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Proving the Value of Mobile
Answering the question for the first time ever, what is real value of mobile in
marketing base...
MMA Membership
800+ Marketers, Agencies, Media Sellers, Tech, Operators Globally
John Costello
President, Global
Mktg& Innovation
Dunkin’ Brands
Jack Philbin
Co-Founder,
President & CEO
Vibes
Carolyn Eve...
Do you see it? Can you act on it?
Consumer’s have changed their Media behavior, have you
changed your Marketing plans to k...
Mobile is the Greatest (Universal)
Transformation in Consumer Behavior
150x
Times we
check our
phone a day
5.3B
Total phon...
What Other Media Gets This Kind of
Commitment?
10
Min
18-24 year olds
check their
phones every 10
minutes
on average
75%
A...
Or this Kind of Commitment !?!?
There is a role for Mobile, given that…
Mobile is the
Closest You Can
Get to Your
Consumer!
That USP is supported by elements of value
Personalization Pervasiveness Proximity
Mobile has many unique attributes
10
$k
Dollars
$M
Dollars
$B
Dollars
Truth is…until today, We didn’t know what is
the [real] value of mobile?
What is the value of mobile to your Business?
Can mobile help me meet my
marketing goals?
What is the optimal mobile alloc...
Revolutionary Channel needed a Revolutionary
Approach.
SMoX.me = Smart Mobile Cross Marketing Effectiveness Studies
Why SMOX is important/revolutionary
$2 million,
20 companies,
3 Trade Groups,
7 major marketers
Global Perspective:
• 5 st...
1
4 5
Leveraging Mobile
ad tech to target DID
Individual Level data
for cross media
exposure
Experimental Design
for media...
Thank you to these Innovation Leaders
Supporters Partners
Association of National Advertisers
American Association of
Adve...
The campaigns we tested cover the entire
purchase funnel
Awareness
Image
Purchase Intent
Foot Traffic
Sales
What is the value of mobile to your Business?
Can mobile help me better meet
my marketing goals?
What is the optimal mobil...
How many people can you convert with mobile?
?
Campaign Average Mobile
1. AT&T wanted to build AWARENESS
for the new moto X
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
TV PRINT
MOBILE DI...
Mobile Delivered almost twice the Awareness
/Dollar vs.. other media
Total People converted with mobile vs.
campaign on av...
2. MasterCard wanted to increase
association with Travel
Purchase
Intent
Foot
Traffic
Sales
Awareness
TV
SOCIAL
PRINT
DIGI...
Mobile Delivered almost twice the
Image /Dollar vs.. other media
“Good Card To Carry When Traveling”
MasterCard
Campaign
o...
3. Walmart wanted to drive Intent for
Back to School grocery
Foot
Traffic
Sales
Awareness
TV
MOBILE
Image
Purchase
Intent
...
Mobile Delivered almost twice the
Purchase Intent /Dollar vs...other media
Walmart
Campaign
on average
Mobile
x 1.9
1.91
“...
4. Coca Cola launched a campaign to
support it’s growth strategy for Gold Peak
Foot
Traffic
Awareness
Image
Purchase
Inten...
Mobile worked harder than its share
and drove results across the Board
Sales
of
sales6%
Total People converted with mobile...
Well, can mobile help me meet
my marketing goals?
YES. Mobile drives
results across
the entire
purchase funnel
What is the value of mobile to your Business?
Can mobile help me better meet
my marketing goals?
What is the optimal mobil...
Our empirical data suggest that based on its
impact mobile should be 8%-16% of the mix
Image
Purchase
Intent
Foot
Traffic
...
But what is the REAL
business value of
those allocations?
Reallocation to mobile would bring double
digit lift in awareness
Or convert entire city of Chicago to be aware
+12%
Incre...
Reallocation to mobile would change
perceptions for nesters/empty nesters
Or convince enough empty/nesters to fill all the...
Reallocation to mobile would bring double
digit lift in Intent
or cover all the schools in NJ with back to
school supplies...
Reallocation to mobile would increase actual
sales by 4%
enough bottles to pave the way to Toronto
+4%
Sales
So what is the optimal allocation
for mobile in the mix?
DOUBLE DIGIT
Aim for a
Mobile allocation in your total
marketing ...
slide titleI Get It. Change is Hard
Key Questions
Can mobile help me better meet
my marketing goals?
