The Migration to Mobile III--All Shopping Can Be Local

It used to be a sign that you were cool with current technology; you did research on your computer before heading to retail stores to shop. That’s no longer true. Now shoppers can use their smartphones or tablets to get the information they are looking for right at the POP--and maybe a coupon to boot! That is a powerful concept and it is driving profound changes that go all the way down to the individual retail location.

It doesn’t start when the shopper nears the store or walks in the door, though. It starts by building a meaningful SoLoMo strategy. One interpretation of the mobile shopping funnel captures the essence.

http://www.brafton.com/news/smx-advanced-buzz-social-local-mobile-marketing-leads-to-sales-800526890

Social marketing helps build—or maybe for the small local retailer builds all by itself— awareness and a positive brand image. Retailers use tactics ranging from paid advertising to instore promotions and events to lure followers to their social platforms. Mobile marketing—whether paid ads or content marketing—reaches people when they are actively researching a purchase or provides a triggering cue by suggesting a reason to purchase. Local marketing reaches them at the point of purchase, giving them compelling reasons to buy at that moment.

http://techcrunch.com/2013/01/25/mobile-shopping-apps/

Adding another dimension to that argument is data about the role of various types of shopping apps during the 2012 holiday season. The huge growth is seen in retailer apps and the lowest growth in the daily deals apps, whose difficulties have been much in the news. I wrote about the Macy’s shopping app during the holidays. The mapping application still seems to be available only for the Herald Square store but deals, wish lists and other retail services are going strong. At the moment they are offering me a 20% off promo code, which might be useful, and a bridal registry, which definitely is not! My initial reaction was “so much for personalization,” but how do they find out unless they ask?

The data also highlights another important mobile issue. Price comparison apps also experienced explosive growth. Showrooming—checking prices in stores then buying more cheaply online—seems to be ongoing.

But there’s good reason for local retailers not to hit the panic button. The trend can be their friend! No less a retailer than Walmart is encouraging people to use their phones in stores. Wired explains it well:

Walmart’s stores are “geo-fenced,” which means the location-aware app enters “store mode” when you walk through the door. Once in store mode, you have access to an interactive version of the weekly on-sale circular for that store. You can see what’s new in the store. You can scan bar codes with the phone’s camera for prices and keep a running list of everything you’re buying so you’ll know the total cost when you get to the register.

How can retailers without Walmart-level resources turn showrooming to their advantage? The advice from the Retail Customer Experience site is:

1. Embrace omnichannel.
2. Bring the best of online shopping into the store.
3. Implement innovative in-store technologies.
4. Empower in-store personnel.
 
Putting it all together they say:

Innovative in-store technologies can help shoppers engage with brands and create a great, enjoyable shopping experience that leads them to both return to the store and to act as brand ambassadors through social media, leading to more visits from their peers.

Very interesting—it all comes full circle. Use both the human touch of your store employees and the power of technology to give your customers a great shopping experience and they will share it with their friends on social media. Like all good advice, it’s easier said than done, but the guidelines are there!

The Migration to Mobile II -- The Second Screen, or Is It the Fifth?

“Second screening” has interested me from the advent of mobile. I used to think I was too old to watch TV with a mobile device in hand—that it was just for Gen Y and below. However, now even I find myself doing it along with a lot of others—amazing!

So first the terminology. It’s not standard, but this is general usage. TV was the first screen, the desktop computer the second. The third was the cellphone (now the smart phone) with the fourth being the tablet. The Pew chart shows the increase in ownership of various mobile devices and the corresponding decline in desktop ownership.






eMarketer recently quoted data suggesting that connected cars would provide the fifth screen. That is quite a challenge for marketers and their content! I do hope, however, that cars will be driving themselves before drivers start, for example, start browsing the Internet from their car’s dashboard!

What’s important is that behavior is changing right along with ownership as I pointed out last week. It’s safe to summarize that communication is still most important but brand-related activity continues to grow. Actual shopping, not so much. However, recent Nielsen data indicates that consumers are likely to research on smart phones and purchase on tablets. So second screening is taking place even within the growing mobile shopping space.


Three recent event illustrate what is happening and how brands, teams and people can benefit. See these summary infographics:

The Summer Olympics
The Super Bowl
The Oscars

All had their own issues. Olympics social media activity was overwhelmed by viewer angst about NBC’s coverage (#NBCfail). The Super Bowl had that power outage—what else did viewers have to do except tweet about it? The Oscars have taken heat in the past for not doing a good job with social media. This year the level of social media activity was less than that of the Super Bowl and the Grammys according to Mashable.

The Grammys seem to do a consistently good job of self-promotion. Here is their advice for other event producers:
1. Be semi-obnoxious, promoting platforms and hashtags at all opportunities.
2. Tell your audience what they will get for following you on social media. In the case of the Grammys that included behind-the-scenes coverage and unique content.
3. Let your audience know you are listening. That takes a trained social media team at work during the event.
4. Spell it out. See Number 1! The Grammys used the transitions to ads to promote platforms, sites, etc. often using their celebrity presenters to do so.
5. Be active on social media during your event. More than listening, have proactive official posts and tweets to encourage engagement.
6. Think about social media long before the event. The Oscars actually did a good job of that. Consumers were fairly accurate in predicting Oscar winners.
7. Use social media to help the viewer keep up. Use captions, crawlers, etc. to list platforms and hashtags, making social engagement easier.

Whether it’s a brand-related event, a business conference, or a non-profit activity, the work it takes to integrate social media can pay off handsomely in visibility!

Migration to Mobile I - How is Consumer Behavior Changing?

The long-awaited mobile revolution has finally materialized in the United States. It took us longer than other parts of the world, but now that it’s here it is indeed revolutionizing the way consumers do many things.

