mobile marketing aaf northern illinois april 30 2010

Mobile Marketing Primer

The Institute for Mobile Media Research

Turning the Cell Phone Into the “Sell” Phone

An Introduction to Mobile Advertising and Marketing

Presented to: AAF Northern Illinois April 30, 2010

Michael Hanley, Associate Professor of Advertising Director, Institute for Mobile Media Research Ball State University



Mobile Marketing Today Definitions: Mobile is a personal, transactional delivery channel ideally suited to enhance and leverage the inherent strengths of traditional mass mediums.

Mobile marketing is the use of the mobile medium as a communications and entertainment channel between a brand and an end-user. It’s the only personal channel enabling spontaneous, direct, interactive and/or targeted communications, any time, any place.

•  1997: 297 million mobile subscribers worldwide

•  2010: 4.3 billion subscribers worldwide (60% global penetration)

•  U.S: 286 million subscribers in 2010 (91% penetration)

•  Europe is most mature market with 125% penetration rates, Japan and South Korea (90%+), United States (84%)

•  U.S. spending on mobile advertising

- $995 MM in 2010 - $3.3 B in 2013

•  89% of major brands planning to market via mobile phones by 2010

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Mass Media Platform Evolution TV Radio Recordings Comms. Print

Beginning

Cinema Internet To

Source: Ahonen (2007)

Now

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The Mobile Channel THE WHO’S WHO OF MOBILE

•  Wireless Brands and Agencies

•  Wireless Networks/Mobile Virtual Network Operator (MVNO)

•  Aggregators

•  Mobile Application Service Provider (mASP)

•  Advertising/Marketing Clients

•  Consumers

LOCATION & TECHNOLOGIES

•  Mobile Technologies Similar Around the World

•  GSM, CDMA, Mobile WiMax, LTE

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The Mobile Ecosystem

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The mobile ecosystem consists of three distinct spheres: 1. Products/Services 2. Applications 3. Connections



Who is Doing Mobile Marketing? AT&T, Coke, Dunkin Donuts, McDonalds, American Express, Chicago White Sox, Discovery Channel, Jeep (has own MVNO), Google (mobile search) A&E Network, Vidal Sassoon, USA Today, Pontiac, Microsoft Office, Dos Equis, Visa, MasterCard (Priceless), eBay, Weather Channel, Killington Ski Resort, NBC Winter Olympic, Samsung, The Hockey News, Epicurious.com, Adidas, Nike, San Jose Grand Prix, Cadillac, ElleGirl, Maxim, Kraft, Sprint, Black Eyed Peas, Gawker…

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Uses for Mobile Marketing •  Advertising and Promotions

•  Couponing and ticketing

•  Location-based search (GPS)

•  Response fulfillment

•  Sales promotion support – location-based (GPS)

•  Direct sales (downloadable mobile content)

•  'Interactivity' (voting, polling, competitions, giveaways)

•  Customer service support

•  Generate traffic to brick & mortar retail and Web sites

•  CRM

•  Branding and Product Information

•  Apps

•  Research and data collection 7



Numerous ways to interact with the phone:

SMS

MMS

Email

The Mobile Initiative (Mobile, Mobile Enhanced)

ImageRecognition

IVR

Internet

MobileWeb

BluetoothTalk

Ways to Interact With a Mobile Phone and Distribute Mobile Content

GPS

TalktoText

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1. Text Messaging (SMS) 2. E-mail and Social Media 3. Mobile Web

The 5 Foundations of Mobile Marketing

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4. Device-specific Apps5. Mobile Advertising



Keyword or Prefix With Short Code Number Most Common: SMS Text Messages Via CSC

TO: 92345 MESSAGE: BSUWIN

Message from

consumer

Short Code

Keyword

“Text BSUWIN to 92345 to

win a free BSU ringtone!”

Types of CSC Content: One Time or Subscription

•  News Feature •  Enterprise Information •  Alerts •  Product Information •  Sports Scores & Content •  Entertainment •  Celebrity Gossip •  Music/Movie/TV •  Any other text content

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Mobile WAP and Internet Access For Mobile

Mobile Internet access will soon overtake computer access globally.

