Mobile Marketing Insights 2013
Mobile Marketing Insights 2013
Mobile
Whitebook
2013
Data, trends and best practice
www.velti.co.uk
Mobile Whitebook 2013
2
Mobile Whitebook 2013
Contents
4 Introduction
About Velti
6 Forewords
From Velti
From Econsultancy
25 Case Studies
26 Vodafone Freebee Rewardz
26 Walkers Homegrown
27 Samsung Hope Relay
www.velti.co.uk 3
Mobile Whitebook 2013
Introduction
2013 ushers in a new age of consumer preference, consumer habits and
consumer devices. The focus for marketers should be the same as it has
always been, on the customer. Mobile marketing has made it through
the Wild West and we are delighted to see positive and wide adoption
in the industry.
To fully understand how the end consumers are using their devices, E
consultancy have partnered with Velti, the leading mobile marketing
and advertising agency, to provide truly actionable insights to help you
formulate an effective and accountable mobile strategy.
4 www.velti.co.uk
Mobile Whitebook 2013
About Velti
Velti is the leading global provider of mobile marketing and advertising
technology solutions that enable brands to implement highly targeted,
interactive and measurable campaigns by communicating with and
engaging consumers via their mobile devices.
Velti’s experience in mobile spans all sectors and global regions, whilst
their solutions cover the full end-to-end mobilisation journey, from initial
activation to mobile customer acquisition through to retention strategies.
They work with their clients to educate, optimise and inspire the use of
the mobile channel and ultimately grow their revenues.
Media
Retail
FMCG
Finance
and MNOs
Gaming and
Gambling
Others
www.velti.co.uk 5
Mobile Whitebook 2013
Forewords
From Velti
As a business we aim to innovate, explore and anything on the channel. This means that there is
*5
From Econsultancy
Over the past few years, a cliché within marketing mobile devices are already the default way for
** http://services.google.com/fh/files/misc/multiscreenworld_final.pdf
has been “This is the year of the mobile”, or more most consumers to access and gain information on
recently in a desperate plea for attention, “This year digital products and services.
is really the year of the mobile”.
Despite this, the research revealed by Velti in this
In my opinion, such comments are not helpful. document shows that the majority of marketers are
They present mobile as a transient consumer spending 5% or less of their efforts on mobile.
trend or fashionable term which can be dropped
into conversation to win budgets and convince I hope the data, insights and best practice tips
organisations to take action. presented in this document will spur you and your
organisation to take action and take advantage
The reality is that mobile is now already entrenched of the opportunity presented by the new digital
within consumer behaviours and decision making. landscape.
Over half the population in the UK and the US own
a smartphone and 65% of all online activities begin Andrew Warren-Payne
on a smartphone. ** With PC sales plummeting, Senior Research Analyst
Econsultancy
6 www.velti.co.uk
Mobile Whitebook 2013
Consumer Data:
The Case for Mobile
Mobile devices facilitate consumer interactions with your brand at
any time or place convenient to them, and with over 14,000 different
smart devices and tablets in use, interactions on the mobile channel
are increasingly critical moments in the customer journey. Ensuring
that these experiences remain positive should be at the centre of your
mobile strategy.
www.velti.co.uk 7
Mobile Whitebook 2013
Windows
6.4%
Smartphone penetration Market Share
iOS/Android
BlackBerry in the UK
15.2%
Android
46.6%
97%
mobile phone penetration in the UK,
64%
of which are
Smartphones
8 www.velti.co.uk
Mobile Whitebook 2013
Tablets become the screen of choice
Tablet penetration has also doubled since 2011, and the increased competition from cheap
alternatives has undoubtedly helped to fuel this growth. The rapid adoption of tablet devices
has fragmented the mobile landscape and there are notable differences in user characteristics
between the two mediums. Mobiles are highly personal, while tablets are often shared. The
majority of tablets are WiFi-only and used mainly at home.
Tablets to replace PCs and laptops as the The switch from desktop and laptop devices to tablet has
device of consumer choice been accelerated by a number of factors. Manufacturers are
increasingly seeing the value of creating smaller and cheaper
With IDC reporting a near 14% drop in PC and laptop sales in
tablet devices as these are lower cost. In addition, larger
the first quarter of 2013, it’s likely that beyond handheld mobile
tablets are less portable while their heavier weight makes
devices, the tablet will be the primary device through which
them less comfortable to use for prolonged periods of time.
the majority of consumers will interact digitally with brands. By
2017, it’s expected that annual tablet shipments will exceed
350 million, significantly in excess of the 300 million PCs 31%
20%
402.5% 19%
263.0% 15%
77.4% 10%
48.1% 26.8%
-27.7%
www.velti.co.uk 9
Mobile Whitebook 2013
Respondents: 550
15% 9%
Work Watching
Simultaneous use of Tablet Documents Video
while watching TV
In addition to second-screening, tablets are used to access
television content. UK consumers are the most likely in the
world to access television content over the internet, ahead of
the US. This is encouraged by the early arrival and success of
products such as BBC iPlayer.
