Why Every Brand Needs to Think About Mobile First...

5 Reasons Why Every Brand Needs to Think About Mobile First...

September 28, 2011 -- By Justin

The reality is that mobile is no longer about the phone, it’s about being connected with customers through SMS text messaging and SMS QR codes. Many predict that mobile Internet traffic will soon surpass that of traditional wired broadband. For enterprise brands and agencies, this trend is proving to be a disruptive force that is completely changing the way that marketing and advertising campaigns are being developed. Here are the five reasons that every brand needs to think mobile first.
1.  Large and Growing Audience:  According to CTIA, there are more than 300 million mobile phones in the U.S., which is almost on par with our current population of 312 million people. From a global perspective, there are more than 5 billion mobile subscribers. The rate of adoption for mobile is incredible, especially as compared to personal computers. In June 2008, Gartner reported that 1 billion people had PCs and estimated that number would reach 2 billion by 2014.
2.  Consumer Demand:  Unlike traditional methods of marketing/advertising such as direct mail, online banners and e-mail, mobile campaigns are based on an opt-in or expressed user actions like browsing or using an application. As a result, consumers are more likely to be engaged and responsive. According to a 2010 Harris Interactive poll, 42 percent of men and women between the ages of 18 and 34 identified themselves as interested in receiving text alerts from marketers.
3.  Ability to Personalize:  Mobile numbers are tied to a person, where an internet connection is not. The demographic, geographic and device-type information tied to a mobile number gives marketers and advertisers the ability to create highly personalized campaigns.
4.  Superior Response Rates: According to an Opus Research report,  mobile marketing/advertising is far superior to that of traditional online campaigns with response rates that are often twice to 10 times higher. In terms of ROI, that’s a staggering number.
5.  Constant Access:  Mobile phones are our constant companions, providing almost unlimited access to the content we crave, regardless of location or time of day. According to a recent CNBC article, 75% of people polled never leave home without their mobile phone.

Marketing Campaigns Use SMS To Make Purchases...

Taking marketing campaign integration a step further with SMS mobile commerce...

By a MCD columnist

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September 14, 2011

Cynthia Fedor is marketing team lead and senior

copywriter at QuantumDigital Inc.

By Cynthia Fedor

Mobile commerce is expected to reach $31 billion by the end of 2016 and grow at a rate of 40 percent each year for the next five years, according to a report published by Forrester Research.

Although still in the very early stages of development, mobile commerce is quickly becoming a reality.

Following are some examples of how brands are integrating mobile commerce into the consumer experience:

SMS-enabled payment systems

SMS-enabled payment systems are being tested by major consumer brands.

Coca-Cola, for example, is currently testing the use of vending machines that accept payments via mobile device, eliminating the need to carry coins to make a purchase.

With these machines, consumers can simply walk up and text in to buy a beverage.

Consumers do not have to register or download an application to use this form of payment, and the cost of the beverage is charged to the consumer’s mobile phone bill.

The brand also benefits by using the SMS data to send special post-purchase offers to consumers, and therefore drive additional purchases.

Doug Busk, head of mobile brand strategy for global connections at Coca-Cola Co., said: “What we’re seeing in a couple of use cases is that this increases purchasing frequency … Any time you take friction out of the system, you increase frequency.”

In time, we will see how far this application of text-to-purchase makes it into the mainstream.

Payment by SMS text is also now accepted and widely used by major nonprofit organizations.

Many charitable organizations, including the American Red Cross, Feed the Children, St. Jude Children’s Research Hospital and United Way have started to integrate text-to-give tactics as part of their fundraising campaigns.

By texting a specific number or phrase to a short code, consumers are able to donate funds. The micro-donation is simply added to the donor’s phone bill.

By launching a text-to-give campaign, the American Red Cross was able to raise around $22 million for Haiti relief—all within just two weeks of the massive 2010 earthquake.


Shopping via mobile apps
Mobile apps that allow consumers to initiate a purchase without leaving their current experience are popping up everywhere.

Big brands from Starbucks and MasterCard to Pandora are trying to get a piece of the mobile commerce pie early.

Starbucks, keeping up with its growing tech-savvy customer base, recently rolled out an application that lets customers pay for their beverages and other goods via their mobile device.

Thanks to a partnership with MasterCard, iPad users flipping the virtual pages of Wired Magazine’s June 2011 issue—digital version, of course— had the ability to simply tap the pages to browse and buy products directly from their tablet.

Consumers can expect to see more interactive elements integrated into subsequent issues if the data proves the strategy to be profitable.

According to Apple, the Internet music service Pandora is the most frequently downloaded free iPad app. Other sources claim that it is among the most-used apps across all smart phone platforms.

As a subscriber listens to a song, Pandora provides an opportunity to purchase that song from Amazon or through iTunes. The music does not stop playing to complete the purchase. The transaction is almost instant and the listening experience is fluid.

