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PRESENT & FUTURE

OF MOBILE MARKETING

NOVEMBER 2012

A Forrester Consulting Thought Leadership Paper Commissioned By Velti Mobile’s Potential Lies Beyond an Extension of the Desktop A Market Research Study On The Strategic Use Of Mobile In Marketing November 2012 .

... Unauthorized reproduction is strictly prohibited..............com/consulting...... and Total Economic Impact are trademarks of Forrester Research.................................................................... About Forrester Consulting Forrester Consulting provides independent and objective research-based consulting to help leaders succeed in their organizations........................... go to www............................. 14! © 2012...................................... All other trademarks are the property of their respective companies............................................. Page 1 .. TechRadar................. Not Strategic.. Forrester’s Consulting services connect you directly with research analysts who apply expert insight to your specific business challenges... 7! Few Marketers Are Preparing For This New World ...................... Inc............... For more information............................forrester......................... Ranging in scope from a short strategy session to custom projects........................ Inc...................com. For additional information......................Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Table Of Contents Executive Summary: Use Of Mobile Is Tactical... 14! Methodology...............................forrester............... 8! Key Recommendations: Marketers Must Build A Broad Set Of Competencies............................. Opinions reflect judgment at the time and are subject to change.................. Forrester Research.................................................................................... 2! Advertising Dominates Mobile Marketing Mindshare Today ................. Information is based on best available resources........ In Marketing ......... 2! Mobile Offers Untapped Opportunities To Marketers ....... All rights reserved................ Forrester Wave..... visit www...... RoleView................. Forrester®.... Technographics®..................

Advertising Dominates Mobile Marketing Mindshare Today With the number of mobile phones exceeding 6 billion globally. • The planned use of context falls short of its potential. Mobile marketers primarily rely on their agencies for mobile marketing strategies while simultaneously failing to build the relationships. these will create both new opportunities and challenges for marketers. mobile is the most ubiquitous digital medium. capitalize on the potential of mobile today. spray & pray. however. Not Strategic. 90% use mobile advertising tactics. Among the executives interviewed. offer utility. The majority of mobile marketing spend today has been a reflection of desktop. In Marketing Mobile is the catalyst for seismic changes in how brands will engage with consumers. Among the executives surveyed. • Too few marketers are building competencies for holistic mobile marketing. In conducting in-depth surveys with several agency professionals guiding the mobile marketing strategies for their clients and 150 mobile marketing professionals within consumer product companies. but not behavioral data. the majority of mobile marketing spend was on advertising. The combination of sensors and observed behavioral data from the broad use of phones provides a phenomenal amount of contextual information that marketers can use to simplify mobile experiences. To further explore this trend. Marketers recognize the need for mobile in their marketing mix. and smartphones taking a majority share in the US in 2012. Page 2 .e. Velti commissioned Forrester Consulting to evaluate the state of mobile marketing and advertising in the United States.Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Executive Summary: Use Of Mobile Is Tactical. Forrester found that the majority of mobile marketing tactics employed were upper-funnel branding and promotions. In August 2012. Few marketers. according to the United Nations. while 52% rely on their agency for strategic guidance. but they still rely heavily on the (PC-based) interactive experiences and paradigms. while only 48% use mobile marketing tactics to engage with their customers. however. 33% self-report using mobile advertising tactics more often than mobile marketing tactics. Key Findings Forrester’s study yielded three key findings for mobile marketers: • Most mobile marketing spend is allocated to upper-funnel tactics. while only 43% use real-time information including time of day. Only 45% of mobile marketing executives surveyed felt they had strong expertise in-house. i. Too few are taking advantage of the unique opportunities offered by mobile. With the potential intimacy and rich context offered by mobile. or push more targeted advertising. and few mobile marketers were developing strategic. neglect the opportunity to develop the competencies they will need to take advantage of the mobile platform in two to three years’ time. Forrester developed a set of hypotheses that tested the assertion that marketers are spending the majority of their mobile efforts on initiatives that mimic desktop campaign planning and as a result. and understand the requirements of those outside interactive marketing. gain the buy-in. the true potential lies in the acknowledgement that mobile is a unique channel on to itself and a significant opportunity exists not only in advertising but also lower-funnel marketing or engaging with existing customers. long-term plans to build a holistic mobile marketing competency. Despite 82% of marketers having a strategy. Mobile phones are personal devices — not shared devices. primarily focused on advertising or anonymous consumers. that focused on acquisition. Too many mobile marketers — 78% — are rooted in their PC and audience paradigms.

