Mobile Advertising and Social Influence

The consumer journey across devices

Technology is evolving at an astonishing pace. Consumers don’t see silos; they navigate, research and purchase products and services entirely based on the situation they are in.

This means consumers blend their experiences, moving from device to device, app to desktop, online to offline, leaving organisations with fragmented journeys to stitch together and draw insight from. Increased 4G connectivity and the affordability of smartphones has led to the smartphone as being an extension of a person. This has enabled brands to reach consumers at the opportune and relevant moment.

Mobile moments

In the UK, 72% of digital moments take place on smartphones[1]. Furthermore, 89% of smartphone users glance at their mobile devices while doing activities such as relaxing in the park or watching TV, and 92% of mobile users look up products and reviews while out shopping[2]. Such consumer behaviour is vital for brands to capitalise on by marketing to target audiences during these ‘mobile moments’. With an average of 8.3 connected devices per home[3] brands simply can’t afford not to consider mobile at the forefront of their business. Marketing tends to catch-up to consumer behaviour, which we’ve seen from eMarketers prediction that mobile ad spending will surpass desktop for the first time this year.

Why Papa John’s take a mobile-first approach

Taking a mobile first approach complimented Papa John’s business model because of the nature of the pizza takeaway business since online browsing plays a huge role in their consumer purchase journey along with lifestyle and mind-set. Papa John’s objective was to raise awareness for their new store in the city of York, a region they had never ventured into before.

Using mobile and cross-channel technology to implement a hyper-local mobile only campaign and cross-device campaign allowed Papa John’s to reach their target audience within a 3-mile radius of the store, the same perimeter as the store’s delivery distance.

Due to the granularity of the campaign, strong results were achieved. There was a £2:1 ROAS for the mobile only campaign and £22:1 ROAS on the cross-device campaign. The insight uncovered was significant, identifying the importance of smartphone, as 57% of ads served on a smartphone saw conversions on a smartphone. If mobile was missing from this piece, Papa John’s would have lost valuable customers.

Mobile meets social

Over 50% of UK mobile users are also Facebook users, so we can start to understand the time people spend on their phone, particularly as 81% of UK Facebook users access the platform through a mobile phone. In line with these statistics, Facebook recently revealed that 84% of its revenue derives from its mobile ads. Facebook is a dominating force capturing 57% of the UK population followed by Instagram on 20%. Needless to say, brands are focusing in on the opportunity to reach users across social media. Currently just under half of consumers think social channels are getting better at providing relevant ads and content, and this is where brands can improve to help change this mind-set. However, 33% say they don’t mind seeing advertisements from brands they don’t follow as long as they are relevant – so, there is certainly an opportunity to be had here.

Kurt Geiger capitalising on the social influence

An example of a brand harnessing the power of social media advertising is authority on designer footwear and accessories for women and men, Kurt Geiger. The fashion brand wanted to expand reach amongst a younger demographic and given Facebook’s most popular age group is 25-34 (26% of users) the social platform provided the perfect platform to speak to their target audience.

Facebook provided a rich resource for a lot of Kurt Geiger’s site abandoners, opening up a new opportunity to showcase the brand and target the relevant Kurt Geiger audience across a different format and medium. Through “moment marketing” Facebook’s dynamic product ads format enabled Kurt Geiger to target their product catalogue to each unique Kurt Geiger shopper with relevant and timely ads in the right place. Kurt Geiger used 20% off messaging across their display strategy, which was an ideal fit incorporating into Facebook ads because social users are very receptive to promotional codes.

Through using Facebook Marketplace, Kurt Geiger was able to target and reach their audience across devices which drove a 407% increase in orders and 47% increase in ROI against just targeting consumers on desktop through Facebook Exchange.

Gaining the competitive edge

eMarketer dubbed 2016 as “The Year of Mobile” and we’re also now making way for “mobile-first” strategies. Brands need to find the balance between putting mobile at the forefront of their strategy with the knowledge that the concept is actually right for their brand.

What is clear, is that having transparency and control over your marketing channels is essential in a world of approximately 8.3 connected devices. Social media is only growing in force and with more brands looking to emerging platforms such as Instagram and Snapchat they should not forget that Facebook is still the dominating and revenue driving force.

Social media is a huge opportunity, but remember you only have “moments” to capture interest: ads need to be relevant and tailored to audience’s interests.

Rakuten Marketing spoke at the Festival of Marketing on multi-channel strategy , read the full summary on the eConsultancy website.

To discuss your mobile and social approach, please get in touch with us.

Resources

[1] Ipsos Moments that Matter Research, June 2015, UK

[2] Ipsos Moments that Matter Research, June 2015, UK

[3] IAB