Pandora also runs sponsored ads for other products and services between songs—all of which just require a tap on the screen to begin the shopping process.


QR codes, direct mail and print
Following the trend, traditional channels are evolving to promote instant action or purchase via mobile devices.

The integration of digital technologies with direct mail and print channels is becoming more commonplace, resulting in heightened consumer expectations.

Gift retailer Brookstone recently announced its plans to test QR codes in printed catalogs and in 30 retail stores to drive sales.

QR codes positioned next to the products featured in its catalogs and retail displays would provide consumers with instant access to product information.

Brookstone’s hope is that the use of QR codes will lead to increased purchase activity.

Many retailers such as Target, Sears, Bergdorf Goodman, Bloomingdale’s and Neiman Marcus are also trying this new approach to engage consumers and give sales a boost.

What this is demonstrating is that the new point of sale is anywhere and everywhere, thanks to mobile devices.

Using QR codes in concert with direct mail and print can provide more accurate campaign tracking and help to keep consumer data current.

Additionally, integration of new technologies with traditional, tried-and-true media will give marketers the opportunity to collect more prospect data, intelligence about media preference and more accurately plan future marketing initiatives.

JC Penney to push QR code campaign to smartphone users...

JCPenney continues mcommerce push via QR code implementation...

By Rimma Kats

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September 14, 2011

JCPenney is building up its presence in the mobile space via a new QR code initiative that drives consumers to the company’s mcommerce-enabled site where they can shop the latest styles.


The company has placed mobile QR codes on its static ads that appear in newspapers and magazines. 


The QR codes feature a call to action that lets consumers ship JCPenney’s entire Call It Spring collection.


“Smartphones are rapidly emerging as a device central to the purchase process,” said Kate Coultas, a spokeswoman for JCPenney, Dallas.


“Consumers use them to conduct research on items, compare prices, read product reviews and even to make purchases,” she said.


“Given these growing consumer trends, we’re building on our mobile leadership by incorporating QR codes throughout multiple customer touch points.”

JCPenney operates more than 1,100 department stores throughout the United States and Puerto Rico. 

It claims to be one of the largest apparel and home furnishing sites on the Internet at http://jcp.com.

Scan me After consumers scan the mobile bar code, they are redirected to JCPenny’s mobile site where they can view the new Call It Spring collection.





The QR code is featured in Cosmopolitan magazine


Customers can also browse by category such as women, men, home store, kids, shoes and baby, as well as use the search feature to find products they are specifically looking for.


JCPenney is also ramping up its mobile database by letting consumers opt-in to receive coupons and alerts.


“Our Call it Spring ad in Cosmopolitan is just the latest example of how we are using QR codes,” Ms. Coultas said.


“The code connects customers to a cross divisional landing page for Call it Spring on m.jcp.com, allowing users to browse and purchase styles directly from their phone,” she said.


Mobile QR codes


Placing QR codes on static ads is a smart move for JCPenney.


Mobile bar code scans are up almost 600 percent year-over-year, proving they are an effective medium for reaching consumers with additional branded content beyond just a static print ad.


Recently, restaurant chain Hooters of America used mobile QR codes and social media to further drive brand awareness. 


The “Lee Corso’s Saturday Ticket” campaign let users “Like” Hooters on Facebook to receive a Buy 10 Get 10 Wings free offer.

“We’ll continue to leverage QR codes this holiday season but it is too early to share details at this time,” Ms. Coultas said.

Mobile Coupon Redemptions on the Rise...

One in Ten Users Redeem Mobile Coupons...

Posted: 07 Sep 2011 03:43 PM PDT

A new report out from eMarketer indicates continued uptick in the popularity of mobile coupons, indicating that one in ten mobile users redeem coupons via their mobile device.

Data from eMarketer estimates that nearly 20 million US adults will redeem a mobile coupon this year, including coupons or codes received via SMS, applications and mobile Web browsers; quick response codes for redemption online or offline; and group buying coupons purchased via mobile.

By 2013, the number using such coupons will nearly double, and 16.5% of all US adult mobile phone users will redeem a coupon that year.

The popularity in mobile coupons extends from the popularity in Online coupons experienced during the recession, eMarketer speculates, and is a trend that isn’t going anywhere soon.  “Even as the sputtering economy attempts its recovery, the popularity of couponing has continued, spurred in part by the burgeoning daily deals space,” said Noah Elkin, eMarketer principal analyst and author of the new report, Mobile Coupons: Offers and Deals Light Up the Last Mile.  “Mobile coupons will play a central role in broadening the appeal and acceptance of digital coupons among shoppers.”

Not surprising, mobile coupon usage is much higher among smartphone users, where nearly one in five users ages 18 and older will redeem a mobile coupon, representing growth of 117.6%.  Triple-digit uptake rates will be short-lived, according to the research, but by 2013 almost one-third of smartphone users will be redeeming discounts on the go.

