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4

March

2015

Mobile Marketing is a Must-Have :

#mobileforthewin

The march toward mobile continues as steadily as ever, and now that the holiday shopping stats are in it is a valuable time to look over how businesses advertised and how shoppers shopped. In a report that documented the largest marketers’ spending habits (and by large meaning those who spent $1 million+ annually for search, display, mobile and social marketing), one can better understand platform performance for mobile.

“Mobile certainly isn’t going anywhere,” says Phil Thow, President of digital marketing agency, SEM Media Group. “It’s widely reported that mobile now drives over 50 percent of all social activity. Mobile has surpassed desktop in internet usage, and together with tablets, mobile accounts for 60 percent of all time customer’s spend online.”

Similarly reported is that the mobile market is also a younger market, with 70 percent of adults 18 to 24 viewing retail content on a mobile device.

“As we study the heavy-hitters in digital advertising,” says Phil Thow, “we see that they spent nearly half of their search budget aimed at mobile marketing, even though mobile conversions only made up 30 percent of all search conversions.” Advertisers, by this metric, obviously believe in the power of mobile marketing even if it tends to driver fewer conversions than desktop searches.

“What’s noteworthy about mobile searches is their ability to serve a customer during an in-store visit both at the top and the bottom of a conversion funnel,” explains Phil Thow, whose company, SEM Media Group, specializes in mobile marketing.

At the top-end of a conversion funnel, a customer can use a mobile device to search for a specific brand of item while in store if he/she isn’t finding it on the shelf. For a mid-level conversation, the customer may search for brand/product reviews while holding the product in-hand. At the bottom end of conversions is when a customer uses a mobile device for price comparisons.

Where mobile marketing is showing gains is with click-through rates. Click-through rates are consistently highest on mobile devices, which means the ads are engaging and capturing the customer’s attention. The lower conversion rate, though, is likely a holdover that customers are more willing to complete a purchase in the comfort and safety of their home rather than on their mobile device.

“The desktop may still be at the top of the pile for conversions,” says Phil Thow, “What we’re seeing here at SEM Media Group is what all the reports have shown, and that is that mobile marketing does a better job of getting the customer’s attention and driving them to a website or landing page. So if one wants to get in front of consumers, they will have to strongly consider investing heavily in mobile marketing.”