retail• Multimedia Messaging Service (MMS) is a rich media messaging service that allows mobile users to send and receive messages that can include graphics, animations, slide shows, photos, audio, video, and unlimited text (no 160 character SMS limit)• It can it provide marketers with increased ad effectiveness over SMS• Unlike the Mobile Web, this media resides on the user’s mobile phone• Delivery of bar code graphic coupons (right), as well as potential to delivery one-click videos, animation and audio.

Best Practices: Horizontal IntegrationMobile call to action can/should be integrated into ALL marketing channels

Mobile Enabled Direct Marketing Success Rates Shared mail marketing programs for hundreds McDonalds Thanks You of small businesses nationwide are reporting: Enjoy one FREE Small McCafe • Average conversion rates 15-20% and as Help: moneymailer.com high as 30% Opt-out: Reply STOP MCDONALD Msg&DataRatesMayApply. • ROI as high as $20 return for every $1 spent • Increases in opt-in databases have reached 23% • At least 2x redemption rates as compared to other media channels • Fraction of the cost of the overall shared McDonalds: Enjoy one FREE Small McCafe. mail campaign–mobile easily pays for itself Code 34d83w Exp.1/6/10 Help:mmcoupons.com. Opt-out: Reply • Reported 4% increase in incremental sales MCDONALD STOP Msg&DataRatesMayApply19

Case Examples: Customer Acquisition20

Basic SMS Marketing: US National RetailerOBJECTIVE:To drive traffic to retail stores and increase sales by creating and utilizing a mobiledatabase of customers.STRATEGY:Build an opt-in database for delivering SMS offers for in-store only discounts andpromotions, as well as delivering key product awareness messages.TACTICS:Incentivize initial group opt-in with instant win and sweepstakes entry, building theopt-in group via in-store, direct mail and Web promotion of the keyword/short codefor the SMS initiative.Secondary phase created a Web-based SMS alert club opt-in capturing customerprofile and preference data for future segmented messaging.RESULTS:• 10,000 opt-ins first month• 50,000 opt-ins after 8 months• 150,000 opt-in customers and growing to date

Women’s Apparel• Mandee used in-store signage in 119 stores to present the call to action to win a $500 shopping spree• Instantly redeemable mobile Print Opt-in coupon was also sent for 20% off Email any single item purchased that MANDEE day• Entry into the sweeps also offered opt-in to Mandee Mobile Alerts subscription for exclusive weekly SMS messages on events, promos, and special offers You’re in with Mandee Mobile• Subscription CRM opt-in is also Alerts. Take 20% available via Web form capturing off your purchase of $50 or more today, customer profile & prefs data Code 3rr457 exp.12/27/11. See• Simple ―show the message‖ a Mandee redemption with trained in-store associate in-store for details. associates CUSTOMER ACQUISITION + INCREASE STORE TRAFFIC LOYALTY Web Opt-in BRAND ENGAGEMENT

Case Example: Loyalty23

Loyalty Case Study: G by Guess Mobile OBJECTIVE: To drive traffic to G by Guess stores and increase sales by utilizing G by Guess’ mobile database of customers. G by GUESS loves you. Show this message at any G STRATEGY: by GUESS store & receive 20% off a single purchase G by Guess offered a 20% off in-store only promotion to their mobile today thru October 19, 2008. See an subscribers. Subscribers received an SMS message that read: associate for details ―G by GUESS loves you. Show this message at any G by GUESS store & receive 20% off a single purchase today thru October 19, 2008. See an associate for details.” RESULTS: • 23% redemption rate • 7 times the redemption rate of any direct marketing offer in G by Guess’ history including direct mail, email, etc. • <1% opt-out rate24

Family Dollar Stores: Loyalty & EngagementText JOIN1 to 273283Mobile incentive offersreceived as loyalty alerts orPOP opt-in for specificproduct promotions. Messagecan include link to site formore product information ormultiple promos.

MMS Marketing: Loyalty & Personalization Macro: MMS resulted in higher customer spending than those who received email or SMS marketing for the brand. Infacet: Sent to highest value customers using CRM based segmented messaging. This is a standard direct marketing practice deployed via mobile. An MMS can can include a single graphic, a video or an animation, and can embed a site link in the SMS portion of the MMS. MMS offers unlimited text length in any message.

