2500, boulevard de l'université, Sherbrooke (Québec) J1K 2R1, Canada 2 Université du Québec à Montréal (UQAM)

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1 1 Mobile Marketing and Behaviour Current Research Trend Antoine Lamarre 1, Simon Galarneau 1 and Harold Boeck 1, 2 1 Université de Sherbrooke, Département de marketing 2500, boulevard de l'université, Sherbrooke (Québec) J1K 2R1, Canada 2 Université du Québec à Montréal (UQAM) 315, rue Sainte-Catherine Est, Montréal (Québec) H2X 3X2, Canada Boeck.Harold@uqam.ca Abstract - This article provides a direction for future research in Mobile Marketing and specifically by developing a research agenda based on a census of recent articles published between 2008 and articles were categorized and analyzed revealing 53 articles that dealt with and whose research questions were extracted to provide an overview of future research in the field. articles were classified in sub-categories: (1), whose most common articles dealt with SMS, Mobile Advertising, Mobile Shopping, Conceptual and, Technology specific articles, (2) the role of Trust, (3) Satisfaction & Loyalty, (4) Attitudes towards mobile marketing and, (5) Value Creation. Comparing our data with previous results enables us to comment on the last 10 years of mobile marketing research and conclude that (1) the quantity of mobile marketing research is generally stable, (2) it is gaining widespread interest and, (3) it is still an emerging research field thus is rich in research opportunities. Our data also indicates that recent articles have mostly omitted to exploit newer technologies such as Bluetooth, Near Field Communications (NFC) and location-based services using GPS as potential research topics. This article strongly encourages mobile marketing research in these areas. Keywords: Mobile marketing, Mobile marketing, Mobile consumer behaviour, Research agenda. 1. Introduction Marketing professionals continuously adjust their strategy and tactics to efficiently match their consumers evolving behavior and habits. With the recent rise in adoption of mobile devices and particular smartphones, mobility is quickly becoming a normal way of life. In the US, 79% of the population uses mobile phones [16]. The concept of ubiquity has arrived and mobile devices can be considered as the most ubiquitous personal item in the world [22]. Innovative businesses that have successfully integrated e-commerce in their marketing activities now see mobile marketing as the next exciting opportunity that will enable them to reach their consumers through a new communication channel. However, since the field of interest is recent few academic articles have focused on how this new form of technology-led marketing affects consumer behavior. Our collective knowledge is thus limited which warrants more research on the topic. The article aims at providing a direction for research by developing a research agenda on the topic of consumer behavior in mobile marketing. International Journal of Latest Trends in Computing IJLTC, E-ISSN: Copyright ExcelingTech, Pub, UK ( 2. Literature Review 2.1. Mobile Marketing According to the Mobile Marketing Association, the worldwide mobile marketing trade association, mobile marketing can be defined as: a set of practices that enables organizations to communicate and engage with their audience in an interactive and relevant manner through any mobile device or network [5]. Mobile marketing differentiates itself advantageously from other marketing mediums like TV, radio and newspapers through its highly interactive nature and additionally from the Web because mobile marketing provides a continuous access to the consumer anytime and anywhere thereby making it one of the most dynamic, effective and personal mediums for marketing [66] Mobile marketing can incorporate various forms of mobile practices and technology such as mobile SMS, mobile, Internet, voice, mobile or Bluetooth and concepts like mobile advertising, SMS marketing, mobile advergaming and location-based marketing. To provide a richer understanding of Mobile Marketing, we will present partial case studies of how the coffeehouse chain Starbucks [10] and the American based retailer Target [11] have incorporated these new mobile practices into their marketing activities. Based on their location, Starbucks customers who have previously agreed to participate to the marketing program receive text messages and mobile coupons offering a rebate at a nearby branch. The company also participates in mobile social networking where consumers check-in (announce their presence) at the coffeeshop using their mobile phone. The platform enables consumers to compete with friends and other patrons for coupons and special recognition [43]. In selected locations, consumers can also use their mobile phones to pay for coffee. Target also provides consumers with mobile coupons redeemable at checkout and location based promotions. For example, walking into selected stores, iphone users will automatically receive loyalty points and instant mobile coupons [54]. These same consumers have access to a UPC bar code scanner through the phone s camera. This enables a quicker shopping experience when searching for product information or when building a product list or gift registry. Additionally, the company offers personalized ads based on the consumer s preferences accessible through any mobile device. Through the use

