Mobile Marketing No Longer an Option
For those of you thinking that the “Mobile Revolution” is coming, sorry, but – it’s already here. The thing people seem to forget is, the early adopters in this space aren’t the ones that got started earlier this year, or even last year – but instead back in 2008. They’re also the same ones who now have the know-how to disrupt a market place, steal market share, and optimize mobile monetization. Many large brands have already invested in their mobile presence. Coca-Cola for instance, invested $10M in Spotify and Starbucks $25M in Square.
There’s no time to waste.
Needless to say, mobile apps have become the go-to source for news and entertainment. Along the way replacing TV, radio, and the ‘traditional web’. According to Apigee, 82% of smartphone users say they couldn’t go a day without their apps. With that being said, Mobile Apps should be centric to your business strategy, more so – not just a box to be checked as having ‘completed’ or ‘obtained’. CEO of Starbucks Howard Shultz was quoted saying,
“Mobile is critical”
At the AppsWorld conference I attended earlier this year many preached the likes of what I’m describing where:
“Mobile needs to be your top marketing priority”
and
“Design for mobile first, but know its journey”
For those that choose to not get in the game now, they not only risk losing their competitive edge, but also their customers. Josh Martin director at Strategy Analytics said,
“With more than 360 billion downloads between 2008-2017, apps cannot be ignored as an important channel to reaching customers,”
“Big brands have recognized this trend and have begun making apps an essential component of their strategy. As the market continues to evolve so must the marketing, capability and functionality of apps to continue to drive downloads and user engagement.”
Harnessing the Power of Mobile
It’s been reported (and known for some time) that businesses like Groupon, Zillow, and Yelp have been driving more revenue via Mobile than on Desktop. Also reported last month, Facebook now has more Mobile users than Desktop users Pandora reported 75% of listener hours via mobile. If you’re thinking that, “Well, there are all digital/tech service-based platforms”. Not true. Walgreens, for instance, reported 40% of all digital prescriptions came through mobile.
The Mobile Channel is a Dynamic Channel
More and more, brand marketers are starting to realize that mobile apps provide an unprecedented bridge of connection far different than other channels. Additionally, mobile is able to deliver rich contextually optimized ads and greater reach at a substantially lower cost.
It Must Cost a Fortune..
Not as much as you’d think. Mobile app marketing is actually cheaper (on average) when compared to other channels. According to Fiksu, the average cost to acquire a loyal user (someone who opens an app 3 times) ranges from $1.20 to $1.50. This is likely for ‘non-incentivized’ users, which are obviously users that will have the best retention rates. ‘Incentivized’ users I’ve been quoted for as low as .15cents per user, but obviously your retention rates could prove to be dramatically less.
Increase your bottom line
I recently wrote an article, (ok well maybe a month ago) on, “7 ways to increase your companies profits and revenues“. This article reflected some of what I’m about to mention. Whether trends or technological advancements, both have their places in the marketing mix. The key is learning how to leverage each or both of them to get the results you’re seeking.
At the end of the day, mobile comprises a larger userbase than Facebook, and it’s where users prefer to engage. With the 1st Quarter of 2013 almost done, brands have 2 decisions to make.
Go big or Go home.
Kevin is an Online and Mobile Marketing Strategist who has worked with companies of all sizes over the last 6 years. You can follow Kevin on any of the social platforms below.
