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Mobile Ads Really Are Working!

Mobile advertising is still in its infancy, but already, brands are seeing positive results. A new report from Nielsen shows us just how well those mobile ads really are working.

Nielsen’s study provides data gathered during the third quarter of 2011 for tablet and smartphone owners in the U.S., U.K., Italy, and Germany. Nielsen measured the impact of mobile advertising on these consumers after they saw a mobile ad on their tablet or smartphone devices. According to the report, Italian mobile consumers are more affected by mobile advertising than any other consumer group in the study.

Here are some of the highlights from the study:

  • Overall, tablet owners interact with ads more frequently than smartphone owners.
  • Overall, Italian tablet and smartphone owners are more affected by mobile ads than U.S., U.K., or German owners.
  • Overall, German tablet and smartphone owners are more likely to make a purchase on the Internet with a PC after seeing a mobile ad than U.S. U.K., or Italian owners.
  • Overall, U.S. smartphone owners are significantly less affected by mobile ads than U.K., Italian, or German smartphone owners.
  • U.S. tablet and smartphone users are significantly less likely to make a purchase directly through their connected devices after seeing a mobile ad than U.K., Italian, or German owners.

Some of the specific data is shown in the table below.

Impact of Mobile Ads by Tablet (T=) and Smartphone (S=) OwnersUSItalyGermanyUK
I made a purchase on the Internet via PCT=23%
S=20%		T=32%
S=27%		T=32%
S=34%		T=27%
S=28%
I made a purchase at a store for goods or services that I saw advertised on my connected deviceT=16%
S=6%		T=19%
S=18%		T=18%
S=15%		T=16%
S=14%
I made a purchase directly through my connected device based on an ad I sawT=8%
S=4%		T=13%
S=12%		T=10%
S=8%		T=10%
S=7%
I searched for more information about a business that I saw advertised on my connected deviceT=21%
S=11%		T=26%
S=27%		T=23%
S=20%		T=23%
S=14%
I clicked on an ad to view the full advertisement or product offeringT=24%
S=11%		T=28%
S=24%		T=23%
S=19%		T=23%
S=17%
I used or requested a coupon through an ad I saw on my connected deviceT=13%
S=7%		T=12%
S=10%		T=10%
S=8%		T=10%
S=8%
Source: Nielsen (Q3 2011)

The most important take-away from this study is that consumers are willing to accept and act on mobile ads that they see and encounter on their tablet and smartphone devices. However, there is a lot of room for growth. Brands need to continually test and measure to identify the right mobile marketing mix to drive the best results, and that includes the types of mobile ads and corresponding offers that work.

Image: Robert Scoble

What Facebook Timelines for Pages Mean to Brands

Last week, Facebook launched its Timeline feature for Facebook Pages. That means business and brand Page administrators can choose to switch to the more visual timeline design or stick with the traditional layout. However, Timelines for Facebook Pages will eventually become mandatory, so brands that haven’t switched yet will need to do so by March 30, 2012 when Facebook will automatically update any Pages that still use the old Page format.

The trick is figuring out how to leverage the Facebook Timeline to make a brand Facebook Page better than ever. To date, that’s a challenging task.

The good news for brands is that Timelines in Facebook Pages offer a more visual experience that often translates into more sharing and higher engagement. However, there is a cost associated with making a Facebook Page more visual. The page layout has to change. Facebook Pages that use the Timeline feature no longer include tabs across the top of the Page or links in the left sidebar, which brands have been using to drive visitors to specific brand information and experiences. Finding specific content is a bit more difficult with the Timeline layout, and without tabs and links, brands can’t control the landing page that people see when they visit the Page. Those are some definite negatives of Facebook Timelines.

However, Timelines make it easier for brands and businesses to feature important content. At the top of a Facebook Page with the Timeline enabled is a large photo, and beneath it are links to native Facebook apps (such as photos). To the right of those native apps are three image thumbnails that represent application boxes (what would be referred to as tabs in the prior design). Make sure your most important information is easily accessible through those three visible application boxes. Visitors can expand and scroll through additional application boxes to find more content, but those first three boxes that are visible above the fold and with no additional effort required by the user to see them are the most important. You can change your featured content at anytime to match your marketing calendar.

