Mobile Marketer Guide to m-Commerce November 2012

CONTENTS
PAGE PAGE

3 INTRODUCTION 36 Case studies on mobile campaigns and programs
Mobile commerce set to blaze new trails during retail sites
By Mickey Alam Khan By Lauren Johnson

4 The state of mobile commerce 39 Mobile coupons: The tipping point of
By Rimma Kats mobile commerce
By Shuli Lowy
7 How to create a mobile commerce site
By Rimma Kats 41 The allure of mobile coupons
By Rimma Kats
10 Unique marketing opportunities with SMS
By Colleen Petitt 42 Mobile coupons: A little less conversation, a little
more action
12 Creating a mobile CRM program with SMS By Jeffrey Sampson
By Chantal Tode
44 What types of coupons work best for
15 Using SMS and short code marketing to drive mobile commerce?
traffic to retail locations By Lauren Johnson
By Rimma Kats
46 Case studies on mobile coupon programs
17 Increase ROI with measurable results By Chantal Tode
By Robin Eyre
48 Proximity and presence in retail mobile
18 The case for mobile commerce marketing: three consumer benefits
By Chantal Tode By Jack Philbin

20 3 tips for using mobile direct display advertising 50 How to make a mobile commerce site transactional
By Dave Lawson By Lauren Johnson

22 Increase engagement, sales and loyalty with 51 Billing options on a mobile commerce site
mobile rich media By Chantal Tode
By Matevž Klanjšek
53 How secure are mobile commerce transactions?
24 Do retailers get mobile commerce? By Chantal Tode
By Lauren Johnson
55 The role of wireless carriers in mobile commerce
26 How to create a mobile commerce application By Chantal Tode
By Lauren Johnson
57 Research on mobile commerce
28 Will simply repurposing the ecommerce site work? By Lauren Johnson
By Lauren Johnson
59 Mobile commerce in a multichannel environment
30 The effect of HTML5 on mobile strategy By Lauren Johnson
By Chantal Tode
61 Legal developments affecting mobile commerce
32 5 in-app metrics you are not measuring, but By Michael B. Hazzard and Jason A. Koslofsky
should be
By Raj Aggarwal 63 The legal do’s and don’ts of mobile commerce
By Chantal Tode
34 Own the in-store customer experience via
location-aware branded app 65 Mobile commerce: Your customers are demanding it
By Dan Lowden By Jared Friedman
PAGE 2 Mobile Commerce Daily CLASSIC GUIDE TO MOBILE COMMERCE 2012

INTRODUCTION
Mobile commerce set to blaze new trails
M obile commerce is the one mobile channel on fire. As re-
tailers are learning – to their chagrin or delight – mobile
can be their best friend, worst enemy or, as many view it, as
timized shopping experience on mobile. Smartphones are already
playing a critical role in driving traffic to retail stores, in addition
to threatening the viability of bricks-and-mortar operations with
the frenemy. the new showrooming phenomenon where consumers research in
stores on their phones only to buy elsewhere for cheaper – Amazon.
But those reservations do not matter. What is indisputable is that
mobile is the future of retail. Savvy retailers are ahead of their Tablets, on the other hand, are now stealing share from laptop-
customers, offering shopper-friendly mobile sites, applications, and PC-based ecommerce, making shopping more enjoyable and
SMS- and email-based loyalty programs, coupons, QR codes and appealing. Many retailers now claim that tablet commerce is on
targeted, geo-fenced mobile advertisements and integration into its way to becoming the dominant mobile revenue channel.
Apple and Google’s loyalty and commerce initiatives.
Covering ground
Show grooming Please read this guide from page to page, and pass along the link
Mobile commerce is expected to account for 20 percent of online to colleagues and clients. Included in this edition are insights
sales in 2012, according to IBM. But that is just the beginning. from some of the smartest minds in mobile commerce. We thank
As consumers get more comfortable shopping on smartphones them for their contribution, time and effort.
and tablets, overcoming issues such as unfamiliarity and security
fears, they will take to mobile commerce at an even faster adop- Also, many thanks to our advertisers OpenMarket, Appcelerator,
tion rate than ecommerce. Sadly, not all retailers understand the Fiksu and SiteMinis. Their work for clients has helped shape smart
speed of adoption that they can expect from consumers, nor the mobile commerce strategy and tactics. Finally, a big thank-you
heightened expectation levels from their target audience. to associate editor Rimma Kats for her art direction, editing and
reporting, as well as associate editor Chantal Tode and associate
What this Classic Guide to Mobile Commerce does is pro- reporter Lauren Johnson for their reports. Ad sales director Jodie
vide how-to advice, pointers and best-practice tips on how Solomon’s contribution is also much valued, as is content assis-
to get a retailer started in mobile commerce. It is also use- tant Kristina Mayne’s help.
ful for retail executives who are already including mobile
in the mix to evaluate how they stack up with best practice. The Mobile Marketer/Mobile Commerce Daily team has worked
hard to maintain the standards expected of them and the publi-
Mobile must not be viewed as merely yet another technology. cations. We hope this Classic Guide will help retailers interested
Instead, it is to be respected for what it has done to consumers: in mobile commerce set new standards as well.
liberated them from time and space constraints associated with
searching, shopping and buying. It is not technology that is mo-
bile, it is the consumer.

Indeed, given the state of the economy and the increasingly fin- Mickey Alam Khan
icky nature of consumers, retailers have little time to offer an op- mickey@napean.com

Mickey Alam Khan Rimma Kats Jodie Solomon 401 Broadway, Suite 1408
Editor in Chief Associate Editor Director, Ad Sales New York, NY 10013
mickey@ rimma@ ads@ Tel: 212-334-6305
napean.com mobilemarketer.com mobilemarketer.com Fax: 212-334-6339
Email:
news@mobilecommercedaily.com
Website:
www.MobileCommerceDaily.com
Chantal Tode Lauren Johnson Kristina Mayne For newsletter subscriptions:
Associate Editor Associate Reporter Content Assistant http://www.mobilecommercedaily.com/
chantal@ lauren@ kristina@ newsletter
mobilemarketer.com mobilemarketer.com mobilemarketer.com
For advertising:
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For reprints:
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Mobile Commerce Daily covers news and analysis of mobile, retail and commerce. The Napean franchise comprises Mobile Marketer, MobileMarketer.com, the Mobile Marketer Daily
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webinars, Mobile FirstLook, the Mobile Marketing Summit and the Mcommerce Summit and awards. ©2012 Napean LLC. All rights reserved. No part of this publication may be reproduced without permission.


