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Is Social + Mobile Worth it? How to
Calculate & Get Mocial ROI
RE/CON Asia, Beijing, December 2, 2013
Handol Kim, CEO, Reqvu, Inc.
handol@reqvu.com
CONFIDENTIAL	
  
Agenda
§  Is it worth it? Some background data
§  Mobile + Social Marketing is different
§  What is your objective?
§  How to succeed on Mocial
§  Calculating success and ROI
CONFIDENTIAL	
  
Introduction & Background
§  Co-Founder & CEO of Reqvu, Inc., a
social + mobile marketing platform and
app start-up selling to Shopping
Centers, Retailers, F&B and CPG/FMCG
Brands
§  15+ years of high-technology
experience, the last 8 years in mobile
software
§  Industry expert for Gerson-Lerhman
Group (GLG), Samsung Securities, HSBC
Securities; speaker TelecomTV
CONFIDENTIAL	
  
handol@reqvu.com
Problem Statement
“It is 2014 and 99% of people still market like it’s
2004.” Gary Vaynerchuk, author of Jab Jab Jab Right Hook
§  Social marketing is fundamentally different from
traditional and even digital marketing
§  It is inherently a 2-way conversation – everything
else is 1-way, eg. broadcasting
§  Mobile marketing enables you to reach
shoppers in ways you never could before
CONFIDENTIAL	
  
The Objections
§  I don’t get Facebook, it’s for kids.
CONFIDENTIAL	
  
§  The average
age of a
Facebook
user is ~38
The Objections
§  I don’t want people saying bad things about our
mall on social
§  Different social sites work in different ways: On
Twitter, this is more dangerous. On Facebook,
much less so
§  Comments that flame your mall’s Facebook
Page are only seen by a small number of people
CONFIDENTIAL	
  
The Main Points
§  If you’re not on mobile then you’re not reaching
your target customers, ~50% of your footfall has
smartphones, and they use social apps while
shopping
§  Your mobile app MUST do something: apps are
not for information
§  Mobile = Social: need both to succeed
CONFIDENTIAL	
  
Smartphones are Everywhere
CONFIDENTIAL	
  
§  Your focus should be on where your customers spend
time
Mobile Usage
§  Facebook accounts for a full 1 out of every 5
minutes spent on mobile
§  Over 70% of Facebook usage is via mobile, and
almost 40%+ is via mobile EXCLUSIVELY*
§  Add other social/messaging/photo apps and
social apps account for ~40% of all time spent
on mobile
§  Most other top social apps are mobile first/exclusive,
eg. Twitter, Instagram, etc.
* Facebook Q1/2013 Earnings Call
CONFIDENTIAL	
  
Mobile Usage
CONFIDENTIAL	
  
§  Whatsapp processes
14B messages/day,
global SMS is 20B
§  400M photos/day
shared on Whatsapp
§  350M on Facebook
and Snapchat
§  55M on Instagram
§  So how do you take
advantage of this?
What Doesn’t Work
§  Assigning a junior marketing person to update your
mall’s Facebook Page, Twitter Account, etc.
publicizing your tenants’ sales
§  Pegging your marketing team’s KPI to getting more
Likes is not how you succeed
§  Hiring the people who did your website to do your
mobile app
§  Launching a mobile app that is a glorified map/
directory
§  Not being able to track, quantify your results: no
analytics
CONFIDENTIAL	
  
What is Your Objective?
§  You need to set your objective
before you can determine success
§  Mobile reaches users whenever
and wherever; Social is a
conversation
§  Your objective can be Reach, but
Engagement is even much better
CONFIDENTIAL	
  
Challenges
§  Your mobile app has to do something, and you
have to promote it
§  Your mobile app is not a website – there is
overhead in maintaining it with new content,
functions, etc.
§  How do you track success?
§  There are lots of Social networks – which to
choose?
CONFIDENTIAL	
  
Mobile Apps are not Websites
§  When you think of the most successful mobile
apps, they generally follow these criteria:
§  They DO something that is of value to you
§  They are SIMPLE/EFFICIENT/FAST and let you
do what it is valuable to you as easily as possible
§  The context of their usage is mobile-first
§  Don’t take your website and make it a mobile
app and expect people to use it
CONFIDENTIAL	
  
Lots of Choices?
CONFIDENTIAL	
  
§  Many options, but you
don’t need to cover all
of them
§  Facebook and Twitter,
then choose either
Instagram or Pinterest
if N.America, or Line if
Asia – of course, you
must have WeChat/
Weixin for China
Comparison of Mocial vs Other Options
CONFIDENTIAL	
  
§  Options range from the traditional, eg. TV, radio,
newspapers, direct mail, magazines, OOH (Out-Of-
Home) and in-store signage
§  Effectiveness of such media is typically measured by
metrics such as Gross Rating Points (GRP)
§  Online/Digital/Social/Mobile are generally measured
by other metrics. The following comparison will focus
on website vs Facebook for an actual mall (identity
hidden)
Comparison of Mocial vs Other Options
CONFIDENTIAL	
  