10 www.velti.co.uk
Tablet behaviour is different to that on smartphones
72%
Respondents: 550
Respondents: 550
67%
61%
59% 58%
52%
50%
48%
46%
44%
42%
37%
30% 30%
26%
24%
20% 20%
Email
Playing games
Facebook
Reading books
Reading news
Listening to music
Shopping
Watching movies or TV
Research restaurants
Research travel
Email
Making phone calls
Facebook
Listening to music
Playing games
Reading news
Photo management
Research restaurants
Shopping
Twitter
www.velti.co.uk 11
Marketers need to cater for a
Mobile Whitebook 2013
multichannel world
Although the trends and statistics present a strong case for developing a valuable user
experience on smartphone and tablet devices, the reality is that the use of these does not exist in
a vacuum. Although digital has often being quoted as the disrupting factor in creating non-linear
customer journeys, customers have always carried out their purchasing decisions in complex and
unique ways.
4in%ue on a
smartphones are the most common way in which consumers
start their online activities.
% cont
6ti1nue on a Tablet
con ptop
PC/La
t on a
% starartphone
65 Sm
5in%ue on a
% cont
19 a
Tablet
ue on
contin hone
p
Smart
t on a
% staCr/Laptop
25 P %
1ti0nue on a
con ptop
PC/La
t on a
% starblet
65 Ta
12 www.velti.co.uk
Selling effectively means reaching the right person at the right time at the right place –
iPad
11:00
10:00
Weekend
09:00
08:00
07:00
06:00
Android
iPhone
iPhone
05:00
04:00
iPad
03:00
Weekday
02:00
01:00
00:00
Android
00:00
01:00
02:00
03:00
04:00
05:00
06:00
07:00
08:00
09:00
10:00
11:00
12:00
13:00
14:00
15:00
16:00
17:00
18:00
19:00
20:00
21:00
22:00
23:00
Weekday
www.velti.co.uk Weekend 13
Mobile Whitebook 2013
USA
Respondents: 1000
UK
YES
NO
14 www.velti.co.uk
Mobile Whitebook 2013
The actions of GAFA shape the way consumers and businesses adapt to the mobile and
multichannel world
Google, Apple, Facebook and Amazon (collectively referred to In short, companies should ensure that they are not dependent
as GAFA) represent the four most powerful companies within on any single GAFA-powered customer acquisition or retention
the digital world. Despite the fact that all come from different channel. They should look to diversify the ways in which they
roots, their activities are beginning to converge and overlap reach and engage with their customer base so that any rapid
in a way that has significant effects for all as digital becomes changes will not place them in harm’s way.
a more integral part of consumers’ everyday personal and
professional lives.
Mobile Ad revenue
collected by
57%
Google in the US
Facebook
Collects Just 9%
www.velti.co.uk 15
Mobile Whitebook 2013
The Changing
Business Landscape
As smartphone penetration rapidly increases and more and more retail brands
add mobile to their strategy, you probably don’t want to be the one left behind
trying to catch up with the latest trends.
Many organisations have woven online into their customer strategy and many
have been weaving social into their mix but few have mobile at the heart of
everything they do.
As shown in the previous section, • 62% know what tasks their customers
consumer behaviour is changing so perform on their mobile devices
rapidly that it requires constant innovation • 54% are acquiring new customers
and investment. With 65% of shopping through mobile
journeys starting with a mobile device
channel threading (customer journeys • 50% feel they do as much as their
spanning multiple devices) commonplace, competitors on mobile
and simultaneous screening and mobile • 49% state that mobile is delivering extra
retail sales still growing exponentially, revenue
almost every business has a strong
business case for investment in mobile. With these in mind, it goes without
saying that adding mobile to your online
Velti’s survey has found that investment and traditional media strategy will help
into mobile has slightly increased in you create a match for your customers
recent years, with 2% more brands now behaviours, enhance your relationship
allocating between 5% and 15% of their with them, turning them into your brand
marketing budget into mobile. This, along devotees and sell more products.
with the fact that 6% more brands have
turned 100% mobile, indicates that mobile It is forecasted that the strong investment
is now a core part of most organisations’ levels in mobile will continue through
strategy. the rest of the year, so make sure you
take good advantage of the time left
Additional responses that will help and develop the most suitable mobile
you build your confidence towards the solutions for your audience strategy.