The state of mobile commerce
By Rimma Kats

T
he mobile commerce space is growing at an Marketers tend to be fearful and cautious about mobile.
exponential rate and with new technologies such
as NFC and augmented reality being incorporated However, it is important that marketers test and try out
into marketing strategies, there is no doubt the industry new mediums.
will take bigger leaps next year.
Marketers need to understand mobile consumer behavior
Companies such as eBay and Starbucks have seen success and the best way to do this is to link a mobile marketing
with mobile and are increasingly looking at new ways to campaign with mobile commerce conversion metrics.
drive consumer interaction.
“The sky is the limit,” Mr. Kerr said. “As social commerce
Marketers are beginning to incorporate different struggled to find itself, mcommerce will keep growing.
mobile mediums into their strategies, rather than solely
using one. “As connections speeds increase generally and more
retailers deliver a user-friendly mobile site, mobile
“A mobile commerce site is no longer a nice-to-have,”
said Wilson Kerr, vice president of business development
and sales at Unbound Commerce. “For any online retailer,
integrated mcommerce is now a must-have.

“Apple alone has sold almost 220 million iPhones and
over 50 percent of Americans now own a connected
smartphone,” he said. “Mobile commerce is expected
to hit $20 billion this year, up almost 65 percent
from 2011.

“EBay expects to see its mobile commerce grow from $5
billion to $8 billion, without any impact to ecommerce.
Yet, despite these insane numbers, only about 30 percent
of top 500 online retailers have a mobile site.”

Driving innovation
Mobile commerce is here to stay and growing fast.

According to Mr. Kerr, smart retailers will not view
a mobile site as a mirrored, smaller version of their
Web site.

“The fact is that mobile consumers behave differently
than online shoppers,” Mr. Kerr said. “They buy more,
faster and can use mobile to find retail locations.

“Mobile is a unique new channel and we are only
beginning to learn how powerful it will become,”
he said.

consumers will become increasingly comfortable with
making purchases online, on their phones,” he said.

“Retailers should beware revenue-share deals that allow
them to launch a mobile site for little upfront fees, as
they will almost certainly pay for more later.”

New direction
The mobile commerce space is getting interesting.

This is because the line is blurring between destination
and ecommerce, most visibly in Apple stores, according the ‘cash register’ potentially works right on a mobile
to Tom Limongello, vice president of marketing at Crisp. application,” Mr. Limongello said.

“The cashier walks over to you as you are looking at “Also, the payment process is getting easier, from card
the product, and the same happens on your phone as swipe machines being embedded into phones via Square
to apps that are scannable like LevelUp, Belly and
Starbucks to the first NFC posters that Android devices
can interact with, payments and commerce is no longer
tied to a fixed register,” he said.

There are many areas in the mobile commerce space that
marketers can improve on.

Take curation, for example.

Putting the right product in front of consumers at the
right time is key.

Whether the media is outdoor, in-store or on-device,
splitting up time based on the most likely product to be
bought based on the time of day, week or even month
can be optimized so much to drive mobile commerce
based on a variety of factors that include outdoor events,
television programming, film releases, product releases
and merchandise sales of any kind.

Mobile commerce is going to be all about personalization
and relevance.

Marketers who marry the two will see success.

“I think mobile can help flatten out the buzz-driven
variability in the social commerce space,” Mr. Limongello
said. “For example, mobile can offer a way to driving
more regular ticket sales to concerts.”

How to create a mobile commerce site
By Rimma Kats

R
etailers are constantly looking at mobile as an ideal customer experience just as comprehensive and easy-to-
medium to drive incremental sales. However, when use as the traditional Web site,” she said.
developing a commerce-enabled mobile site, mar-
keters need to take understand consumer needs to fulfill“In addition, we anticipate seeing more mobile commerce
their coals. sites that intersect mobile and social, allowing custom-
ers to not only shop but also socialize and share their
When developing a mobile commerce-enabled site, it is favorite products and activities with friends. And lastly,
important that marketers clearly decipher and outline we expect to see tablet commerce continue to grow in
their business goals for mobile, whether it is increas- popularity and usage.”
ing sales ROI, brand engagement, or a combination of
both. After establishing clear goals, marketers should Mobile shopping
determine which specific areas of their value proposi- Mobile provides a big opportunity to retailers.
tion they want to emphasize on mobile, in addition to
any additional unique features they want to add to the Indeed, having a mobile-optimized site is critical.
mobile experience.

“It is also important for marketers to understand their
customers’ needs and what they would benefit from in a
mobile environment,” said Carin Van Vuuren, chief mar-
keting officer of Usablenet, New York.

Critically important
A mobile site is critical for marketers for a very simple
reason – mobile is where consumers are spending a sub-
stantial amount of their time browsing and shopping.

Mobile has evolved from being viewed as a luxu-
ry to being recognized as a necessity for a brand
to experience true success in today’s smartphone-
driven world.

Additionally, a mobile site is a great way for marketers to
increase engagement between their brand and consum-
ers, in addition to bridging the gap between offline and
online purchases.

“As smartphones and tablets have become key drivers
of Internet usage, brands are now realizing that it’s not
enough to just offer a simple optimized site,” Ms. Van
Vuuren said.

“With that in mind, we expect to see more and more
brands turning to strategies that leverage next-genera-
tion features and technologies like HTML5 that make the

perience for mobile will substantially improve sales and
customer acquisition.”

With more than 50 percent of Americans now owning
a smartphone and 64 percent of those consumers using
their mobile devices to shop online, a mobile site is a
must-have for brand marketers.

Mobile commerce sites let brands connect with their
customers 24/7 whether they are at home, on the go or
inside of the retail store.

“By offering a unique and elegant mobile shopping expe-
rience across all smartphone device platforms, the brand
can create a positive shopping experience for the widest
range of customers,” Mr. Lowden said.

“It is then when the brand moves the consumer from
an occasional shopper to a loyal customer that they can
entice them to download the branded mobile app for the
loyalty program and location-based features to create an
even deeper, more significant relationship,” he said.

According to Mr. Lowden, mobile is becoming much more
than just strict mobile commerce.

