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Big Brand Strategies

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    10High Performance

    App Marketing

    LEVERAGING MOBILE TO BUILDCUSTOMER RELATIONSHIPS,DRIVE REVENUE, AND GROWMARKET SHARE

    For Mobile App Marketing

    BIG

    BRANDSTRATEGIES

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    The time for big brands to get strategic about marketing their apps is now.

    Mobile apps are no longer standalone entities for big brands. What were now see-

    ing is brands integrating mobile apps into their business models and their overall

    marketing strategies -- to build closer customer relationships and drive business.

    Its no longer enough for brands to just have an app (or a suite of apps) and

    promote it through traditional channels. Now that brands recognize the impact

    mobile apps are having on business, their focus is shifting to employ a strategic

    marketing approach to their apps.

    All this means that big brands are starting to treat their apps as more than just

    another channel theyre treating them as a business. And theyre getting serious

    about marketing their apps, by putting the marketing resources behind them and

    incorporating apps as part of their ongoing strategy.

    Top-tier brands like Coca Cola, Sephora, Wal-Mart, and many more are all

    publically talking about the central role apps play in their marketing strategy.

    Here, well describe what some of those brands are doing, how theyre doing it,

    and outline 10 strategic moves brands are employing to get more strategic about

    their mobile apps.

    BIG BRAND STRATEGIESFor Mobile App Marketing

    LEVERAGING MOBILE TO BUILD CUSTOMER RELATIONSHIPS,DRIVE REVENUE AND GROW MARKET SHARE

    With our Hyatt smartphone

    app, it took 10 weeks to

    launch and three days for us

    to do our rst million dollars

    of revenue. Comparatively,

    it took 11 months to achieve

    that following the launch of

    our mobile website. Whatmobile doesespecially the

    appis provide consumers

    with instant gratication for

    what they need, when they

    need it, how they need it,

    wherever they need it.

    John Wallis, Global Head,

    Marketing and Brand Strategy,

    Global Hyatt Corporation 1

    10

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    Mobile is quickly becoming the go-to way a growing segment of consumers

    interact with brands, and apps are rapidly becoming the dominant avenue for this

    interaction. The stats and predictions are overwhelming:

    Mobile app downloads doubled in 2012 to 46 billion2

    Downloads will double again in 2013, reaching81 billion, on their way to

    310 billion by 20163

    Mobile apps will generate $35 billionin revenue by 20144 and $74 billion

    by 20165.

    10% of online retail dollars spent in Q3 2012 were on mobile devices,

    and that share is expected to increase to 12-13% during Q4 20126.

    Customers expect apps to be part of how they interact with your business. In fact,

    theres an entire category of consumers who prefer to do business from mobile

    apps. In fact, Gartners Brian Blau predicts that by 2016, mobile app use will

    surpass the use of Internet domain names, making apps the No. 1 way of

    engaging with brands.

    7

    But as Coca-Colas Tom Daly recently described it, consumers have never

    been more connected but its never been harder to connect with them.8

    Simply having apps and promoting them through existing channels isnt enough.

    To claim space on their customers phones, large brands are learning that they

    have to aggressively market their apps, getting them into the hands of customers

    before their competitors do.

    The Time Is NowEXPLOSIVE MOBILE GROWTH DESERVES DEDICATED MARKETING

    By implementing a rich

    mobile app, Nordstrom

    can engage and transform

    customers from occasional

    visitors to loyal customers by

    having them download the

    app for faster, more frequent

    and higher value experiences

    whether they are at home,on the go or in a Nordstrom

    store. In doing so, Nordstrom

    will drive incremental sales,

    increase customer loyalty and

    learn more about consumers

    buying behavior to serve them

    better in the future.

    Luxury Daily,

    November 17, 2011 9

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    The client: Financial services company

    $100M+ revenue

    Public company (NYSE)

    ~15 million active customers

    Actively marketing their mobile app for 2+ years

    Mid-six-figure monthly spend

    The challenge:

    Their online user base is shifting to mobile

    Smaller competitors were threatening to disrupt their business

    How Fiksu helped: Consistently kept client in the top ranks of the

    App Store - ahead of competition

    Acquired millions of users

    Kept cost per acquisition below targets

    FIKSU CLIENT EXAMPLE:Finance Company Goes Big for Apps

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    There are three key lessons to be learned from this client:

    1. Effort and execution matterThe company runs a steady, continuous campaign, targeting the ideal useracross an array of different traffic sources including leading ad networks,

    social channels, and real-time bidding exchanges (RTB). They also develophigh quality creative assets, track their ROI through to the last dollar, and

    occasionally use a burststrategy, putting out an extra blitz of ads tomaximize results when needed.

