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The Mobile Marketing Maturation

Curve

Melissa Parrish, Senior Analyst

@MelissaRParrish

Agenda

The incredible rate of mobile adoption

How marketers are evolving to meet customer needs

Recommendations

Agenda

The incredible rate of mobile adoption

How marketers are evolving to meet customer needs

Recommendations

In 2010, 17% of the US cellphone-owning population had a smartphone

Today it’s over 50%, and growing

© 2012 Forrester Research, Inc. Reproduction Prohibited

The Mobile Technographics Profile

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Agenda

The incredible rate of mobile adoption

How marketers are evolving to meet customer needs

Recommendations

Mobile search & display will be an $8bn industry by 2016

By mid-year 2013, most marketers plan to be using mobile in their marketing programs

“What best describes your company’s use of mobile in its marketing program?”

33%

31%

36%

No plans to use

Plan to use in the next 12 months

Currently using

Base: 232 global interactive marketers

Source: Forrester Research Interactive Marketing Executive Panel Survey, Q2 2012

Budget

“What will be your company's total marketing budget in 2012 for each of

the follow channels? (Please select one.)”

3%

3%

3%

3%

5%

5%

13%

21%

46%

$150,000 to $249,999

$1,000,000 to $1,999,999

$2,000,000 to $2,999,999

$5 million or more

$250,000 to $499,999

$500,000 to $749,999

$50,000 to $149,999

Less than $50,000

I don't know

Four Steps to Mobile Marketing Maturity

1. Novices: trying out new tactics

2. Experimenters: “mobilizing” existing programs

3. Practitioners: strategically focusing on mobile consumers

4. Leaders: creating multi-touch-point programs with mobile at the center

But before all of this, comes the foundation….

Brands go through the following steps as their mobile

marketing practices mature:

Foundation

Foundation

• A mobile website is table-stakes today

• Most brands see 12-18% of web traffic coming from mobile

devices– even if they don’t intend to serve a mobile audience

• Mobile websites contribute to discovery and provide depth for a

wider mobile audience than do apps

Example: Nike’s mobile website shows massive depth

Novices

Aren’t looking for any particular outcome, just want to play

Emphasis is on learning about the single tactic being used

Small test-budgets are applied to individual short-term tests

Setting expectations is key

Example: Kraft foods tested short codes for sampling

Kraft foods tested short codes for the German launch of a new instant coffee product

Short codes and keywords were incorporated into print and TV ads to allow consumers to request product samples via mobile

500,000 consumers requested samples via the short code

Experimenters

Look for ways to make existing interactive programs more mobile-friendly

Creative is adjusted and links are directed to mobile presences

Budget comes from the overall interactive campaign

Success is measured by comparing mobile results to non-mobile results

Example: Paramount Pictures extends Shrek campaign to mobile

Extended the display campaign by taking advantage of new mobile browser technologies and ad units

Paramount measured CTR across all channels to determine success of overall interactive campaign

Mobile CTR was 30x higher than the same campaign on PCs

Practitioners

Have made the decision to specifically engage mobile customers

Strategically plan programs for the mobile device

Mobile-specific budget is applied

KPI’s are established according to what you know about your mobile customers

Example: VW launches the Golf GTI on mobile

VW worked with their agency to develop a comprehensive, digital-only launch of the Golf GTI with mobile assets at the core of the campaign

6 million game downloads

485 million impressions

97% lower cost per sale versus traditional new auto rollout plans

Leaders Mobile is part of your brand’s DNA, with support and expertise across the company

Strategic marketing development focuses on multi-touch-point strategies with mobile at the core

Now you start to think of mobile as the connective tissue between online and offline experiences

Example: FedEx mobile serves businesses and consumers

Consumers can track packages via a variety of mobile tools

FedEx business shippers have immediate access to their accounts on any device– including over the phone-- all synced with real time data

Sales agents have an enterprise app equipped with customer data and sales collateral to answer questions and close deals quickly and efficiently

© 2012 Forrester Research, Inc. Reproduction Prohibited

Agenda

The incredible rate of mobile adoption

How marketers are evolving to meet customer needs

Recommendations

Don’t wait– but be strategic in your approach

Your customers are already in mobile– you need to at least start testing the channel

Don’t skip any maturity stages. You need to go through each of them and roll what you learn into the next stage, but…

Focus on becoming practitioners as quickly as you comfortably can

Before starting any program, understand what your audience is doing in mobile first, then set your objectives before you pick a tech to play with

Thank you

Melissa Parrish

mparrish@forrester.com

@MelissaRParrish