Mobile geofencing has offered retailers the ability to target smartphones using a geofence and place offers in tagged smartphones. If a user clicks on the retailer’s ad their ID would be placed in a retargeting folder for a future campaign. The KPI has been click thru rate. The higher the click rate the more successful the campaign.
If you compare mobile advertising to newspaper, radio and out of home advertising the better outlet is clearly mobile. The three traditional outlets depend on collecting a huge amount of impression and hoping that the client’s demographic is in the mix. With mobile offering geotargeting, targeting by day and time, demographic and behavior targeting and being cheaper, the argument that mobile is a better media outlet is solid.
Recently retail accounts have been pushing for in-store traffic reporting. Changing the KPI to CPV (cost per visit). Programs like TrafficDrive (Copley Advertising) along with programs from NinthDecimal, Push Spring and Simpli.fi have the capability to track tagged smartphones back to the retail location.
Copley Advertising’s TrafficDrive program is unique. Copley Advertising will geofence retailer’s location. Tag smartphones in the geofence. The user doesn’t have to click on the ad. Once the user sees the ad the phone is retagged. Copley Advertising transforms the retailer into a Conversion Center. When then retagged user enters the Conversion Center their ID is counted. Copley Advertising can create a report showing store traffic directly generated by the mobile campaign.
The power of mobile continues to grow and the demands by clients are helping mobile DSPs to create programs to meet expectations. The great news is that mobile will continue to rise and meet different benchmarks for different sectors.
Urber Media published some interesting cross shopping affinity analysis. It showed that Macy’s customers are twice as likely to visit a JC Penney location than Kohl’s. Why is this important?
First, it shows that mobile advertising agencies are getting smarter about how they use their data. Data is the real currency of mobile marketing. Increasing CTR and ROI are very important and drive business. But collecting data that the client can use for a cross-platform online/offline campaign is almost as valuable as a sale.
A campaign can be set up where Macy’s geofences all their locations (lat-long). Captures the ID of all smartphones in store. Places ads in apps. Then places IDs of users that clicked on the app in a retargeting folder. This retargeting folder is key as a separate campaign can be run to the captured IDs only. These users have already expressed an interested in the offer and are at least 2x more likely to act on a purchase then a user that has not clicked on the banner.
But with the data like the type that Urber Media provides, Macy’s can now run a campaign targeting all JC Penney locations and place Macy’s ads in mobile apps on smartphones in a JC Penney store. Then collect all the IDs of smartphone users that clicked on the ad and place them in a separate retargeting folder.
Why JC Penny? Because in a Urber Media study that compared other retailers JC Penny was the most likely retailer that Macy’s customers would shop. In comparison, Macy’s customers were twice as likely to be at a JC Penny then a Kohl’s.
The ability to target smartphone users in a set location and drill down to demographic is important but we should not overlook that the data collected can be used for retargeting and making offline advertising more efficient and effective.
The mania of Pokemon Go has forever changed how mobile marketing will be seen by retail and consumer goods companies. It’s now clear to retailers and consumer goods companies that mobile geo-targeting is a powerful tool that can cause an organic reaction and propel their brands to a new level of engagement.
Retailers can tag the IDs of smartphone users within a five-mile radius of their locations and place a Pokemon Go “like” ads in mobile apps driving traffic to their locations. They can drill down to demographic and behavioral qualifiers. Increase in-store foot traffic is an important indicator for a successful mobile campaign. Data from companies like Cuebiq is making tracking the holy grail of in-store traffic a lot easier and faster to track.
For consumer goods companies using the Pokemon Go like strategy of driving consumers to store locations that carry their product is a very effective plan. With the increased ability to target by contextual, behavior and users individual selling habits, consumer goods companies have powerful marketing information on top of the ability to geo-target.
Pokemon Go has helped the mobile marketing movement go mainstream. Retailers and consumer goods companies will now realize that the capabilities of Pokemon Go have shown only a small part of what mobile marketing can do.