    2. Keep testing and optimizingNo matter how good campaign results are, its essential to test new ideas

    and traffic sources. This client uses Fiksus optimization technology and

    performance data to make ongoing optimization decisions, keeping cost-per-acquisition low while finding ideal customers. They also dedicated 10% of theirmonthly budget to testing new ideas and channels, many of which eventually

    make their way into the core marketing stream.

    3. Find your ideal rankAs well discuss, every app has an optimal sweet spotin the app stores, and

    its not necessarily as high as you can afford to stay.This client has figured

    out what rank gives them the best ROI and how it changes over time. To get themost out of your app marketing dollars, you need to determine this optimal rank

    and what you need to spend to stay there.

    Some of these lessons may be unfamiliar to marketers new to mobile. But thats justthe start lets take a look at how mobile app marketing differs from online and

    traditional marketing.

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    App marketing is an entirely different world than what many experienced

    marketers are used to in both digital and traditional channels, incorporating

    different dynamics that require different marketing approaches. Here are some

    of the differences app marketers are facing.

    Unfamiliar channels

    Of course, brands with large customer bases can drive app installs throughtraditional customer touch points and promotion. But to quickly reach the massive

    volumes of app users required for success in this space, marketers depend on

    mobile advertising networks, such as Googles AdMob, Apples iAd, and emerging

    sources such as real-time RTB exchanges.

    Many brands are now promoting their apps through these dedicated app

    marketing channels because they are by far the most effective way to capture

    high volumes of new users quickly. But how do you decide which networks to

    work with? What method do they use for ad tracking? Do you have to integrate

    SDKs from several networks? How do you deal with all the different reporting

    formats? These are brand new challenges that marketers need to address to

    have success.

    App Marketing Requiresa Different Approach

    In the ten days since the

    iPads debut, its TV-show

    watching app has been

    downloaded 205,000 times,

    giving the Walt Disney Co.

    (DIS) unit a presence onnearly half the 450,000

    devices that Apple says it

    has sold. Moreover,

    users have watched at

    least part of 650,000 televi-

    sion episodes using the app,

    generating several million

    ad impressions.

    Wall Street Journal, 4.13.10 10

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    Targeting challengesDue to both technology limitations and privacy concerns, mobile ad targeting isnt

    as sophisticated as what marketers are used to in the traditional online marketing

    world. Marketers used to precise demographic targeting will have to adapt to newtechnologies and approaches for reaching those users that can help you achieve

    the best performance and ROI.

    Downloads often dont lead to usersEven when you succeed in getting your app downloaded, it doesnt mean the

    customer will actually use it. Only a fraction of downloads convert into

    productive users.

    According to a recent industry study, more than a quarter of downloaded apps

    are used only once, and then abandoned.11 If your app marketing generates too

    many downloads by non-engaged users, your results will take a significant hit.

    Fortunately, there are integrated tracking and optimization technologies that help

    marketers identify the traffic sources that drive more than just downloads

    but quality, loyal users.

    Marketing goals are differentApp marketing also requires balancing an entirely new set of marketing goals

    from achieving a certain rank within app stores, to acquiring users that actually

    use your app, to a target cost-per-install. These are new types of goals for many

    marketers, and require new measurement approaches.

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    Store dynamicsWhere do users search for apps? Overwhelmingly, they use the two major app

    marketplaces: Apples App Store and Google Play. As an app marketer you need

    to understand and address new dynamics associated with the app stores such asachieving optimal rank, understanding the relationship between ad spend and

    organic users, and the factors that drive rank in each store.

    Organic usersYour app will be downloaded by two types of users:

    1) ad-driven users -- downloads by users that are driven from your paid ads

    2) organic users -- downloads by users that find your app naturally whenbrowsing the stores.

    Organic users are considered to be the highest quality users and there are

    proven approaches that can help you capture more of them and reduce your

    overall cost-per-acquisition.

    Ad tracking and attributionA key consideration for app marketers is ad tracking and attribution, which

    is required to reveal whats working and where to focus marketing spend.

    Mobile ad tracking presents unique challenges for app marketers because there

    is no industry standard on the iOS platform, and many of the tracking options

    have tradeoffs. In addition, some marketing channels and networks only support

    specific tracking solutions, so you need to understand the range of tracking

    solutions thats right for your marketing plans.

    Users have now listed 100

    million items to its market-

    place using the eBay app,

    by taking a picture of the

    item with their phone

    and uploading all the data

    within minutes.