2 2 of its mobile marketing, the company aims at enhancing the overall customer experience based on their purchase behavior. Mobile marketing taps into the potential of mobile devices that have very quickly become daily necessities for many teenagers and young adults [53] who continuously carry their mobile phone within reach and regard it as status symbol as well as for adults who regard it as a highly personal utensil [17]. For companies, they hold the enticing promise of being a direct and constant connection to consumers thereby nurturing a more frequent relationship with the brand potentially leading to increased long term sales and a competitive advantage. Considering that younger consumers are difficult to reach through traditional channels of communication [7], mobile marketing offers even more appeal when targeting the younger consumer segment. Although mobile marketing theoretically holds a great deal of business value, harnessing such a potential has proven to be challenging. Many obstacles related to consumer behavior still exist and have yet to be answered. It is a fact that an incredible number of consumers carry their mobile phones on a daily basis thereby establishing a potential network pipeline of communication between companies and consumers. The challenge resides in connecting these two access points by developing a desire from the consumer to grant access to their mobile phone to which access is privileged. A second challenge resides in managing how consumers will react to the company s communications and whether they will be perceived as too intrusive on such a personal mobile device. These challenges serve to illustrate that research into this area is relevant, timely and necessary Mobile Marketing Research Mobile marketing is a recent field of academic interest. A classification of academic research published between 2000 and 2008 and from 7 well known academic online databases revealed only 3 articles that were published in 2000 and an average of 42 articles published yearly in the last 4 years [58]Error! Reference source not found.. This demonstrates that very little research has been done on this emerging and trending topic. The classification also revealed the importance of consumer behavior in mobile marketing as it covered a little more than half (51.4%) of the articles published in the 9 year period. The other categories include: theoretical articles that present conceptual definitions and visions of mobile marketing, strategy articles that focus mostly on design issues and revenue models and, legal & public policy articles that deal with consumer policy issues. This classification, although not the only [25], [34], [37], [61] stands out because it was designed to present 9 years of research on the matter. Unfortunately, the classification has not been recently updated and did not present research topics that could serve to guide upcoming research. This article aims to fill that void by covering recent mobile marketing articles and gathering their main recommended research avenues focused in the subcategory of consumer behavior. 3. Methodology 3.1. Classification Model The first step in our approach to develop a research agenda was to build a classification model that would be used to classify the articles and proposed research question. We opted to use a recent classification [58] that was already published on the topic of mobile marketing and that already incorporated consumer behavior, the focus of our research. [58] s classification successfully presents an overview of mobile marketing research topics during the periods. It divides research into 4 categories: theory, strategy, consumer behavior and, legal issues & public policy. The consumer behavior category is then divided into 5 sub-categories:, Trust, Satisfaction & Loyalty, Attitudes and, Perceived Value and Value Creation. We evaluated that it provided an adequate reference for the purposes of our research. The sub-category provided an important amount of research questions. We decided to group them under 5 topics that emerged naturally from our analysis of the articles. The resulting consumer behavior in mobile marketing research classification model is as follows: 1. Short Message Service (SMS) Mobile Advertising Mobile Shopping Conceptual Technologies 2. Trust 3. Satisfaction & Loyalty 4. Attitudes 5. Perceived Value & Value Creation 3.2. Data Collection and Analysis Having defined the categories and subcategories of our classification model, we then proceeded to find relevant peer-reviewed articles on the subject of mobile marketing. We searched in several academic databases, namely ABI inform, EBSCO host, Emerald, IEEE Xplore, Science direct and Wiley inderscience, with the keywords presented in Table 1 and which were suggested by [58]. Initial data collection took place from September 2010 to November 2010 and then was updated from January 2011 to February 2011 in order to account for all articles published in Table 1 - Keywords used in the data collection Keyword Mobile marketing Mobile commerce Mobile advertising Abbreviated Keyword m-marketing m-commerce m-advertising

3 3 Mobile consumer Mobile business Mobile services Short Message Service Marketing m-consumer m-business m-services SMS marketing Isolating academic peer-reviewed journals, we selected articles that were relevant and removed those that did not cover the topic of Mobile Marketing as defined provided by the Mobile Marketing Association. As such, we did not include in the results 3 rd party mobile services used by consumers. We reviewed the articles, categorized and analyzed them. Then, suggested research avenues presented in articles pertaining to consumer behavior were extracted to provide an overview of future research in the field. Some abstracts of articles whose full-text versions were not available appeared in our search results. We did our best to collect these seemingly relevant articles, but 6 remained unaccounted for. Considering the important number of articles retained, we feel that the 6 missing articles do not affect the overall reliability of the results. Great effort was taken into categorizing the articles and their research questions into the appropriate category and sub-category. Two researchers worked jointly to ensure that when an article presented more than one relevant research topic, the article s main theme determined where it should be classified. A third researcher validated the harder to categorize articles thus contributing to increasing the validity of the results. 