Mobile marketing

MOBILE MARKETING
BRIEFING
Author: Rob Thurner
Edited: Dr Dave Chaffey

© Smart Insights (Marketing Intelligence) Limited. Please go to www.smartinsights.com to feedback or access our other guides.
Mobile marketing briefing
!
Introduction – About this briefing
Our free briefing on mobile marketing summarizes the huge changes in consumer use of
mobile devices. It’s a sample of more detailed advice which we feature in our 7 Steps to
mobile marketing strategy guide for Expert members.
This briefing is in two parts. In the first we share the latest statistics sources showing
consumer adoption of mobile services on smartphone and tablet. In the second part we
introduce the business opportunities for increasing leads and sales from mobile using the
Smart Insights RACE Marketing Planning framework.
About our Expert member resources
Our Expert member resources are focused on one thing - helping members get better results
from their marketing.
The 7 Step Guide to Mobile Marketing Strategy
Our 7 Step guide advising on Mobile strategy for Expert members covers all the issues you
need to plan for and act on to improve your use of online technologies in business. Here are
some more details on each of the steps:
þþ Step 1. Making the business case for mobile. Ideas on modeling conversion rates.
þþ Step 2. Create mobile strategy. How to structure a mobile strategy.
þþ Step 3. Mobile Design approaches. Including responsive design and app creation.
þþ Step 4. Search marketing. The opportunities of mobile SEO and AdWords targeting.
þþ Step 5. Mobile commerce and payments. The six key payment options.
þþ Step 6. Mobile CRM and mobile coupons. Encouraging longer-term mobile engagment.
þþ Step 7. Location-based marketing and social media. Key techniques for multichannel
businesses.
We’ve created our 7 Step Guides for Expert members to be your constant companion as
you learn, review and improve your approach to digital marketing. We know you’re busy
and under pressure to get results, so they’re written to help you do just that. They take you
through the questions you should be asking to improve performance and suggest the right
approaches.
Our Ebooks are all created to help you:
þþ Improve results. A focus on getting the best results from your digital marketing.
þþ Review your current approach. A unique workbook format helps create a plan.
þþ Apply analytics. Integrated advice on using Google Analytics to improve performance.
þþ Learn best practice. Strategy recommendations and practical tips highlighted
throughout.
What members say about our resources
“We are at an early stage of our digital marketing journey, the templates, papers, videos and
tutorials help us check and learn as we go”. Stuart Sykes, Digital Marketing Manager.
“Smart Insights is the first place I go for good, practical advice on digital marketing. The
material available is very comprehensive but also current”. Jon Vasey, Ecommerce
Manager.
uu See our full range of Expert member resource

!
1. The growing importance of mobile marketing
Anyone who works in digital marketing or e-commerce cannot have missed the forecast
made by Mary Meeker an analyst at KPCB in 2011. She predicted that, by 2014, mobile
Internet use would overtake desktop Internet usage globally1
. This point has now been
reached globally when measured by mobile traffic volumes. For us, one of the most
striking charts from Meeker’s 2014 report2
shows how the rapidly increasing popularity of
smartphones and tablets from 2009 to today has fuelled this growth.
The striking inflection point in this chart shows why businesses must continue to prioritise
investments in mobile marketing. Reaching consumers as they use mobile devices and
developing compelling mobile experiences is the future for customer communications and
developing customer experiences, which must also be effective on desktop too.
What is it? Mobile marketing
Mobile marketing involves reaching and engaging audiences on smartphones, tablets
and other mobile devices to create mobile customer experiences that help support
omnichannel marketing goals.
How have mobile customer interactions increased for your business?
Most businesses have experienced rapid growth in mobile use of their websites as would
be expected from the dramatic growth in mobile shipments. How has mobile use of your
sites increased according to your web analytics? This compilation from Statcounter, also
presented by Mary Meeker shows rapid growth in all regions, averaging a 78% year-on-year
growth worldwide.
1 Smart Insights: Mobile marketing statistics compilation
2 Smart Insights: Summary of 2014 Mobile Internet trends

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This public example of use from the UK government site3
gives a typical indication of the
level of usage and reminds us that what matters when making the case for mobile is to use
your own stats showing trends of mobile device usage.
This example also shows us that mobile is still not the dominant platform, yes it is important
and becoming more so, but we have to develop site designs that remain effective for desktop
use too and not necessarily develop a company app for reasons we will discuss later.
3 UK Government live usage figures for 8 million monthly users