    EBay previously forecasted

    that it would hit $10 billion

    in revenue on mobile this

    year. Based on last years

    gross merchandise volume

    of roughly $60 billion, that

    works out to 16 percent of the

    companys revenue.

    allthingsd.com, 9.24.2012 12

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    10 Mobile App Marketing

    Strategies For Big Brands 1. Bring App Stakeholders Together As One Team

    2. Put Dedicated Marketing Resources Behind Your App

    3. Set App-Oriented Marketing Goals

    4. Market Your App On Mobile Media

    5. Target Optimal App Store Rank

    6. Target Loyal Users

    7. Use Optimization Technology To Drive Marketing Performance

    8. Choose A Proven Mobile Marketing Technology Partner

    9. Test, Learn, Implement, Repeat

    10. Establish A Feedback Loop With App Development And Business Stakeholders

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    Who owns your app marketing strategy?Is it a centralized marketing department? A marketing team within a business

    division? Or maybe the e-commerce business? Does your company have multiple

    apps, marketed by different groups?

    Its not uncommon in large organizations for some controversy to exist regarding

    who should ownthe app marketing strategy, and often several players can make

    a valid argument.

    Try to steer clear of territorialism and unite all of the app stakeholders to work

    as one team to align overall goals and avoid power struggles. Pulling a team

    together from different departments and divisions can often be difficult, but it will

    go a long way towards making your app marketing strategies more successful.

    Ideally your organization will benefit from regular, ongoing communicationsamong all the key players, from app development and business stakeholders

    to you as the app marketer and even to outside partners such as your agency.

    By bringing everyone together as a team, you have an opportunity to get everyone

    on the same page and build a successful app business.

    1. Bring App Stakeholders TogetherAs One Team

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    One Fiksu client demonstrated this approach well. As a large corporation,

    it would have been easy for them to fall into a trap of having multiple apps

    managed by various business units. Instead, they:

    Set up a central product group to focus on their apps

    Conducted weekly calls with an external developer,the marketing and strategy people, and their

    external agency

    Reviewed a six-month marketing calendar.

    This helped them hit multiple app marketing goals

    and minimize confusion and surprises down the line.

    FIKSU CLIENT EXAMPLE:Major Telecom Services Provider

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    Apps are revenue-generating vehicles and deserve dedicated marketing

    resources. Capturing and maintaining app market share requires marketing

    resources, just like any other product. Its no longer enough to simply market

    your apps at your traditional customer touch points. To build market share,

    brands must go out and get app users through proactive marketing and this

    takes resources.

    According to the Mobile Marketing Association, marketers currently allocateless than one percent of their marketing budget to mobile advertising. However,

    based on the MMAs detailed ROI analysis of mobile, the optimal percentage of

    a marketing budget to spend on mobile is seven percent, on average, and up to

    nine percent for brands with higher app involvement.13

    Many big brands have started to put the necessary budget and staff behind the

    marketing of their apps, and those are the two key components. It takes people

    power to manage the strategy and execution across the many mobile app market-ing vehicles, and as the MMA describes, the scope of the mobile app opportunity

    also deserves a significant app marketing budget, separate from other channels.

    App marketing budgets should also be planned for ongoing promotion. Limit-

    ed-time burstcampaigns can quickly boost an apps rank and drive downloads,

    but the effects dont last. To maintain visibility in the app marketplaces and bring

    in new users on a continual basis, your app promotion needs to be ongoing.

    2. Put Dedicated MarketingResources Behind Your App

    The Creative Ideas app

    allows users to nd

    inspiration and home

    improvement contentwhere and when they

    want to interact with it.

    We are at almost 800,000

    issues downloaded.

    -- Sandy Culver,Consumer Marketing Director,Lowes Home Improvement 14

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    As with any marketing program, mobile app

    marketing programs should be measured against

    specific, measurable goals. App marketingpresents an entirely new range of marketing goals,

    with different corresponding strategies and tactics.

    Youll most likely wind up with several goals,

    some primary goals that directly reflect on your

    marketing successes, and other secondary goals

    that measure more detailed aspects of yourcampaigns. Whats important is to consider

    your goals beyond the obvious goals of rank or

    downloads, through what youre trying to achieve

    for the business after the download, and align

    your marketing strategies to these goals.

    Rank Reach (and maintain) a target app store rank, either overalland/or in-category

    Downloads Generate a certain number of app downloads ona daily/weekly/monthly basis

    Cost-per-download Stay below a threshold cost togenerate downloads

    Loyal user acquisition Drive downloads from users that makea purchase, use the app repeatedly, or take other actions thatsupport your overall app strategy

    Revenue Hit targets for revenue generated directly through the app

    Organic user acquisition Acquire a target number of organic users those who download the app without paid marketing influence

    Key performance indicators Post-download user actions:repeat use, clicks, session length, clicks to online store, in-apppurchase, other

    Competition Achieve higher app store rank or more downloadsthat competitors

    New customer acquisition Acquire a target number ofnew customers

    Existing customers Generate a target number of downloadsfrom existing customers

    Geography Generate a target number of downloads in keygeographies

    Velocity Meet defined metrics within specific timeframes

    3. Set App-Oriented Marketing Goals

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    Client Goals

    While rank goals arent ideal for every brand, this brand-name

    fashion client knew that store visibility was going to be essential

    to acquiring the large numbers of users needed to hit their

    in-app purchase goals.

