Mobile Mixology. Key ingredients to creating an effective mobile messaging strategy. Mike Puffer. Bruce Hershey

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1 Mobile Mixology Key ingredients to creating an effective mobile messaging strategy Mike Puffer Mobile Marketing Manager Experian Marketing services Bruce Hershey VP Mobile Strategy Archer Mobile

2 What we ll cover Context & Level-Set Mobile Contact Strategy Industry stats: Why mobile is important to your brand Ingredients that make up the mix Elements that define a mobile strategy Steps to creating a mobile strategy Processes that support a crawl, walk, run approach

3 Mobile. Is always with us 39 percent of Americans say their phone is more important than their wallet when going out r&utm_campaign=dd%20brands%202.0

4 Mobile. Is More Personal Contains all of our personal content: Friends Family Texts Apps Photos s r&utm_campaign=dd%20brands%202.0

5 Mobile. Connects channels & customers It connects with all other media & channels: TV, radio, social, , apps, direct mail, out of home, etc. r&utm_campaign=dd%20brands%202.0

6 Mobile marketing history 2013: Consumer-centric One to one CRM driven approach to mobile marketing : Campaign-centric One to Many- A lot of new marketing tactics based on consumer demand/adoption

7 Marketers and mobile 96 % Of marketers currently use or are planning to incorporate mobile marketing into their marketing mix Barnraisersllc.com 2013 ANA/MediaVest Study

8 Marketers and mobile 42 % Are concerned about having proper mobile metrics in place Barnraisersllc.com 2013 ANA/MediaVest Study

9 Marketers and mobile 42 % Report an ability to prove ROI today Barnraisersllc.com 2013 ANA/MediaVest Study

10 Time spent looking in the SMS/MMS Inbox? Teens Age Age Age ,417 1, Text messages per month Text messages per month Text messages per month Text messages per month Every waking hour Every waking hour Every waking hour Every waking hour

11 90.00% 80.00% 70.00% % of time spent in SMS vs. 20% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% Messaging

12 SMS - The Workhorse Year Olds 113% more likely to find messages for sales and promotions very useful 60% have previously purchased apparel and accessories on their cell phones Year Olds 69% more likely to find messages with coupons or special offers very useful Year Olds 25% more likely to send/receive text several times per day Source: Forrester Q Consumer Technographic Benchmark Sample size: 9623

13 Mobile Gets results 65% 60% 55% Click through rates 50% 45% 40% 35% 30% 25% 58% 20% 15% 10% 5% 0% 1% 1% 7% 6% Facebook Ad (DMA) Online Display (DMA) (DMA) SMS Study 1 (Signal) 14% SMS Study 2 (DMA) 19% SMS Study 3 (Textboard) SMS Archer Tier One Brand

14 4 ingredients that make up the mix

15 Understand your customer

16 Understand your customer Consumer preferences, behaviors & habits Cross-channel / omni-channel Customer experience & engagement Value / relevance

17 Customer experience and engagement

18 Elements that define a mobile strategy

19 Consumer-centric mobile marketing 4 pillars of mobile Mobile strategy Mobile tactics Integration Connected CRM Customer-centric mobile marketing

20 Steps to creating a mobile strategy

21 Mobile marketing strategy 1 Perform mobile audit 5 steps to creating a mobile marketing strategy 2 Develop mobile personas 3 Develop program strategy 4 Develop contact messaging stream 5 Develop CRM strategy

22 Step 1 Mobile Audit Establish brand s mobile IQ Review goals/objectives and KPI s Review marketing strategy & calendars

23 Step 1 Mobile Audit Review consumer profiles & demographics Review web analytics & device profiling Review reporting/tracking capabilities

24 Mobile Score Card Marketing Strategy Connected CRM Strategy Execution Mobile Tactics Media Integration

25 Step 2 - Mobile Personas

26 Step 2 - Mobile Personas Enables the brand to view the consumer through a mobile lens Identifies how the target audience uses their mobile device(s) The framework for customer centric strategy

27 Mobile Tactics Heat Map Align tactics to target audience based on data from mobile personas Mass marketing tactics Niche marketing tactics Text Messages Voice Mobile Web Social Mobile Mobile Search Apps Games Display Advtg. Scannable Codes MMS Touch Screeners Green Thumbs Straight Talkers Legend High Medium Low

28 Step Step 3 Program Program Strategy Strategy Acquisition Engagement Identify Goals Objectives KPI s Conversion

29 Step 3 Program Strategy Step 3 Program Strategy

30 Step 3 Program Strategy 4 pillars of mobile Mobile strategy Mobile tactics Integration Connected CRM Customer-centric mobile marketing

31 Step Step 3 Program Program Strategy Strategy Goals KPI s

32 Step 3 Program Strategy Roadmaps

33 Step 3 Program Strategy Step 3 Program Strategy

34 Step 3 Program Strategy

35 Step 3 Program Strategy Acquistion Slide Web Mobile Web +Mobile Collection & mapping at opt-in

36

37

38

39 Step 4 - Develop Messaging Strategy SMS PUSH MMS

40 Cross-Channel Engagement SMS MMS PUSH 97% Open Rates Read w/in 15 Minutes 60-70% Response Rates 95% Open Rates Read w/in 10 Minutes

41 Mobile Messaging: What We ve Observed We Should Message only on what we promise. We Shouldn t Use SMS with the frequency of .

42 Mobile Messaging: What We ve Observed We Should Take a Cross channel integrated approach. We Shouldn t Use Push Notifications as you use SMS.