4. Results 4.1. Data Collection and Analysis The chosen methodology led us to identify 126 articles published between 2008 and 2010 that had a direct link with mobile marketing. behavior was the most researched category covering 43% of publications for a total of 53 articles. Other topics included Theory (27), Strategy (38) and Legal and public privacy (8). Table 2 presents the yearly publication frequency of each category for the 3 years covered in the study. Taken at face value, the census indicates that the quantity of research seems to be following a diminishing trend. In 2008 the Strategy category accounted for the highest number of publications. These focused mainly on practical and managerial advice. behavior presented almost as many articles in 2008 and surpassed all other categories the following two years thus making it the most researched Mobile Marketing category. Table 3 presents the yearly publication frequency of articles grouped into sub-categories. The sub-category has garnered much interest and is by far the most important topic representing 58% of all consumer behavior research. The overarching theme covered in these articles is that Mobile Marketing is still an emerging technology and that its widespread use is an important field of interest. At the end of the spectrum was the Perceived Value sub-category with only 3 articles published on the subject during the 3-year period. Our classification methodology contributed to this low frequency. Since Perceived Value articles were often theoretical, we decided to classify most of them under the Theory category hence they are mostly absent from Table 3 but included in the results presented in Table 2. Table 2 - Yearly frequency of Mobile Marketing articles by category Category Year Theory Strategy Legal Issues & Public Privacy Table 3 - Yearly frequency of articles by sub-category Sub- Perceived Category Acceptance Satisfaction Trust & & Loyalty Attitudes Value & Value Year Creation It is important to note that an additional 66 articles not included in the 126 retained articles were borderline rejections as mobile marketing articles. Most of these articles covered topics of mobile banking (3rd party mobile payment, user acceptance of mobile banking, etc.) and mobile services (mobiles data services, adoption of mobile services, etc.). Since they did not adequately fit within the mobile marketing definition set forth by the Mobile Marketing Association and used as a guideline in our methodology they were not included in the study. Figure 1 illustrates how the 126 retained mobile marketing articles fit in the classification model.

4 4 Mobile Marketing Research 126 Theory 27 Strategy Legal Issues & Public Policy Trust 4 Satisfaction & Loyalty 6 Attitudes 9 Figure 1 - Classification and frequency of Mobile Marketing articles from 2008 to 2010 Table 4 - Frequency of journals in each discipline that have published mobile marketing articles Discipline Number of journals Marketing 20 Information Technology 19 Management 16 Business 10 Psychology 7 Economic 6 Law 4 Electronic Commerce 3 Banking 1 Innovation 1 Delving into the specific journals that published mobile marketing articles reveals a mostly scattered field of interest. Approximately 16 % of all mobile marketing articles were published in the International Journal of Mobile Marketing which contributed several articles classified under the Strategy category. Followed Psychology & Marketing that provided 6% of total articles but accounted for 13% of the articles in thus being the journal that has published the most articles in this sub-category. The Journal of Advertising Research is the third journal in importance with 6 articles published on mobile marketing. Table 5 presents the journals that have published 3 or more mobile marketing articles between 2008 and It identifies how many articles the journal published in its preferred category in comparison with the number of total Mobile Marketing it published and also, which consumer behavior sub-category is most often presented. For example, the International Journal of Mobile Marketing, which represents the journal with the most articles on the subject, has published 20 articles. These articles focused mainly on Strategy. Only 2 articles focused on consumer Attitudes, the most important sub-category presented by the journal. Other journals accounted for a fraction of the retained articles. Table 5 - Journals with at least 3 articles on mobile marketing Journal International Journal of Mobile Marketing Psychology & Marketing Journal of Advertising Research Industrial Management & Data Systems Journal of Internet Banking and Commerce The Journal of Interactive Marketing Journal of Marketing Main Category (Main Category/Total Mobile Marketing) Strategy (11/20) (7/7) Theory (3/6) (3/3) (2/3) Strategy (2/3) (2/3) Main Sub-Category Attitudes (2) (6) (1) (2) (2) No article published (1) Attitudes (1) 4.2. Research Trends This section presents consumer behavior research avenues in the field of mobile marketing. They are based from the review of the retained articles and are organized by the sub-category under which the paper was classified of Mobile Marketing Articles that focused on the determinants of mobile marketing acceptance [3], [4], [8], [9], [18], [20-24] [26], [27], [29-31], [39-42], [44], [46], [49], [50], [52], [53] [55], [59], [60], [63], [68], [69], led to so many possible research questions that they have been grouped under 5 topics: SMS, Mobile Advertising, Mobile Shopping, Conceptual research questions and Technologies. (a) Short Message Service (SMS) These research questions often deal with the consumer s decision making process after receiving a text message or analyse key factors of SMS consumer acceptance. (1) What role does emotion have on a consumer s participation in an SMS-based TV show? (2) What is the effect of consumer innovativeness and compatibility in SMS adoption? (3) What is the effect of socio-demographic factors like gender, family, life cycle, income and culture on SMS advertising acceptance?