    Their app was new, so they set an achievable rank goal of top30 in their category. Based on their research and comparative

    data, they knew that getting into the top 30 would help them

    generate large numbers of users cost effectively.

    How Fiksu Helped

    Using a combination of Fiksus centralized media buying

    and optimization technology, they were able to achieve a rank

    between 20 and 30 within weeks

    And theyve maintained it to this day, over one year later.

    FIKSU CLIENT EXAMPLE:Leading Fashion Retailer

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    Some brands with large customer bases are confident that they can drive a lot of

    users simply by promoting apps through their existing customer touch points, such

    as stores, web sites, or traditional mass media channels. However, many marketers

    have found that promoting their apps through these channels is no longer enough.

    Brands are now committing an ongoing portion of their overall marketing spend to

    promoting their apps where mobile users are: mobile advertising networksandreal-time bidding exchanges. Advertising on these dedicated mobile media

    channels is the fastest way to build and sustain a large user base.

    Its true that most users find apps in the app stores but discoverability of any one

    app among thousands of competitors isnt something you can count, no matter how

    well-known your brand is.

    The impact of mobile ad buys cannot be underestimated. Apps with high app store

    rankings and market share are almost always backed by continuous marketing in

    the form of paid media buys through mobile advertising networks and real-time

    bidding exchanges. These dedicated mobile channels enable brands to achieve

    an initial rank boost then maintain that rank over time to drive discoverability

    and installs.

    4. Market Your App OnMobile Media

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    In addition to advertising on mobile channels, marketers have learned that

    working with several ad networks, rather than just one or two, increases their

    success by up to a factor of ten. This multi-network approach helps marketers

    reach their largest potential audience, guard against audience saturation,

    and maximize ROI by identifying opportunities for lower acquisition costs.

    There are different types of dedicated mobile marketing vehicles from which

    to choose:

    Ad Networks:Aggregate traffic from publishers like mobile web sites and apps

    that display ads.

    Incentive Networks:Provides a reward to a user that downloads and engages

    with an app. Otherwise known as an install. Apps with good initial engagement

    mechanics can obtain new users at a low cost. Examples of incentive networks

    include FreeMyApps and SponsorPay.

    Premium Traffic: Web and app publishers with their own ad serving capabilities

    and sell inventory direct to very large buyers or aggregators. Examples include

    Pandora, The Weather Channel, and Twitter.

    Real-Time Bidding Exchanges:A rapidly growing advertising channel where

    high-speed, automated technology runs auctions on an impression-by-impres-

    sion basis. (See next page.)

    We launched an iPhone

    app in the United States

    about a year and a half ago.

    It is now processing around

    15% of all the WesternUnion.

    com transactions that go out

    from the US. Europe will be

    the next area where we roll

    this out.

    Gregg Marshall,Global Head of Sales and BusinessDevelopment, Mobile Transaction

    Services, Western Union 15

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    The Emergence of Real-TimeBidding ExchangesOne of the more rapidly growing developing ways app marketers are accessing mobile media is through real time

    bidding (RTB) exchanges.

    Real-time bidding gives marketers an effective, cost-efficient way to target precise audience segments --

    one impression at a time. RTB achieves this through online auctions that work in the same manner as bidding

    on AdWords.

    RTB systems auction media inventory on a per-impression basis: every time an ad slot becomes available due to a

    user opening an app or mobile web page, an RTB exchange makes that impression available for bidding. Advertisers

    are given highly granular targeting data to programmatically evaluate the impression and generate a bid for the

    impressions. The exchange delivers the ad to the auction winner within milliseconds. This provides advertisers with

    the ability to reach high-value prospects at the cost theyre willing to pay, rather than purchasing bulk impressions.

    Real-time bidding offers one of the most cost-effective ways to identify, target, bid on, and buy impressions based

    on specific acquisition goals and at a target cost. Buying media impressions through RTB exchanges helps

    app marketers:

    Access highly targetable traffic for better performance

    Drive high-value users

    Achieve substantial cost efficiencies

    Realize higher marketing ROI

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    Client Goals A large ad agency worked closely with Fiksu to deliver for their client

    a multi-billion dollar manufacturer of some of the worlds leading

    consumer devices.

    The client had only a few weeks to acquire a large number of app

    users globally, in 13 different languages.

    How Fiksu Helped

    The agency worked with Fiksu to market their app

    across dozens of ad networks, RTB, and direct

    publishers, with a goal of driving high volumes

    of usage during a worldwide marketing push.

    The result: hundreds of thousands of app downloads

    ahead of their deadline and under their CPA target.