Consumers are constantly on their mobile devices and “More and more consumers are using their smartphones
are continuing to turn to them to make purchases – both as a shopping companion to aid the in-store experience,
small and large. look for relevant offers and find the nearest locations,”
Mr. Lowden said.
“A mobile-optimized site that allows consumers to eas-
ily search, browse and buy is the first step in enabling “By the end of 2012, we are going to see a significant
a mobile channel,” said Dan Lowden, vice president of increase in brands that enable consumers to check-in to
marketing at Digby. a store location to see promotions and receive discounts,
scan UPC and QR codes to access more detailed prod-
“Key features of the mobile site should include: rich uct information including ratings and reviews and video
product photographs, complete product descriptions, demonstrations, and participate in store exit surveys that
customer-submitted product ratings and reviews, prod- can earn shoppers loyalty club points,” he said.
uct video demonstrations, shop by category, shop by
brand, store locator, email, share to Twitter and Facebook “Consumers will have the ability to receive highly rel-
and a complete, ever-present site search,” he said. evant messages and offers directly from their favorite
retailers and brands based on where they are and what
“It is important to note that the brand’s mobile site they’re doing, and retailers will be able to view shopper
should not be a cut-and-paste of the online site, but in- behaviors from check-in to exit, understand the length
stead designed for the unique ways in which consumers of visits to stores or other locations, and observe geo-
use mobile. Brands who create a rich, easy-to-use ex- graphic trends.”

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Unique marketing opportunities with SMS
By Colleen Petitt

S
MS marketing is one of the most immediate and pow- characters to deliver a message
erful ways to reach customers. Yet it is often over- that will spur customers to action.
looked in deference to more traditional approaches.
Not 160 words – 160 characters.
That is potentially a significant strategic mistake, con-
sidering the open rate for texts is 98 percent – compared It is critically important to find the
to 22 percent for emails. Additionally, the average num- right audience for an SMS cam-
ber of emails a customer receives a month is 1,216. The paign and make each one of those
average number of texts? 178. characters count. Colleen Petitt

Moreover, 91 percent of Americans own a mobile Targeting and segmentation
phone. Eighty-two percent never leave home without The first step in designing a successful SMS campaign is
their phone. to define the target audience, determine what the busi-
ness objective is and then refine the message.
Of course, SMS campaigns do have certain limitations,
one of the biggest being that a marketer has only 160 Customer segmentation qualifications could include:

1. Age of consumer. What age range do you want
to reach?

According to a 2010 Yankee Group study, the sweet spot
for SMS is between the ages of 20 and 34, where 60 to
70 percent of those polled text every day.

The percentage drops after age 35 to about 45 percent,
so an SMS campaign aimed at senior citizens would
probably not see the same success as one that targets
twenty-somethings.

2. Location. What offers can you make to customers
that are location-specific? Is it an unusually hot day?
Send a message that says “It’s hot outside, but our yo-
gurt is ice cold. Show this text for buy 1 get 1 free.”

Provided they have opted-in, consumers welcome this
kind of relevant, real-time interaction.

3. Customer value and engagement. Regular custom-
ers should receive different messaging than prospects.
If someone signed up in store versus through a radio
ad, you should create message streams that address
their experience.

While this level of targeting is critically important, it is

and two keywords for polling.

In this case, the keywords are “A” or “B.”

Host Ed Schultz reveals the results of that night’s poll at
the conclusion of each episode.

Another example is “American Idol.”

The show invites viewers to text the keyword VOTE to a
separate short code for each contestant.

Keywords must be kept short – ten characters maximum
– and aligned with preexisting brand language.

They also must be preapproved by carriers and follow the
Mobile Marketing Association Guidelines.

Adjusting copy
Another crucial element of successful SMS campaigns is
targeted copy.

With only 160 characters to spur recipients into action,
marketers must think small and precise for SMS, saving
longer messages for email.

impossible without a short code and a keyword. For example, when planning to market a special event, a
marketer might use email to promote detailed informa-
Short codes and keywords tion, then send a short text message alert on the day of
Short codes are 5-6 digit telephone numbers that can only the event.
be used from mobile phones and are country-specific.
At the end of the day, only three questions need to be
Optimally, short codes are easy to remember and difficult answered in an SMS message.
to forget, and they help consumers engage with a brand
via a wide spectrum of activities, ranging from survey What is the brand, product or service? What is in it for
polling and charitable giving to news alert subscriptions the customer? What should the customer do next?
and mobile services.
That said, the message length and carrier approval pro-
A keyword is the word or phrase consumers send to a cess for SMS campaigns may seem daunting.
short code to subscribe to mobile marketing.
For savvy marketers who are willing to get creative around
For example, a marketer may ask consumers to text the these guidelines, a compelling and innovative SMS cam-
keyword JOIN to a short code to subscribe to a breaking paign can markedly improve the customer experience.
news alert.
Colleen Petitt is director of digital and email services at
“The Ed Show” on MSNBC uses a dedicated short code Aprimo. Reach her at colleen.petitt@aprimo.com.

Creating a mobile CRM program with SMS
By Chantal Tode

S
MS is the gateway to mobile CRM programs that can “With typical response rates of more than 95 percent,
drive customer loyalty. Merchants are seeing strong mobile marketing via text messaging offers a uniquely
results from well-executed SMS campaigns, which powerful and highly personal communication channel
can be the underpinning for a mobile CRM program that compared to other media,” said Jack Philbin, cofounder/
drives customer loyalty and enables merchants to deliver CEO of Vibes, Chicago.
coupons, offers and other important communications.
“Consider for a moment that 91 percent of Americans
McDonald’s, IKEA and others have all discovered the keep their mobile phones within reach 24/7,” he said.
importance of SMS for engaging customers in ongoing
conversations and being able to easily reward them for “With this level of impact, building a mobile database
their patronage. and creating a strategic text messaging strategy
needs to be a foundational component of any brand’s
However, despite the fact that research shows that SMS mobile CRM plan.”
can produce engagement rates of up to eight times higher
than retailers normally achieve via email marketing, A ubiquitous tool
many retailers are still merely dabbling in SMS. The main focus of merchants with large CRM
databases has been to use SMS to offer an alternative
communication tool for new and existing consumers.

This enables customers to receive text alerts or reminders
via SMS instead of email.

Many are missing out on an opportunity with SMS to
drive deeper engagement with interested customers.

“There is no simpler way to immediately interact with
your consumer than SMS,” said Jeff Kilman, CEO of
Pocketstop, Dallas, TX. “For both opt-in and ongoing
communication, there is no tool that is more ubiquitous
and easier to use.

“When embarking on an SMS-driven mobile CRM
strategy, a merchant should develop a plan that will use
the collected data to make smarter and more-timely
relationships with customers,” he said.

“This can be accomplished by putting together a roadmap
for building an audience, engaging that audience,
connecting them into the most relevant marketing
channels available and then keep that dialogue ongoing.”

Merchants should be starting now to begin planning their
SMS strategy for the fourth quarter, as this is typically
when retailers can expect their mobile databases to grow

at the fastest rates for the year while monthly churn
rates are typically lower.

