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Holiday Mobile Marketing Budgets

Recently Giselle Tsirulnik at Mobile Marketer wrote a post on this year’s holiday mobile marketing budgets – budgets are expected to be around $50k to $250k this year.

The post discusses how mobile couponing will be big this season, as will loyalty campaigns and campaigns focusing on customer interaction and growth.

I love seeing and hearing about real budgets being allocated to mobile.  I just hope brands and agencies aren’t throwing away dollars on a short term holiday-only campaigns.  Customer loyalty doesn’t take a holiday so brands should plan to use these marketing dollars to start building mobile lists for future sales and marketing efforts year round.

When brands are planning holiday mobile budgets, it would be crazy to not include plans to start building a mobile CRM strategy for the entire year into that budget (not just for the holiday season).  Marketers, promise me, you won’t just do a “one-and-done” campaign.  Use this time and budget to put the right tools in place ahead of your ad buy.  Don’t forsake this critical list building opportunity.  This is the time to make your media dollars work harder for you!

After the holiday campaign is when the real fun begins.  Now brands should analyze their results and compare these subscribers with their existing marketing channel lists. Next, figure out if there are certain types of marketing the customers would rather receive via a particular channel (i.e. coupons via mobile or order statuses via email). Wouldn’t it be great if you found out that mobile actually brings your brand a completely new batch of customers to engage with.

Giselle’s post also has some tips for best practices that are worth reviewing before you come up with your strategy.

What’s a Facebook Fan Worth?

In typical marketer fashion, marketers are always looking to tie a number to the value of social subscribers and what it can do for a brand.  e-Marketer recently had an interesting post on “What Brand Fans Are Worth.”  Digital consulting firm, Syncapse and research company, Hotspex recently came up with a formula to determine the value of a follower/fan.

The formula found that on average a Facebook fan is worth around $136.38 when it comes to the 20 biggest brands on the site (McDonald’s, Starbucks, Coca-Cola, Pringles, Oreo, and Skittles).

The value was determined by looking at how much fans spend on the brands’ products, customer loyalty, recommendations and earned media.

The study found people spend twice as much on products they are Facebook fans of than non-fans spend on that product or brand.  In the world of loyalty programs, this is a very interesting number.

As you may know, customers that are part of loyalty programs visit stores twice as often as non-members and spend an average as four times a much as those that are not in the program.   This study makes a good case for why Facebook pages should be part of an overall loyalty program strategy.

Though, I would go even a step further to say not only should Facebook and other social sites be a part of the strategy but so should mobile.  After all, there are 270 million mobile phones in the US, and mobile provides one of the easiest and most direct ways to improve engagement with loyalty customers.

Pizza Restaurants Do it Right!

Pizza chains have emerged as leaders in mobile marketing. The industry uses mobile solutions to maximize sales, drive consumers to place orders, and deliver initiatives that are on-brand and relevant to core customers.

Turns out there’s a lot to learn from pizza joints!

That’s why I recently wrote an article for QSR Magazine explaining how other restaurants can take the lead from pizza chains and get mobile marketing strategies moving. Simply adding text messaging can improve business and customer service – and can move the needle on sales.

In the article I discuss what pizza chains have done right and give tips on how other quick-serve restaurants can implement similar strategies.

Some of the mobile tips I suggest taking from pizza chains include:

  • Allow SMS Ordering
  • Start Sending Mobile Coupons
  • Recommend Specials and New Items Via Text
  • Have a Mobile Store Locator

You can read the full article here.

Feel free to reach out to me if you would like to discuss the topic further, or would like to hear more ways restaurant chains benefit by adopting digital messaging. As always, you can reach me at: msilk@waterfallmobile.com or on Twitter @WaterfallMobile.

Digital Messaging Enhances 2010 PromaxBDA Conference

Last week I had the great pleasure of attending PromaxBDA – The Conference 2010, which happened last week in downtown Los Angeles. For those who don’t know, PromaxBDA is the annual gathering of television promotions and marketing executives.  It was a fantastic event.

Waterfall Mobile provided mobile messaging services for PromaxBDA, and thus alerted the eclectic group of industry creatives about news and special offers. As a result, Waterfall’s Msgme platform was able to make the conference more interactive and engaging.

For example, the PromaxBDA organizers declared an impromptu “flash party” via text on Wednesday night – and backed it up with a $5,000 bar tab! Within moments the previously empty bar was swarmed with conference-goers, all of whom had either gotten a text or heard about the open bar from somebody in the know.

Elsewhere during the conference, I was in a client lunch when another text came through with a special offer for PromaxBDA mobile subscribers. Sugar Ray Leonard, who was being honored at PromaxBDA, was available for an exclusive meet and greet with those attendees who had joined the mobile list! I couldn’t get away to rub elbows with the champ – but I certainly appreciated the opportunity.