Case Example: Drive Store Traffic27

Driving Traffic: Radio ShackBar coded offer provideincentive for in-store ononline redemption (traffic). • Consumer opts-in to SMS loyalty messaging program ―Radio Shack Txt 2 Save‖ • Promotional messages arrive as SMS messages weekly with mobile landing page links or MMS providing mobile coupons with bar codes scanned/redeemed at retail • Coupons can be simple SMS with ASCII promo code in SMS for store or web redemption, no bar code required

MMS Use Case For Specific PromotionCampaign Metrics: 5:1 performance over previous SMS/email campaign

Case Examples: Customer Engagement30

Best Buy: Mobile Enabled Point of SaleMobile is can provide customer service or execute sales

Treasury Wine Estates• Simplify food and wine pairings with in-store mobile ―wine guide‖• Text the desired food type, cuisine, specific dish or main ingredient to 411511 (ex. CASSOULET to 411511)• Data sent to food pairing database for reply SMS• 3 wine pairing choices are sent back via SMS• Helps shoppers with immediate advice, overcoming ―wine choice overload‖ when dealing with store shelves• Promoted in retail stores with shelf talkers and neck hangers on product itself• Simple yet effective example of using SMS to achieve brand marketing objectives

Case Example: Integrated Mobile Marketing33

Integrated Mobile Marketing: mauricesmaurices Mobile Style Club• Leading women’s fashion brand with over 700 stores nationwide• Mobile program promotion was then integrated into all brand communications • In-store (posters, window clings) • Facebook fan pages & ads • Direct mail • Print ads • Sales associate word-of-mouth • Website• Unique keywords for each channel tracked the effectiveness of each channel• Delivers coupons, exclusive content, style advice, fashion tips, Q&A options and in- store promo alerts• Instant 20% coupon delivered to incentivize opt-in

Integrated Mobile Marketing: mauricesmaurices Mobile Style Club • Promoted in all brand communications and marketing channels In-store Signagemaurices Credit Card College Bookmarks

Integrated Mobile Marketing: maurices maurices Mobile Style Club: Web Opt-in36

Integrated Mobile Marketing: maurices maurices Mobile Style Club: Direct Mail Opt-in37

Integrated Mobile Marketing: mauricesmaurices Mobile Style Club: Coupons • 5,000 customers opting-in within the first month • Over 20,000 after four months • Redemption rate for mobile coupons is consistently over 60 percent • Over $1M revenue directly attributed to mobile program in first four months • Average spend per customer per mobile redemption was $70 • Continues to grow and remains a consistent sales driver for both the stores and maurices.com, and drives social traffic maurices.com: 43% In-store promo: 35% OPT-IN SOURCE Facebook: 7.5% Direct Mail: 6% Combined Other: 8.5%

Integrated Mobile Marketing: maurices maurices Mobile Style Club: CRM Segmented Messaging • Using the OMG keyword, members can reply to messages and get individual responses • Responders can also be directed to the mobile version of the brand’s Facebook Fan Page • Hot topics can be identified and shared with the entire group39

MMS: Retail Account Mobile Statement• Customer opts-in to receive ―push‖ monthly statement on retail account for credit card, reward points, credits, balance due, account activity or any other account information• Customer can ―pull‖ his statement at any time via SMS with keyword + PIN• System can recognize phone number of user requesting statement and deliver information without PIN (less secure)• MMS offers systematic communications for bill collection starting with gentle reminders, through rescheduling payments to collections escalation

QR/Microsoft Tag Programs • QR/Tags with MMS provide the best experience with mobile marketing because for consumers with 2D code readers, it provides Instant access to rich media content or graphic coupons/promotions incentives • With QR/Microsoft Tags and MMS, consumer is one click from INSTANT PLAYBACK of rich media like video for optimal consumer mobile experience…no messing with web search or browsing required • Scanned 2D code INSTANTLY delivers coupons for redemption, no fuss no muss • QR/Tag can also deliver a site page instantlyLive Demo!Scan this Tag 38

Smart Coupons & Alerts• ―One size fits all messaging‖ can have unknown relevance to the recipient• Mobile Smart Coupons and Messaging easily integrate with data sources such as zip codes, weather, consumer profile/preference CRM data, product inventory, finance, sports scores etc. instantly adding relevance to the message delivered• Smart alerts can know:  Who the customer is  Where they are  What’s happening around them  When they want something  Why they need or want it The heat wave continues here in LA! Cool off with new designer swimwearSmart Coupon Opportunities for men, women and kids, 20% off this weekend at• Location aware messaging without carrier lookup costs all stores. Code:34ru3 Exp: 7/12/11• Make messages sent relevant to external data or information (weather, immediate response in-store after purchases, past purchases, profile data etc.)• Make messaging relate to real-time events, business status, and histories  Promote overstock items using real-time inventory data  Leverage customer history and real-time purchase behavior for delivery of relevant marketing and product cross sell• Drive in-store traffic, Web traffic and product sales.

