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Anfuso: How have consumers reacted to mobile marketing? Are they receptive to these campaigns?
Gorelick: We are fortunate in that we are a subsidiary of Regisoft Ltd., a company that has been in this space since 1999. The company is quite active in Europe as well as the Pacific Rim. It appears that consumers in these regions have embraced mobile marketing strongly. Many of the countries in these regions are technically ahead of North America, particularly in the area of 3G mobile telephony. As such, their populations have already adopted many of the applications we in North America are just getting used to. Many major brands have used mobile in these areas.
For example, in China, Coke and McDonald's wanted to innovate an interactive brand image and they tested the concept in the large market of Beijing. TV ads announced a contest in which participants had to guess the highest daily temperature in Beijing. Everyday a one-year free Coke supply and Siemens mobile phones were raffled among those who guessed correctly. Users could also download Coke's advertising jingle and McDonald's coupons. The results were that in 35 days, more than 4 million SMS messages were sent to Coca-Cola short code, and the Coke advertising jingle was downloaded nearly 50,000 times as were 19,500 McDonald's coupons. So there was strong interaction between customers and brand and the results exceeded Coke's expectations.
In Europe, the telecom giant Orange wanted to strengthen relationships with subscribers and collect more data about them. The company opted for a mobile campaign in which every Wednesday, Orange offered subscribers "two movie tickets for the price of one." The subscribers were then able to send an SMS message and receive an M-coupon that contained a unique code for redemption. A follow-up SMS message each week was sent to remind subscribers of the ongoing offer and ensure continuous dialogue with customers. The results were that Orange strengthened its relationship by notoriously churning subscribers as they felt they received something personal and of real value. Orange received reports of redeemed coupons, indicating the number and type of movies watched, preferred location (cinema), et cetera. This is very valuable customer data. The theaters were able to build databases as well and participate in the cost of the Orange Wednesday campaign.
Anfuso: What are the pitfalls associated with implementing a mobile marketing strategy?
Gorelick: The most prevalent pitfalls are from not integrating the mobile component as part of an overall market message and campaign as well as dealing with ad agencies that simply are not yet adept at handling the logistics of a mobile campaign.
In general, in North America, mobile marketing is viewed as "non-traditional," and as such many agencies send it over to their digital groups who largely specialize in internet-based campaigns. Many of these agencies have templates and pricing metrics that do not relate to mobile. For example, one agency recently asked me to provide the demographic breakdown of visitors to our website. As we were not offering them a site to place a banner ad, but rather a mobile component of the client's overall campaign, the question had no meaning. Yet it was a field in the agency's forms that needed to be completed. Needless to say, after a call or two it was straightened out, but this does happen often.
Anfuso: How can a company deploy a successful campaign?
Gorelick: The most successful mobile campaigns are the most relevant to the audience. A brand needs to engage the campaign participants in a fashion that leaves them wanting the message in their personal space: on their cell phone. The campaign should be fun and engaging. Once the relationship is established, hone in on the participants' actions and ascertain the best follow-on message. In this space, if done well, consumers are afforded the opportunity to speak directly back to the brand.
I recommend starting with a basic campaign that is designed to enable the brand to learn more about the recipient in a fun way. Then harvest that data with a more targeted message the next time. As time goes on, the brand will have established an ongoing positive and relevant relationship with the participant, and that will lead to the greatest consumer action.
Anfuso: What type of partnerships need to be created in order for mobile marketing campaigns to truly take off?
Gorelick: Partnerships with brands and ad agencies and carriers/aggregators are key for success. The brands and agencies must work together in designing mobile campaigns with mobile marketers such as ourselves, as well as working together with carriers and aggregators to ensure cost-effective campaigns.
Anfuso: Which companies are more likely to adopt mobile marketing into their overall marketing strategies?
Gorelick: Companies that are very end-user and consumer-focused seem to be the firms on the leading edge. It's all about being in touch with your customer base wherever they are with the right message to the right consumer segment at the right time. The companies that keep the best tabs on their customers' desires, likes and dislikes, see mobile marketing as an important tool.
Dawn Anfuso is senior editor, iMedia Connection. Read full bio.
Joseph Gorelick is executive vice president of Pop Solutions. Read full bio.