5 5 (4) Would Multimedia Message Service (MMS) be accepted the same way as SMS by mobile device users? (5) What effects do antecedents such as self-efficacy, technology know-how and incentives have on SMS advertising? (b) Mobile Advertising These research questions investigate mobile advertising acceptance in its various technological forms as well as consumer reaction to the advertising stimulus. (1) What effect does language have on mobile advertising acceptance? (2) What impact do different types of mobile advertising (mobile games, MMS, ring tones, videos, etc.) have on mobile advertising acceptance? (3) What relationship exists between social norms and different types of mobile advertising? (4) How can advertisers benefit from the consumer s emotional attachment to their telephone to improve mobile advertising (for to the mutual benefit of companies and consumers)? (c) Mobile Shopping Several definitions exist for mobile shopping (or m- commerce). We define it as using a wireless handheld device to purchase products or services. Previous researchers present many questions related to explaining the consumer s propensity to shop with a mobile device. (1) What attitudes and socio-demographic factors characterize mobile phone users and their intention to adopt mobile shopping? (2) What influence does targeted advertising have on a consumers shopping behavior? (3) Do the antecedents of the consumer s affinity to their mobile phone and the consumer s innovativeness have a role to play in mobile shopping acceptance? (4) Can the payment process and method improve consumer experience and satisfaction while mobile shopping? (5) Do the different characteristics of mobile service providers affect consumer adoption of mobile commerce? (d) Conceptual Conceptual research questions aim at improving or testing conceptual models or adapting them to a mobile marketing environment. They mostly deal with adoption models and the effect of privacy issues. (1) Could we better explain user acceptance through a deeper understanding of trust (how trust emerges, develops and possibly diminishes)? (2) Does permission-based marketing and risk perception better predict mobile marketing acceptance than known acceptance models? (3) Is permission-based mobile marketing accepted the same way in every country? What factors would affect these differences? (4) Does the concept of mobility need further elaboration beyond the simple concept of availability anyplace, anytime, anywhere? If so, what would be that concept? (5) Could the Theory of Reasoned Action [17] or the Theory of Planned [1] be used to better understand the innovation-decision process of mobile marketing adoption? (6) When does a consumer s privacy concern begin to hinder mobile marketing usage? (e) Technologies The following questions deal with the technological aspects of mobile marketing. (1) How can emerging wireless technologies be exploited to block spam and reduce the irritation caused by unsolicited advertising on mobile devices? (2) Is the degree of self-identification with the mobile device similar to the degree of selfidentification on a personal computer? (3) What are the implications of usage and acceptance across various advertising mediums like SMS, mobile Internet, voice, MMS, mobile and Bluetooth? Role of Trust in Mobile Marketing Articles classified under this category [35], [38], [57], focus on the matter of trust in mobile marketing. Trust has been proven to be a key facilitator in electronic commerce and now also in mobile commerce [67]. These questions are directly related to trust in a mobile marketing context. (1) What is the effect of different product categories on mobile trust? (2) What role do trust and satisfaction have in adopting mobile functionalities and continuing their use? (3) Is there a consumer segment in mobile commerce that is more trusting? On what should that segmentation be built? Mobile Satisfaction & Mobile Loyalty Studies about Satisfaction and Loyalty [12], [13], [15], [36], [56], [70] made significant contributions in terms of exploring mobile consumer behavior patterns and thus, deserve to be classified under a distinct category [58]. Articles that are classified under this category study the consumer s behavior after acceptance of mobile marketing and how they act according to their experience. (1) How are mobile satisfaction and mobile loyalty different between countries and could this factor serve help to better understand the customers value toward SMS? (2) If consumer mobile devices use is dynamic in time, can accumulated experience make them