Smart Coupons & Alerts SMS Only Coupon: Contextually relevant Text STORE + your zip code to 44264 to coupon is delivered receive an SMS coupon every month for Database receives keyword based on keyword + 20% off your favorite fashions opt-in and delivers a coupon database referencing based on external events or It’s a scorcher in Freezing in NY today? with unique redemption information in the database Miami today! Keep Keep warm with with a code. sweater. 20% off cool with breezy late wool summer skirts. 20% off all sweaters at any at any store. Code store. Code 34r39r t239r Exp. 10/31/11 Exp. 10/31/11 STORE + your zip Database code to 44264 Weather Location Look Up Contextually relevant coupon STORE + 10507 Product Inventory delivered based on keyword/zip referenced Sends coupon for sweaters Past Consumer Purchases against weather based on cold weather database…database knows database reading for opt-in Any Other Event or Data Sets it’s 90 degrees in Miami with New York zip code Consumer Profile Data (33128) SMS Reply by Weather 62407 It’s a scorcher in Store 33128 Here’s something Miami today! Keep special for you to celebrate your cool with breezy late birthday. Come into summer skirts. Dressbarn and get Discount coupons: 20% off any item. Miami Code f5mt Exp. http://nyskirts/mobi 5/31/11 OR….You can deliver a Messages sent based on stored SMS with link to a Web customer profile data with landing page or mobile unique redemption code. site with multiple coupons and barcodeText opt-in for either single couponor to opt-in to couponing alert group SMS Reply by Weather Links SMS Reply by Consumer to Mobile Web Coupons Profile Data

Why Mobile LBS? Proximity/Time Relevance.• Breaks through the clutter of non-focused marketing and prompts immediate response• Provides new geographic metrics layered on CRM customer data…know where they are and when and send personal and relevant messages• Provide ―nearest store to you‖ information and offers that incentivize redemption and increase probability of sales• Proximity and time relevance increases store traffic and reduces CPPofF (cost per pair of feet)• Build a database and increase loyalty using location data—5% of Marks & Spencers’ 22 million customers are location aware SMS opt-in customers and growing• Cut marketing cost—make direct marketing more targeted and less wasteful using a single keyword• SMS LBS offers location aware marketing without the mobile app technology barrier, and requiring no consumer input telling you where they are• Ubiquitous reach: 73% user availability, and messages are opened within 4 seconds• Offer a broad range of complimentary location aware mobile interaction: MMS, sites, coupons etc. Location Based SMS Campaign Results: • 79% of customers said location aware alerts increased their likelihood of visiting a store • 65% made purchases as a result of LBS SMS message • 73% would ―definitely‖ or ―probably‖ use it in the future (O2 Media)

iLocation Based Services (LBS)• Location aware messaging for single SMS offers or alert group/subscription campaigns• ―Every time‖ real time carrier lookup of user location for single interactions• ―Lookup once‖ carrier location lookup at Team Shop Special Offer opt-in for alert groups, with option of Take 15% all purchases in subsequent lookups to verify the user’s the Team Shop at the Willow Glen location 12 ―home‖ Main St @ Lincoln with promo code:• Geo-fences for real time push CLRMSAFL50 Exp. 12/31/11 messaging based on proximity to a For more offers click store http://mobile.th.com/offers Text HELP for help. Text• Deliver highly targeted and valuable STOP to cancel. messages to consumers on any device Msg&DataRatesMayApply based on place and time 877-561-8045 TC:tc.mtiny.mobi Consumer Interest in LBS SMS Marketing • 1 in 4 interested in location based coupons • 1 in 5 interested in finding nearby merchants who carry product they’re interested in • 1 in 3 age 18-24 interested in SMS about sales in nearby stores, with 1 in 5 interested in offers or ads for products tailored to current location (MMA/Luth Research April 2010 US Consumer Briefing)