What is the optimal mobile allocation
for my campaign?
Ho...
4 ways to make mobile work harder
Format Location Time of Day Creative
Net, there are a lot of options to improve Mobile
1. Optimize by Format
Format Location Time of Day Creative
Mobile Video improved results for Coke.
Price
Better
ROI!
Effectiveness at
low Frequency
Mobile
Video
Mobile
Display
320
1...
Save video creative would produce stronger
results vs.. TV with lower cost
Mobile
Video
TV
40
100 100
450
Better ROI!
Effe...
Mobile Native improved results for Walmart.
Price
Better
ROI!
Effectiveness at
low Frequency
Mobile
Native
Mobile
Display
...
2. Leverage Location Targeting
Format Location Time of Day Creative
Location and format Interact:
And REALLY drive Foot Traffic
Expandable Units
Pencil Units
Retargeted
Proximity
40%12%
No L...
3. Leverage Context Targeting
Format Location Time of Day Creative
Depending on the category, Context Targeting
can add significant value
Day of the week* Time of Day**
130
100 100
1290
Wee...
4. Build on Creative
Format Location Time of Day Creative
AB testing can significantly increase impact
+ figure out BEST practices for Creative
AB testing
and
optimization
No optim...
Optimization focus ROI Upside
(based on SMoX)
1. Optimize by Format
(display size, audio, video, native, social)
20%-40%
2...
That said, asking marketers to do mobile
marketing is like kids asking for first cell phone
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
+7% +15% +4%
+17% +29% +7%
With Mobile Best Practices
Agreement
with br...
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
Mobile Optimized %
8% 9% 10%
12% 12% 15%
Mobile Optimized With Best Pra...
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
Mobile Optimized %
8% 9% 10%
With Best Practices & Increased Smartphone...
Key Questions
Can mobile help me better meet
my marketing goals?
What is the optimal mobile allocation
for my campaign?
Ho...
What is the [real] value of mobile?
$1BN
1.0 1.2 1.5 1.8 2.2x1.0 2.0
8.1
20.3
32.8x
1.0
2.5
5.0
10.4
18.6x
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
2002 2003 2004 200...
Finally, three things you can do now
greg@mmaglobal.com
1. Bring SMoX in-house to your marketing teams.
Are there others that should see this?
2. Join the MMA as a Member
greg@mmaglobal.com
And, then continue dialogue at MMA CEO & CMO
Summit (or the 17 other events, 50 webinars, etc MMA has)
July 25-27
greg@mma...
3. Adopt a 3-Point Plan for Change. MMA can help
greg@mmaglobal.com
1. Get internal agreement to change
2. Set a goal!
• M...
Opportunity knocks
Opportunity Doesn’t Come Around Very Often.
There is no reason for
any individual to have a
computer in his home.
Ken Olso...
Opportunity Doesn’t Come Around Very Often.
Sometimes We See It.
“My local mall does more business
in an afternoon than th...
Opportunity Doesn’t Come Around Very Often.
Sometimes We See It. Sometimes We Don’t.
“Cellular phones will
absolutely not ...
greg@mmaglobal.com
Mobile Marketing Association
Here to lead the greatest transformation in marketing we’ll see in our gen...