The first step in the CRM lifecycle is to create awareness,
which retailers can do with a simple text call-to-action
message such as printing a keyword and short code on
a print ad letting consumers know that they can text to
sign up to receive discounts.

This helps engage customers while identifying and
building a database of interested consumers.

Once consumers are in the database, retailers need to
create a strategic, targeted engagement strategy via
text messaging.

This helps marketers build a one-on-one relationship.

“Sending the same deal or coupon via text that was sent
via email will not cut it,” Mr. Philbin said. “It should be
unique and make the recipient feel special.

“This will build further engagement and ultimately help
drive consumers to the store,” he said.

“By leveraging text messaging in combination with
multiple touch points, retailers can ultimately lead
consumers through the customer journey–awareness,
engagement, transaction and loyalty.”

Holistic approach redemption methods with new technology, providing
Retailers should also think about leveraging text relevant content on a consistent basis and integrating
messaging as one piece to their overall mobile strategy. SMS as a part of an overall customer service and
marketing strategy.
By integrating mobile calls to action into cross-channel
marketing initiatives and promoting them through in- However, the benefits of SMS significantly outweigh
store, Web, email, print, and social channels such as any hurdles.
Facebook, retailers will see the best results for the efforts.
“Because it exerts the power of ubiquity and
SMS does come with some challenges. personalization, mobile should be viewed as a multi-
channel approach through which all marketing efforts
The biggest challenge for a merchant in a SMS-driven can be deployed,” Mr. Philbin said.
mobile CRM is merging that data with all of the other
data silos that it has in its system. “By doing so, customers will receive a more holistic and
cohesive experience, while the retailer improves the
Other challenges include combining old traditional value of its brand’s overall marketing strategy,” he said.

Using SMS and short code marketing to drive traffic to retail locations
By Rimma Kats

S
MS is no doubt one of the best channels that he said. “Unless they want to read a 160-page guide
marketers can use to drive in-store foot traffic, as developed by the MMA and carriers – and who doesn’t
well as keep an ongoing dialogue with consumers. – newbies should consult with experienced mobile
providers who can guide them through the process that
What is great about the channel is that marketers are begins with obtaining a short code and ends with a value
not only reaching consumers with smartphones, but exchange with mobile subscribers.
feature phones as well.
“Even before that happens, marketers should set clear
When used correctly, SMS can become the right tactic objectives and ensure that SMS is the right tactic.”
for marketers.
Driving foot traffic
“First off, marketers need to understand the rules SMS is critical for marketers looking to drive in-
regarding text messaging programs,” said Jeff Hasen, store traffic.
chief marketing officer of Hipcricket.
By opting mobile users into VIP clubs, retailers have
“Of course, they cannot just buy a list and spam everyone,” the ability to bring people into a store with the lure of
previews, offers and celebrity appearances.

“If you send those kind of messages via email, people
may show up in 2016 – or never,” Mr. Hasen said.

“The SMS advantages involve reach, immediacy and
permission,” he said. “There is no doubt that mobile
commerce is aided by text campaigns that give consumers
what they want, when they want it.

“Retailers looking to move product quickly have the
ability to reach out to an opted-in member who will be
most receptive and likely to buy.”

There are several steps marketers must take to create
a successful SMS and MMS campaign that drives high
return on investment.

It is important for marketers to determine their goals and
objectives.

The first step any marketer must take is to select the key
goals and objectives they want to achieve through SMS.

“Is your goal to increase conversion in-store?” said James
Citron, CEO of Mogreet.

“Are you trying to build a loyalty club?” he said.

messages at times during the day most relevant for the
consumer to open the message and, if the content is
compelling enough, buy the product.

“The more relevant and compelling the SMS message is,
the more likely a consumer is to take advantage of it – a
compelling promotion such as a coupon code redeemable
in-store delivered to the right customer base results in
higher in-store traffic.”

Evolution of mcommerce
Mobile commerce is quickly becoming a significant driver
of commerce revenue for retailers – ranging from 10
percent to 50 percent of all digital commerce depending
on the retailer.

SMS and MMS is the simplest and most intuitive way
to drive increased mobile commerce revenue through
targeted promotions. This helps marketers create a two-
way conversation with new and existing customers and
ultimately lets them create a long-term relationship with
their audience through mobile messaging.

“As smartphone penetration in the U.S continues to grow,
and as mobile devices become integral to the research/
purchase funnel, retailers have to ramp up their mobile
efforts,” Mr. Citron said.

“Marketers should create user-friendly mobile sites, build
“For many mobile commerce marketers, the goal is both.” and activate SMS/MMS databases, design QR codes
that do more than share existing Web content, utilizing
Secondly, marketers should determine their incentive multichannel marketing techniques such as the social
– what will drive their audience to participate and sharing of MMS messages,” he said.
text-in?

Lastly, companies should also select engaging content.
The better the content, the higher the response rate.

“SMS and MMS marketing drives in-store traffic through
relevance, immediacy and localization.” Mr. Citron said.

“Text messages’ naturally high open rates mean it has
the ability to drive immediate action by recipients,” he
said. “Smart mobile marketers create time-based SMS
and MMS messaging marketing programs, delivering


Using SMS and short code marketing to drive traffic to retail stores
By Robin Eyre

W
hen it comes to mobile commerce, the No. 1 Ubiquity
goal for retailers and brands is to implement In the developed world
programs that ultimately increase ROI with almost every household has a
measurable results. mobile phone.

Mobile phones have truly become a global phenomenon More than 99 percent of
in the past 15 years with close to six billion units in messages are read within five
use and whether you have a standard or smartphone, minutes of receipt.
and wherever you are, they will all have two things in
common: the ability to call and text. Emails, in contrast, may never
be opened, let alone read. Robin Eyre
Savvy retailers cottoned on to this quickly using the
simple text message as another channel through which Cost and measurability
to sell and market their products and services, using itRelative to other forms of direct marketing, costs of an
strategically, often in conjunction with other channels SMS are low and statistics such as delivery, replies if a
and with great results and happy, loyal customers. short code is included, call-backs and purchases if a code
or call to action are included are all measurable which is
So what is the attraction of SMS? Why are millions of important when assessing a campaign’s ROI.
marketing messages sent every day? The great thing is
few other channels are able to tick all the same boxes. Multichannel
SMS often works best in conjunction with multichannel
Simplicity campaigns.
A message is simple to construct, send and receive and
gets direct to the customer within seconds. With only Sure, sending a delivery reminder might only necessitate
160 characters to play with which must include an opt- one text, but retailers have consistently found that
out clause, you are forced to be succinct and creative. strategic text marketing works best in conjunction with
a number of channels and reinforcing the message across
Versatility email, direct mail, television ads, and the print media.
SMS can be used in virtually any function: marketing
promotions, purchase confirmation, delivery notices, Robin Eyre is marketing manager at Collstream Ltd. Reach
appointments and reminders and customer service. him robin.eyre@collstream.co.uk.