    FIKSU CLIENT EXAMPLE:Global Electronics Manufacturer

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    Mobile media advertising will drive users to download your app. But its just as

    important to reach users who are browsing the app store for new apps and

    the way to do that is to get your app into the top of the store rankings. If youre

    not near the top, youre not likely to be seen, never mind downloaded.

    Rank is all about acquiring organicusers

    Organic users are those who install your app through natural discovery while

    browsing the app store, as opposed to those that are driven to the app by a paid

    ad. Organic users often become higher-value users but in the rank-drivenenvironment of the app stores, paid users have an important role to play beyond

    their individual value.

    As weve pointed out, high rankings are key to being discovered by organic

    app searchers and one critical factor in ranking is total download volume:

    the more downloads you get, the higher you rank. And thats where paid users

    come in.

    Paid mobile advertising continually drives more downloads, which raises your

    apps rank and visibility within the stores, so it can then be discovered by organ-

    ic users. This is called organic liftand it should play a central role in your app

    marketing strategy.

    5. Target Optimal Store Rank

    The mobile app is probably

    our rst aggressive initiative

    aimed at strengthening

    loyalty among current andpotential new guests.

    We wanted to deliver an

    extension of our brand

    experience and give people

    a reason to engage with

    the Dennys brand.

    John Dillon,Vice President of Brand Marketing& Product Development, Dennys 16

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    Because rank is so critical to obtaining organic users, one method of achieving

    higher rank quickly is to conduct a burst campaign with an incent network.

    A burst campaign concentrates advertising spend over a short period of time

    to quickly drive a high volume of downloads. When done correctly, a burst

    campaign results in a prominent ranking in the App Store, causing a spike in

    organic installs. Once the campaign is generating a substantial amount of

    organic downloads, you can dial back the spend to just the level necessary to

    sustain your download numbers.

    Optimal rankTo capture organic users most efficiently, its important to think in terms of

    optimal rank, rather than simply highest rank. This is because there is a pointof diminishing returns associated with rank. For example, an app may get more

    organic users at rank 5 than at rank 10 but the cost of maintaining rank 5

    might more than offset that advantage.

    Marketing platforms such as Fiksus use algorithms to determine an apps

    optimal rank by monitoring the relationship between ad spend, rank, and

    organic downloads, then optimizing campaigns to deliver the rank that drives

    the most organic users at the most efficient cost.

    As you develop your user acquisition plan, think not only in terms of download

    numbers, but also in terms of number of organic users. As you track your

    advertising program, you will be able to track your organic lift and optimize to it.

    We now have planograms

    for every store in our app, so

    we know every item thats on

    a shelf by store and where

    its located. You can create a

    shopping list in the app and

    theres a button that with

    one click, the items on your

    list appear on the store map,

    which is a representation of

    the store.

    Rich Lesperance,Director of Digital Marketing and

    Emerging Media, Walgreens 17

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    A multinational media organization went from treating their app asa loss leader to expecting ROI results and achieving them.

    With both Android and iOS apps, they attained a top ten ranking

    in their category with their initial app marketing efforts.

    However, over time they realized that even though they had thebudget to stay top 10, their overall campaigns were more

    effective when they targeted ranks in the low 20s.

    FIKSU CLIENT EXAMPLE:Multinational Media Corporation

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    As you run your advertising across mobile ad networks, you will also want to

    think in terms of loyal useracquisition not just downloads.

    A loyal user is a user who takes actions that lead back to ROI.

    For example, a loyal user may be one who:

    Uses the app repeatedly

    Clicks through to your online store

    Downloads a coupon

    Makes an in-app purchase

    Places an order Registers for a service or newsletter

    Whatever the conversion metric is,it is loyal users on whom you build your

    app business.

    A download, or even an app launch, doesnt mean that you have a loyal user

    that translates into a business result. Data shows that many users abandon anapp after one or two uses, and that high download numbers are often just part

    of a high churn rate. To truly drive business from your app, loyal user

    acquisition is more important than driving large volumes of downloads.

    And there are technology solutions available that help you identify and target

    these loyal users.

    6. Target Loyal Users

    Starwood has seen a 300

    percent increase in mobile

    booking revenue generated

    this year compared to the

    same time last year, per the

    hotel chain. This data is

    a serious indication to the

    future of booking travel.

    luxurydaily.com, 12.12.12 18

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    Optimization is one of the mostcritical components of your appmarketing program.This is because mobile ad targeting is not as sophisticat-

    ed as what youre used to when working with traditional

    marketing vehicles. As you plan your mobile media buys,

    there are limited targeting criteria to help you determine

    which ad networks will cost-effectively deliver thelargest number of downloads, which will drive loyal

    users who spend money, and which will merely

    consume your budget.

