Monday, October 18, 2010

Mobile Marketing Outperforming In Europe

I have found an awesome study about mobile marketing. Indeed, if properly managed, mobile marketing is going to be a high efficiency marketing tool, with great return on investment rate. New media like social media and mobile Internet are by nature great customer relationship management tools. Social media empower the customer to be active in the conversation with a brand, whereas mobile allows companies to be personal with customers.

Mobile communication is the closest it may get from the marketing one to one concept.

­Research, commissioned by the Mobile Marketing Association (MMA) shows that, on average, 45% of European consumers noticed mobile advertising and of these, 29% responded to it. The research also showed that once people have responded to a mobile advert over a third (39%) continued on to make a purchase. These stats show well how interesting mobile advertizing will get.

German consumers who responded to mobile adverts emerged as the most likely to go on to make a purchase, at 49%, compared to 47% of UK and 22% of French consumers. Of the consumers that purchased products or services, 39% (47% UK, 49% Germany and 30% France) spent between 5 and 20 Euros or British Pounds.

The study asked respondents about their awareness, response and purchasing habits as a result of advertising delivered on mobile devices.

The report also found that in the UK and France, opted-in SMS advertising proved most effective at soliciting consumer response at 40% and 21% respectively. These figures are pretty high, even for opt in media. In Germany on the other hand, an advert delivered on a website accessed on a mobile device proved to be the most effective, with 27% of respondents stating banner adverts as preferable.

Mobile advertising that included time sensitive special offers or discounts was cited as the most important factor leading to a purchase (35% UK, 31% Germany and 27% France). Mobile coupons accessible from phones also proved to be highly popular (34% UK, 29% Germany and 24% France).

In terms of the types of products or services likely to lead to a purchase, content for mobile devices such as applications, music and games emerged as the most popular (23% UK, 28% France and 19% Germany).

Unsurprisingly, younger people emerged as the most likely to notice, respond and purchase content or products as a result of mobile advertising.

"The findings are extremely significant as they indicate a high awareness and efficacy of mobile advertising among European consumers," said Peter A. Johnson, vice president of market intelligence, MMA, and author of the study. "This latest research demonstrates that Europe's mobile consumers have transformed mobile advertising from last year's marketing prophecy into this year's required marketing practice. But getting mobile advertising right requires researching the unique opportunity offered by the different mobile media. For example, an advert delivered via the under-hyped opted-in SMS turns out to be the most likely to open a consumer's wallet."

"These findings are made even more interesting when viewed in conjunction with our previous research demonstrating that a quarter of Europeans were likely to respond to advertising if a mobile response mechanism was included," stated Ralph Risk, Lightspeed Research Marketing Director EMEA. "By delivering advertising directly into the hand of consumers, brands can engage consumers on the go, increasing the likelihood of interaction. The challenge for brands is to ensure that their adverts are relevant and allows consumers to easily respond"