You can also pin one piece of content so it’s featured at the top of the timeline until you unpin it. Again, this is a great way to highlight your most important content and messages. Additionally, the milestone feature in Timelines offers a great way to tell more of your brand story by sharing milestones related to your company, brand, products, and customers.

Another great feature that comes with Timelines is the ability for brands to communicate with Facebook members via private messages. Rather than cluttering the Page Timeline with very specific content that doesn’t add value to the broader audience, brands can communicate directly with people and build deeper relationships with them.

The most important thing brands need to know about the Facebook Page Timeline feature is this — if you want to use Facebook for marketing purposes, you’ll need to switch to the Timeline layout before the month ends. Don’t worry about flipping the switch immediately. Instead, plan your strategy for your Facebook Page Timeline. It’s very different from the traditional Page layout. You’ll have more success with your Page if you make the switch with a great looking (and functioning) Page design rather than simply trying to fit what you’ve been doing on Facebook into the new Timeline layout.

What do you think of Timelines for Facebook Pages? Leave a comment and share your thoughts.

Image: MoneyBlogNewz

Brand Loyalty Programs Are a Big Hit for U.K. Brands

Brand loyalty programs are traditional marketing tactics that never go out of style. Consumers always love to feel like they’re getting something in return for brand purchases that they’d probably make even without receiving rewards.

Of course, the goal for the brand is to use the loyalty program as leverage to ensure those consumers make those brand purchases again and again.

A study by Promise and Lightspeed Research conducted in late 2011 shows that every U.K. internet survey respondent in the survey belonged to at least one brand loyalty program, and 50% of respondents belonged to three or more brand loyalty programs.

Promise and Lightspeed Research found that brand loyalty programs that offer frequent and tangible rewards are the most attractive to consumers. For example, programs that reward points that members can convert into cash are extremely popular.

Following is the breakdown of brand loyalty program membership among U.K. internet users by type as found in the study:

  1. Points-based loyalty program = 92%
  2. Credit card-based loyalty program = 28%
  3. Mobile phone-based loyalty program = 27%
  4. Coffee shop loyalty program = 26%
  5. Air miles, frequent flyer, and other airline loyalty program = 19%
  6. Hotel loyalty program = 12%
  7. Independent, local business or organization loyalty program = 6%
  8. Other loyalty program = 3%
  9. Car hire loyalty program = 2%

Based on these study results, it’s incredibly obvious that point-based programs that translate to cash are the most popular by a landslide with U.K. internet users. They are more than three times more likely to be a member of a points-based brand loyalty program than the next most popular option — credit card-based programs.

Interestingly, some brand loyalty programs are more likely to be favored by specific demographic audiences. For example, 27% of the entire survey respondent population belonged to mobile phone-based loyalty programs, but 43% of the 18-34 year-old demographic group belong to mobile phone-based loyalty programs.

One of the main complaints U.K. consumers have about brand loyalty programs is the need to carry around so many membership cards in order to gain and use accrued points and rewards. Mobile phone-based loyalty programs remove that problem and make program participation much easier. It’s safe to assume that the biggest loyalty program growth rates in the coming years will come from mobile phone-based schemes.

Are you ready to create a points-based loyalty program that operates on the mobile phone-based loyalty scheme? There are clearly some opportunities and synergies to be leveraged!

Image: Marcelo Moura

In-App Mobile Purchase Revenue Predicted to Jump 477% by 2015

Mobile applications are one of the hottest marketing opportunities for brands today, but companies are still trying to figure out how to best use mobile applications to drive revenue.

