Ring in the New

Engaging Consumers in the Smart Phone Age

Robin Shapiro CEO, GetStiki.com

Electronic Retailing Association Orlando, Florida February 23,2016

2.0

In the Beginning…

2.0

…there was the TV and the

corded home telephone.

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The epoch of Direct

Response 1.0

2.0

It was simple.

2.0

And it was good.

2.0

A familiar on-screen

call to action

2.0

Call Now

(800) 245-4563

2.0

The ad men were happy.

Call Now

(800) 123-4567

But even then, visionaries imagined a mobile-optimized future.

2.0

2.0

1.0

By the late 1980s, Gordon Gekko would have his Motorola “Brick.”

But it would take 20 more years before this would happen…

Now, mobile phones are virtually universal.

! 

Affordable. Versatile. Compact. Always at hand.

! 

Affordable. Versatile. Compact. Always at hand. Away and at home. ! 

And most of the time, these devices are NOT used as “phones.”

! 

We use our mobile devices to get news updates and sports scores. Check weather forecasts. ! 

Buy concert tickets, watch online videos, chat with friends, listen to the radio, and flirt with strangers.

Skype with grandchildren, place bets, bank, buy groceries and jewelry and homes. Swap recipes and clip coupons. ! 

Email. Text. Twitter. Post to Facebook. Web surf. Download. Upload. Store boarding passes and concert tickets. Track fitness and count calories. ! 

Look at some recent numbers.

In the past few years, mobile web traffic has exploded.

Traffic

Further information regarding this statistic can be found on page 63.

15

% of web traffic served to mobile (2009-2016) Share of mobile phone website traffic worldwide 2016

Note: Worldwide; 2009 to 2016

Source: We Are Social; StatCounter; ID 241462

0.7% 2.9%

6.1%

10.9%

17%

28.9%

33.4%

38.6%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

35.0%

40.0%

45.0%

2009 2010 2011 2012 2013 2014 2015 2016*

Sha

re o

f tra

ffic

And the trend is expected to continue.

Traffic

Further information regarding this statistic can be found on page 64.

16

“Mobile” Traffic Will Keep Growing Global mobile data traffic 2015-2020

Note: Worldwide; 2015

Source: Cisco Systems; ID 271405

3.7 6.2

9.9 14.9

21.7

30.6

0

5

10

15

20

25

30

35

2015 2016* 2017* 2018* 2019* 2020

Traf

fic in

exa

byte

s pe

r mon

th

We’re talking about huge numbers of people.

Mobile apps

Further information regarding this statistic can be found on page 74.

27

Mobile apps by monthly US visitors (millions) (6-2015) Leading mobile apps in the United States 2015, ranked by unique visitors

Note: United States; June 2015; 18 years and older

Source: comScore; ID 250862

125.73 98.93

95.67 81.09

77.39 76.47

74.22 67.9

63.06 49.7 49.35

46.4 43.69

41.35 40.85

0 20 40 60 80 100 120 140

Facebook YouTube

Facebook Messenger Google Search

Google Play Google Maps

Pandora Radio Gmail

Instagram Apple Music Apple Maps

Yahoo Stocks Amazon Mobile

Twitter Pinterest

Total unique visitors in millions

And enormous sums spent on e-commerce using mobile phones.

Mobile commerce

Further information regarding this statistic can be found on page 96.

52

Mobile retail commerce sales in the United States (in billion U.S. dollars) Actual and Projected.

U.S. mobile retail commerce revenue 2013-2019

Note: United States; 2013 to 2015

Source: eMarketer; ID 249855

41.71 56.67

74.93 96.22

112.28 130.12

149.79

0

20

40

60

80

100

120

140

160

2013 2014 2015 2016* 2017* 2018* 2019*

Rev

enue

in b

illio

n U

.S. d

olla

rs

While younger people spend more time on mobile devices, soon most consumers will spend two or more hours daily on mobile devices.

Usage

Further information regarding this statistic can be found on page 57.

7

Average daily hours spent online via mobile internet in 2015, by age group.

Daily time spent online via mobile 2015, by age group

Note: Worldwide; 2015; 16 to 64 years

Source: GlobalWebIndex; ID 428425

3.26

2.69

1.82

1.07

0.58 0

0.5

1

1.5

2

2.5

3

3.5

16-24 25-34 35-44 45-54 55-64

Dai

ly m

obile

tim

e in

hou

rs

This mobile revolution is not merely “disruptive.”

It is a tsunami.

So how do we exploit this new tool and not be swept away by it?

Initially, I thought that slapping a URL into my TV ads would allow the audience to find me “on the web.”

Later, we realized that was a hugely expensive mistake. I’ll explain why in a few minutes.

This chart showing the explosive growth in mobile “paid search” expense should be a hint.

Advertising spending

Further information regarding this statistic can be found on page 113.

61

Share of mobile in digital search advertising spending in the United States from 2013 to 2018

Mobile share of U.S.digital search advertising spending 2013-2018

Note: United States; includes ad spending on search engines, search applications and carrier portals, ad spending on tablet is included; includes contextual text links, paid inclusion, paid listings (paid search) and SEO

Source: eMarketer; ID 374024

24.7%

38.1%

50.1%

62.9% 70.5%

76.7%

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

2013 2014 2015* 2016* 2017* 2018*

Sha

re

Let’s talk about my own misplaced response to the challenge of the mobile web.

2.0

Call Now

(800) 245-4563

15DayWeightLoss.com

Direct Response 1.0 – but with a URL slapped on.

Or in fairness, something like this:

Call Now

(800) PAY-LESS (800) 222-2222

Call Now

www.ford.com/certified-used

Direct Response

2.0

In substance, we kept the toll free number, but added a URL for those who might search the web.