Mobile Coupons + POS IntegrationWhy Integrate Mobile to POS? To Measure and Know Your Customers.• Coupons/incentives are a key element to building a customer database and customer relationship marketing POWER OF MOBILE REDEMPTION DATA• Redemption is trackable and ROI is • Add and access mobile redemption data highly measurable to your RFM measurements• Builds brand awareness, loyalty, store • Better influence customer index scoring traffic and sales and upsell/cross sell• Integrates easily into traditional • Improve customer segmentation, marketing channels modeling and lifetime value measures• Works on every phone using SMS • Fine tune offers to drive sales• NO paper…easy to use by customer and eliminates misuse and fraud• Uses existing POS systems, no extra hardware for mobile coupon programs• Gives brick and mortar a powerful digital tool to compete with online How easy and seamless is mobile couponing? For basic SMS coupons, customer simply enters their mobile phone number in a standard PIN pad and the coupon automatically redeemed using the store’s existing POS system with transactions recorded.

Mobile Retail POS Redemption Solutions Plug and Play software solution through the payment terminal, register and/or optical scanner ROI DRIVEN Campaign Management Pay Per Redemption Model Analytics, Buying Behavior, Offer Creation, Distribution and Purchase History and Tracking Segmentation CRM Database Management of Users and Mobile Loyalty Program47

POS Coupon Redemption Solution: How It Works 1 6 2 360° Mobile Coupon 5 Solution 3REDMPTION OPTIONS• Payment terminal PIN pads 4 using mobile phone number as redemption code• Manual code entry or hot keys into register checkout screen• Integration with discount and loyalty card account• Scan barcode (optical reader)

Mobile Internet & Apps

Mobile Internet SitesCreate content rich mobile sites withinteractivity to extend your retail store. • Full retail sites • HTML5 sites • Product info & content delivery • Micro sites & landing pages • Video • RSS/XML integration (product catalog) • Store locator/maps • Location aware content serving • Viral marketing • CRM profile/prefs capture • Click to call/IVR • SMS/MMS marketing opt-in • Automated ad serving • mCommerce & sampling • Social marketing

Mobile Web RulesMobile search and web sites are by far the preferred retail mobile environment for a rich mediaexperience.

For Retailers—Mobile Web Is No Longer Optional• 86% of mobile web users are using their devices while watching TV—this has heavy implications for retail broadcast advertising*• Nearly half of all Web searches during the 2012 Super Bowl came from mobile—the phone is now an important part of retail television marketing**• 62% of smart phone users have bought physical goods from their devices, and these buyers spend more than an hour a week mobile shopping today *• 66% of iPhone users report spending $250 or more on mobile purchases in the last year• 66% favor using browsers over downloadable apps for accessing product and other shopping content, with over half saying easy checkout, product and pricing info most important• The user appetite for downloading and maintaining brand mobile apps is limited• 30% have video as an influence on the likelihood of Adobe Scene7 Survey 2011, *Microsoft 2011, **Google 2012 purchase, with the top mobile visual merchandising tools being 360° product spin (54%), side-by-side comparison (49%) and zoom/pan (44%)

The Opportunity of mCommerceSteve Madden Mobile Site• Full mCommerce environment for product purchase• Familiar web design optimized for mobile makes site easy to use• Not an app, this has the full reach any mobile Internet enabled phone• Include ―You Might Like‖ engine to make buying experience better for user and opportunity for cross or up sellResults for Optimized Site Launch 2010• 10.5% of total Web traffic for Steve Madden is coming from mobile• 250% increase in traffic from 5/10-10/10• Percentage of total Web traffic that is mobile trended upwards fast: April 2010 4.4%, May 7.9%, June 8.6%, July 9.5%, October 10.5%• 1,400,00 visits in 8 months totaling 6.25 million minutes• Average time on site 7 minutes• In 8 months 12,000 products sold on mobile site for $900,00 in direct revenue with average order at $89.00• 110,000 SMS alert opt-ins from all channels where CTA was promoted• Integrated MMS opt-in*Source: Mobile Marketer 10/27/10

