Date post: | 09-May-2015 |
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Marketing |
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Shopper Showrooming: Retailer Strategies in a Smartphone World
by Arthur Policarpio Head of Mobext Asia-Pacific
The world’s largest mobile marketing agency network
21 offices worldwide and growing
Full Service Agency
DEVELOPMENT SITE & APP MEDIA PLANNING
& BUYING EMERGING TECHNOLOGIES
SOCIALLOCATION DISPLAY/RICH MEDIA
VIDEO/GAMES
SEARCH
SMS/IMAGE RECOGNITION
AUGMENTEDREALITY
QR/2D/BAR CODES
MULTIPLATFORMAPPS
Amazon Push for Showrooming
Smartphone Growth = Showrooming Explosion
Source: TNS Global 2013
Who are the Showroomers?
Source: TNS Mobile Life 2013
Why do they Engage in Showrooming?
Retailers Fight Back
But reverse showrooming, in fact, is a bigger trend
Source: Accenture 2013
What is reverse showrooming?
Source: Krillion, 2013
Majority use their smartphones for research prior to purchase
What are consumers searching for on mobile?
Source: Google 2013
Digital Has Transformed the Shopper Path to Purchase
Then
Now
How should retailers respond?
STRATEGY #1: Invest in mobile + social to drive
word-of-mouth marketing
SOCIAL MEDIA = MOBILE
945 M active monthly mobile users (out of 1.23 bn total monthly users) 53% of total revenues coming from mobile
*(Facebook 2013 Q4 report)
75% monthly active users coming from mobile 65% of revenues come from mobile
*(Twitter 2013 Q43report)
¾ of all usage comes from mobile
Time spent on mobile social > desktop
Asia leads mobile-social use
What are retailers doing on social media?
Walmart on Facebook
Most followed retailer, with over 34 M fans!
“My Local Walmart” Facebook program
Nordstrom on Pinterest
Most followed brand, with 4.4 million followers
in-store integration of social “voting”
#SaksIn6 : Recreating in-store tutorials in 6 seconds
Saks Fifth Avenue on Vine
STRATEGY #2: Integrate mobile across all media to
drive in-store visits and trial
Bring catalogues to life: IKEA
IKEA Augmented Reality catalogue
Unlock exclusive content: Macy’s Backstage Pass
Macy’s Backstage Pass
Target: Get gift ideas anywhere with QR
Get in-store deals with mobile coupons
STRATEGY #3: Dominate Search
Mobile search will surpass desktop
Searches done on mobile lead to immediate conversion
Source: Google & Nielsen
Create smarter search ads
Google’s Enhanced Campaigns
STRATEGY #4: Invest in location-based marketing
Google Map ads
• Reach customers searching for businesses like yours on Google Maps • Click-to-call and tap for directions
Mobile points customers to your direction
McDonald’s Extended Hours: Driving business to late-night stores through
mobile ads
2014: The Year of the Beacons?
How do iBeacons work?
STRATEGY #5: Invest in your own
mCommerce site + app
• Make 4 more trips each month than non-mobile user • Spend 40% more than the average shopper
Walmart‘s mobile app users...
In-store mode
• See what’s new & on sale • Create shopping lists • Scan and Go
Out –of-Store mode
Check items in-store Check inventory + delivery
12% of online sales from the app happen during the app’s in-store mode
Scan and Go
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STRATEGY #6: Mobilize your loyalty program
SHOPKICK: Earn points just by walking in-store
#1 Shopping app
$800 M Sales delivered to partners
70 million Product scans
7 million gift cards redeemed
*More frequent and prolonged usage than physical retailers’ own apps, including Starbucks, Walmart, Walgreens, and Safeway
How big is Shopkick?
CONCLUSION
Integrate Mobile in the Shopper Journey
AWARENESS
TRIAL
CONSIDERATION
PURCHASE
LOYALTY
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Mr. Arthur Policarpio Managing Director
Mobext Asia-Pacific
[email protected] +639175694375
@art_policarpio (Twitter)