mobile approach of your business and its
potential ROI, are the following metrics
which a sound mobile strategy can help to
define:
16 www.velti.co.uk
Mobile Whitebook 2013
Key steps to make your brand
more mobile
How mobile is your brand? • Segment your analytics to investigate the differences
between mobile and non-mobile traffic. Use this
17% 11% 10% 10% We’re 100% insight to exploit mobile strengths such as more
mobile
local content, and counter weaknesses such as non-
14% 12% Doing it well
16% mobile optimised checkouts. Velti can help with this.
with a few gaps
23% www.velti.com
46% We need to do
49% • Consider older techniques such as SMS to increase
47% more / We’ve
scratched the brand loyalty. SMS codes can be used to track the
surface
effectiveness of such campaigns. They are still
45% massive functions in mobile utility (8 billion external
Respondents: 550
28% We don’t do
20% anything
23%
11%
6%
3% 2% 4% Don’t know
Have you activated your
brand on mobile?
10%
Respondents: 550
10%
5%
10%
13%
15%
20%
Brand activation shows promising growth, with 40% of brand 53%
respondents stating that they were proficient with their
mobilisation. However, this leaves the majority of respondents
(59.3%) who felt that they needed to do a lot more. 50%+
Surprisingly, only 27% of respondents were utilising the mobile 14%
channel to acquire new customers. Mobile is a fantastic
channel to merge your offline marketing efforts with traceable
digital interactions through Shortcodes and messaging to
activate mobile sites and app downloads. Advances in geo- The data from our survey shows that the majority of companies
locational technology and the proliferation of smartphone (53%) are only dedicating a small fraction of their marketing
devices into the consumer landscape have meant also smarter efforts to mobile. With smartphone penetration on the rise
targeting, faster response time and, importantly, accountable and mobile often being the most frequently used digital
revenue increases. channel by consumers, the proportion of marketers spending
more time on their mobile marketing efforts will have to grow
substantially over the coming years.
www.velti.co.uk 17
Mobile Whitebook 2013
• Adopt an agile approach to mobile development and improvement. This will allow you to move quickly with rapid
changes in the market.
• Consider the whole customer journey when justifying the mobile business case – looking from a last-click perspective
will most likely undervalue the channel massively. Investigate analytics tools which will enable you to form a more
accurate picture of how journeys across devices are part of the customer journey.
• Don’t expect your web and e-Commerce platform to work on mobile and tablet devices.
18 www.velti.co.uk
How significant do you think the following On a scale of 1 to 3 how worried are you
37%
Mobile messaging
54% 52%
51% 30%
47% 48% Apps
40%
NFC
32% 32%
30%
26%
Mobile data warehousing
19%
Location based services
Geo targeting
Customer Engagement
Mobile Web
Mobile Payments
Loyalty
mCommerce
In App Payment
Social
In App Notification
HTML5
Mobile Messaging (2 way)
Platform Convergence
Second Screen
Gamification
Mobile convergence
mWallets
Operating systems
Respondents: 550
are highlighted as the top three trends our respondents mobile industry
felt would be very significant over the next 12 months. Customer adoption and insight
Interestingly, the core elements of the mobile mix have not The shape of the mobile landscape
over the next 24 months
changed significantly since our last survey, indicating that last
Evolving and new technology
year’s uncertainties regarding best practice have not yet been
answered.
Not at all worried
Somewhat concerned
How to use mobile trends Extremely worried
to drive your efforts forward Marketers were also asked to list how worried they were about
• Audit your own mobile efforts across the trends that a number of topics within mobile. The survey revealed that
are coming up. See how well you engage with your areas that were significantly ambiguous or unclear were those
customers through mobile, how your site performs in most likely to cause concern. New technology, The shape of
different mobile browsers, and what mobile-enabled the mobile landscape over the next 24 months and The value
payment methods you are offering. of mobile as a channel were all areas in which one in five or
more marketers said they were ‘extremely worried’.
• Analyse how your competitors are also behaving in
this space keep an eye on how they are coping with While the speed of change in the digital (and especially
emerging trends. mobile) landscape can be daunting, there are ways of handling
it. Make sure you keep testing and experimenting to ensure
• Identify which quick wins you can achieve to constant incremental improvement. Adopt agile development
make progress in these areas. For more detailed practices to respond quickly to change. Look at how your
progress, create a roadmap that you can implement customers use and engage with your brand to gain insight that
as the situation changes. Again, by taking an agile will enable you to take action.
approach, you can react swiftly to changes in
mobile and adapt existing products and services to
changing circumstances.
www.velti.co.uk 19
Mobile Whitebook 2013
Best
Practice
Advice
20 www.velti.co.uk
Mobile Whitebook 2013
Five steps to mobile success
As the data from our survey of marketers has shown, few companies are putting significant
resource into their mobile marketing efforts, despite the growing impact of mobile devices on
consumer behaviour and the huge penetration levels.