§  Traditional media cannot be compared effectively
on an apples-to-apples to basis for the following
reasons:
§  If a tree falls in the forest…GRP is derived by
multiplying Reach by Frequency: there is no concept of
the target actually consuming the media, eg. in
bathroom while advert on TV, flipping through ad in
magazine
§  Hard to measure engagement/impact. Deriving a
quantitatively accurate conversion rate of a GRP for a
given campaign to foot-fall is difficult, and even more
difficult to plot to conversion (purchase)
Case Study
CONFIDENTIAL	
  
§  According to Alexa (leading web
analytics authority), the Actual #of
Daily Uniques is not available
publicly - only rankings
§  Judging by the Daily Pageviews
per Visitor (3.2) and Daily Time on
Site (2:40), the average website
visitor is likely looking for quick
information and leaving after
finding it
§  TrafficEstimate.com estimates
there were 73,100 visits in the last
30 days, or ~2,437 visits per day
Case Study
CONFIDENTIAL	
  
§  The mall’s Facebook Page shows the following metrics:
#Likes: 18,166; PTAT: 384; Been Here: 2,390
§  The mall is posting twice a day to the Facebook Page,
meaning that users reached daily is ~9,400 (calculations available
upon request)
Comparative Data
CONFIDENTIAL	
  
in mall"
§  The above are estimates for reference only.
Calculations showing how these figures were derived
are available upon request
§  Increasing Dwell Time is best done via social, but more
importantly your shoppers engage via social. A mobile
app could help increase even more by reaching
shoppers in your mall at the right time along the path to
purchase
What it boils down to
CONFIDENTIAL	
  
§  Each time you post an update on your Facebook Page
you can reach people – free…imagine if you did more
§  Post more often, buy ads, mobile app
§  People who engage with you on Facebook spend more
and more often
Re-Cap
§  Is it worth it? Yes, if reaching shoppers where
they are while in your mall is important to you
§  Is it easy? Nothing worthwhile is easy, but it’s not
as hard as you think but it has to be done
differently
§  Set your objectives clearly and your Mocial efforts
will succeed
§  Measure, measure, measure!
CONFIDENTIAL	
  
Conclusion
§  Don’t be afraid. Social + Mobile is not that hard,
it’s just new
§  What are your shoppers doing when they are in
your mall? Is this behavior increasing?
§  No other medium has the ability to reach your
shoppers in-mall at the right time in the path to
purchase
CONFIDENTIAL	
  

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ICSC_MocialROI_RECON_20131202