The limit is your imagination.

Customization
Messages can be customised depending on location, age,
product, promotional offer and price. With automated
CRM systems the data is easily uploaded.

Speed
Messages can be delivered with seconds or staggered
over a set time period. If a call center is involved and
traffic is slow, the number of messages being sent can be
given a boost to increase interaction.

The case for mobile commerce
By Chantal Tode

A
s mobile use continues to grow and affect larger
areas of consumers’ daily lives, it is not enough
for retailers to simply be present in mobile any
longer – they also need to have a functional offering that
enables users to purchase what they want, whenever and
wherever they want it.

While there are many considerations that go into
creating mobile commerce strategy, retailers need to
act quickly because they are missing out on a growing
opportunity to capture sales via smartphones and tablets.
While sales transacted via mobile devices are currently a
small portion of overall retail volume, they are growing
quickly and are particularly important around holidays
and special occasions, when users are looking to make
last-minute purchases.

“Except in the rarest of cases, mobile commerce is an
essential component of a retailer’s digital platform,” said
Tom Nawara, group vice president of emerging solutions
and innovation at Acquity Group, Chicago. “Customer
habits and behavior have changed, and they now expect
the brands they interact with to have a functional
mobile presence.”

Mcommerce volumes grow
The examples of retailers who are driving noteworthy
transaction volumes via mobile commerce are growing.
EBay predicts it will see $10 billion in mobile volume
transactions this year, while flash sales site Rue La La
recently said that mobile sales surpassed online sales for
the first time ever on April 14, representing 53 percent of

shoppers to find the product they are looking for as
efficiently as possible,” said Scott Forshay, strategist for
mobile and emerging technologies at Acquity Group.

“Having a transactional-capable mobile Web site also
plays a vital role in mobile marketing strategies.”

Tablet commerce
It is also important to understand mobile commerce does
not simply mean a transactional mobile site.

Tablets are a quickly growing area for retailers, with
consumers gravitating to these devices for activities
such as shopping because of their bigger screen sizes,
and retailers who are optimizing shopping experiences
for these devices are reaping the benefits.

“The term ‘mobile’ can mean different things to different
people and the landscape is constantly shifting,” Mr.
Nawara said.“

Just when retailers were getting to the point of optimizing
their big browser ecommerce sites, they now have to
contend with mcommerce, tcommerce and even couch
commerce with the rise of smartphones and tablets.
the day’s total revenue.
“In addition, true mobile commerce includes more than
Mobile commerce can also play a significant role in just mobile sites or apps, with retailers also having to
retailers’ broader mobile marketing strategies. determine how to execute in mobile search, SMS/MMS,
mobile offers and coupons and mobile advertising,”
Whether a retailer is using SMS, MMS or QR codes for a he said.
promotional offer, it is important to direct consumers to
a mobile-optimized product detail page specific to that “Understanding the various need states of customers
offer as this will provide a clear call to action that can across these devices, contexts and tactics can be difficult
drive transactions on a mobile device. for retailers, but it isn’t an impossible task.”

One of the first considerations that needs to go into What is most important is that retailers do not think in
creating a mobile commerce strategy is figuring out terms of specific techniques – such as wanting to do an
how to deliver an optimal shopping experience for app because everyone else has one – but in terms of how
mobile shoppers. their consumers are looking to transact with them via
mobile and how best they can support that activity.
“Retailers must first understand the prototypical mobile
user experience – as consumers are often engaging in “This approach will lead retailers to the creation of
limited time intervals – and design the user experience an omnichannel platform and allow them to focus on
with elimination of unnecessary steps in the checkout strategic mobile initiatives rather than just grasping at
path and a simple, logical navigational flow that allows ad hoc tactics,” Mr. Nawara said.


3 tips for using mobile direct display advertising
By Dave Lawson

A
s mobile grows, so does the technology behind ing and tracking these
it and the amount of ways marketers can con- multichannel touches
sider, target and build relationships with on-the- can enable a more suc-
go consumers. cessful connection of
digital dots. This ap-
An often overlooked arrow in the mobile marketing proach evolves common
quiver is that of mobile direct display advertising, which retargeting tactics into
is treated as a direct communication channel similar to a refined relationship
SMS and email. remarketing practice.

Like it or not, everyone is connected by multichannel The real opportunity for
consumerism and marketers can expect to interact with marketers lies in not just
consumers at any place and time. delivering mobile display
ads, but in delivering a Dave Lawson
Taking a profile-based approach to your mobile market- better experience throughout the entire engagement with
the customer.

Properly making use of mobile display ads throughout
the customer lifecycle helps drive conversions or other
desired actions such as sharing, liking, opting-in, check-
ing-in and more.

Here are three keys for using mobile direct display
advertising to deliver a great customer experience and
boost conversions.

Take a holistic approach to targeting
It all starts with data. Having access to all of your mul-
tichannel data is critical for creating successful mobile
direct display campaigns.

Using data from an individual as the organizing principle
lets marketers avoid the typical barriers when it comes
to making use of customer data.

Take for example, Jim. He is a customer of yours and has
signed up for your emails and SMS alerts. Because all of
your data is stored in a centralized profile management
system, you also know Jim has visited your mobile site,
opened a few emails on his smartphone, and has seen 15
ad impressions.

With this data in hand, you decide to show Jim a display
ad on his mobile device of the blue sweater he clicked on

when he read your email, which leads him to purchase.

Having all of your data wrapped around a customer pro-
file – such as Jim’s – not just a device profile, lets mar-
keters see which combination of ads and other channels
were most effective by giving a glimpse into referral in-
formation and click-throughs.

Use customer profile data to improve ad spend
Now that you have a complete customer profile for each
customer, you can use that information to help make
better ad buying and rendering decisions.

The holistic view of each customer gives you a look at
the entire interaction that the customer has with your
brand. It allows you to see the types of consumers you
should be serving ads to and model them out against
future consumer interactions that will occur.

You can also determine which consumers would likely
not respond well to ads, which saves you money.

Change how you plan your marketing
In order to effectively execute this mobile advertising
technique, you must implement a customer-centric,
consolidated approach to your marketing.