To get you ahead of the field, Velti have put together this mobile checklist to help you assess
your own organisation and how mobile-ready you are.
• What do your customers want from your brand/business on Key steps to follow include:
mobile?
• Compare bounce rates and exit pages on mobile versus
• What key tasks do you need your customers to achieve on desktop traffic. This could reveal certain places where the
mobile? Can they achieve these across multiple devices? customer falls out of the journey. Make sure they fall out
because they have what they need (eg. a telephone number
• What is your revenue and customer acquisition from mobile? or store location) rather than because your site failed them.
These are just some of the questions you should be asking, • Check ad campaigns to make sure that your customers will
but the key requirement is to form a set of quantitative land on mobile-optimised pages. This includes paid ads,
and qualitative benchmark against which progress and display ads and mobile email.
improvement can be measured. The audit will also reveal
the strengths and weaknesses of your brand on mobile, and • Consider mobile user experience testing. Many online
enable you to divert resources accordingly. companies now exist which will conduct user experience
tests using a panel at very low costs (eg. £30 per test).
www.velti.co.uk 21
Mobile Whitebook 2013
22 www.velti.co.uk
Mobile Whitebook 2013
Measurement for mobile
One hindrance to widespread adoption has been the lack of effective ROI metrics for mobile.
Different channels should have different measurements of success and this is paralleled in online
vs. mobile metrics. Mobile is utilised in very different ways to online. Therefore, the ROI should
be predicated upon different metrics specific to mobile. The steps below cover some things you
should be thinking about when it comes to mobile measurement and improvement.
Make sure your analytics are correctly tagged Finally, but most importantly, use your insight
On campaigns you run, make sure any links you share or use to drive change
in a campaign (eg. in paid search, on social or email marketing) One significant problem with web analytics and measurement
have correct tagging on them to allow you to understand the is that, although companies produce a glut of reports, little
sources and media that are contributing to your efforts and action is taken to make best use of the data collected and
build them into your big data strategies. improve the processes through which the company operates.
www.velti.co.uk 23
Mobile Whitebook 2013
Below are some tactics you should consider implementing to make best use of the mobile
opportunity. Velti can help you each step of the way.
Mobile Advertising (Mobclix)
Mobile Ad Serving
A R EN SMS Messaging
A G EM
EN G Large Scale Promotions
Inventory Monetisation
I O N Mobile Payments
V E RS
CO N Multichannel Loyalty
Solutions
mCRM Solutions
T I O N
RE TEN
24 www.velti.co.uk
Mobile Whitebook 2013
Case
Studies
Case studies can help you prove the business case for
investing in mobile. Velti has helped the following clients
drive outstanding results.
www.velti.co.uk 25
Vodafone FreebEe rewardz
Mobile Whitebook 2013
Walkers Homegrown
The Challenge The Solution The Results to date
Walkers (PepsiCo) are the most popular The solution for Walkers Homegrown 300 million web sessions, 1.6 million
crisp brand in the UK market. However, was to use the opportunity of the registered users on Walker’s properties,
with the rise of premium crisp brands connected consumer to engage with 900k opt-ins to communications, a 53%
and a large number of other options to customers on multiple devices and email open rate and five million entries
choose from, Walkers needed to engage channels. to competitions. Velti has enabled
customers in order to increase their an FMCG brand to be as relevant as
consumption and drive sales. Over six years, Velti has worked ever across digital channels in the
with Walkers to increase loyalty and rapidly changing mobile and digital
engage their audience on a number multichannel landscape.
of successful campaigns that have
included ‘Brit Trips’, ‘Gary’s Great Trips’,
and ‘Do us a Flavour’.
26 www.velti.co.uk
Samsung Hope Relay
www.velti.co.uk 27
Mobile Whitebook 2013
Making
It Happen
Strategy in action
There is immense business opportunity in mobile. Failure to mobilise your
business, quite simply will mean you will start to lose market share.
28 www.velti.co.uk
Notes
www.velti.co.uk 29
Notes
Mobile Whitebook 2013
30 www.velti.co.uk
Mobile Whitebook 2013
How to Contact us
www.velti.co.uk
www.velti.co.uk 31
www.velti.co.uk