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Make An App For That: Mobile Strategies For Retailers

Make An App For That: Mobile Strategies For Retailers

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Published by csilva4049
Make an App for That: Mobile Strategies for Retailers
Developing a mobile strategy to address the smartphone- and tablet-toting shopper
 
February 7, 2012

By Chris Silva
with Alan Webber and Jessica Groopman Includes input from 26 ecosystem contributors


2011 was the year of the mobile consumer. Smartphone and tablet penetration grew at a rapid pace and have fundamentally changed the way people live their daily lives and seek information. One of the largest areas of disruptions is in retail; shoppers are packing smartphones and tablets with retailer apps and using them to hunt for bargains, product information, and to find almost everything on their shopping list. The 2011 holiday shopping season witnessed the most aggressive use of mobile technologies by consumers and retailers to date. The problem was that not all retailers had a strategy in place to take advantage of this foreseeable trend.


 
© 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States


 

Table of Contents


 

© 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States

2


 
 


 

Exec
Make an App for That: Mobile Strategies for Retailers
Developing a mobile strategy to address the smartphone- and tablet-toting shopper
 
February 7, 2012

By Chris Silva
with Alan Webber and Jessica Groopman Includes input from 26 ecosystem contributors


2011 was the year of the mobile consumer. Smartphone and tablet penetration grew at a rapid pace and have fundamentally changed the way people live their daily lives and seek information. One of the largest areas of disruptions is in retail; shoppers are packing smartphones and tablets with retailer apps and using them to hunt for bargains, product information, and to find almost everything on their shopping list. The 2011 holiday shopping season witnessed the most aggressive use of mobile technologies by consumers and retailers to date. The problem was that not all retailers had a strategy in place to take advantage of this foreseeable trend.


 
© 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States


 

Table of Contents


 

© 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States

2


 
 


 

Exec

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Published by: csilva4049 on Feb 04, 2012
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 © 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States
 
1
By Chris Silva
with Alan Webber and Jessica Groopman
Includes input from 26 ecosystem contributors
 
Make an App for That:Mobile Strategies for Retailers
Developing a mobile strategy to addressthe smartphone- and tablet-toting shopper
February 7, 2012
 
 © 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States
 
2
Table of Contents
 
 © 2012 Altimeter Group Attribution-Noncommercial-Share Alike 3.0 United States
 
3
Executive Summary 
2011 was the year of the mobile consumer.
 Smartphone and tablet penetration grew at arapid pace and have fundamentally changed the way people live their daily lives and seekinformation. One of the largest areas of disruptions is in retail; shoppers are packingsmartphones and tablets with retailer apps and using them to hunt for bargains, productinformation, and to find almost everything on their shopping list. The 2011 holiday shoppingseason witnessed the most aggressive use of mobile technologies by consumers and retailersto date. The problem was that not all retailers had a strategy in place to take advantage of thisforeseeable trend.
Most retailers are not stepping up to the plate
 when it comes to adopting an effectivemobile strategy. Remnants of prior “rush-to-mobile” efforts have left brands and retailers withfragmented under-functioning apps that, at worst, frustrate and alienate the user. The problemwith the previous efforts was that many retail organizations focused on the means — mobile —and not the ends — transactions or customer engagement. Retailers need to determinewhether their business goal is engaging customers or driving transactions as a critical firststep. For companies just getting started in developing their mobile strategy or “on the ground,”this is job 1. For companies struggling with an existing mobile strategy or “hitting turbulence,”their process may need to start with reassessing business impact but should then focus onwhether the application fits to one of four common models of mobile retail interaction outlinedin this report. Even firms with a successful mobile strategy that have reached “flying high” willbenefit from continually revisiting the application, expanding its feature set and platform scope,and considering broadening the swath of products or brands it serves. The key to success isunderstanding where a firm’s maturity lies and taking a discrete set of actions based on thatmaturity profile.
Retailers must understand their engagement path
, whether just starting out on its mobile journey, struggling with getting lift for its current mobile strategy, or well on its way to success,to reach the peak of maturity in a mobile strategy — flying high — retailers must know whichengagement path they plan to embark upon, drive transactions or customer relationships, andbuild their applications accordingly. 2011 was the year of the mobile shopper, but it’s not toolate to adapt and improve strategies to target them in 2012 and beyond; the number of mobileshoppers will only continue to grow.
Methodology 
 
For this report, we conducted both quantitative and qualitative research using a combination ofonline survey, qualitative interviews, and interactive discussion in live format. Specifically, weconducted:
 
 An online questionnaire administered to five top application strategists, chosen fromamong the top 10 performing applications (determined by download statistics)
 
Fourteen (14) interviews with mobile strategists at major brands; executives in theagency space helping to develop mobile strategy; industry observers; and mobilecommerce software, service and solutions providers

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