  • 1. Is Social + Mobile Worth it? How to Calculate & Get Mocial ROI RE/CON Asia, Beijing, December 2, 2013 Handol Kim, CEO, Reqvu, Inc. handol@reqvu.com CONFIDENTIAL  
  • 2. Agenda §  Is it worth it? Some background data §  Mobile + Social Marketing is different §  What is your objective? §  How to succeed on Mocial §  Calculating success and ROI CONFIDENTIAL  
  • 3. Introduction & Background §  Co-Founder & CEO of Reqvu, Inc., a social + mobile marketing platform and app start-up selling to Shopping Centers, Retailers, F&B and CPG/FMCG Brands §  15+ years of high-technology experience, the last 8 years in mobile software §  Industry expert for Gerson-Lerhman Group (GLG), Samsung Securities, HSBC Securities; speaker TelecomTV CONFIDENTIAL   handol@reqvu.com
  • 4. Problem Statement “It is 2014 and 99% of people still market like it’s 2004.” Gary Vaynerchuk, author of Jab Jab Jab Right Hook §  Social marketing is fundamentally different from traditional and even digital marketing §  It is inherently a 2-way conversation – everything else is 1-way, eg. broadcasting §  Mobile marketing enables you to reach shoppers in ways you never could before CONFIDENTIAL  
  • 5. The Objections §  I don’t get Facebook, it’s for kids. CONFIDENTIAL   §  The average age of a Facebook user is ~38
  • 6. The Objections §  I don’t want people saying bad things about our mall on social §  Different social sites work in different ways: On Twitter, this is more dangerous. On Facebook, much less so §  Comments that flame your mall’s Facebook Page are only seen by a small number of people CONFIDENTIAL  
  • 7. The Main Points §  If you’re not on mobile then you’re not reaching your target customers, ~50% of your footfall has smartphones, and they use social apps while shopping §  Your mobile app MUST do something: apps are not for information §  Mobile = Social: need both to succeed CONFIDENTIAL  
  • 8. Smartphones are Everywhere CONFIDENTIAL   §  Your focus should be on where your customers spend time
  • 9. Mobile Usage §  Facebook accounts for a full 1 out of every 5 minutes spent on mobile §  Over 70% of Facebook usage is via mobile, and almost 40%+ is via mobile EXCLUSIVELY* §  Add other social/messaging/photo apps and social apps account for ~40% of all time spent on mobile §  Most other top social apps are mobile first/exclusive, eg. Twitter, Instagram, etc. * Facebook Q1/2013 Earnings Call CONFIDENTIAL  
  • 10. Mobile Usage CONFIDENTIAL   §  Whatsapp processes 14B messages/day, global SMS is 20B §  400M photos/day shared on Whatsapp §  350M on Facebook and Snapchat §  55M on Instagram §  So how do you take advantage of this?
  • 11. What Doesn’t Work §  Assigning a junior marketing person to update your mall’s Facebook Page, Twitter Account, etc. publicizing your tenants’ sales §  Pegging your marketing team’s KPI to getting more Likes is not how you succeed §  Hiring the people who did your website to do your mobile app §  Launching a mobile app that is a glorified map/ directory §  Not being able to track, quantify your results: no analytics CONFIDENTIAL  
  • 12. What is Your Objective? §  You need to set your objective before you can determine success §  Mobile reaches users whenever and wherever; Social is a conversation §  Your objective can be Reach, but Engagement is even much better CONFIDENTIAL  
  • 13. Challenges §  Your mobile app has to do something, and you have to promote it §  Your mobile app is not a website – there is overhead in maintaining it with new content, functions, etc. §  How do you track success? §  There are lots of Social networks – which to choose? CONFIDENTIAL  
  • 14. Mobile Apps are not Websites §  When you think of the most successful mobile apps, they generally follow these criteria: §  They DO something that is of value to you §  They are SIMPLE/EFFICIENT/FAST and let you do what it is valuable to you as easily as possible §  The context of their usage is mobile-first §  Don’t take your website and make it a mobile app and expect people to use it CONFIDENTIAL  
  • 15. Lots of Choices? CONFIDENTIAL   §  Many options, but you don’t need to cover all of them §  Facebook and Twitter, then choose either Instagram or Pinterest if N.America, or Line if Asia – of course, you must have WeChat/ Weixin for China
  • 16. Comparison of Mocial vs Other Options CONFIDENTIAL   §  Options range from the traditional, eg. TV, radio, newspapers, direct mail, magazines, OOH (Out-Of- Home) and in-store signage §  Effectiveness of such media is typically measured by metrics such as Gross Rating Points (GRP) §  Online/Digital/Social/Mobile are generally measured by other metrics. The following comparison will focus on website vs Facebook for an actual mall (identity hidden)
  • 17. Comparison of Mocial vs Other Options CONFIDENTIAL   §  Traditional media cannot be compared effectively on an apples-to-apples to basis for the following reasons: §  If a tree falls in the forest…GRP is derived by multiplying Reach by Frequency: there is no concept of the target actually consuming the media, eg. in bathroom while advert on TV, flipping through ad in magazine §  Hard to measure engagement/impact. Deriving a quantitatively accurate conversion rate of a GRP for a given campaign to foot-fall is difficult, and even more difficult to plot to conversion (purchase)
  • 18. Case Study CONFIDENTIAL   §  According to Alexa (leading web analytics authority), the Actual #of Daily Uniques is not available publicly - only rankings §  Judging by the Daily Pageviews per Visitor (3.2) and Daily Time on Site (2:40), the average website visitor is likely looking for quick information and leaving after finding it §  TrafficEstimate.com estimates there were 73,100 visits in the last 30 days, or ~2,437 visits per day
  • 19. Case Study CONFIDENTIAL   §  The mall’s Facebook Page shows the following metrics: #Likes: 18,166; PTAT: 384; Been Here: 2,390 §  The mall is posting twice a day to the Facebook Page, meaning that users reached daily is ~9,400 (calculations available upon request)
  • 20. Comparative Data CONFIDENTIAL   in mall" §  The above are estimates for reference only. Calculations showing how these figures were derived are available upon request §  Increasing Dwell Time is best done via social, but more importantly your shoppers engage via social. A mobile app could help increase even more by reaching shoppers in your mall at the right time along the path to purchase
  • 21. What it boils down to CONFIDENTIAL   §  Each time you post an update on your Facebook Page you can reach people – free…imagine if you did more §  Post more often, buy ads, mobile app §  People who engage with you on Facebook spend more and more often
  • 22. Re-Cap §  Is it worth it? Yes, if reaching shoppers where they are while in your mall is important to you §  Is it easy? Nothing worthwhile is easy, but it’s not as hard as you think but it has to be done differently §  Set your objectives clearly and your Mocial efforts will succeed §  Measure, measure, measure! CONFIDENTIAL  
  • 23. Conclusion §  Don’t be afraid. Social + Mobile is not that hard, it’s just new §  What are your shoppers doing when they are in your mall? Is this behavior increasing? §  No other medium has the ability to reach your shoppers in-mall at the right time in the path to purchase CONFIDENTIAL