43 Mobile Messaging: What We ve Observed We Should Message only on what we promise. We Shouldn t Complicate our messaging.

44 Step 4 Messaging Strategy Acquistion Slide ROI MMS tracks opens MMS captures device info/capability Landing pages collect location Dynamic URLs/codes attribute transactions

45 Step 5 - Develop CRM Strategy Client DATA RULES DATA Mobile DATA Central DataBase:

46 Measurement The success of a mobile program is closely tied to these KPI s Opt-ins Set monthly goals & measure weekly Growth rates 8-12% average month over month growth rate Average opt-out rate should be less than 3% across all programs

47 Measurement The success of a mobile program is closely tied to these KPI s Engagement Coupon codes & URL clicks Site traffic, uniques, form data capture Call to action conversion Example: When scannable codes are implemented correctly, we see a 40% conversion (sign-up)

48 Measurement The success of a mobile program is closely tied to these KPI s Establish the value of an opt-in Example: In retail with average sale of $70 per transaction, the first year mobile opt-in value is $

49 Measurement The success of a mobile program is closely tied to these KPI s Response Rates Based on Segmented Groups Once alert group reaches approximately150k opt-ins,start segmentation to identify High value customers and begin targeting

50 Mobile CRM Recap Understand Audience Develop Strategy Mobile Strategy Mobile Analytics Create Measurement and Analyze Continual Improvement is a necessity

51 Processes the support a crawl, walk, run approach

52 360 Approach Audit & Roadmap Phased Plan Tactics Mapping Text Messaging Push Notifications / Social Successful brands approach mobile marketing from 360 o Marketing Database KPI s & Measurement Mobile Marketing Define Needs Educate Early Wins From platform to process to people, we help brands execute highly successful mobile programs List Growth Domestic International Best Practices Compliance PII Consumer Privacy Standards Platforms SLA 52

53 Example CWR Approach Crawl C W R WINS: Develop mobile strategy for acquisition and messaging tactics Define goals and objectives (growth, conversion, & redemption rates) Define actionable KPIs and measurement tools required

54 Example CWR Approach Walk C W R WINS: 30, 60, 90 day analysis of metrics Refinement of media integration and mobile strategy Review and refine user flows AB Testing Automated reporting integrated directly into CRM Strive to reach at least 150K Opt-ins

55 Example CWR Approach Run C W R WINS: Full CRM integration and segmentation Target the right consumer, at the right time with the right content on the right device Advanced tactics, LBS, Passbook, MMS Improve conversions and refine targeting strategy

56 Mobile Mixology Thank You!

57 K&G Case Study

58 K&G was founded in 1989 & acquired by Men s Wearhouse in Today K&G operates 101 stores in 28 states. Stores average 19,000 square feet. K&G Fashion Superstore offers an assortment of fashions for men, women & kids. Styles range from tailored career clothing to casual weekend wear to urban street wear. Situation Actions Benefits K&G Fashion Superstore needed a mobile marketing program to provide the following: Find a way reach and engage audience(s). Boosts local marketing efforts. Give legs to traditional media by integrating the mobile call to action starting with in store signage, radio, and print. Drives revenue and coupon redemption at the store level and online. Developed mobile marketing strategy using a 4-pillar approach: strategy, tactics, media integration and connected CRM Created a tactical plan, including creative, media integration and planned alerts, that was optimized with the appropriate mobile call-toaction. K&G s marketing team was able to use this plan as a playbook to rapidly create and integrate mobile tactics in a sequential order, starting with in-store, online, and finally direct mail Regular measuring and reporting of the mobile program for internal assessment requirements and to determine how to further refine the strategy through execution results, thus increasing efficiency Within the first 6 months, 90% of the goal had already been achieved The data agnostic, analytical approach to optimization enabled a significant amount of interaction and mobile data gathering with the customer that will be used to shape the next growth phase of the strategy The introduction of new mobile marketing tactics will further increase the consumer-to-brand engagement with existing customers, while attracting new members to the program

59 Situation: Leverage mobile as a key channel to identify the audience, drive traffic & revenues at the store Opportunity: Identify customers that are not in the rewards program Build a robust mobile database that can be aligned to current CRM Database. Increase basket size & frequency Drive traffic to the stores, redeem coupons at the register Overview and Integration Text SAVE to In Store How to Flyer Current Instant Win Program Solution: Mobile audit and strategy Mobile contact strategy WEB Sign up for mobile alerts In store alert enrollment CRM 59 and database Integration 59

60 Mobile is now a key pillar in the digital marketing strategy Mobile is the only way to reach over 350,000 K&G Rewards customers 40% of Rewards customers joined the mobile program Mobile Rewards customers are worth at least $30.00 more per year in incremental revenue Overall, 66% are existing customers, 33% are net new customers Overview and Results Mobile Program Results from 2011 Start Date: February 2011 Stores: 101 Mobile List Growth Weekly: 4,000+ Total Members: 350,000+ Mobile Coupon Redemption Rate: Mobile Opt-in, Annual Value: YTD Gross Revenue: 94% $ $55,536,

61 Experience and Results 1 K&G Mobile Rewards Program Call to Action 2 3 at Text Message Opt in Experience and Trackable Redemption Code Consumer Redeems the Point of Sale Offers and Response Rates $5.00 off 94% 20% off purchase 45% 30% off regular price 20% $20 off purchases of $100 1% 15% off purchases of $150 or more 0.01% 61 61

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