In 2013, over one-fourth of all web traffic in the United States came from a mobile device. And during the holidays over 50% of shoppers used their mobile devices to make a purchase and browse products.
We’ve reached a point that brands cannot afford to ignore mobile’s ability to increase engagement between a business and its customers. In terms of reaching audiences in a contextualized fashion, there are few platforms that compare to mobile.
From a business’s perspective achieving ROI from mobile strategies can feel like taking a shot in the dark. Without an adequate knowledge of the objectives, reasoning and strong points regarding various mobile strategies, funds can easily be wasted.
By analyzing the strategic value of the three major mobile strategies (mobile advertising, branded mobile apps and enterprise mobile apps), brands can successfully embrace mobile to expand business.
1) Mobile Advertising: In-Apps and Online
Over 50% of holidays shoppers admitted using a mobile device during Black Friday and Cyber Monday shopping in 2013. This presents a tremendous opportunity for brands to capture mobile sales.
With such an emerging channel for marketing products companies across the board are spending more on mobile advertising. Mobile ad spending in the United States alone exceeded $9.5 billion in 2013.
That includes Facebook, Twitter and Google’s mobile ad offerings, in-app advertisements and even SMS based promotional campaigns. Mobile advertising can help augment and increase the effectiveness of traditional digital marketing campaigns.
Audemars Piquet’s iPad Banner Ad Success
High-end watch retailer Audemars Piquet chose to advertise banner ads within the BBC iPad app in addition to the desktop and mobile website.
The brand targeted “high net worth males” in Europe, Asia and US states like Florida, New York and California. To further refine their targeting, Audemars Piquet chose to specifically place their ads in the News and Business homepage.
The campaign resulted in 1.2 million total impressions, with a click-through rate of .45% and .63% for the desktop site and iPad app respectively.
Hair Club Increased Sales with a Mobile Tweak
Hair Club, a leading brand in hair regrowth products, serves as an ideal case study for how mobile advertising can lead to business growth.
After analyzing traffic for their site, Hair Club found that 30% of visitors were using a smartphone. To increase conversions, Hair Club redesigned their mobile website to include strategic placement of ‘Touch/Click-To-Call’ buttons.
By placing the buttons on their homepage and additional pages, it made contacting the brand seamless and intuitive.
After analyzing performance following the introduction of the new ‘Call to Action’ (CTA) button, conversions increased to the point that Hair Club produced a 30:1 ROI from their lightweight campaign.
2) Branded Mobile Apps Designed for Customers
Over 900,000 apps are hosted within the Apple Store, and they’ve been downloaded more than 50 billion times.
And developers have been compensated with over $10 billion. Not bad for a medium that has existed for a little more than half a decade.
Aside from actual sales and profits stemming from downloads companies can benefit greatly from a branded app made available to the masses.
A branded mobile app serves as a transaction point while simultaneously acting as an effective marketing message.
Urban Daddy Brings its Content to Mobile
Urban Daddy, a lifestyle media company, wanted to bring its desktop web content to mobile users.
The brand created an app to help trendy dads find popular venues, restaurants, and attractions for their specific location. As a brand that appeals to trendy young fathers, a sleek mobile app was the ideal approach to attract greater engagement.
After launching the app last year there are over 500,000 active users helping to generate over $1 million in ad revenue.
An app can represent a brand in the same way that a website serves as an online storefront. Design, functionality, and feature incorporation can send a direct message to consumers.
So if the design of a branded app is abysmal, how will the user perceive the company released it?
Jay Z, Samsung and Their Public Stumble
Jay Z recently embraced mobile but ended up reminding everyone that mobile success is not easy. Partnering with Samsung, Jay Z aimed to develop a mobile app to distribute his new album to Samsung Galaxy owners.
At first it seemed like an ingenious marketing idea. One of the largest players in mobile teaming up with one of the biggest names in music.
But over a million people downloaded the app within the first few days. And when the clock struck midnight for the album release, fans were stuck with a broken app that couldn’t handle traffic. There were also allegations regarding user privacy violations. The resulting app was a highly public flop and the story about the apps failure overshadowed the album release.
It became a case study for mobile failure, but it also substantiated the ability for mobile strategies to garner press and attract notoriety to a brand. Despite the faulty launch there were countless news stories reporting on Jay Z and Samsung’s partnership.
3) Custom Enterprise Apps for Employees
Mobile apps are highly effective at increasing engagement and attracting attention from customers. When introduced into the enterprise the end result and objective may vary, but the same due diligence is required for a successful implementation.
By 2017 over 25% of businesses will be using enterprise app stores to secure and manage the distribution of custom apps. Mobilized employees equipped with specified custom enterprise apps hope to increase productivity, attentiveness, and motivation for a business.
In order to achieve ROI from an enterprise mobile strategy, management must focus their vision in regards to enterprise app development.
Spotify Eliminates the Annual Review
Spotify introduced a mobile strategy to improve the methods for employee assessments by HR.
After the introduction of a mobile app to facilitate increased interaction, feedback, and communication with employees, 99% opted for the app rather than the annual year-end review.
By using push notifications and other mobile alerts, employees can always have access to their monthly goals, quarterly objectives, and current standing in regards to recognition from management.
Whole Foods Connects Store Managers with Inventory Data
Equipped with an iPhone app with direct access to inventory feeds, sales metrics and other operations data, Whole Foods’ Store Team Leaders have a tool that effectively makes their job easier.
The mobile app “is focused on KPIs across sales, margins, and labor” reported on a daily, weekly, and monthly basis. Such real-time access to data directly from their iPhone helps store managers to do their job.
Paper driven processes were prone to errors, required excessive man power, and were ultimately too slow and cumbersome in the eyes of management.
Whole Foods’ end product provided their Store Leaders with immediate access to a “high-level view of store operations and performance.” Prior to the app, it was a challenge to ensure that data reports were timely and available when needed.
To truly succeed at mobile, brands must understand the caveats and benefits that stem from the multitude of strategies out there. By assessing the audience, identifying the projects’ objective and aligning the technical team with a well-defined business strategy, enterprises can achieve ROI from mobile.
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