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Strategy recommendation 1 Don’t blindly invest in mobile because of the hype
Yes, mobile marketing has already transformed the way the Internet is used by many for
some activities, but it doesn’t mean every business has to have a mobile app or a fully
mobile-optimised site – you have to choose the cost-effective option for your business.
To benchmark use of mobile devices for your site compared to others we recommend
reviewing the quarterly Monetate benchmark which we present data for in our regular
quarterly updates of benchmarks4
. This is particularly relevant for transactional sites
comparing conversion rates. It shows that mobile use now accounts for over a quarter of site
visits. However, smartphone use is only just over 10%.
The UK government site example also reminds us that when we plan improvements to
mobile customer experiences, we have to ensure we use an approach that works for
both smartphone, tablet and the emerging ‘phablet’ devices which are in between. Both
smartphone and tablet use gives a different form factor and context of use, but in both cases
we need to remember that use of these devices isn’t independent; it’s closely related to other
channels including:
þþ Desktop websites – these are still where the majority of sales transactions occur
þþ Social media sites – the majority of social media use occurs on mobile devices
þþ In-store (where relevant) – we will see that many retailers successful integrate mobile
use in store
þþ Traditional media (where relevant) – mobiles are commonly used when users watch TV
(multiscreening), listen to the radio or read newspapers and magazines.
þþ Call-centre (where relevant) – it’s natural that consumers or businesses who are
interested in a product or service may want to call the provider for further information.
4 Smart Insights Quarterly Benchmark updates

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2 The opportunities for businesses to create new
mobile interactions for customers
When assessing how we use mobile devices and media for marketing, there is a tendency to
limit our thinking to mobile commerce transactions. There are certainly great opportunities for
mobile commerce shown by the early, enthusiastic adopters like Amazon and eBay.
Amazon’s continued success online is today underpinned by a strong mobile performance,
with sales via its mobile site and app reaching $1 billion for the first time in 2011. eBay
reported mobile sales transactions of $22 billion in 2013, an increase of more than 70%
compared to 20125
. eBay’s senior director for EU mobile Olivier Roars, reminds us of the real
threat mobile presents to traditional retailers:
‘Almost 50% of people with smartphones will check prices in-store. When something isn’t
available on the rail, the smartphone is a more efficient way of shopping. The smartphone is
giving a lot of power to the consumer.’
What are the main consumer brand interactions?
To help make the case for mobile and make the most of the many opportunities it presents,
you need to explain the full range of interactions beyond mobile commerce.
Google infographic summarising the new multiscreen world
5 eBay Investors relations: Annual report

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There is a natural ebb and flow of mobile and desktop use through the day. This
comScore summary shows the pattern of behaviour you should keep in mind to prioritise
communications through the day.
A summary of the multidevice day: Source: comScore
Strategy recommendation 2 Develop mobile strategy based on new consumer behaviours
We recommend that you start developing your strategy, not by thinking about mobile sites
or apps, but instead thinking about the different situations where consumers use mobiles.
For example, as they follow up on a TV ad as they sit at home; search for a restaurant in
town; scan barcodes or action codes in a store or simply read their emails as they commute
to work. Don’t think smartphones, but smart users. Ask ‘How are our early adopters using
smartphones and tablets in practical and innovative ways?’
The next diagram shows how we see the many mobile touchpoints and the opportunities they
give for brands to interact in new or different ways with their customers.
Your mobile marketing strategy should be split into reviewing the best investments for
mobile brand discovery which are the options for mobile marketing communications through
messaging and other sites and mobile brand experiences which is where you create mobile-
optimised sites, apps or mobile commerce sites to interact more deeply with customers.
Mobile brand discovery mainly involves promotional push to encourage adoption of mobile
services and interaction with the brand, plus pull via search engine optimisation (SEO) as
customers use search, publisher sites, messaging and offline ads (for example through QR
(Quick Response) codes).
The core mobile marketing touchpoints requiring management
We’re not saying you need to work on all these activities! Instead, this diagram shows your
range of options for reaching and interacting with consumers on mobile for which you will
need to review the balance of investment as part of your mobile strategy.