6 6 continue or abandon mobile SMS? Furthermore, what are the factors affecting their usage behavior and how do they evolve? (3) How do mobile devices contribute to the tourism industry and what could be done to increase its contribution? Attitudes towards Mobile Marketing The quantities of articles that focus directly on consumer attitudes towards mobile marketing [2], [14], [28], [32], [45], [47], [51], [62], [64] bring forth several research questions. (1) How do consumers perceive fee-based mobile promotional applications? (2) What are the effects of e-word-of-mouth in mobile? Do high-involvement products have the same effect as low-involvement products? (3) Are certain brands more appropriate to consumer acceptance of SMS advertising messages? (4) What are the differences regarding attitudes towards mobile marketing in developed and developing countries? (5) Can consumer attitude alone sufficiently explain consumer behavior towards SMS advertising? If not, what other consumer behavior factors should be considered in order to craft better SMS advertising messages? (6) Which form of SMS advertising is the most relevant to influence the attitudes of young consumers? (7) Could MMS be used as another avenue to communicate with consumers? (8) What are the effects of impulsiveness on mobile purchase behavior? Perceived Value & Value Creation Few articles [33], [48], [65] cover this sub-category and none provide research questions that deal directly with consumer behavior in mobile marketing. 5. Discussion and Conclusion Comparing our results with the previous classification enables us to comment the last 10 years of research in mobile marketing thus allowing for a richer interpretation of the results and publication trends Mobile Marketing Research is stable (57) found 255 articles published during a 9 year period which averages out to 28 articles/year. Our study found 126 articles over 3 years thus averaging to 42 articles/year which is fairly similar to (57) s findings for the years of 2005 to 2008 (i.e. 44, 39, 49 and 39). Although 2010 seems to have fewer articles published than recent years, it is too early to state that this decrease is part of a trend. The sudden drop of research in 2010 could simply be due to an evolution in keywords used in mobile marketing. Our study used the same keywords as (57) s study which might be outdated. The findings could thus be less representative of current research in Mobile Marketing for We thus conclude that in general, the quantity of academic publications in Mobile Marketing seems to be stable since Mobile Marketing is Gaining Widespread Interest (57) s study counted 255 articles published in 82 journals from 2000 to Our census counted 126 articles published in 76 journals from 2008 to This represents a decrease from 3.1 between 2000 and 2008 down to 1.66 between 2008 and 2010 in the ratio of mobile marketing articles per journal. Our results show that journals with at least 3 articles on the topic produce 35% of all articles. During (57) s data collection, journals with at least 3 articles on the topic produced 68% of all articles. This would indicate that more journals are publishing mobile marketing research thus pointing to a wider academic interest going beyond specialized journals Mobile Marketing is Still an Emerging Research Field (57) s study showed only 3 articles on mobile marketing were published in 2000 clearly indicating that it was a nascent field of research. Our results present that the field is still in an emerging stage because most of the articles that dealt with were classified under the subcategory. We expect that as the research field will become more mature, we will see a transition of research from adoption of mobile marketing towards loyalty and satisfaction. The results also indicate that research is rather limited in terms of the technology involved. Considering the industry s interest for newer mobile marketing innovations like Bluetooth, Near Field Communications (NFC), location-based services using GPS, it is a surprise that these articles mostly focused on mobile advertising with SMS or MMS technologies. Of the 126 articles reviewed, only one focused on Bluetooth technology. 6. Acknowledgement This article is an updated and extended version of a shorter article presented at the 20th International Association of Management of Technology conference [19]. References [1] Ajzen, I., The Theory of Planned, Organizational and Human Decision Processes, Vol. 50, pp , [2] Abbass Al-alak, B., Akram Alnawas, I., Mobile Marketing: Examining the Impact of Trust, Privacy Concern and s Attitudes on Intention to Purchase, International Journal of Business and Management, Vol. 3, pp , [3] Aldás-Manzano, J., Ruiz-Mafé, C., Sanz-Blas, S., Exploring Individual Personality Factors as Drivers of M-shopping Acceptance, Industrial Management & Data Systems, Vol. 109, pp , 2009.

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