My ads might as well have said --

Call Now

(800) PAY-LESS

If you’re interested in

what I’m showing you here, try to remember and

accurately thumb-type our

25 Digit URL

Direct Response

2.0

Call Now

(800) PAY-LESS

If you can manage that, look at your

phone and see that your browser

is showing you my competitors.

Direct Response

2.0

Call Now

(800) PAY-LESS

Unless I’ve forked over a bushel of

money to Google, hoping they will show my listing

ahead of my competitors.

Direct Response

2.0

Call Now

(800) PAY-LESS

I’m so glad I spent money on this ad and the TV time just to send my best prospects

wandering through an online mall.

Direct Response

2.0

So what’s the alternative?

Call Now

(800) PAY-LESS Direct Response

Call to Action

Mobile Optimized

Direct Response

3.0

Consumer Initiated

SMS Texting

.

Why Texting? .

Texting .

Ubiquitous

Texting .

Ubiquitous

Easy

Texting .

Ubiquitous

Easy

Instant

Texting .

Ubiquitous

Easy

Instant

Casual

Texting .

Ubiquitous

Easy

Instant

Casual

Discreet

Texting .

Ubiquitous

Easy

Instant

Casual

Discreet

Engaging

Ubiquitous

.

Ubiquitous Everybody texts.

.

Ubiquitous

Everybody texts.

Everywhere.

.

Ubiquitous

Everybody texts. Everywhere.

All the time.

.

Easy

.

Easy Everyone knows how.

.

Easy Everyone knows how. No downloads.

.

Easy Everyone knows how. No downloads needed.

No apps.

.

Instant

.

.

Instant No time for a call?

.

Instant No time for a call? Can’t talk now?

.

Instant No time for a call? Can’t talk now? Busy people text.

.

Casual .

.

Casual .

.

A “low-anxiety medium.”

Casual .

.

Low-anxiety medium.

Users text even when interest is tentative

and preliminary.

Discreet

.

Discreet

Consumers hesitate to call when others

are near; but a text is never overheard.

.

Discreet

Engaging

.

.

Engaging

.

.

Engaging

.

Reply instantly with touch-to-call phone numbers, links to websites, coupons, games,

contest entries or price-drop alerts. Direct to users phones.

.

Natural .

.

Natural .

.

Natural .

.

It is what your audience is already doing while they listen or watch.

Real Examples

.

“Ring of Honor” Wrestling

Bill Cunningham Syndicated TV

Promo for Tribune’s DigiNet

Texting as a Direct Response Channel

.

.

Low cost to test .

Just change “super” and

voiceover for A/B test.

Call Now

(800) PAY-LESS

Then compare costs and results

Call Now

(800) PAY-LESS (800) 222-2222

Call Now

www.ford.com/certified-used

Direct Response

2.0

Call Now

(800) PAY-LESS

FORD to TODAY (86329) txt

Direct Response

3.0 (800) 222-2222

Call or Text Now

Call Now

(800) PAY-LESS

Try it Now

Call Now

(800) PAY-LESS

FORD to TODAY (86329) txt

Text

TODAY

FORD

To: TODAY

FORD

86329

FORD

To: TODAY

FORD

Call Now

(800) PAY-LESS

Here’s an Example of Using a Game to Deliver

a Coupon

Call Now

(800) PAY-LESS

DONUT to TODAY (86329) txt

Text

TODAY

DONUT

To: TODAY

DONUTFORD

86329

DONUT

To: TODAY

FORD

Call Now

(800) PAY-LESS

Using Texting to “Own” a Category

and Point Shoppers to a Nearby Store

Call Now

(800) PAY-LESS

Drugstore to TODAY (86329) txt

Text

TODAY

Drugstore

To: TODAY

Drugstore

Cool Engaging

Cost-Effective

.

So why isn’t texting used more often as a direct response channel in the USA?.

TCPA rules were unsettled.

TCPA rules were unsettled.

It can be difficult to remember a 6 digit texting short-code.

TCPA rules were unsettled.

It can be difficult to remember a 6 digit texting short-code.

A proprietary short code is expensive to set-up and support.

What’s changed?

TCPA rules clarified. Easy-recall shared short-codes.

Cheap set-up and support

What’s changed?

TCPA rules clarified

Easy-recall shared short-codes Cheap set-up and support

What’s changed?

TCPA rules clarified

Easy-recall shared short-code.

Cheap set-up and support by sharing easy-recall short-code.

What’s changed?

Conclusion

.

Mobile Dominates Some may still use the desktop in the den or the land-line in the kitchen; but when ready to take action, most consumers will grab the phone that’s in their pocket or at their side.

URLs work well inside digital media – where a finger pressed to a mobile

screen whisks a prospect from online ad to landing page. Legacy media is

different. There’s no one-touch connection from the ad seen on TV

directly to a website.

The best tool to bridge the gap between legacy media and online commerce is the ubiquitous mobile phone.

By using a URL in their call-to-action, marketers inadvertently drive an untold number of prospects into the welcoming arms of their competition.

Text response eliminates the potential for distraction or diversion which inevitably comes whenever a consumer is asked to type ANYTHING into a mobile web browser.

Ever since stores were invented, marketers have known one simple thing: if a prospect wants to visit

your store, don’t point them in the general direction of a nearby

marketplace. Take them by the hand and lead them directly into

your store – preferably right to the item they seek.

Properly utilized, consumer-initiated texting technology will take your prospects directly to the cash register.  

Txt ERA

to TODAY (86329)

For a PDF of this presentation sent to your phone

Robin Shapiro CEO, GetStiki.com

txt Robin to TODAY (86329)