!
Mobile touchpoints needing management
This table shows how you can summarise your mobile plan. It defines the options you have
selected for interacting with mobile users across the touchpoints of the RACE customer
lifecycle.
Funnel
stage
Key mobile marketing activities KPIs
Reach Mobile discovery and promotion of
mobile services
þþ Mobile search marketing
þþ Mobile display
þþ Offline prompts through action
codes
þþ Mobile share of search (% of site
visits referred through mobile)
þþ Mobile reach through display
þþ Unique visits to mobile sites
Act Encouraging mobile consumer
interactions
þþ Mobile-optimised sites
þþ Mobile-specific content
þþ Mobile-specific offers
þþ App downloads
þþ n, % of mobile opt-ins
þþ n, % of app downloads

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Funnel
stage
Key mobile marketing activities KPIs
Convert Online and offline sales delivered
by mobile
þþ Mobile commerce sites
þþ Transactional mobile apps
þþ Mobile voucher campaigns
þþ Mobile conversion rates and
average order value
þþ n, % mobile channel sales and profit
contribution
þþ Offline sales referred by mobile
vouchers
Engage Creating customer loyalty and
advocacy
þþ Social commerce interactions
þþ Mobile CRM
þþ Mobile messaging
þþ Repeat mobile commerce sales
þþ Repeat app usage
þþ Mobile satisfaction ratings
þþ Mobile messaging response rates
and value generated
Best Practice Tip 1 Define KPIs to show mobile contribution to effectiveness across the
customer lifecycle
The table also shows how it is useful to identify KPIs which show the effectiveness and
efficiency of mobile across all customer interactions.
In later sections of this guide we will explore, in more detail, how mobile marketing activities
can be used to support each of the areas of RACE.
About the Lead author of our 7 Steps Guide, Rob Thurner
Rob Thurner is a mobile consultant, author, trainer, and speaker with
10 years experience in the mobile sector.
He is Managing Partner of Burn the Sky, the mobile
communications agency which helps clients to communicate with
consumers through connected screens.
Rob delivers mobile consultancy and mobile talent development
projects for clients including American Express, Barclays, Barclaycard,
Betfair, Carphone Warehouse, Heineken, O2, Paddy Power,
Richemont, TUI and multiple global agency groups.
He runs workshops and digital marketing courses for marketers of all levels of expertise
across Europe and the USA. His training partners include the IDM, Econsultancy, The
Knowledge Engineers, Emarketeers and the IAB.
Following a BSc (Honours) in Politics from Bristol University, Rob began his career as a
journalist and then public affairs consultant before joining media start up TDI (now CBS
Outdoor). He moved to Clear Channel International and served as Group Marketing Director
for the company’s Business Units across 40 countries in EMEA and Asia Pacific.

!
About the Smart Insights Expert member resources
Our Expert member resources are focused on one thing - helping members get better
results from their marketing. Our resources are all practical, showing members how to
create strategies and then execute them using best practice. The guidance includes videos,
workbook templates and the in-depth 7 Step Guides.
The 7 Step Guides
We’ve created our 7 Step Guides for Expert members to be your constant companion as
you learn, review and improve your approach to digital marketing. We know you’re busy
and under pressure to get results, so they’re written to help you do just that. They take you
through the questions you should be asking to improve performance and suggest the right
approaches.
Our Ebooks are all created to help you:
þþ Improve results. A focus on getting the best results from your digital marketing.
þþ Review your current approach. A unique workbook format helps create a plan.
þþ Apply analytics. Integrated advice on using Google Analytics to improve performance.
þþ Learn best practice. Strategy recommendations and practical tips highlighted
throughout.
What members say about our resources
“We are at an early stage of our digital marketing journey, the templates, papers, videos and
tutorials help us check and learn as we go”. Stuart Sykes, Digital Marketing Manager.
“Smart Insights is the first place I go for good, practical advice on digital marketing. The
material available is very comprehensive but also current”. Jon Vasey, Ecommerce
Manager.
Take the next steps to improve your marketing skills and results
Try our free interactive digital marketing health check to rate your current digital marketing
capabilities and receive recommendations on how to improve results.
uu Join us! See our full range of free Basic member and Expert member resources

Mobile marketing

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