Integrating Social Into Mobile WebSteve Madden Mobile Site Evolution• Social marketing enablement added to mCommerce functionality• Uses Facebook ―Like‖ functionality that is pasted to users Facebook wall• Enables viral product marketing tactics• Includes ―You Might Like‖ engine to make buying experience even better• The addition of the social elements Increased traffic 30% in 24 hours• Using Metrics: products that get the most ―likes‖ get special promotions focusing marketing on higher performing products to increase revenue• To drive people to use ―Like‖ in mobile site, Steve Madden promotes functionality in their own Facebook page

Sites with CMS & Database Feeds• Site localized for the user by zip code query–system then delivers local dealer’s site built from standardized brand template• Individual dealer sites feature content and information specific to that dealership (used car inventory etc.) but in national brand design environment• Content includes new model info, pre-owned inventory, directions with map, specials, and service & parts info• Videos of Lexus models• Click-to-call triggers call to dealership• Viral ―tell-a-friend‖ site forwarding Direct URL to Serramonte Lexus http://lexusserramonte.com

Large Retailers: Target mCommerce Site

mCommerce Single Transaction Customer sees an The scan initiates a advertisement for landing page that Phillips in traditional includes product info1 media (e.g billboard )and decides to 2 and a payment window “Scan´n Buy” or text to buy the shaver 3 The buyer enters their payment card details and Save 15% on the new Philips 7000 Payment/billing address sent shaver. Scan ´n Buy now or provider handles the by URL or text PHILIPS to 87812. transaction and email informs merchant with required information 4

mCommerce Simple Payment Solutions

mCommerce Best Practices• It is all about the 60 second transaction!• Create the right-sized product catalog for mobile• If you have large catalogs use groups and categories• Combine with mobile coupons or promos• Keep the UI simple with ―one-click to buy‖

Advanced Mobile/Social DeploymentWisdom Wall social mediainitiative for Heineken USA toengage consumers who arealready active in social media andget them taking about, andsharing, their ―wisdom.‖The hub of the Wisdom Wall is amicroblogging application thatlives on a Facebook Fan Page,and is integrated with digitalsignage at events via textmessaging and a mobile website.This virtual Wisdom Wall providesthe brand with an effective way tolink both real-world and digitalprograms while providing usefulcontent and social currency forthe brand’s target market. Visit the live mobile site at http://wisdom.heineken.mobi (US Only)

Mobile Apps• Custom Apps: Standard native smart phone apps, built from scratch with original creative and functionality• Express Apps: Quick and inexpensive apps that are mobile site conversions• Enhanced Apps: Express Apps with optional smart phone native functionalities• Tablet Apps: Native apps with design & formatting for bigger screen • Best Buy weekly deals • Browse and search Best Buy’s entire inventory • Explore products through ratings, reviews, related items and enlarged views • Fill and manage favorite products and shopping cart • Gift ideas from across the Web through the IdeaGiftr tool • Store locator & shelf talker 2D bar code scan for product info • Reward Zone loyalty account access • mCommerce click to buy

Mobile Enabled Web Sites & Display Ads • Opt-in to SMS campaigns via Web • Mobile content downloads via Web • Rewards & loyalty programs • Viral marketing & ―tell a friend‖ • Mobile enabled Web banner ads Mercury Shoes MobileA friend wants to Couponshare free music Go 2 any Footlocker storepodcasts, presentedby Diet Coke Plus. and show this code XD43ks for 15% off your next purchase of Mercury Shoes.Exp. 3/31/10 Viral Marketing Mobile Enabled Banner Ads

Thanks, we’d be glad to answer any questions to helpyou mobile enable your retail marketing.Contact: sales@iloopmobile.com

Additional Resources64

Leading Industry ResourcesIndustry Portals  Mobile Marketing Resources (open community) www.mobilemarketingresources.net  Mobile Marketer: www.mobilemarketer.com  Mobile Commerce Daily: www.mobilecommercedaily  Mobile Thinking: www.mobithinking.comTrade Associations & Industry Enablers  Mobile Marketing Association: www.mmaglobal.com  Direct Marketing Association: Mobile Marketing Council http://www.the-dma.org/segment/mobile  US Short Codes Administration www.usshortcodes.com

Retail Mobile Marketing: Driving Customer Acquisition, Traffic, Loyalty and Engagement using SMS, MMS, LBS and financial statements.

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Retail Mobile Marketing: Driving Customer Acquisition, Traffic, Loyalty and Engagement using SMS, MMS, LBS and financial statements. Presentation Transcript

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