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April SMoX Standard Presentation

  1. 1. Proving the Value of Mobile Answering the question for the first time ever, what is real value of mobile in marketing based on empirical research . Empirical Data from Coca Cola, AT&T, MasterCard and WalmartApril 2015 Greg Stuart CEO Mobile Marketing Association
  2. 2. MMA Membership 800+ Marketers, Agencies, Media Sellers, Tech, Operators Globally
  3. 3. John Costello President, Global Mktg& Innovation Dunkin’ Brands Jack Philbin Co-Founder, President & CEO Vibes Carolyn Everson VP Global Mktg. Solutions Facebook Brett Caine President & CEO Urban Airship Peter Kuipers SVP & CFO Quantcast Alex Moukas CEO & Founder Velti Cameron Clayton President, Digital Group The Weather Co. Mike Baker CEO & President DataXu B. Bonin Bough VP, Global Media & Consumer Engagement Mondelēz Int’l Tom Daly Group Dir., Global Connections The Coca-Cola Co. Luis Di Como SVP Global Media Unilever Jack Haber VP Global Advertising & Digital Colgate-Palmolive Peter Hamilton CEO, TUNE John Kosner EVP Digital & Print Media ESPN Ilonka Laviz Global Digital Mktg. Dir. Global eBusiness Procter & Gamble Neal Mohan VP, Display Adv. Products Google Dipanshu Sharma Founder & CEO xAd John Trimble CRO Pandora Wanda Young VP, Media & Digital Marketing Walmart 2015 MMA Global Board of Directors 4/17/2015 Proprietary & Confidential 3 Curt Hecht Global CRO The Weather Co. Amit Gupta Co-Founder & President U.S. InMobi
  4. 4. Do you see it? Can you act on it? Consumer’s have changed their Media behavior, have you changed your Marketing plans to keep pace 4
  5. 5. Mobile is the Greatest (Universal) Transformation in Consumer Behavior 150x Times we check our phone a day 5.3B Total phone subs worldwide (25+% Smartphone) 59% U.S. Smartphone penetration (2014) 80% Never leave home without a phone
  6. 6. What Other Media Gets This Kind of Commitment? 10 Min 18-24 year olds check their phones every 10 minutes on average 75% Americans admit to using phone while in bathroom 65% Parents believe their devices make them better parents 68% Place their mobile device next to bed while sleeping at night
  7. 7. Or this Kind of Commitment !?!?
  8. 8. There is a role for Mobile, given that… Mobile is the Closest You Can Get to Your Consumer!
  9. 9. That USP is supported by elements of value Personalization Pervasiveness Proximity
  10. 10. Mobile has many unique attributes 10
  11. 11. $k Dollars $M Dollars $B Dollars Truth is…until today, We didn’t know what is the [real] value of mobile?
  12. 12. What is the value of mobile to your Business? Can mobile help me meet my marketing goals? What is the optimal mobile allocation for my campaign? How can I make my mobile investment work harder?
  13. 13. Revolutionary Channel needed a Revolutionary Approach. SMoX.me = Smart Mobile Cross Marketing Effectiveness Studies
  14. 14. Why SMOX is important/revolutionary $2 million, 20 companies, 3 Trade Groups, 7 major marketers Global Perspective: • 5 studies so far • 10 more coming • Real in-market testing • Versus entire mix (not just mobile)
  15. 15. 1 4 5 Leveraging Mobile ad tech to target DID Individual Level data for cross media exposure Experimental Design for media allocation Track multiple KPIs, perceptual or behavioral Regression analysis to identify drivers Budget Optimization Software to operationalize insights 2 3 6 Integrated Partners target DID of panelists 500K Mobile panel of InsightExpress checks for cross over in panel and sends list of panelists back to Networks Ads, tagged by InsightExpress, are targeted to panelist devices Assess multiple scenarios of cross media exposure and frequency Brand KPIs /attitudinal with Surveys Foot traffic with actual location data Actual sales with panel match How it works: Thank you to Marketing Evolution & Insights Express
  16. 16. Thank you to these Innovation Leaders Supporters Partners Association of National Advertisers American Association of Advertising Agencies
  17. 17. The campaigns we tested cover the entire purchase funnel Awareness Image Purchase Intent Foot Traffic Sales
  18. 18. What is the value of mobile to your Business? Can mobile help me better meet my marketing goals? What is the optimal mobile allocation for my campaign? How can I make my mobile investment work harder?