    This is where optimization technologycomes in.With optimization technology, you can gain detailed

    insights into the marketing sources that are deliveringon your goals. Whether thats driving loyal users, min-

    imizing cost-per-download, or attaining optimal rank,

    optimize lets you zero in on those outcomes during the

    campaign. An optimization solution will help ensure that

    your ad spend is focused on the marketing sources that

    are delivering the results and ROI youre seeking.

    The best optimization technology employs intelligent

    algorithms that evaluate thousands of targeting com-

    binations. That can include variables such as networks,

    time of day, device, operating system, geography and

    more. Those algorithms also depend on having a mas-

    sive database of historical outcomes - billions of events

    - to best predict how to allocate future efforts. This level

    of detailed optimization cant be done manually.

    Plan your optimization up front.Too often, app marketers treat optimization as an after-

    thought. As programs run and they see that theyre not

    getting the results they had hoped for, they scramble to

    figure out how to readjust their mobile ad spend.

    Not all optimization is created equal.When evaluating marketing technology partners,youll encounter the term optimizationused in many

    different ways. For maximum value, its important to

    look carefully into exactly what an optimization solution

    really provides.

    7. Use Optimization TechnologyTo Drive Marketing Performance

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    Characteristics to seek in anoptimization solution

    1. Provides automated optimizationAs your campaigns are running, automated

    optimization technology feeds performance data into

    an optimization engine automatically, and uses

    algorithms to optimize media buys based on the best

    price/performance results. Report-based solutionssimply tell you which ad networks are performing

    the best, leaving you to analyze large amounts of

    data and take action to adjust your buying plans

    across multiple networks.

    2. Optimizes on post-download eventsRather than optimizing based on download data, the

    solution should be able to track post-download userevents, such as the loyal user events we described in

    strategy #6. This helps ensure that media spend is

    allocated to the sources that are truly driving

    business results.

    3. Integrated with ad trackingand attribution

    Data obtained through ad tracking software or

    network dashboards isnt immediately actionable,

    due to the manual nature of the data analysis.

    They dont build in any algorithms that makeoptimization decisions, such as what media is most

    cost-effective, how to bid, or how to manage volume

    and budget.

    Unlike manual reporting-based methods, an integrat-

    ed approach allows you to take advantage of more

    detailed data and respond immediately to cost or

    volume issues. Automated decision-making aboutwhat media is most cost-effective, how to bid,

    and managing bids and budget yields significantly

    more cost-efficient results.

    There are five characteristics to consider when choosing an optimization solution:

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    Characteristics to seek in anoptimization solution4. Enables Broad Media DeploymentThe optimization engine is integrated with ad

    networks and real-time bidding exchanges to

    enable optimization across your entire media buy

    simultaneously. It can also identify new media

    sources that are highly likely to perform well.

    5. Provides Store OptimizationThe optimization engine monitors the relationship

    between ad spend, app rank, and downloads, and

    optimizes to achieve the rank that delivers the most

    organic users at the lowest cost.

    For more information, readOptimization for Advanced App Marketers.

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    As you get strategic about your mobile app marketing, youll want to partner

    with one or more vendors that provide technology solutions for app marketing.

    Traditional advertising agencies may have considerable expertise in user

    acquisition and brand marketing, but as weve described, mobile marketing

    demands very specific expertise and technology.

    Coca-Cola executive Tom Daly recently emphasized this idea, saying that one

    of his main goals for 2012 was finding and connecting with the best partners

    for mobile marketing. He mentioned that mobile marketing is a different skill

    set than digital marketing, and that his focus then and now was on finding

    partners who know how to really collaborate so he could invest in the best

    and execute on his vision for mobile.19

    MillerCoors Director of Digital Marketing Steve Mura echoed the point,

    describing how you need the right partners to help you win in the mobilespace. We need someone who lives and breathes mobile,he said, both for

    technology and for mobile media management.20

    8. Choose a Proven MobileMarketing Technology Partner

    Mobile sales continue to rise

    sharplyup by 46.9%and

    now account for 18.5% of

    total online sales.

    Nick Dutch, Multimedia Manager,Dominos Pizza Group21

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    One of the reasons these big brand executives are so eager to find partners for

    their app marketing is the range of technologies and skills required to succeedwith mobile marketing:

    Centralized media buying Partners that provide one central point of

    contact to buy mobile media from numerous media sources.

    Ad tracking and attribution Software that tracks, measures and

    reports on marketing performance, and also attributes user actions

    back to the original marketing sources.

    App usage analytics Software that tracks and reports on how your

    app is being used.

    Optimization Technology that uses algorithms to optimize your adver-

    tising to the marketing sources that deliver the best price/performance.

    If your agency manages your app marketing programs, you may want to explore

    with them the subject of partnering with a high performance mobile app

    marketing platform provider to help them drive results for your business.