WAP Micro Site: Internet

Web page on mobile

phones

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• Display Text Content & Images

• Distribute Multimedia Content

• Collect Consumer Profile Info

• Display Banner Ads

• Motivate Consumer Interactivity

Uses for WAP Browser



Mobile Advertising – Banners & Rich Media Ads

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Types of Rich Media Mobile Ads Expandable: An interactive format which allows for the mobile ad unit to expand from the traditional mobile banner size to a larger size. Interactive Video Ad Units: This Interactive Video Ad Units starts off as a standard banner size. Once the user activates the banner, the ad unit expands to full page video. Sound: An ad unit that outputs a sound with or without user interaction. Note that an ad unit requiring sound input is considered an Interactive ad unit. Animated: An ad unit that displays changing graphical content through the use of technologies including video or animated file formats (i.e. Flash, Java, GIF, etc…) Floating: An interactive or non‐interactive ad unit that anchors to the screen as the user scrolls through the mobile application or mobile web page. Source: Mobile Marketing Association



Case Study – Domino Pizza

•  Domino's Pizza has rolled out a mobile coupon program that will serve its franchises nationwide.

•  The pizza delivery franchise has selected Air2Web to be the sole mobile services provider.

•  Domino’s will use Air2Web’s services to send coupon codes to opted-in consumers via text message.

•  Domino's customers can use the coupons when they place orders online in English and Spanish by visiting http://www.dominos.com or from a Web-enabled mobile phone at http://mobile.dominos.com

•  Pizza Hut and Papa John's also use mobile. Papa John’s claimed to have generated $1 million in mobile Web orders in December, less than six months after enabling the service

13 Source: Mobilemarketer.com



Case Study – Jiffy Lube

•  A Jiffy Lube mobile advertising initiative that was part of a larger multichannel campaign achieved a 0.2 percent response rate, outperforming its Web counterpart.

•  Jiffy Lube in Los Angeles launched the geotargeted mobile ad campaign offering coupons for oil changes. Twenty-eight percent of respondents texted in their ZIP code for a list of oil-change stores closest to them. More than 200 coupons were redeemed at Los Angeles stores, which equates to about 10 percent of original respondents.

•  The strategy was to reach the 18-24-year-old demographic group by advertising on text messages being sent to existing mobile content subscribers. The goal was to evaluate the mobile channel, and gauge the interest of the audience in engaging with the brand over a mobile device. 4INFO of San Francisco handled the campaign.




Case Study – Location-Based Services

•  Sonic, American Eagle and REI make SMS more effective through location-targeting

•  Quick-serve restaurant chain Sonic, clothing and accessories retailer American Eagle Outfitters and outdoor recreation gear and sporting goods giant REI have all launched location-based mobile marketing initiatives to drive consumers into physical stores.

•  Placecast’s ShopAlerts delivers location-triggered mobile messages when shoppers enter geo-fences that can be created around virtually any area.

•  1020 Inc. is the developer and owner of Placecast, a location-based platform designed to use digital marketing on mobile to drive consumers into physical environments.




Case Study – Ace Hardware

•  Idle screen mobile campaign generated an 18% click-through rate and has helped the retailer drive in-store traffic.

•  The company used Mobile Posse’s idle screen advertising platform to promote popular home maintenance products to mobile consumers.

•  The Memorial Day campaign consisted of two ads and a seven-day sponsorship of weather forecasts. Consumers were invited to visit their local Ace Hardware to take advantage of great deals.




Case Study – Chevrolet Dealer

•  Fox Chevrolet in Timonium, MD sold 34 cars in one day through a mobile marketing program meant to drive consumers onto the dealer’s lot.

•  The campaign, powered by HipCricket, bought time on Baltimore’s 98 Rock radio station. Fox Chevrolet ran 10- and 15-second promos encouraging people to text-in to enter to win the chance at a $98 car.

•  In total, nearly 500 listeners texted the keyword FOX to the station’s short code, with nearly 300 attending a special day-long event that resulted in the sale of 17 new cars and 17 used cars, in addition to the two $98 used cars that were awarded.




