Sunday, June 30, 2013

QR code penetration is low

Only a quarter (25%) of smartphone owners have scanned a QR code in-store while 9% are still unaware of the technology.

The data comes from a Toluna survey of 1,000 UK consumers, the full results of which are included in our new Mobile Commerce Compendium

Most Valuable Ecommerce Customers Come from Organic Search [Study]

Not all customers are created equal. This is the picture painted by customer acquisition platform Custora in its latest study on ecommerce and the lifetime value of a customer.
The highest value customers come from organic search at a rate of 54 percent higher than the average lifetime value of a customer, followed by PPC and email, according to Custora.
custora-customer-lifetime-value-organic-search
Customer lifetime value (CLV) is a way to calculate the entire profit a company can expect to earn from the relationship with that customer over time. For this study in particular, CLV referred to the amount customers spent within two years of their initial purchase.
“The savviest marketers in the new era of ecommerce will be looking beyond just where customers are coming from,” Custora said in its report. “They’ll be looking at the value of new customers acquired across channels, platforms, and geographies.”
Social media is generally accepted as a common contributor in the path to conversion, and sometimes is the last click or only click in a conversion funnel. However according to Custora, clients coming from social networks don’t stack up against the CLV of clients coming from other channels.
Ecommerce customers acquired through Twitter are worth 23 percent less than the average CLV, the report said:
custora-customer-lifetime-value-social
Not surprisingly, email marketing as an acquisition channel is on the rise. Not too long ago, we saw in another study that email was beating search and social as the largest driver of conversions for ecommerce.
Custora data gives more validity to notion of email as a power channel for marketing and conversions. In fact, according to the report, customer acquisition via email has quadrupled over the past four years in ecommerce.
The data also shows the importance of organic search to customer acquisition as well, which is still higher than email.
custora-acquisition-channel-growth
Data for this study was collected from 86 U.S. retailers across 14 industries and 72 million customers. Acquisition channels were obtained via the “utm_medium” tag in Google Analytics.

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Saturday, June 29, 2013

Depth of valueable data

Better Mobile Insights: Transcending Demographics and Raising the Standard of Audience Targeting

For over 25 years, the basic approach to targeting has been centered on identifying a demographically similar subset of consumers and messaging them uniformly. As someone who's spent much of her career as a data analyst and demographer, After all, if you send your message to everyone, vs. sending your message to a clearly defined subset of the population, the latter will almost always perform better.

Questioning the Standard
Our basic standard is not without merit; there is no doubt value in demographics and basic audience targeting. It's a great place to start - in fact, the use of data has matured over the years, leveraging more sophisticated approaches to understanding a potential customer's demographic, geographic, and lifestyle characteristics. But, as we move rapidly into the world of "big data" - the ability to capture and synthesize insights far beyond age and income - are we, as marketers, actually taking advantage of the full spectrum and depth of the opportunity?
Even among the most sophisticated "database marketers," who slice and dice data, build segments, and create tailored communications, there has been a tendency to revert to basic targeting when pursuing media buys - including mobile, our most informative channel yet. Perhaps this is complacency, but it's time to reach for a higher standard - because the capability is absolutely there. The mobile marketplace offers a far higher state of advance than our strategies and practices have demonstrated. We're in an exciting new frontier with ever-evolving infrastructure, tools, science, and capacity for intelligence both in the data and the teams working the data.
Shining the Light on a Higher Standard
The mobile channel affords us the ability to learn what resonates with consumers, based on demonstrated interests and actual behaviors, allowing us to immediately convert these insights into dynamically modified targeting and custom-tailored messaging, in real time.

Local Business Reviews Read By 85% of Consumers [Survey]

BrightLocal has revealed insights from their new consumer review survey looking at local search. Not surprisingly, the usage of local search has increased over the past couple of years, as well as the types of businesses that people are searching for. What is surprising is how people are using local search, and it might not be what you would automatically think of.
use-internet-to-find-local-business-brightlocal-2013
Despite a large increase of numbers of users who are using the Internet to find local businesses when comparing numbers from 2011 to 2012, the startling fact is how small the actual usage of the Internet on a weekly or daily basis is. In fact over 30 percent of respondents stated that they have only used the Internet between two and five times in the previous 12 months to find a local business.

Friday, June 28, 2013

Nielsen Cross-Platform Campaign Ratings Will Measure TV and Online Ad Performance

Image representing Nielsen Online as depicted ...
Nielsen announced yesterday the launch of public beta trials for its Cross-Platform Campaign Ratings service in the U.K., in what it's calling a "solution to deliver true multi-screen advertising measurement."
The Nielsen Cross-Platform Campaign Ratings solution was launched in the U.S. last October. The goal of Campaign Ratings is to find out who saw an ad campaign both online and on TV. According to Nielsen, about 5,000 campaigns have been measured using Nielsen's Online Campaign Ratings.
In the U.K. the service combines Nielsen Online Campaign Ratings with television data from the Broadcasters' Audience Research Board (BARB). The measurements look at reach, frequency, gross rating points, unique audience, and impressions at a daily level.