  19. 19. How many people can you convert with mobile? ? Campaign Average Mobile
  20. 20. 1. AT&T wanted to build AWARENESS for the new moto X Image Purchase Intent Foot Traffic Sales Awareness TV PRINT MOBILE DIGITAL
  21. 21. Mobile Delivered almost twice the Awareness /Dollar vs.. other media Total People converted with mobile vs. campaign on average Device Awareness AT&T Campaign on average Mobile 1 1.9 x 1.9 Image Purchase Intent Foot Traffic Sales Awareness
  22. 22. 2. MasterCard wanted to increase association with Travel Purchase Intent Foot Traffic Sales Awareness TV SOCIAL PRINT DIGITAL/MEDIA Image
  23. 23. Mobile Delivered almost twice the Image /Dollar vs.. other media “Good Card To Carry When Traveling” MasterCard Campaign on average Mobile 1 1.7 x 1.7 Total People converted with mobile vs. campaign on average Purchase Intent Foot Traffic Sales Awareness Image
  24. 24. 3. Walmart wanted to drive Intent for Back to School grocery Foot Traffic Sales Awareness TV MOBILE Image Purchase Intent 24 DIGITAL
  25. 25. Mobile Delivered almost twice the Purchase Intent /Dollar vs...other media Walmart Campaign on average Mobile x 1.9 1.91 “Intent to Shop Back to School Grocery” Total People converted with mobile vs. campaign on average Foot Traffic Sales Awareness Image Purchase Intent
  26. 26. 4. Coca Cola launched a campaign to support it’s growth strategy for Gold Peak Foot Traffic Awareness Image Purchase Intent TV PRINT DIGITAL/MEDIA OOH Sales
  27. 27. Mobile worked harder than its share and drove results across the Board Sales of sales6% Total People converted with mobile vs. campaign on average Gold Peak Campaign on average Mobile Top of Mind Awareness Home Brewed Taste Gold Peak Campaign on average Mobile 4.81 1.81 Foot Traffic Awareness Image Purchase Intent Sales of budget5%
  28. 28. Well, can mobile help me meet my marketing goals? YES. Mobile drives results across the entire purchase funnel
  29. 29. What is the value of mobile to your Business? Can mobile help me better meet my marketing goals? What is the optimal mobile allocation for my campaign? How can I make my mobile investment work harder?
  30. 30. Our empirical data suggest that based on its impact mobile should be 8%-16% of the mix Image Purchase Intent Foot Traffic Sales Awareness Mobile Optimized % 8% 10% 10% 16%
  31. 31. But what is the REAL business value of those allocations?
  32. 32. Reallocation to mobile would bring double digit lift in awareness Or convert entire city of Chicago to be aware +12% Increase in Awareness
  33. 33. Reallocation to mobile would change perceptions for nesters/empty nesters Or convince enough empty/nesters to fill all the Hotel rooms in Greece +7% Increase in Image
  34. 34. Reallocation to mobile would bring double digit lift in Intent or cover all the schools in NJ with back to school supplies +15% Increase Purchase Intent
  35. 35. Reallocation to mobile would increase actual sales by 4% enough bottles to pave the way to Toronto +4% Sales
  36. 36. So what is the optimal allocation for mobile in the mix? DOUBLE DIGIT Aim for a Mobile allocation in your total marketing mix
  37. 37. slide titleI Get It. Change is Hard
  38. 38. Key Questions Can mobile help me better meet my marketing goals? What is the optimal mobile allocation for my campaign? How can I make my mobile investment work harder?
  39. 39. 4 ways to make mobile work harder Format Location Time of Day Creative
  40. 40. Net, there are a lot of options to improve Mobile
  41. 41. 1. Optimize by Format Format Location Time of Day Creative
  42. 42. Mobile Video improved results for Coke. Price Better ROI! Effectiveness at low Frequency Mobile Video Mobile Display 320 100 100 650 Effectiveness at High Frequency 350 Manage frequency or rotate creative
  43. 43. Save video creative would produce stronger results vs.. TV with lower cost Mobile Video TV 40 100 100 450 Better ROI! Effectiveness at low frequency Price
  44. 44. Mobile Native improved results for Walmart. Price Better ROI! Effectiveness at low Frequency Mobile Native Mobile Display 500 100 100 1000 Effectiveness at High Frequency 300 Manage frequency or rotate creative
  45. 45. 2. Leverage Location Targeting Format Location Time of Day Creative
  46. 46. Location and format Interact: And REALLY drive Foot Traffic Expandable Units Pencil Units Retargeted Proximity 40%12% No Lift 10%
  47. 47. 3. Leverage Context Targeting Format Location Time of Day Creative
  48. 48. Depending on the category, Context Targeting can add significant value Day of the week* Time of Day** 130 100 100 1290 Weekday vs.. Weekend targeting Time of the day targeting for industry with Strong Time of Day Dynamic Without targeting With targeting
