Categories: Media University Stuttgart, Seminar SS 2012
Mobile Marketing
Introduction
Mobile marketing is booming! Analysts and forecasts predict that by the year 2014 there will be more people access the web by mobile devices and technologies than by PC and local broadband. By now already circa 90 percent of the world’s population own a mobile phone. The evolution of mobile from a niche product to a predominant communication and interaction channel, which focuses proactive consumer conversation is taking place right now.
Definition
Mobile marketing can be defined as marketing measurements by the usage of mobile technologies, which are focused on a more directly towards the consumer oriented and those affecting. Enterprises thereby are providing digital and interactive content intending and motivating a conversational interaction with their customers.
Strategic targets
Mobile marketing is recently applied in different ways for consumer acquisition and sales. Customers itself also have multiple opportunities in order to react on advertising intends by marketers, just to name one, e.g. buying products instantly via mobile device. Furthermore mobile marketing offers effective measurements and tools for customer service enhancements and thereby also chances to improve customer retention. Individual and direct communication between users and companies, e.g. in case of problem solving services or other requests can be realized by short-message-systems and other mobile technologies. Classical marketing communication throughout innovative and individual customer approaches and mobile marketing campaigns sustain for example a company’s reputation. Most notably the younger target group transfers the modern image of mobile technology usage to the companies using them. Especially related to those markets which are more and more homogenized regarding the offered services and products, image transfers like this have a not to be neglected meaning. Even the market research sector profits by mobile marketing: mobile technologies improve most of all time- and location- independence.
Characteristics of mobile marketing
Mobile marketing is multifarious and comes along with quite as much advantages especially regarding its high interactivity rate. Sales approaches to the relevant target group are more individual and location-based than ever before. Coincident the location-independence of mobile devices and technologies offers the opportunity to get in contact with the customer at any time and anywhere. Mobile devices have already become a constant companion of modern citizens and thereby enable a time- and location-independent interaction. Finally mobile marketing is one of the few advertising measurements, which offer a individual alignment of the advertising message.
Web applications versus native applications
In technical consideration there are two opportunities for companies to get in contact with their desired target group. Digital applications, in short Apps, either web based or native developed are the two ways to access. Web applications itself can be seen as already existing web-platforms or -sites, which are technically, optically and contextual optimized for mobile devices. Native applications on the other hand are developed and programmed particular for mobile device operating systems.
Thus web applications offer the opportunity to access them platform independent, which means by any mobile device with a built-in web browser. Hence this kind of application gives a wider range of potential consumer access to companies. Updates and publications can be accomplished within seconds, without the need for any long lasting admission examination. Besides those advantages web applications usually cost a fraction as compared with the development and programming of a native application. Missing technical capabilities to integrate interactive elements such as localization via access to the built in GPS modules of mobile devices lead to a lower user acceptance and involvement of web applications so far. Native applications on the other side provide the opportunities to access built in technologies of the devices and therefor have an additional consumer benefit if implemented. Increased user experience and engagement are the consequences. Another behalf of native applications can be seen in their data handling and processing: relevant information are stored on local memory and thereby more independent from the respective internet connection. Moreover they open the chance to build applications, which are more complex and optimized for each operating system or device. Substantially higher development costs as well as the circumstance that customers who own a device with another operating system which does except them in a breath from utilizing those native applications, are the main detriments of this kind of application.
Factors of success
One of the biggest challenges for mobile network providers trying to apply profitable business models is to keep abreast with the enormous dynamics of development in this market sector. Enterprises therefore have to do purposeful trend research in order to reveal upcoming innovations and developments. Mobile marketing comes along with the opportunity to affect consumers buying decision by individual and situational condition. Successful companies thus are aware of the effects by mobile media and provide relevant information or offers optimized concerning time and place to their customers. The evaluation of mobile marketing supplies in doing so is absolutely essential and provides the basis for optimized services. Relevant data thereby have to be integrated in mobile marketing activities. One is for sure, creative and technologically innovative campaigns itself are not a guarantor for success – instead the consumers acceptance towards the advertising intends of companies decide whether or not a campaign prevails. Especially in times of increasing overstimulation and reactance towards traditional advertisement measurements mobile marketing has a significant chance to gain the consumers attention and acceptance by its individualistic character. In this context it has to be mentioned that companies require the consumers approval for the usage of its individual data in order to provide personalized and situational relevant services. Multichannel customer approach with synchronized and complementary information ensures a new range of customers and enhances the consumer benefit by additional contact points with the company. Thriving enterprises utilize mobile marketing as well as additional sales channel as directive and moreover interactive communication channel. The integration of interactive elements together with an individualistic approach opens the chance for companies to establish an emotional commitment with their customers. Successful mobile services are always context aligned, which means they are fitting to occasion, the target group or the location.
Effects and measurability of mobile marketing
Referring the consequences and commensurability of mobile marketing measurements companies have to quarrel with different issues: Are consumers reached more effective and efficient by mobile marketing as by traditional measurements? How and even how fast will mobile marketing develop from now on? What will be possible applications in future and can trends be identified just yet? Will mobile marketing also be adapted for business to business application? Customer acceptance can be seen as one of the measurable constants for individual mobile marketing measurements. Companies using mobile marketing receive immediate feedback by their customers. Correlated data need to be translated into tension metrics which after that allow an interpretation and thereby analytics of a measurements effectiveness. Based on this analysis effective measurements can be identified and consequently forwarded. Marketing departments by this run a chance to adjust future campaigns optimized towards the consumers needs and acceptance. At the same time are also up to prevent the incurrence of a negative image by this.
Résumé
The biggest chance of mobile marketing comes with the opportunity of interaction between the customers and the companies. Time- and location-independent dialogues entail so far untapped potential. Besides classical sales intention mobile marketing offers a wide field of application. Customer acquisition and simultaneous CRM measurements and specific consumer services are some of possible scopes. Mobile marketing influences market research and is considered to be a modern form of marketing with positive image, which can be transferred to companies using it.
The ambition towards successful, which means even effective and efficient, marketing measurements comes along with challenges for all marketing instruments. Especially the fast developing mobile technology industry with its remarkable dynamics since the market launch of mobile internet access technologies and recently smartphones and other mobile devices brings up dares for companies. Consumers have to be kept in focus and relevant information to be identified and stored in order to provide services including individual user benefits. Arising security risks have to be handled. The consumer’s acceptance is also in this case core element for the measurements performance.
Sources
Favell, Andy 2012, Mobile applications: native v Web apps – what are the pros and cons?, viewed 18 April 2012, <http://mobithinking.com/native-or-web-app/>.
Holland, Heinrich & Bammel, Kristin 2006: Mobile Marketing – Direkter Kundenkontakt über das Handy, Vahlen Verlag, München.
Leppäniemi, Matti 2008: ‘Mobile marketing communications in consumer markets’, Faculty of Economics and Business Administration, Department of Marketing, University of Oulu, p. 21.
Reiffen, Andreas & König, Christof 2007: Mobile Marketing: Klassifizierung und Ziele mobiler Marketing-Kampagnen, viewed 18 April 2012, <http://www.marketing2null.de/2007/08/09/mobile-marketing-klassifizierung-und-ziele-mobiler-marketing-kampagnen/>.
Shankar, Venkatesh & Carpenter, Gregory S. 2012: Handbook of Marketing Strategy, Edward Elgar Publishing Ltd., Cheltenham.
Stocktownproductions 2011, Mobile Technology 2011, online video, viewed 20 April 2012, <http://youtu.be/orPYB741sqY/>.
14 Mai 2012 admin