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The Value Of Personalized Mobile Video

The Value Of Personalized Mobile Video Jeff Hasen
We’ll look back at 2015 as the year when mobile video watching went mainstream and many brands made their most serious attempts to date to engage with wireless users in true one-to-one ways.

What are the takeaways? First, let’s look at the numbers.

The IAB commissioned a Global Consumer Survey https://ondeviceresearch.com/blog/iab:-mobile-video-usage,-a-global-perspective looking into how, when and why people around the world are viewing video on the small screen in their pockets. From 5,000 smartphone users in 24 countries across Europe, Latin America, the Asia-Pacific region and South Africa:

  • Mobile video consumption is on the rise. 35% of respondents report watching more video on their smartphone versus last year. Even more so in U.S. (50%), Canada (42%), New Zealand (42%), South Africa (42%), and the U.K. (40%).

  • Advertising is being seen and video viewers in surveyed markets are overwhelmingly open to tailored advertising when watching mobile video. More than eight in 10 (82%) said yes to the prospect of tailored advertising that fits an individual’s interest.

That leads me to the second set of statistics:

  • Customers prefer to receive communication about services or special offers via MMS (multi-media messaging), using personalized video, according to a study of 2,700 commissioned by Vehicle

  • Nearly 4 in 10 (38%) said that their top choice to receive individualized content was through mobile video delivered through MMS. Another 50% said that MMS was a viable method among many to get communications from the mobile operator.

  • A majority of responses (55%) indicated that the personalized content was "much easier to understand" when it came via a mobile video MMS message.

Indeed, mobile video and personalization aren’t mutually exclusive. In fact, there is proof that a combination of the two enables companies to realize their business goals.

Working with Vehicle, a major wireless carrier uses personalized video pushed over MMS to support many key strategies, including a welcome video that is the very first point of communication with a new customer.

As a result, the company has seen:

  • Significant reduction in churn

  • A decrease in calls to customer support

  • The highest recall of any other company touch with the customer (more than 50% measured at 90 days post-video delivery)

  • Significant increase in revenue (ARPU, or average revenue per user and lifetime value)

The wireless carrier has also seen success via MMS in communication of service enhancements.

As individual neighborhoods receive network upgrades, the company pushes personalized video to all affected subscribers, alerting them to those enhancements.

As a result, the operator has seen a significant increase in Net Promoter Score, a key tool to measure loyalty.

Viewers of MMS retain 95% of a message in video compared to 10% in text, according to Forrester. The 98% open rate is similar to text messaging and far exceeds the open rate of email.

MMS combines ubiquity and rich media. Vehicle clients have seen conversions between 30% and 50% greater than text.

So it’s nothing but candy canes for 2016? We’ve got this combo of personalization and mobile video nailed, right?

Not exactly.

While 75% of consumers like it when brands personalize offers and messages, according to the Aberdeen Group, only 13 percent of companies personalize their mobile experience for users (eConsultancy/Monetate).

That has to change as the calendar moves to 2016.

Jeff Hasen is one of the leading strategists, evangelists and voices in mobile.  Companies benefiting from his talents have landed on Wired’s list of most innovative entities on Earth and been named pioneers and the early leader in the...

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