  49. 49. 4. Build on Creative Format Location Time of Day Creative
  50. 50. AB testing can significantly increase impact + figure out BEST practices for Creative AB testing and optimization No optimization Better Creative Relevance to Demo 100 100 170120
  51. 51. Optimization focus ROI Upside (based on SMoX) 1. Optimize by Format (display size, audio, video, native, social) 20%-40% 2. Leverage Location targeting (Audience, proximity targeting & role of creative) 20%+ 3. Leverage Context targeting (Time of the day, day of the week) 20%+ 4. Build on Creative (AB testing, relevance by target group) 40%-60% Total 100%-160% ROI Upside (expert opinion) + 80% +120% + 60% + 200% + 460% But can Mobile be made to work even harder. But what is the opportunity? 4/17/2015 Proprietary & Confidential 52
  52. 52. That said, asking marketers to do mobile marketing is like kids asking for first cell phone
  53. 53. Image Purchase Intent Foot Traffic Sales Awareness +7% +15% +4% +17% +29% +7% With Mobile Best Practices Agreement with brand image Intent to shop Offline Sales Agreement with brand image Intent to shop Offline Sales +12% +18% Awareness Awareness Increase in Overall Campaign Performance Applying the learnings: Improved Results 4/17/2015 Proprietary & Confidential 54
  54. 54. Image Purchase Intent Foot Traffic Sales Awareness Mobile Optimized % 8% 9% 10% 12% 12% 15% Mobile Optimized With Best Practices 16% 20% Applying the learnings: Invest more in mobile 4/17/2015 Proprietary & Confidential 55
  55. 55. Image Purchase Intent Foot Traffic Sales Awareness Mobile Optimized % 8% 9% 10% With Best Practices & Increased Smartphone Penetration 16% 20%- 30% Increases in smartphone penetration will further take it to a whole NEW level 4/17/2015 Proprietary & Confidential 56
  56. 56. Key Questions Can mobile help me better meet my marketing goals? What is the optimal mobile allocation for my campaign? How can I make my mobile investment work harder? Mobile drives results across the ENTIRE purchase funnel Aim for a double digit mobile allocation in your total marketing mix Optimizing your mobile investment can increase its impact by up to 160%, or more
  57. 57. What is the [real] value of mobile? $1BN
  58. 58. 1.0 1.2 1.5 1.8 2.2x1.0 2.0 8.1 20.3 32.8x 1.0 2.5 5.0 10.4 18.6x 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 2002 2003 2004 2005 2006 X Increase in Internet Spending from Base For 7 Brands* that Conducted Online Studies Industry Online Spending Avg. Brand Spend Avg. Company Spend Historical View: What impact can SMoX have? * 7 brands analyzed Johnson & Johnson Nestle Beverage Procter & Gamble Kraft Ford Target AstraZeneca 4/17/2015 Proprietary & Confidential 59
  59. 59. Finally, three things you can do now
  60. 60. greg@mmaglobal.com 1. Bring SMoX in-house to your marketing teams. Are there others that should see this?
  61. 61. 2. Join the MMA as a Member greg@mmaglobal.com
  62. 62. And, then continue dialogue at MMA CEO & CMO Summit (or the 17 other events, 50 webinars, etc MMA has) July 25-27 greg@mmaglobal.com
  63. 63. 3. Adopt a 3-Point Plan for Change. MMA can help greg@mmaglobal.com 1. Get internal agreement to change 2. Set a goal! • Make it a public event 3. Connect to mobile industry/solutions –MMA Mobile Marketing Day –MMA webinars/MMA events/education
  64. 64. Opportunity knocks
  65. 65. Opportunity Doesn’t Come Around Very Often. There is no reason for any individual to have a computer in his home. Ken Olson Co-founder Digital Equipment Corp. 1977 “A computer on every desk and in every home” Bill Gates Founder, Microsoft 1980 Net Worth: $79.2 billion
  66. 66. Opportunity Doesn’t Come Around Very Often. Sometimes We See It. “My local mall does more business in an afternoon than the entire Internet in a month? Even if there were a trustworthy way to send money over the Internet—which there isn’t—the network is missing a most essential ingredient of capitalism: salespeople.” Clifford Stoll Astronomer & Computer expert 1995 A $1,000 invested at the IPO for Amazon would be worth $240,000 today. Jeff Bezos Founder, Amazon Founded 1994 Net Worth: $34.8 billion
  67. 67. Opportunity Doesn’t Come Around Very Often. Sometimes We See It. Sometimes We Don’t. “Cellular phones will absolutely not replace local wire systems.” Marty Cooper Cell phone inventor 1981 Net Worth: $100 million
  68. 68. greg@mmaglobal.com Mobile Marketing Association Here to lead the greatest transformation in marketing we’ll see in our generation Thank You! Seizing the Mobile Opportunity

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