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    As marketers, we often rely on extensive testing of

    promotional strategies, messaging, creative, and other

    aspects of our campaigns and programs before launch-ing them on a grand scale. The same holds true for app

    marketing, but its more important in the app marketing

    world not to fall into the trap of analysis paralysisover

    long periods, because the market moves so quickly.

    Because mobile apps are a relatively new space com-

    panies can easily fall into the test and retest trap. What

    marketers need to understand is thatthe opportunity islarge enough and happening fast enoughthat its more

    important to get out there in the marketplace rather

    than to test and refine marketing programs over extend-

    ed periods. You dont want to get stuck in test and learn

    mode because the market is developing so rapidly: you

    need to be getting results now, before you may know the

    perfect approach.

    Its okay to test and learn what does and does not work,

    and to then make adjustments. Thats a key component

    of the optimization described in the previous section.

    As you see what works best you can then start to scale

    and refine your campaigns. But dont wait for perfection

    before you dive in.

    Build testing into your budgetIn addition, as your campaigns and programs are

    running, its important to devote a percentage of yourbudget to testing new media sources. There are dozens

    of excellent media sources on which to promote your

    apps, and theres no way to know which will perform

    best without testing.

    From ad networks, to premium web and app publishers,

    to RTB exchanges, you may be missing out on potential

    opportunities to improve price/performance andidentify highly productive users if you dont test new

    sources on an ongoing basis. Identifying new media

    sources also helps you avoid potential audience

    saturation when advertising for long periods of time.

    Media testing is also useful in identifying up-and-com-

    ing sources before they become mainstream, while their

    costs are relatively low, and helps you remain more

    competitive by taking advantage of newer sources

    before your competitors.

    9. Test, Learn, Implement, Repeat

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    You can do a great job marketing your app but, at the end

    of the day, if the app doesnt provide value to your usersand doesnt work well, the app will not be successful.

    In addition, even the most widely adopted app must be

    updated regularly in order to provide new motivations

    for users to engage with it. Marketers are in a unique

    position to gain insights to improve the app, as well as

    the business impact of the app.

    App marketers can add strategic value to the app busi-

    ness by establishing a formal feedback methodology

    with both the app business stakeholders as well as the

    app development team. Set up a monthly or quarterly

    feedback session with the stakeholders and review your

    findings and recommendations.

    There are a range of ways you can provide feedback:

    Metrics reporting You can study metrics regarding app

    downloads, store rank performance, cost-per-download,

    organic lift, media source performance and other

    marketing metrics to provide insights that can help

    guide decisions.

    App landing pages A good feedback loop can help

    optimize app store landing page components, includingscreen shots, app descriptions, ratings, and even

    your icon.

    App consistency - If your company has multiple apps,

    and particularly if theyre managed by different groups,

    your input can help ensure consistency across them,

    including logo usage, cross promotion, and overall user

    experience.

    Ad testing You can conduct testing in new geographies

    to help the team make decisions on launching in new

    markets.

    Conversion rates You can track app usage and

    conversions to see if an app is generating the desired

    user engagement and ROI.

    You can be highly successful at marketing your apps

    and getting them downloaded, but if theyre not used,

    all that great marketing doesnt matter. By establishing

    a marketing feedback loop with the business and

    development teams, you can make an impact beyond

    just promoting the app by contributing to the app

    development and business direction.

    10. Establish a Feedback Loop with AppDevelopment and Business Stakeholders

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    If your apps are strategic toyour business, they should

    have the backing of a formal

    marketing plan. Heres a

    marketing template that youcan customize to match your

    particular situation.

    Checklist:Developing

    a Mobile AppMarketingPlan

    App Marketing Plan Template

    1. App name

    2. Platforms (iOS, Android, etc.)

    3. Marketing goals (Rank, organic users, downloads, cost-per-download,

    loyal users, revenue, other)

    4. Key performance indicators (Clicks to online store, in-app purchase,

    session length, repeat usage, other)

    5. Geographies (Countries in which to run marketing programs.)

    6. Marketing channels (Mobile ad media, PR, social media, display ads,

    search engine marketing, emails, etc).

    7. Mobile media channels (Mobile ad networks, incent networks, bidding

    exchanges, etc.)

    8. Media plan (List ad networks, timeframe, cost structure [CPC, CPI, etc])

    9. App store landing pages (Components, creation, responsibilities)

    10. Marketing attribution and optimization strategy

    (What is the strategy, technology usage, responsibilities)11. Ad network SDK integration with apps (Requirements, responsibilities)

    12. Outside vendors (Ad agency role, partner selection, technologies)

    13. Localization/translation (Languages, vendor)

    14. Measurement and reporting (What is being measured, how, frequency)

    15. Budget

    16. Timeline

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    High-Performance App MarketingFor Big BrandsIs your company taking a strategic approach to mobileapp marketing? Fiksu invites you to learn how were

    helping big brands build big app businesses with our

    award-winning mobile marketing solutions.