Other things I especially liked about PromaxBDA:

  • Learning. Attendees at PromaxBDA were actually there to learn – about social media, about new promotional and marketing tactics, about what’s next.  It made for a genuinely interesting and even (dare I say) inspirational event.
  • Honesty. JD Roth, executive producer of “The Biggest Loser” on NBC (and winner of a PromaxBDA Brand Builder award) admitted during a panel that the show has taken product integration a step too far. He also said brand visibility would be scaled back when the show returns next fall. Always refreshing to hear people tell it like it is!
  • Icons. Larry King interviewed with PromaxBDA Lifetime Award honoree Hugh Hefner, and it was something to see: two legends taking the stage and talking shop. Also notable: Hef mentioned Twitter twice! If an 82 year old knows about digital messaging and social media, I’d say that’s pervasive, wouldn’t you?
  • Foresight. I was extremely impressed by incoming PromaxBDA co-chairman Lisa Gregorian (Warner Bros. Television Group) and her panel on the changing face of the television viewing audience. Killer data point: 70% of the TV audience will be comprised of millenials by 2014. That means delivering content to users not just over the airwaves but online, mobile, DVR, and all the rest. Extremely refreshing to hear so-called “old media” leaders with such a command of what’s coming next, and the fact that those people have a business strategy to reflect our changing times.

Here’s one obvious thing that PromaxBDA can improve for next year. Despite all the digital initiatives happening throughout the event, comment cards in the session rooms stick out like a sore thumb. In an effort to go green, Promax has phased out bottled water – but getting rid of all that paper would be greener still, not to mention more efficient. Mobile messaging does a superior job, and can power commenting in real-time. Maybe next year…

Oh, and I have to give a shout out to our new friends at Wiredrive. They interviewed yours truly for a video compilation site the company is putting together featuring other PromaxBDA speakers and presenters. We’ll link to that video here as soon as it’s posted.

Multichannel Retailers Upgrade – But Where’s the Mobile?

eMarketer recently posted results from a Multichannel Merchant survey titled “Outlook 2010: E-Commerce.”  The study found that two-thirds of multichannel retailers are redesigning websites to update the site’s interfaces and to improve search engine optimization.

Retailers are also eager to add social media tools, videos, recommendations and forums – but they are not looking towards mobile.

After all of the statistical evidence lined up behind the effectiveness of mobile marketing, one question comes to mind. Why not?

Of the options available to marketers, adding mobile is one of the cheapest and easiest channels to activate in an overall marketing campaign.  Of course retailers should be updating their websites and getting active in social media, because upgrading the entire marketing mix is a prudent move. But forgetting mobile is a critical error.

Four out of Five US multichannel retailers said they were not using any mobile commerce, with only 6.5% saying they have a mobile site.

Heads up, retailers – companies are having successes in mobile, either by utilizing coupons or driving customers into stores on their “down days” with text deals.  So what exactly are you waiting for?

Trendy retailer, Planet Funk turned to mobile coupons and experienced 377% ROITarget is now scanning barcodes from customer’s phones at check out.  Best Buy is getting more aggressive about SMS campaigns and mobile applications, as well as, refreshing its mobile website.

Forrester recently released their “US Interactive Marketing Forecast” for 2009-2014 and predicted over the next several years mobile marketing will grow by 27 percent.   The analyst attributed the continued mobile growth to the increase in mobile data usage, continued development of mobile applications and mobile maturing as a marketing medium.

The report didn’t even account for the recent surge in mobile internet usage. According to a Quantcast Mobile Trends Report mobile web usage grew 110 percent in the U.S. last year and 148 percent worldwide.

Mobile provides a hugely effective way to engage with consumers and drive sales.  Not having a mobile plan essentially amounts to retailers leaving money on the table and getting left behind.

You can read eMarketer’s full post here.

To The PromaxBDA Conference We Go

PromaxBDA: The Conference 2010 is coming up next week in Los Angeles from June 22-24.  And Waterfall Mobile will be there.

PromaxBDA is the world’s largest entertainment marketing, promotion and design event.  It brings together the world’s leading creative and strategic marketing professionals for dialogue, debate and discussion about the international business of television marketing, promotion and design.

I’m really excited about the “Inventions in the New Age of Engagement” panel.  It’s a conversation that will cover inventive, cutting edge and exciting campaigns that extend the reach of television brands.

Also looking forward to hearing Rishad Tobaccowala, renowned futurist and media anthropologist, discuss the opportunities and challenges facing the media marketing, digital and entertainment industries in the coming years.

But the most exciting to me is that Waterfall Mobile will be providing real-time text updates to conference goers.  If you are attending, text PromaxBDA to 44144 to receive instant updates on your mobile device.  The conference organizers have even promised a surprise or two for their mobile friends.

It’s sure to be a great event.  You can find the full agenda here and register here.