The graphic and lengthy quote from the NPD Group shows the continuing flow of activity from desktops to tablets and smartphones. According to their press release 37% of consumers who once accessed content from their desktops now access from tablets and smartphones. Does that imply “all the time” or “some of the time?”  That’s not clear. The graphic shows Internet browsing and Facebook to be the two activities benefitting most from the switch. “Twenty-seven percent of smartphone owners have decreased both their Internet and Facebook usage on their PCs because they now use their smartphone for these activities,” they say, so the answer appears to be “some of the time.”

What surprises me most is in the text; smartphones lead tablets in the percentage of consumers who are switching to mobile access. Thinking about that, I believe the answer is not in larger screens per se; it’s in the fact that more people own smartphones than tablets at this point. For Pew research on the subject see:

• Changing activities of cell phone users 
• Current activities of smartphone users   Note that Pew identifies 2012 as the tipping point where more consumers are using smartphones than traditional cell phones.

So the switch is underway. What are they doing; what content are they accessing? The Marketing Sherpa chart shows more brand interaction, peer input, and product and pricing research. New purchasing behavior and payment methods are down the list, but I’d expect them to increase as consumers become more comfortable with mobile. Will showrooming continue to be a curse to retailers? Not clear. Local also seems to be on the upswing, and I’ll return to that in a later post.

Consumer behavior is being changed by the availability of mobile and improved mobile experience. What can we expect as 2013 moves on? In its 2013 predictions Mobile Marketer calls it SoLoMoCoDa, with Co mmerce increasing (along with Da ta) fueled by NFC and other developments in payment platforms.

They’re not so much doing different things; they're doing things like search and Facebook on different screens. More about that in the next post.

Consumer Product Reviews--Impactful and Mobile

A Cisco study called “Catch and Keep Mobile Shoppers” (infographic) highlights changes having a major effect on retailing. The key take-aways:

• 71% of shoppers interviewed want access to digital content in stores, either on their own devices or via touchscreens
• Online resources like ratings and reviews on retail websites have strong influence in shoppers' buying decisions
• Overall, they want  mobile, self-service access to information and personalized services.

The study adds that 1 in 3 are using mobile searched to guide purchases. That’s up 20% from the previous holiday shopping season.

http://bit.ly/WinEnG

Taking a broader view a study by Baynote found consumer product reviews among the most influential purchase decision factors (infographic). Reviews ran a close fourth behind price, free shipping and merchant reputation.







Adding to the chorus is a study of consumer electronics purchasers just released by Weber Shankwick and KRC Research. It caught my eye because it focused on the consumer electronic category and found that consumer reviews have become more important than expert reviews. That’s saying something in that category! This report also has takeaways about what marketers should be doing:

• Include reviews on the website. That means being open and transparent by including negative reviews. The report notes that 31% of the reviews have to be negative to cause consumers to doubt product quality.
• Product pages should read more like reviews. Avoid product speak and marketing speak!
• Encourage reviews on the retailer’s own site and on others, including social networks. Making optimal use of social networks require a community manager to encourage reviews and ensure they receive a customer service response if necessary.
• Marketer’s can’t directly influence reviews, but they should carefully curate the external ones that are posted to their own site. The report also suggests care in disseminating information to professional experts so their reviews are more likely to focus on issues of importance to consumers.
• Buyers consult reviews at various stages in the purchase process, so provide content that is relevant to each stage.

This report doesn’t specifically address mobile, but it’s obvious that the type of content they recommend can—and should—be mobile as well as available on a traditional website. The content should also include a healthy component of consumer-generated product reviews!

Holiday Shopping is Apps Enabled!

Originally published Nov. 16, 2012.
Web sites and email notifications are now a staple of hoilday shopping. Specialized mobile apps aren’t new, but they become more sophisticated each year. This year is no exception.

There are a couple of basic kinds of apps for holiday shopping. There are the aggregator sites like Black Friday.com (specializes in ads) or Coupon Deals (specializes in coupons and offers) and about a zillion others. There are also the apps from individual retailers like Macy’s.

The new Macy’s app for iPhone and Android has gotten a lot of buzz. You can download it from a link on the Macy’s site by texting to their short code number. I tried it and it worked like a charm, much easier than having to locate it on iTunes. I was also able to sign up for updates at the same time. Warning; it only works on the iPhone5 or equivalent operating system. I tried it out, and it does everything advertised (pun intended; it is full of promotions!).

As you can see from the menu, the Macy’s app will do pretty much anything the shopper needs, either while planning a shopping trip or while in the store. I think the coolest thing is the instore navigation map, now only available for the Herald Square store. It will not only tell you where you are and the location of items you are looking for, it has the capability of offering or highlighting specials. The software site gives examples for not only retail, but also other large and often confusing venues like hospitals and airports. The Museum of Natural History has had its app since 2010 and its usefulness is obvious.


I like the idea that retailers are trying to improve the shopping experience. Any improvement is welcome. The importance to retailers is made obvious by WSJ data. It shows that over $100 of the per customer $400 spent during the Black Friday weekend was spent online. That means almost $300 was still spent in stores. I can’t tell whether “weekend” includes Cyber Monday or not. However, it’s clear that the apps are set up to guide shoppers through the holidays and the instore navigation systems have a potential far beyond that.


On the questionnable gift front, at least to me, is the sweater Macy's is offering that has a personal video viewer on the sleeve.

According to Recom Group, the developer of the technology, The fashion video tag slides into a pocket on the sleeve, which makes it waterproof, and comes with software that allows users to convert any YouTube or personal video. It holds up to two hours of content. The organic LED plays continuous video nonstop for 8 to 10 hours from a single charge.

Oh, well. At least it's a conversation piece. Happy shopping!