Presentation from Fashion Digital Mobile event in New York City.

1. Truly Transformational Power 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 WalmartFashion Digital Mobile New York
March 24, 2015
Greg Stuart, CEO Mobile Marketing Association

2. MMA Membership
800+ Marketers, Agencies, Media Sellers, Tech, Operators Globally

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
Naveen Tewari
Founder & CEO
InMobi
Peter Kuipers
EVP & CFO
Quantcast
Alex Moukas
CEO
Velti
Cameron Clayton
President, Digital
Group
The Weather Co.
Mike Baker
CEO & Co-Founder
DataXu
Michael Barrett
CEO
Millennial Media
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, Partner
TUNE
John Kosner
EVP Digital & Print
Media
ESPN
Ilonka Laviz
Global Digital Mktg.
Dir. Global eBusines
Procter & Gamble
Neal Mohan
VP, Display Adv.
Products
Google
Dipanshu Sharma
Founder & CEO
xAd
John Trimble
CRO
Pandora
Alan Yan
Founder & CEO
AdChina
Wanda Young
VP, Media & Digital
Marketing
Walmart
MMA Global Board of Directors

4. What Do You Mean,
You Don’t Spend Big In
Mobile Yet?
Do You Not Care About Your Business or Career?
Finally, We Know For Sure – Proof that Mobile Advertising
Does Deserve a Place in the Marketing Mix
4

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. What Other Media Gets This Kind of
Commitment?
10
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. Or this Kind of Commitment !?!?

8. Truth is: Mobile – The Closest You Can Get to
Your Consumer
If there were cellphones at the Red Sea

9. How many ways is mobile unique?
9

10. That USP is supported by Real Value
Personalization Pervasiveness Proximity

11. What is the [real] value of mobile?
$1B
Dollars

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. Current methods can’t measure mobile.
Either not granular or lack cross
marketing context.
So, the greatest transformation in marketing
is UNMEASUREABLE!
Revolutionary Channel needs a
Revolutionary Approach.

14. Revolutionary Channel needed a Revolutionary
Approach.
SMoX.me = Smart Mobile Cross Marketing Effectiveness Studies

15. Why SMOX is revolutionary
$2 million,
20 companies,
3 Trade Groups,
7 major marketers
Global
• 5 studies so far
• 10 more coming
• Real in-market
testing
• Entire mix
• Measure mobile
even if it’s 0%!

16. Thank you to these Innovation Leaders
Supporters Partners
Association of National Advertisers
American Association of
Advertising Agencies

17. 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

18. 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?

19. The campaigns we tested cover the entire
purchase funnel
Awareness
Image
Purchase Intent
Foot Traffic
Sales

20. How many people can you convert with mobile?
?
Campaign Average Mobile

21. 1. AT&T wanted to build AWARENESS
for the new moto X
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
TV PRINT
MOBILE DIGITAL

22. 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

23. 2. MasterCard wanted to increase
association with Travel
Purchase
Intent
Foot
Traffic
Sales
Awareness
TV
SOCIAL
PRINT
DIGITAL/MEDIA
Image

24. 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

25. 3. Walmart wanted to drive Intent for
Back to School grocery
Foot
Traffic
Sales
Awareness
TV
MOBILE
Image
Purchase
Intent
25
DIGITAL

26. 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

27. 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

28. Mobile worked harder than its share and
drove results across the Board
Sales
of budget5%
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

29. Well, can mobile help me meet
my marketing goals?
YES. Mobile drives
results across
the entire
purchase funnel

31. 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?

32. 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%

33. But what is the REAL
business value of
those allocations?

34. Reallocation to mobile would bring double
digit lift in awareness
Or convert the entire city of Chicago
+12%
Increase in Awareness

35. 3/24/2015 Proprietary & Confidential 35

36. 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

37. 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

38. Reallocation to mobile would increase actual
sales by 4%
enough bottles to pave the way to Toronto
+4%
Sales

39. So what is the optimal allocation
for mobile in the mix?
DOUBLE DIGIT
Aim for a
Mobile allocation in your total
marketing mix

40. slide titleI Get It. Change is Hard

41. Key Questions
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?

42. 4 ways to make mobile work harder
Format Location Time of Day Creative

43. Net, there are a lot of options to improve Mobile

44. 1. Optimize by Format
Format Location Time of Day Creative

45. 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

46. 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

47. 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

48. Using mobile formats to hit goals and
maximize ROI
Display Social Audio Video Native
Characteristics Builds
impact
gradually
Stronger than display
Builds impact
gradually
Stronger than display
Builds impact faster/stronger
Approach Benefits from repetition. Good for
recency / continuity strategy
Monitor frequency or build on
creative rotation

49. 2. Leverage Location Targeting
Format Location Time of Day Creative

50. Location and format Interact:
Combine for better results
Expandable Units
Pencil Units
Retargeted
Proximity
40%12%
No Lift 10%

51. 3. Leverage Context Targeting
Format Location Time of Day Creative

52. 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

53. 4. Build on Creative
Format Location Time of Day Creative

54. AB testing can significantly increase impact
AB testing
and
optimization
No optimization
Better Creative Relevance to Demo
100 100
170120

55. How can I make my mobile investment
work harder?
Optimization area
1. Optimize by Format
(video, audio, native, larger ads, etc.)
2. Leverage Location targeting
(proximity, retargeting store visit, etc.)
3. Leverage Context targeting
(time of day, edit context, etc.)
4. Optimize and Improve Creative
(a/b testing, new creative, etc.)
Total
ROI Upside of Mobile Only
~20% to ~80%
~30% to ~120%
~20% to ~60%
~40% to ~200%
~150% to ~550%

56. That said, asking marketers to do mobile
marketing is like kids asking for first cell phone

57. Applying the learnings: Improved Results
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
Impact
+7% +15% +4%
+17% +29% +7%
With Best Practices
Agreement
with brand
image
Intent to shop Offline Sales
Agreement
with brand
image
Intent to shop Offline Sales
+12%
+18
Awareness
Awareness

58. Applying the learnings: Invest more in mobile
Image
Purchase
Intent
Foot
Traffic
Sales
Awareness
Mobile Optimized %
8% 10% 10%
12% 12% 15%
With Best Practices
16%
20%

59. Key Questions
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?
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%

60. What is the [real] value of mobile?
$1BN

61. 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 XMOS Studies
Total Online Spending
Average XMOS Brands
But will SMoX move marketers?

62. Finally, three things you can do now

63. 1. Join the MMA as a Member
greg@mmaglobal.com

64. 2. Continue dialogue at MMA CEO & CMO Summit
(or the 17 other events, 50 webinars, etc MMA has)
July 25-27
greg@mmaglobal.com

65. 3. Bring SMoX in-house to your marketing teams
greg@mmaglobal.com

66. Thank You!
greg@mmaglobal.com