Mobile measurement. Marketing that keeps pace with tablets and smartphones

Transcription

1 Mobile measurement Marketing that keeps pace with tablets and smartphones An Experian Marketing Services White Paper July 2014

2 Measure up to mobile This is the age of marketing revolutions. In just over a decade, the landscape has transformed: from analogue to digital; from monologue to dialogue; and from mass marketing to precision targeting. And the most important shift of all is the one in customer behaviour. Fundamental to this change is measurement. Where once marketers planned campaigns using limited and dated information, now strategies can be grounded in comprehensive and near real-time data. The modern, savvy marketer brings customers what they want, when they want it and in the ways they are receptive to enhancing campaign effectiveness, brand reputation and ROI % Worldwide smart connected device forecast* Market share by product category, % 40% 60% 80% 100% Desktop PC Portable PC Tablet Smartphone Source: The most recent revolution is mobile. It s been bubbling away for years, but mobile devices are maturing fast and emerging as one of the most powerful forces in marketing. Smartphones and tablets are the next stage in connected device evolution. Independent analyst, IDC, reports that PCs will make up just 13% of the market by 2017, with tablets leap-frogging into second place at 16.5% and smartphones dominating at 70.5% i. With consumer behaviours markedly different depending on device, as well as next generation mobile devices consigning the traditional PC to history, failure to measure mobile is a dangerous blind spot. But marketing measurement, and consequently insight, has failed to keep pace with technology. Whilst most organisations can now cut and slice online data in a multitude of ways, the ability to differentiate between devices is still lacking. If marketers are to stay in the game, with rapidly changing customer behaviours, they must eradicate the dangerous mobile blind spot. The rewards of measuring mobile are compelling, allowing organisations to: Gain cross-channel understanding for comprehensive customer insight to deliver the marketing what, where, when and how to meet customer needs. Understand precisely where their organisation is in the competitive environment. Engage customers in the right places, at the right time, with the right content. Focus marketing resources where they are most effective for optimal ROI. Marketing needs to catch up fast and this paper looks at the impact of mobile and the insight coming on-stream that will ensure organisations stay ahead of the curve. Mobile measurement marketing that keeps pace with tablets and smartphones 1

3 Fast moving mobile The old connected device status quo is about to expire. For the first time in Q4 2013, shipments alone exceeded those of laptops and desktops combined, whilst smartphone shipments globally passed the 1 billion mark. By 2017, smartphone and tablet shipments will be seven times that of laptops and desktops. But does the device a customer uses really matter to marketers? ii The numbers suggest that it s critical. Social marketing is a significant and growing channel, with Experian research showing that 13 minutes of every hour spent online is dedicated to it iii. It s a place where marketers need to be if they are to stay close to their customers and their strategies need to align to the phenomenon. And in booming social, mobile is where it s at. Taking Facebook as an example, around 24 million people in the UK (a third of the population) log on every day, with a startling 83% of these users accessing the site from their mobile device. It s hardly a surprise that the company has publicly committed itself to investment in the mobile space a commitment that appears to be paying off as it reported more than half of its 2014 Q1 advertising revenue coming from mobile ads. Recent studies suggest that mobile is beginning its rise to prominence beyond the social space too. It is estimated that more than half of all of Google paid search clicks will come from mobile devices by Further, the accepted wisdom is that whilst consumers might search for products using a mobile device, they will purchase using their PC but this too is changing, whilst conversion rates for smartphones have some way to go, those for tablets already exceed desktops iv. By 2017, smartphone and tablet shipments will be seven times that of laptops and desktops. Advertising spend is a bellwether for marketing trends, and all the signs are pointing to mobile. In 2014, UK advertising spend on mobile advertisements is set to leap by 90% to hit 2.26 billion, surpassing print advertising for the first time. This shift in investment is driven in part by the fact that 30% of all ecommerce traffic now comes from non-pc connected devices v. It begs the question: despite the power of mobile and its impact on sales and marketing, why are so many organisations failing to optimise marketing messages and websites for the mobile experience? The simple answer is, without the ability to differentiate and measure mobile, companies simply don t know what they re missing. Mobile measurement marketing that keeps pace with tablets and smartphones 2

4 Vive la différence smartphones and tablets The proliferation of channels and devices has galvanised many marketers to change. A 2014 study of UK companies showed that 83% of respondents planned to implement a cross-channel strategy within 18 months, with 100% of those stating that mobile was a top priority vi. Cross-channel execution, however, demands cross-channel insight and if a company can t see its increasing number of mobile customers in detail, it s never going to engage individuals effectively. A company needs to understand more than just the fact that customers are coming to them via mobile devices, because there s increasing evidence that smartphone and tablet use differs. Within other classifications, PC use still remains the norm, though smartphones, tablets or both are closing in fast: Prestigious Positions (influential and wealthy consumers) where tablet use already surpasses laptop but smartphone still lags behind Using Experian Mosaic data and classifications, it s clear how different groups of customers interact with different devices. Many Mosaic groups have already reached the tipping point, with smartphone and tablet use already surpassing that of laptops. These include: City Prosperity (wealthy and high achieving customers) Domestic Success (thriving families and singles) Aspiring Homemakers (ambitious families and singles) Municipal Challenge (inner city households) where smartphones beat laptops into second place Urban Cohesion (thriving city-dwellers) where tablets predominate and smartphones match laptops Finally, there are customer groups where laptop use is still the preferred means of connection, including: Senior Security (financially comfortable older consumers) Vintage Value (lower income older consumers) Country Living (wealthier consumers in the shires) This level of detail offers an organisation priceless insight. Understanding who is likely to use which device, marketers can develop highly targeted and effective approaches to highly targeted customers. The problem facing marketers in realising this potential has been that it s incredibly difficult to gain access to the mobile data that provides this level of insight. Mobile measurement marketing that keeps pace with tablets and smartphones 3

5 Measure up with Hitwise To access this kind of detail, businesses need a partner with breadth and depth of insight into both data and marketing. Hitwise delivers an in-depth view of consumer behaviour on mobile devices. Using data from desktops, laptops and on-device mobile data from smartphones and tablets captured over both 3G/4G and WiFi networks, marketers are able to see and differentiate between their mobile customers clearly to make better marketing decisions: Identify and differentiate in terms of mobile/desktop browsing behaviour to optimise marketing strategies, campaigns and ROI. Compare performance against key competitors. Understand strengths and weaknesses to optimise customers cross-channel experience. Identify fast-moving websites that threaten market share of traffic from mobile devices. Learn from websites that are already performing well and stay up-to-date with trends. Hitwise categorises millions of websites across the globe whether mobile, desktop or responsive design into 170 industries, with websites manually reviewed to ensure they are classified and aggregated accurately. Contact us today to find out how Hitwise will help your business to measure and optimise mobile meeting customer expectations and delivering demonstrable ROI. Mobile measurement marketing that keeps pace with tablets and smartphones 4

6 Embankment House Electric Avenue Nottingham NG80 1EH Dundee Street Fountainbridge Edinburgh EH11 1DQ 7 Old Town Clapham London SW4 0JT Intelligent interactions. Every time. Experian i ii iii iv v Shop Visible, Influence & Impact, ecommerce Benchmarking Report, 2013 Year In Review vi The word EXPERIAN and the graphical device are trade marks of Experian and/or its associated companies and may be registered in the EU, USA and other countries. The graphical device is a registered Community design in the EU. All rights reserved. Experian Ltd is authorised and regulated by the Financial Conduct Authority. Experian Ltd is registered in England and Wales under company registration number July 2014