Using this approach lets you knock down silos to
make better advertising decisions and improve your
organizational efficiency.
the brand journey.
This is accomplished on many levels.
Additionally, you will not be burning Jim out with mes-
As illustrated in the Jim example, instead of going saging best intended for Suzie or for yet-to-be-identified
channel-by-channel to get permissions, develop content, new prospects.
segment, deliver, test, measure and optimize.
By leveraging a direct digital marketing approach to
You can decide how to treat customers across all your mobile advertising, you are not just opening up a
channels while respecting your place in their journey single new option, you are setting your marketing up for
with your brand. a game changing pivot that will prepare your organiza-
tion for success now and in the future.
Not only will this orchestrated message flow create a
more satisfying experience for Jim, it will deliver bet- Dave Lawson is director of mobile and digi-
ter efficiency because you do not have to execute 100 tal unification at Knotice, Akron, OH. Reach him
percent of each step across all the relevant touches of at dlawson@knotice.com.


Increase engagement, sales and loyalty with mobile rich media
By Matevž Klanjšek

T
here is no doubt that mobile marketer’s key objec-
tives always include increasing consumer engage-
ment, sales and loyalty.

To achieve these goals,
they use mobile advertis-
ing to build relationships
with consumers and en-
gage them by asking them
to do something specific –
browse through products
and shops, find a store
nearby, get a coupon or
book a test drive.

Static banners that click
through to a mobile land-
Matevž Klanjšek ing page or service can be
effective, but consumers presentations. There is a trade-off between the loading
have become hooked on the rich capabilities of their most time and the quality of the images, so be selective, but
favorite devices. better images typically produce better results.

Rich mobile advertisements allow brands to fully engage, Starting your ad with a video draws users in. The most
enabling users to scroll through product image galleries, effective videos are compact, serving as a teaser and
watch product demos, scroll through product specs and prompting the user to continue the engagement rather
even share a brand message with their friends—mak- than watching and leaving the ad.
ing the shopping experience much more fun, interesting
and memorable. TV commercials are not recommended as users have al-
ready seen them.
So how should you drive engagement, sales and loyalty
with your mobile advertising? In the right context such as a music-related publisher,
audio can be very relevant and effective.
1. Grab the user’s attention. As with any other suc-
cessful and effective ad, it all starts with captivating the 2. Present your products through engagement. Beau-
user’s attention. A meaningful call-to-action is essential tiful product shots can be presented in a variety of ways
and you will want to test different options to find the best to make the product part of a rich, fun experience, keep
performing message. the audience engaged for longer and, most importantly,
get them to make a purchase.
Great copy can drive up to 20 percent higher click-
through rates. By incorporating rich features such as Integrating games into your ads gets users emotionally
video content and image galleries directly into creative involved and allow you to present all of the products you
ad units, brands give users more options for response. are promoting.

Attractive and high quality photos work well for product Users get addicted to the game and often want to play

the ad experience especially when you want to collect
data or get them to subscribe.

3. Integrate social media. Integrating social media ele-
ments into your mobile ads has a positive novelty factor
effect and makes your brand cool, fresh, and up-to-date.
It also extends your reach and helps with acquisition.

If your brand has a Facebook page or Twitter profile, do
not forget to include buttons to take your users there. It
is an easy first step towards bringing social media into
your ads and it’s also quite effective – typically 3-10 per-
cent of users will tap on each.

Newer social media services like Instagram and Pinterest
excite users and increase their willingness to engage.

We have seen 15 percent of users want to follow a brand
on Instagram. To be truly social, it is important to get
your users to do more than just follow or like you –
get them to share your product on Facebook or post it
to Twitter.

Even better, encourage them to be creative. For example,
you could have users create a poster for your brand with-
in the ad. They will love doing it and we have seen more
than 20 percent post it to Facebook.

4. Make your ads location-aware. However global, all
business is local business.

To drive purchases, leverage the user’s location to direct
them to the nearest store and offer products that are
it again. relevant for where they live or work.

Completion rates for games are consistently high, 80-90 Store locator is a simple and effective way to get users to
percent, and after playing, users are more than twice as start shopping. When communicated clearly, more than
likely to find a nearby store or start shopping. 10 percent of users will search for the local store within
the ad.
Integrating your products as elements within the game
and pausing each time the product appears for an expla- For ticket sales, location awareness can be even more ef-
nation is highly effective – users are three times more fective - up to 15 percent of users will look for tickets for
likely to see all the products than they are when viewing their local theater, music show or sports event.
a standard product gallery.
Matevž Klanjšek is cofounder and chief product officer at
Gamification is another great way to get users through Celtra. Reach him at matevz@celtra.com.

Do retailers get mobile commerce?
By Lauren Johnson

W
ith consumers comparison-shopping and often
buying from competitors while in-store, many
retailers are beginning to see mobile as not only
a necessary part of driving sales, but also as a way to
bust competitor shopping.

With online-only retailers such as Amazon promoting
comparison-shopping in-store, some retailers now view
mobile as a threat to business versus being an add-on to
a digital commerce strategy.

Although mobile is still a new channel to many retailers,
it is clear that marketers are beginning to understand the
medium more.

“Many retailers view mobile as a threat to their in-store
experience, since consumers can browse information and
competitor-pricing while they are shopping,” said Diane
Zoi, vice president of business development at Revel
Touch, Los Altos, CA.

“However, there is an exciting opportunity for retailers and
brands to see mobile devices as allies that enhance the
shopping experience for both retailers and consumers,”
she said.

Retail opportunity
Last year, Amazon upped its mobile strategy during the
holidays with a campaign that rewarded consumers who Nowadays, consumers want instant access to products,
used its Price Check application with a $5 rebate. regardless of whether it is in-store or online.

By incorporating an incentive, Amazon was able to drive One way that retailers are proving that they understand
user engagement. mobile is by incorporating bar code scanning capabilities
into apps and services that are aimed at helping in-store
The app uses image recognition to let users snap pictures shoppers learn more about the company’s products.
of products and UPC codes and then scours the Web to
find the best price on the item. Retailers are also implementing in-store mobile tools
to help shoppers, which not only empowers associates
Although the app gave consumers an incentive to shop but can also show consumers the value in transacting
via their device, the Amazon promotion was a flashing via mobile.
sign that mobile poses a threat to both bricks-and-
mortar and online retailers. Furthermore, many retailers “IPads have emerged as an inspiring and effective
find the app to be a threat to their business. shopping device,” Ms. Zoi said.

“They are bringing shopping
experiences to life – through
touch, stunning visual display
and interactivity — for the
first time in ecommerce and
forward-thinking brands are
using them to enhance the in-
store experience,” she said.

Late to the game?
Although retailers understand
that consumers are gravitating
to mobile as a way to access
information, is it too late for
retailers just now getting a
footing in the channel?