Ford pushes dealership traffic via SMS...

FordDirect pushes dealership traffic via SMS...

By Lauren Johnson

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September 12, 2011

FordDirect is putting direct sales at the forefront of a new campaign that bridges television and print advertisements with mobile via SMS calls to action.

The company is leveraging location-based services on its television ads that feature specific keywords and short codes that consumers can use to find out additional information about the cars. The campaign  builds on Ford’s lengthy list of mobile initiatives, which include mobile ads, applications and mobile-optimized sites.

By using a mobile call to action, FordDirect can extend the value of its investments in print and television advertising through measurement and optimization

FordDirect is a joint marketing venture between Ford Motor Company and its franchised dealers that helps promote and sell Ford vehicles.

Sell with SMS
The new campaign deal links Ford’s traditional advertising outlets with more tech-savvy options via an opt-in SMS program.

The company claims that all Ford’s print and TV advertisements let consumers interact with SMS.
After sending a product-specific keyword to a short code, consumers are then asked to enter their ZIP code to be connected with local Ford dealerships.

Consumers can then enter their names to let local dealerships call them directly.
Users can also be sent local offers from Ford dealerships via SMS.

In particular, this campaign is unique to the Ford brand because it capitalizes on consumers who already have an interest in Ford’s products and ties it directly to sales at dealerships.

FordDirect’s goal is to connect with in-market consumers through their preferred communications channel and provide relevant information that drives customers into the dealership,” said Kate Bullach, vice president of communications and public relations at FordDirect, Dearborn, MI.

So far, FordDirect claims it has seen a 14 percent conversion rate with consumers who interact with the SMS program to buy a car.


Two-fold text
The goal of any SMS program is to build up the company’s database, but by tying the program to real information for both dealerships and consumers, Ford is adding an incentive for consumers to interact.

Additionally, Ford is able to hone in on specific consumers who have a direct want to buy a Ford vehicle by adding local dealerships to the mix.

Ford is no newbie to mobile, and the company already has a plethora of apps, ads and mobile-optimized Web sites to boast.

“Within the next five years, mobile will become the preferred way for the majority of customers to access the Internet,” Ms. Bullach said.

Michaels stores to use SMS + QR codes to drive holiday sales...

Michaels stores exec: QR codes, SMS will increase holiday sales...

By Rimma Kats

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September 9, 2011

NEW YORK – A Michaels executive at the Mobile Marketing Summit 2011 said the company will be implementing mobile QR codes and SMS into its fall and holiday initiatives as a way to drive consumers in-store.

During the “Michaels Stores: Engaging Retail Customers Before, During and After the Sale” session, the executive discussed how the arts and crafts specialty retailer will be driving its holiday sales even though it does not have a commerce-enabled Web or mobile presence. The session was moderated by Erik McMillan, president/CEO of BestFit Mobile, Austin, TX.

“We believe that this rich content, such as QR codes, will ultimately increase sales for Michaels,” said Anthony Price, senior director of digital marketing and PR for Michaels Stores Inc., Irving, TX.
“Ultimately, we want to engage our customers in a project,” he said. “As we gear up for our fall seasons, we want to stay connected with our customers and really use our QR codes for the fall and holiday season whether it would be making a gift for a friend or a decorative item for the holidays.
“We’ll also be utilizing SMS and push notifications.”

Mobile crafts
When Michaels first decided that it would dip its toes in the mobile space, the company knew that it had to have some actionable and measurable goals.

“We needed to attract a younger demographic and make it easy for our customer and drive in-store sales via mobile,” Mr. Price said.

“We spent a lot of marketing dollars for mobile and digital to engage the customer with a deeper engagement for that two-way interaction,” he said.

“We have to be able to measure and show that we are driving the footsteps in the store.”
Michaels also saw the advantages of coupons and giving consumers timely offers.

“Customers want our coupons in the palm of their hands and be able to redeem that in-store.
Mr. Price said the company, which launched its iPhone app in the beginning of July, will release an Android app next week.

“Basically, it doesn’t stop here for us,” Mr. Price said. “It’s about how we can enhance and build other engagement platforms to further engage our customers.

“Certainly gift cards are important to us as we’re coming into the holiday season,” he said. “It should be apparent that we aim to make Michaels and crafting available to our customers.”

Consumer engagement
Michaels is implementing the mobile QR codes on its newspaper circulars that lead consumers to project ideas and how-to videos that also let them sign up and receive special deals and offers.

Although a build of the company’s merchandise is not available online or through its mobile app, Mr. Price said the company strives to make the consumer shopping experience as seamless as possible.
“It’s about engagement,” Mr. Price said. “We want to be that source of creativity.”