B2C Ecommerce Climbs Worldwide, as Emerging Markets Drive Sales Higher

Global ecommerce sales to top $1.2 trillion


Asia-Pacific will contribute the most new dollars to business-to-consumer (B2C) ecommerce sales in coming years, according to eMarketer’s forecast of digital sales of retail and travel products and services. This year alone, B2C ecommerce sales are expected to grow 23% in the region, with sales in China and Indonesia growing particularly fast, up 65% and 71%, respectively.
North America and Western Europe, markets where ecommerce is significantly more mature, are still growing their sales in the double digits—but below the worldwide average of 17% this year.
Fast-growing regions include Latin America, where total spending will reach $45.98 billion this year, or 3.8% of the total, and Central and Eastern Europe, where digital buyers will spend $48.56 billion, or 4%.
Ecommerce sales growth will be supported by an estimated 1.03 billion digital buyers around the world this year, 44.4% of whom will be in Asia-Pacific. China alone will boast 269.4 million digital buyers this year—a figure that includes internet users ages 14 and older who make at least one purchase via any digital channel during the calendar year. The US remains the country with the second-largest number of digital buyers, at 155.7 million this year.


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63% of smartphone owners check prices online while in-store

showrooming
More than half (57%) of smartphone owners have used their device to search for information while out shopping, according to data from our new Mobile Commerce Compendium.

The most common smartphone activity was comparing prices (63%) with other retailers, followed by looking for a discount voucher online (42%) and looking for product information or other options on a different retailer’s website (34%).
This raises a difficult dilemma for retailers, as the natural urge is to try and prevent customers from shopping at their competitors using the mobile web but in reality it’s impossible to prevent people from doing it.
Offline retailers need to find new ways of embracing this consumer behaviour and turning it to their advantage. The most obvious is to make sure customers are carrying out these activities on their mobile sites and apps rather than those of competitors. 
Retailers such as Debenhams and House of Fraser have acknowledged the need for this, and both now have optimised websites and apps, along with instore wi-fi to provide a better experience for mobile shoppers. 
While nothing can guarantee that mobile shoppers won't check competitors, this does reduce the likelihood that they will use Amazon's mobie site. 
While price comparison is the most common activity, there are plenty here that retailers can turn to their own advantage, by offering vouchers for mobile shoppers for instance. 
What type of information or service have you searched for on your smartphone while in-store?

How to make the most of showrooming

It’s an issue discussed in more detail in the new report, but the most obvious method of taking advantage of showrooming is to offer customers free Wi-Fi. This improves the in-store experience and also enables them to access additional product information which may help to encourage a sale. 
Furthermore it’s an opportunity for data capture, as half (51%) of the smartphone owners in our survey said that they would be willing to exchange their email address in return for free Wi-Fi.
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Thursday, June 27, 2013

Brands using Instagram to break free of the browser

Red Bull 'Instagram Your Inspiration' campaignThe expectations of brands on social media are getting higher. This is leading to businesses having to turn away from traditional approaches and create more engaging and interactive experiences, with crowd-sourcing of content becoming a favourite method.
With 40% of people responding better to visual information than text alone, it is not a surprise to see brands diving in to experience the hype of the photo-sharing app, Instagram.
And there are brands who not only aim to discover the joys of Instagram through traditional engagement and networking, but by creating immersive and innovative campaigns.
It is easy to get distracted by the wealth of Instagram challenges and competitions, but with it becoming an increasingly crowded place, brands are learning how to make themselves more distinct by mixing their marketing techniques with artistic approaches.
As the secret to creating real brand utility is not in hyping the masses, but by helping them encourage, explore, and become inspired. Using social media for advertising is not enough - brands have to aim to become publishers who generate content and build campaigns which can be accompanied by their fans.
In this post, I am going to share with you four examples of engaging, interactive Instagram campaigns, which move beyond the confines of the browser to deliver something truly unique.

Five customer functions that will strengthen the demand chain

Creating an effective demand chain requires companies to pay attention to five key areas: 

1. Create a consistent experience

PwC’s Retailing 2020 study projects that no single channel or particular retailer will dominate growth through 2020.  Additional PwC research finds that 86% of shoppers use at least two channels as they research, shop, and interact with brands. Manufacturers and retailers need to deliver an “omni-channel” shopper experience from start to finish, across physical, digital, and mobile channels.


2. Gain a better picture of the customer

Alan G. Lafley, Procter & Gamble’s former CEO, often began meetings by asking a series of “what is” questions about the firm’s consumers, before shifting to “what if” queries that could give way to customer-centric innovations. All customer-facing personnel must be involved in the process, and there must be a continual flow of verbal, visual, and quantitative data.


3. Deliver a top-notch customer experience 


This is a make-or-break proposition. Researchers at Northwestern’s Kellogg School of Management confirmed that a 7-second reduction in fast-food customers’ waiting time can increase market share by 1%. Likewise, each added second of drive thru wait time reduces the amount customers are willing to pay by at least 4 cents.

4. Innovate with the customer’s help

Injecting an experimental mindset into product and service innovation can disrupt markets. Learn to prototype—and learn rapidly. In describing the Kindle’s development, Amazon CEO Jeff Bezos said a company’s leaders can “determine what your customers need and work backward, even if it requires learning new skills.”10 The strategy has served Amazon well, earning it top rankings in the American Customer Satisfaction Index for 12 years running.

5. Define and measure impact

Companies remain in the early stages of figuring out what to measure and how. “The exact metrics are still being fully developed, but they have to be founded on the return on investment,” says Don Mulligan, CFO of General Mills. The means for measurement will evolve as each new avenue to the customer comes along. 

The more precisely a company can assess the performance of its brands, the better positioned it will be to make robust brand and business decisions.