As revenue from mobile
continues to steadily increase,
the swap from seeing mobile as
a tacked-on part of a company’s
marketing offerings to a way to
drive both in-store and online
commerce is becoming clearer
to many retailers. Additionally,
there is a fundamental difference
in understanding how mobile
impacts a retailer and actually
implementing mobile tactics
into a business plan.

There is also a growing gap
in the differences between
smartphones and tablets that
marketers need to approach
with different strategies.

For instance, a study earlier this year from digital will need to include more personalization and features
merchandising platform Zmags found that only that go beyond basic transactions to keep up with
approximately one-third of the top 100 retailers in a new group of consumers who expect that their
the United States have developed tablet-specific favorite brands and retailers will be available via their
mobile sites. mobile devices.

Although many brands and retailers have developed “Retailers and brands need to invest in having an opti-
basic apps and mobile sites, few take full advantage mized presence in all channels or they risk leaving op-
of the opportunities that mobile offers for specific portunities for customer engagement and conversion on
groups of mobile devices. The next phase of mobile the table,” Ms. Zoi said.

How to create a mobile commerce application
By Lauren Johnson

R
etailers, brands and publishers are quickly realiz- commerce. But, many apps still miss the mark when
ing that mobile is contributing to revenue, meaning giving users a streamlined and personalized experience.
that equipping services such as applications with
commerce is a crucial part of a mobile strategy. For instance, if a company’s goal is to drive ROI from
an app, it is crucial to keep users inside the app
As mobile becomes more sophisticated, simply having to check-out.
an app or mobile Web site is not sufficient in giving
users an added value. For example, publishers can Instead, many apps direct users to a Web site to finish
include commerce features as a way to not only increase the transaction. Not only does this mean that consumers
in-app subscriptions, but also let consumers shop abandon the app, but the value of it also demolishes.
from advertisements.
On the other hand, making the user experience inside an
“Publishers simultaneously generate diversified revenue app fun and quick is a great way to give consumers an
and an improved user experience by introducing incentive for shopping via their handsets.
commerce capabilities to their Web sites and mobile
apps,” said Kate Gleckner, director of marketing and
brand management at DropWallet, Cherry Hill, NJ.

Seamless transaction
Similar to all marketing initiatives, the key to developing
a mobile commerce app is to keep the user experience
top of mind.

Additionally, it is important to add commerce to an app
in any place where consumers are naturally inclined
to pay for content, such as next to products and
in advertisements.

Not only is adding commerce to advertisements a way
to drive revenue, it is also a function that consumers are
starting to expect from a mobile experience.

For instance, a study from GfK MRI iPanel in February
found that 70 percent of tablet magazine readers wished
that apps included more personalized ads, including the
ability to shop from pages.

However, that consumer need is not just from publishers
- users also expect to shop from directly inside a brand
or retailer’s apps.

Inside scoop
Many marketers are experimenting with in-app

Take Amazon-owned online retailer Zappos, for instance. items are both great ways to build into a commerce-
enabled application. Sephora’s iPhone app includes
When iPad users add items to their online shopping both customer reviews and related products for each
carts, little kittens fall from the top of the screen. By item’s page.
including interactive features such as this, brands can
give consumers a better experience shopping from a By using a consumer’s browsing and buying behavior,
small screen. brands and marketers can drive increased basket sizes
and ROI from their commerce-enabled apps.
Zappos also uses push notifications to alert users of
new products and 360-degree views to help show “In order to successfully adopt mobile, publishers will
consumers what shoes look like from different angles. need to clearly understand the average mobile user, who
is always on the move and demands results with one
Additionally, by letting users log-in once and save click,” Ms. Gleckner said.
information such as shipping and billing details,
marketers can use mobile commerce to their advantage “Introducing mobile commerce to the publishing industry
by streamlining the shopping experience. requires a balance between the commerce initiative’s
two primary goals — an improved user experience and
Other features such as user reviews and recommended diversified revenue,” she said.

Will simply repurposing the ecommerce site work?
By Lauren Johnson

W
ith mobile steadily contributing to more Web commerce sites need to be designed for specific paths
traffic, marketers are realizing that if they do not to a final product versus an ecommerce site, which is
have an optmized site, they will be left behind. more tailored to the experience of shopping rather than
purchasing,” he said.
Given its reach to both smartphones and feature phones,
many marketers’ first endeavor into mobile is with an Slim pickings
optimized site. However, a mobile site forces brands to One of the biggest mistakes marketers make with mobile
think from the ground up about the most crucial elements sites is trying to cram every aspect of a Web presence
that consumers will want access to while on the go. into a mobile experience.

“Mimicking the convenience of an ecommerce site Even though consumers have shorter attention spans
works for mobile, but when it comes to design you need while on their handsets, they have higher expectations.
to create more of a hybrid layout,” said Mike DiMarco,
director of media at FiddleFly Inc., Columbia, MD. With smaller screens and different user habits,
an optimized site needs to have different goals
“Mobile users are far more action-driven, so mobile and functions compared to a Web site, especially
with commerce.

For instance, checking out on a mobile commerce-
enabled site needs to be quicker and easier than the
desktop site.

While it might be OK to ask a consumer to enter
information several times on the Web, mobile users want
to enter information once and have it saved.

Less is more
In addition to a quicker check-out, mobile commerce
sites also need to include more action-driven features
than a Web site.

Including strings of product reviews might be helpful for
a consumer searching on a PC.

However, mobile users are more impulse shoppers who
most likely already know what they are looking for.

Retailers can merchandise their mobile sites to only
include the most popular items on the homepage,
for instance.

For users looking for something specific, a search bar
is one of the most effective features for marketers to
include in mobile sites.

Similarly, letting users save items to their shopping looking for instant information.
baskets that can quickly be accessed later is also a smart
feature to include. Therefore, including features such as store locators and
click-to-call functionality is crucial for retailers and
Finally, location and context need to be prominent marketers looking to tie their mobile initiatives to a
features on any mobile commerce site. multichannel strategy.

Not only does mobile help drive online commerce, “Both ecommerce and mobile commerce can be
it also increases foot traffic and in-store ROI for browsing-oriented,” Mr. DiMarco said.
many retailers.
“However, more often than not, mobile users are already
Although there is a growing percentage of consumers informed and ready to buy,” he said.
wanting to buy via mobile, there are still groups of
consumers who are not comfortable transacting from “The smaller screen does not offer nearly as much real
their handsets. estate to get distracted while making purchases, so a
mobile commerce experience is generally much more
Additionally, mobile users are most likely on the go and streamlined from intent to actual execution.”