According to a study by IHS Screen Digest, in-app purchases are the way to go. Revenues from in-app mobile purchases are going to jump by over 477% from $970 million in 2011 to $5.6 billion in 2015. In other words, if you’re not already investigating ways to offer your brand products and services through in-app mobile purchases, you need to bump it up the priority list.

eMarketer paired this research data with information from an ABI Research study, which found revenues from mobile applications (including in-app purchases, in-app advertising, subscriptions, and pay-per-downloads) reached $8.5 billion in 2011. The study reports that number is expected to skyrocket by over 440% to $46 billion in 2016. Putting the numbers from both studies together, eMarketer reports that in 2011, in-app purchases made up 39% of total mobile app revenues. By 2015, that percentage will increase significantly to 64% of total mobile app revenues coming from in-app purchases.

Taking it a step further, eMarketer notes that 44% of mobile app users don’t make in-app purchases until at least the tenth time they’ve used the app. This data comes from a separate study by Localytics. 33% make an in-app purchase between the second and ninth time they use the app, and just 22% make an in-app purchase the first time they use an app.

These statistics do more than just raise a big red flag if you’re not already planning ways to offer your products and services through mobile in-app purchases. Within the next few years, mobile app users will be very willing to make in-app purchases. The trick for marketers is to come up with great offers that are available to the right audiences.

Even more tricky is trying to find ways to get mobile app users to make purchases earlier rather than waiting until their tenth use or later. Power mobile app users have demonstrated they’re comfortable making faster in-app purchase decisions, but convincing the rest of the mobile app user population to reach the same comfort level will take some time and effort.

Now is the time to get started.

What do you think about the future of mobile in-app purchases? Leave a comment and share your thoughts.

Image: jhaymesiviphotography

LinkedIn Company Follow Button is Good News for Brands

Big news from LinkedIn this week — it just got a lot easier for companies to increase the number of followers on their LinkedIn Company Pages! LinkedIn announced the launch of the LinkedIn Follow Company button on the LinkedIn blog this week, and companies like AT&T, Sony Electronics, and American Express OPEN are lining up to install it on their websites and blogs. With 2 million companies in the LinkedIn network, it’s safe to assume consumers will start seeing the new LinkedIn Follow Company button across the web very soon.

LinkedIn is hyping the benefits of following Company Pages as a great way to keep up with company news, job openings, and industry trends. A distinct effort is being made by LinkedIn to position Company Pages as very different from Facebook Pages for brands and companies. For example, AdWeek reports the following from the LinkedIn announcement this week:

  • LinkedIn members are professionals and have high expectations for the companies they follow on the site.
  • 60% of LinkedIn members expect Company Pages to offer industry insights and news.
  • Approximately 1 out of 2 LinkedIn users who already follow Company Pages claim they are more likely to buy products or services from a company that is more engaged and interactive with its followers.

As LinkedIn’s director of corporate communications, Hani Durzy, told AdWeek, LinkedIn members are, “more strategic in their decisions to follow companies here as opposed to other networks.”

Companies that recognize the difference between audience expectations on LinkedIn versus Facebook or other social destinations will experience the highest levels of success through their Company Page activities.

It’s easy to get the code for the LinkedIn Follow Company button and to add it to your company website, blog, and other online destinations where your company or brand have a presence. When LinkedIn members follow your Company Page, your status updates appear in their LinkedIn home pages giving you more exposure and more opportunities to engage with them. In other words, if you haven’t gotten the LinkedIn Follow Company button yet, get it now. It can only help your company and brand grow.

Real CSR progress on Slavery & Human Rights

Most people know the London railway station Fenchurch Street because it was once important enough to be included on a Monopoly board.  Today, and quite bizarrely, it’s the only railway terminus in Central London which isn’t directly connected to The Tube.

Fenchurch, for those who are not Douglas Adams fans, is also the name of the lady who “finally knew how the world could be made a good and happy place” but was sadly blown up (along with the Earth) to make room for an interspace bypass before she could tell anyone.

I have a certain sympathy with Fenchurch the lady.  I know how CSR can be used to make the world a better and happier place, but my solution has nothing to do with profits or the creation of wealth.

Thankfully I’ve not yet been blown up to make way for a bypass, but the way business continues to ignore human rights (as opposed to social engagement) is self defeating, This is why a new law in California, the eighth largest economy in the world, makes such a huge difference. [Read more…] about Real CSR progress on Slavery & Human Rights