Quaker uses QR codes for granola bar promotion...

Quaker uses QR codes to start dialogue for Nick Jonas promotion...

By Chantal Tode

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September 6, 2011

The QR code featured on packaging for Quaker Chewy Granola bars

Quaker Oats is using QR codes on the packaging for certain items as a way to initiate a dialogue with customers that continues online.

Boxes of Quaker Chewy Granola Bars currently in stores display QR codes as part of a promotion featuring teen musician Nick Jonas. By scanning the codes, customers can see a preview of how they can send their kids personalized messages from Mr. Jonas.

The QR code allowed us to provide our consumers with a preview of what we were offering — further, the personalization element of Nick actually saying your name could not have been brought to life without the QR code, and we thought this was an important aspect to highlight to our consumers,” said Nidhin Mattappally, associate marketing manager of Quaker Snack Bars, Chicago.

“We believed that once moms saw the technology at work, they would be more willing to go online to redeem their own free, customizable greetings,” he said.

Instant connection

Messaging on the packaging encourages parents to send their kids a customized e-card from Mr. Jonas. Customers can find a code number inside the boxes that can be entered online to create an e-card from Mr. Jonas using the recipient’s name.

The campaign was designed to help foster the moments in the day when moms can feel good about the choices they make and put a smile on their kids’ faces, per Mr. Mattappally.

QR codes on packaged goods provide an instant way to connect with the consumer and provide the consumer with greater information about the product, or in this campaign offer an inclusive incentive with the Jonas Bros.

This campaign establishes an important dialogue between brand and the customer and incentivizes parents and their kids to purchase the product.

There are other benefits to brands from using QR codes as well, including delivering higher click-through and call rates than either a URL or 1-800 number.

It becomes all about the incentive the brand is providing for the scan.

The better the incentive or reason to scan, the higher the number of scans.

Value and relevance are key.

Given the Jonas Bros. call to action, Quaker expects that this campaign will do well.

QR codes also provide detailed information about a campaign which can enable a brand marketer to better understand its customers and tailor future communications.

The many benefits of QR codes is one reason their use is growing among consumer packaged goods companies.

This is the first time that Quaker has used QR codes in conjunction with Quaker Chewy Granola bars.

“It’s an exciting technology that allows us to engage with consumers in a new and interesting way and provide relevant content,” Mr. Mattappally said.

Smartphones now owned by 40% of American adults...

Smartphone Penetration Reaches 40% in the United States, Says Nielsen...

Posted: 01 Sep 2011 10:44 AM PDT

It’s a new milestone for smartphone penetration in the United States, according to the latest statistics on smartphone usage released by Nielsen.
40% of mobile consumers over 18 in the United States now have smartphones, according to July 2011 data. And Nielsen stats show that this swelling percentage is, indeed, continuing to grow on a day-by-day basis.

Android is the most popular operating system for now, with 40 percent of mobile consumers reporting they have a smartphone with an Android OS. Apple’s iOS is in second place, with 28 percent. Among those who say they are likely to get a new smartphone in the next year, approximately one third say they want their next smartphone to be an iPhone and one third say they want an Android device.

“Among likely smartphone upgraders, it is the ‘Late Adopters’ who are most likely to say they are ‘not sure’ which operating system they’d like in their next smartphone,” the report reads. “In politics as in smartphones, these “undecideds” will be the ones device makers will be hoping to win over.”

Although 60 percent of the US mobile market remains comprised of feature phone users, all signs point to a smartphone majority in the very near future.

Express retailer using QR codes this fall...

Express drives sales for fall line via QR codes...

By Lauren Johnson

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September 1, 2011

Retailer Express is using mobile QR codes to drive traffic to its locations, as well as promote the company’s  new fall line.

Express is a contemporary clothing retailer and has always been at the forefront of innovation, especially for their products.

The mobile QR codes are placed in the company’s print catalog and adds interactivity to the shopper's experience.

Scan to shop

The mobile QR codes are featured on the last page of the company’s catalog.

Once users scan the QR code, they are taken to a mobile-optimized  landing page where they can either shop the current collection or download the Express application for iPhone, Android and BlackBerry devices.

Via the mobile site or applications, consumers can buy looks from the line by browsing by category or key word.


Consumers can shop Express’ products on a mobile site.

Additionally, shoppers can track their orders and find nearest locations to via the products in-store.

It’s about giving consumers options because Express is ultimately connecting with consumers via their cellphones.

Virtual guides
This is not the first time Express has tapped into the mobile space.

Last year, the company rolled out its app, which ties social, location, commerce, promotions and video. (

By using mobile QR codes, Express is leveraging its content from its catalogue.

Putting mobile QR codes on catalogs is really important because it gives a new dimension, especially with new product launches.

Consumers might have questions about certain products – how it can be worn or how it fits.

Now they can get the answer.