The effect of HTML5 on mobile strategy
By Chantal Tode

F
or retailers looking to reach a wide swath of existing marketing at Kony, Orlando, FL.
customers and prospects, HTML5 holds a lot of
promise and is quickly gaining steam. “It’s beyond the testing phase and well into deployment,”
he said. “Retailers are embracing HTML5 features and
Already, some of the biggest brands are leveraging functionality as fast as they can in order to reach
HTML5 and the technology is expected to be used for customers across all mobile platforms and operating
the majority of Web sites and apps soon. The reason for systems as efficiently and cost-effectively as possible.”
the technology’s growing popularity is the many benefits
it provides, such as lowering development costs, being User experience is key
able to easily distribute content across multiple devices According to data from Uberflip, 48 percent of developers
and offering a more app-like user experience through are already using HTML5, and by 2015, 80 percent of all
the browser. mobile apps will be based wholly or in part on HTML5.

“Considering the heavy focus United States retailers This shows that retailers need to incorporate HTML5 in
and merchants place on mobile Web experiences versus their mobile strategy if they have not done so already.
native apps, HTML5 is playing a significant role in their
mobile strategies,” said Chris Dean, director of product For example, specialty retailer PacSun recently introduced
an HTML5 lifestyle-based site that will be updated
seasonally to coordinate the brand’s marketing efforts.

ShopNBC is another retailer which has invested
in HTML5.

HTML5 enables brands to create mobile Web sites that
have some of the same functionality as apps as well as
apps that can be deployed across a variety of devices.
However, it is still important to keep user experience in
mind when embarking on an HTML5 strategy.

Optimization is key when it comes to offering a user-
friendly HTML5 experience across all devices, and
especially with tablets and smartphones.

While the majority of Internet traffic from mobile
devices comes from iOS devices, retailers still need to
be sure they are providing an optimal experience for all
prospective buyers.

The risk is simply too great of not doing so, with
prospective customers who encounter a less-than-
optimal brand experience in mobile likely to take their
business elsewhere.

“The experience must be optimal for all prospective

This is important because after investing the money to
develop an app, many brands discover they have a hard
time encouraging customers to download the app and
use it repeatedly.

By incorporating some of the neat features possible
with HTML5, retailers can see a better return on
their investment.

“While many retailers struggle with creating a sticky
native mobile application that users will both download
and then revisit, HTML5 will help solve this problem
through its rich, native-like features and functionality
that enhance user-experience,” Mr. Dean said.

buyers, regardless of their device preference,” Mr. “These include easy updates, search, discover and
Dean said. transact capabilities, location-based features and real-
time promotions - as well as local storage capabilities
“Don’t forget, the look and design must be appropriate for both app and data elements which are slow-moving
per device – an experience designed for a smartphone and help in a faster user experience,” he said.
will not look as good on a tablet unless specifically
designed to function across all platforms and devices,”
he said.

“And for the 50 percent of U.S. mobile phone users
who still have feature phones, retailers must ensure an
appropriate and graceful fallback to earlier, non-HTML5
legacy mobile Web technologies.”

Keeping current
HTML5 can be an important strategy for retailers because
it can make it easy to update content.

“Mobile Web enables retailers to more easily update
their offerings and, importantly, leverage existing Web
development resources,” Mr. Dean said.

“Employing HTML5 thus enables retailers to take
advantage of this key feature of mobile Web, while
still providing users with a more native-like and user-
friendly experience than prior HTML versions permitted,”
he said.

HTML5 can also help retailers deal with issues such as
encouraging consumers to come back to their mobile
offerings again and again.

5 in-app metrics you are not measuring, but should be
By Raj Aggarwal

A
s your mobile application presence moves from a screen and other sales-
nice-to-have to a core business driver in 2012, related details, you keep
the corresponding analytics to measure this pres- a running total of a us-
ence need to follow suit. er’s total purchases. This
will give you a window
Additionally, as companies look to drive their mobile into your top shoppers’
strategies with data, it is imperative they focus on highly behavior and how big
actionable and valuable in-app metrics. the pipeline of future top
customers is.
While basic user and purchase information provides a
high-level look at the app itself, these deeper insights It is a quick and easy way
can power its evolution. to pinpoint what user
segments hold the high-
Customer lifetime value est value and are worth Raj Aggarwal
In addition to tracking what product and category a user spending your advertis-
is buying, the path by which they got to the purchase ing budget on.
Monthly per user metrics
While app metrics like total users and
total sessions are valuable, the aver-
age per-user engagement is a truer
indicator of the health of your app.

These are a good starting point for
any app report, and can also be used
as indicators of how your users like
or dislike a change in navigation
or layout.

When is a user’s first conversion/
purchase?
This is a deep-dive metric that
might require a little work but
gives valuable insights into indi-
vidual user behavior.

Tracking the number of sessions,
item views or days between the av-
erage user downloading your app
and making his first purchase can
provide valuable forecasting data
and allow you to not only place
an ROI value on an individual user
acquisition but also a timeframe in


which they will reach that value. It is easier to read and follow the overall trend of how
long users stay on an item before making decision on
This approach can also be used to determine the number buying it or not.
of searches, items viewed, items placed in cart or other
funnel-based event before a purchase. User Segmentation
Not all your users are alike so marketers should sepa-
This is useful for instrumenting logic to place special rate them into categories that will make it easier to
offers where they will be most effective at stimulating evaluate patterns. Fortunately, there are multiple actions
a purchase. in your app that provide a glimpse of what kind of users they
may be.
Time spent on product view screen
Time on a screen can be a difficult metric to get right: One of the simplest distinctions is to segment us-
either you give up granularity for ease of viewing in a ers who have bought an item compared to those who
dashboard, or you give up flexibility in deep data dives. have not. Once you have those two groups identified you
can begin to examine the differences in users’ actions
The solution is to capture both a raw and bucketed value across your app to see how to make the browsers more
count for the seconds on a page. like the buyers.

With the raw data you can see exactly how long do peo- Whatever categories end up being applicable in your
ple spend looking at certain items on their mobile phone specific case, it is important to have a well-defined
before buying. Short view times could indicate impulsive set of actions that define a user in a certain seg-
shoppers or those who know what they want prior to ment, limit overlaps and limit ease of crossing back
launching the app. and forth.

Bucketed data is a perfect app-wide metric to be viewed Raj Aggarwal is CEO of Localytics, Cambridge, MA. Reach
in your analytics provider’s graphical dashboard. him at raj@localytics.com.


Mobile Marketer Guide to m-Commerce November 2012

Mobile Marketer Guide to m-Commerce November 2012

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