    Fiksu Mobile App Marketing PlatformThe Fiksu Mobile App Marketing Platform is used by

    businesses worldwide to remove the complexity fromapp marketing and drive exceptional business results.

    The Fiksu platform combines centralized mobile

    media buying with advanced attribution and optimization

    technology, to help marketers acquire large volumes of

    quality, loyal users, with outstanding marketing ROI.

    Centralized Media Buying from theWorlds Largest App Media InventoryThe Fiksu Platform is tightly integrated with top mobile

    media sources, for centralized buying from the worlds

    largest volume of mobile app media inventory. Fiksu

    provides access to 95% of the worlds - iOS and Android

    mobile inventory.

    Campaign Planning and ImplementationFiksus experienced service team provides ongoing

    support from app marketing experts with strategicknowledge, deep experience, and the resources to help

    you achieve marketing campaign excellence. Fiksu

    provides numerous services based on your needs,

    including: strategy and planning support, advertising

    program development, and campaign execution.

    Agency SupportFiksu partners with advertising agencies to provideaccess to the Fiksu app marketing platform, along

    with expert support in a range of areas based on your

    agencys requirements, including campaign planning

    support, access to mobile media sources, optimization

    technology and more.

    Fiksu Mobile App Marketing Platform

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    FootnotesPage 21CMO One-to-One: Hyatt Builds Loyalty With Integrated Marketing - eMarketer

    Page 32eMarketer, Paid vs. Free Mobile App Store Downloads Worldwide, 2011-2016. September 11, 20123ibid4http://www.growthink.com/content/10-incredible-mobile-marketing-statistics-every-entrepreneur-must-know5http://www.eweek.com/mobile/apps-marketing-and-the-cloud-gartner-predictions-for-2013/6http://www.comscore.com/Insights/Blog/The_Imminent_Mobile_Commerce_Avalanche7http://www.eweek.com/mobile/apps-marketing-and-the-cloud-gartner-predictions-for-2013/8Mobile First Look, 1/17/13, Coca-Cola: Mobile the closest you will get to your consumers9http://www.luxurydaily.com/nordstrom-builds-cross-channel-engagement-with-interactive-mobile-app/

    Page 610 http://blogs.wsj.com/digits/2010/04/13/abc-sees-success-in-ipad-app/

    Page 711 Source: Localytics, July 2012

    Page 812 http://allthingsd.com/20120924/ebays-mobile-momentum-100m-app-downloads-100m-items-listed/

    Page 1213 MXS: Mobiles X% Solution, Mobile Marketing Association, August 2012.14 eMarketer, Lowes Crafts Creative Ideas for the iPad, June 7, 2012.

    Page 1615 eMarketer, Western Unions Mobile payments App Finds Its Niche, October 16, 2012

    Page 1916 eMarketer, Dennys Serves Up Loyalty with Launch of Mobile-Local App, July 12, 2012

    Page 2017 eMarketer, Walgreens Mobile Tactics Include foursquare and Store-Inventory App, November 5, 2012

    Page 2218 http://www.luxurydaily.com/starwood-boosts-mobile-booking-by-extending-spg-app-to-android/

    Page 2619Mobile First Look, 1/17/13, Coca-Cola: Mobile the closest you will get to your consumers20Mobile First Look, 1/17/13, MillerCoors: Why mobile is a key social medium for the nations No. 2 brewer21eMarketer, Mobile Sales a Bigger Slice of Digital Revenues for Dominos in the UK, November 12, 2012

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    Fiksu is used by 30 of the 50 highest-grossing apppublishers to achieve exceptional app marketing results:

    60 percent reductionin media costs

    300 percent increasein loyal user acquisition

    Downloads generated to date - 860 Million

    Loyal users to date - 390 Million

    Fiksu, Inc.

    101 Arch Street, Suite 304

    Boston, MA 02110

    Phone: 855-463-4578

    Email: [email protected]

    Fiksu, Inc.

    32 Percy Street

    London, UK

    W1T 2DE

    Phone: +44 (0) 207 193 0512

    Email: [email protected]

    Fiksu, Inc.

    137 Amoy Street

    #02-01 Far East Square

    Singapore 049965

    Phone: +65 6372 9538

    Email: [email protected]

    US Office UK Office

    Singapore Office

    Contact Fiksu Today

    [email protected]

    High PerformanceApp Marketing

    Copyright 2013 Fiksu. All rights reserved. Fiksu is a registered trademark and the Fiksu logo is a trademark of

    Fiksu, Inc. Apple and the App Store are registered trademarks of Apple, Inc. All other trademarks mentioned herein

    are the property of their respective holders


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