And as always, feel free to reach out if you want to meet up.  You can reach me at msilk@waterfallmobile.com.

Great Time at the Loyalty Expo

Last week I was in Orlando for Loyalty Expo, and it was an excellent event all around.

At the conference, brands came together to discuss the latest trends, technology and strategies for increasing customer loyalty and engagement.  It was exciting to be part of a panel discussing how mobile can help in building customer engagement and loyalty.  My co-panelists and I gave some real-world tips to the loyalty industry on how its members can immediately leverage the mobile channel to extend current and future programs.

(If you’re interested, the full agenda for the event is available for download here.)

More and more brands are realizing how important it is to incorporate mobile into loyalty programs.  Coca-Cola recently told Mobile Marketer that, “the mobile channel is a key component of the brand’s loyalty and customer relationship management initiatives.”

The article goes on to discuss how “in this environment of hyper-choice, consumers are overwhelmed, but mobile loyalty programs give brands a way to stand out from the rest and inspire repeat business.”

As you may know, it’s seven to ten times more expensive to acquire a new customer than it is to keep an existing one.  Not to mention the fact that customers who belong to a loyalty program visit twice as often and spend an average as four times a much as those that are not in the program.  Adding mobile gives an entire new way to communicate with customers and simplify enrollment and engagement.  And any time you can make something easier, engagement goes up.

I’m hooked!  I can’t wait for Engagement Expo in the fall.

The Texting Teen Phenomenon

It’s no secret that text messaging is a favorite pastime among teens. In fact, just about every middle or high school age student I’ve encountered recently has had their eyes glued to their mobile devices and thumbs on the keypad.

I came across a study the other day that had some pretty interesting statistics about just how much SMS plays a part in the lives of teens.

Among other findings, the survey showed found that 72% of teen cell phone users are texters.

Below is a visual that gives a quick idea of just how teens are using their mobile phones.

Over half of the teens in the above chart (click to enlarge) are sending daily texts – and about 1 in 10 send over 200 per day! If you take hours spent sleeping in to account, that’s a pretty impressive feat.

And if you checked out MediaPost today, you may have read about the $216 Billion buying power of teens.

Companies targeting teens would be remiss to ignore these irrefutable facts, and should seriously consider a comprehensive mobile marketing strategy that reaches these incredibly valuable consumers on the device that is central to the way they approach the world: the mobile phone.

To find out more about how to use SMS to target these texting teens, shoot me an email – msilk@waterfallmobile.com.

Is Multichannel 2010’s “New Black?”

I’m sure you’ve all noticed the recent activity like Exact Target acquiring CoTweet, Constant Contact acquiring NutshellMail and Unica Corp’s partnering with Mobile Messenger.

This leads me to wonder – is being multichannel the “new black?”

Waterfall Mobile works with many ESPs (e-mail service providers) and technology companies, and we frequently discuss the future of the business.  And the consensus from those conversations is, yes, marketers are expanding their focus to include more ways to digitally and directly reach consumers, so their vendors must follow suit.  It’s just smart business.

Nearly every major ESP has announced social media integration plans in one form or another, and most have selected a mobile partner or are building messaging into their platforms.

In general, and in particular for direct marketers, mobile continues to represent tremendous opportunity.  As we’ve seen with these acquisitions, the appetite for social and digital media technologies is growing.

As readers of Mobile Demystified know, we regularly make the point that marketers should have a multichannel strategy – one that includes email, online, mobile and social media.  The more opportunities you have to reach a customer, the more opportunities you have to engage with them.

So, yes – multichannel is the new black.  If you aren’t thinking about a comprehensive, cross-platform engagement strategy, you’re going to get left behind — see Forrester’s interactive marketing spend chart, below.

If you are feeling overwhelmed and don’t know where to get started for your company, drop me a line at msilk@waterfallmobile.com.

See You at the Loyalty Expo


The Loyalty Expo is coming up next weekend in Orlando on June 6-8.  This is an excellent conference that discusses the latest trends, technology and strategies for customer engagement.

As the organizers put it, the Loyalty Expo:

is driven to be a true “voice of the customer” best practice focused engagement, loyalty, incentive/reward conference to help brands in building customer relationships.

I’ll be part of the “Keep Your Brand Top of Mind and in the Hands of Your Customers” panel on Tuesday, June 8th.  I will be joined by Dana Warszona, Mobile Commerce Solutions Manager, Motorola’s Enterprise Mobility Solutions, and others.  My esteemed panelists and I will be discussing the benefits of mobile, specifically as it relates to building customer engagement and loyalty.

Representatives from Best Buy, Dell, Motorola, SunTrust Bank and Kaiser Permanente will all be in attendance.  This is sure to be a fantastic event.

You can find the full agenda for the conference here and you can register here.

And PS: if any of our readers are in attendance, I’d love to meet up.  You can reach me at msilk@waterfallmobile.com.