Case Study – Golf Digest •  Golf Digest is using Microsoft Tags within its

editorial products to bring content to readers. •  Microsoft Tags are 2D bar codes that bring

content to a consumer’s mobile phone after they download the application from http://gettag.mobi and send in a photo of a QR code.

•  The quick-response 2D bar codes have been placed in 11 spots throughout the November issue of the publication. After downloading an application, readers can snap a picture of the bar codes with their smartphones to receive tips from senior editors at the magazine and professional golfers.

•  43 percent of Golf Digest subscribers have a smartphone, and 92 percent of that group use their phone to access the Internet.




Case Study – Fanta Stealth Sound System

•  The campaign is based around the fact that as people get older, they lose the ability to hear very high pitched sounds. These high frequency ranges can be heard by teens, but not by adults

•  The Fanta campaign used this to allow teens to communicate without adults listening in.

•  The Fanta Stealth Sound System is a mobile app that plays a series of sounds that only teens can hear. They pick the sound out of a pre-set menu that all have pre-defined meanings. This way teens can communicate without anyone else hearing.




Case Study - Apps Kraft – iFood Assistant

•  Recipes created with Kraft products as well as by Kraft -  Over 10,000 downloads

•  Only 99c •  One of the top 100 most

popular paid apps •  What is Kraft doing right?

-  Providing something useful that they can access at any time.

-  Use ingredients list at grocery store.

-  “Recipe of the Day”




Case Study – Advertising Apps Hardees

•  People who download iBurger can tap on the iPhone's screen to open a Hardee's box with a burger photo. They can take "bites" out of the burger by making lipsmacking sounds into their device's microphone.

•  Target: Men 18-34 •  Cost: $12,000 for app

Burger King •  Valentine’s Day ad and game

app. Tap screen to burst heart- shaped bubbles.

•  Success? 14% interaction. 21

Hardee’s iBurger ad app

Burger King ad game app. Tap screen to burst bubble.

Source: Mobilemarketer.com



Case Study – Brand Advertising Apps




•  Higher-quality, consumer-driven content will move the mobile forward.

- Mobile Publishing - Music - Movie/video viewing

•  Brands will be able to “own” their mobile experience

Future Mobile Marketing Trends

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The Smartphone Revolution We Talk

We Text

We Publish

We Shoot

We Hear

We Watch

We Find

We Read

We E-mail

We Play

We Search We Buy

We Learn

We Save Lives

We Hope

We Sell

We Browse

We Imagine

We App

We Save $

We Bank

We Socialize

BrandX Mobile Club

Go to any BrandX retail store Saturday June 11th and give cashier the password “BrandX Rules!” for 15% off any purchase!

Visit Brandx at www.brandx.com for more great offers.

z

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• 3G/4G penetration growth will bring mobile TV and expand GPS location-based search into play.

• New devices will create new delivery channels – iPad

• Mobile banking and commerce will drive retail sector

• Privacy will become an issue – Foursquare, Gowalla

• Bridging the gap between the connected world and physical world will create more relevancy. - Location-based services - 2D and QR Codes. Visual alternative to data-entry, navigation, Web browsing and SMS requests

Future Mobile Marketing Trends

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Step 1: Shoot an image with the phone’s camera and send to site

Step 2: Device connects to server, returns coded instructions and implements

Step 3: User navigates customized actions or information

How 2D Code Recognition Works How QR Works

Future Mobile Marketing Trends – 2D/QR

Steps 1-3: Same as 2D except QR code is used to retrieve information

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AAF Northern Illinois



Two approaches: Do it yourself or thru an agency.

How Do You Get Started?

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Mobile Marketing Association http://www.mmaglobal.com/

Mobile Marketer http://www.mobilemarketer.com

Mobile Marketing Watch http://www.mobilemarketingwatch.com/

Moco News http://www.moconews.net

Mobile Marketing Resources

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mobile marketing aaf northern illinois april 30 2010

Business

mobile subscribers

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mobile phones

mobile ecosystem

mobile wimax

mobile medium

mobile web4

mobile advertising9