The average spend on mobile marketing media in 2012 is just over $500. coupon conversion) than on tapping into unique mobile KPIs (see Figure 5). engagement with advertising is easier to measure than crosschannel attribution. Among those not yet leveraging mobile tactics. Spending on loyalty is also high at 17%. The use of advertising tactics is not accidental — fewer inexperienced mobile marketers are pursuing lower-funnel objectives such as increasing customer satisfaction or improving customer service (see Figure 2). Among the marketers surveyed. Social media and display ads topped the list. • Mobile targets are anonymous individuals within broader audiences — not customers. Page 3 . with only 36% of companies surveyed spending more than $1 million (see Figure 4).Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) only 34% were running marketing campaigns in alignment with that strategy — and 46% revealed that they were still in the “test and learn” phase. search. • Mobile marketing spend is lower overall. At 90%. Marketers continue to rely on aggregate demographic data or paradigms carried from non-mobile media to target their audience rather than building profiles of individual consumers based on trust and offered utility. when individuals first adopt new technologies. Furthermore. 12% don’t know how much they are spending on mobile. To be fair.g. Naturally. “lack of expertise internally” was cited by 18%.000. display ads. More experienced marketers have moved on to more strategic tactics. In fact. 78% were using audience data and 71% individual behavior information for targeting. • Metrics rely on PC paradigms more than on mobile metrics. The majority of marketers focus more on engagement with ads and traditional business or marketing objectives (e. but loyalty programs typically offer instant savings or after-the-fact accounting. relatively few marketers were measuring engagement with known customers — preferring to focus on anonymous interactions. they do not engage with the consumer either during the consideration phase or after purchase while trying to use a product or service. The migration of familiar tactics from online (PC) interactive marketing to mobile devices is a natural progression that fits within the comfort zone of marketers. 2D bar codes) far exceeds that of lower-funnel marketing tactics (48%) (see Figure 1). the adoption of upper-funnel mobile advertising tactics (e. Our research found that: • The majority of tactics employed fail to take advantage of the entire mobile funnel. However. with upper-funnel discovery claiming the largest portion.g. It will take time for marketers to embrace mobile to leverage the unique opportunities offered. with customer acquisition claiming the largest share with 23% of spend. they do old things in new ways. Marketers are allocating 49% of spend to upper-funnel objectives. “acquisition through sweepstakes and contests” is the only objective pursued by more less experienced marketers. Looking to PC best practices falls within the comfort zone of interactive marketers. while only 64% were leveraging profile information unique to mobile devices (see Figure 3).

3?/@=.-%(0$(#$3%4&%5&6%63)%(&4057 E*0.H4/0:--</4*/:04.*3.4C/8=*1*4.=4.-.8<4:>.<8-:5/:6< ((" )*+.+:<.-.3? &&" )*+.<.6/<.7.-.: !!" '#" )*+.Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 1 Majority of marketers utilize mobile advertising ./-*0:4.6/1:=>.:-/4.34 ):=>.6/:67.&/#*)%.+:<. August 2012 Page 4 .*3</@0*34.3? !$" !#" !!" Base: 139 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.4.*3< %$" 9*0:4.34/1./6./0*1123.6/:-.6.+/-:36.-.:/1*+.0:4.=4< 9*0:4.<<:?. %&" B2<C.34/1.=4./:88-.*3/*3/8=./:67.: !&" EF./F.-.not marketing tactics !"#$"%&'%(")%'&**&+#.-.<.:-*?2.34/*3-5A %(" G.3?/4*/<288*=4/02<4*1.</*3/8=./1.=4.6.012)(#.<.< !&" )*+./8:.:-/1.*3A J67.4.4:=?.:=0C !D/+:=/0*6.-..</F.1.3?/8:?.3? )*+.6.-%.3?/@1:0=*A %$" I*28*3< %(" )*+.*3.-*81.=/6.4.45/6.

0206+./852548B/</1 Base: 139 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.=092 6GP/3.67/82E6<:E.-%(./9<2A682:.-%0#1).2I !#" Q../012345.<+86-./85Q2 &$# !$# !"# .<2.%1&5#*)% 1. August 2012 Page 5 .-<J./8/2:33/55 S/552.-8 K+@206+./)%3&4%42#.67/825/8B=3/ &"# !%# $)# $"# @AA/82360B/0=/03/2.9J::?-..-%#.3K %%# %(# *)# &'# C038/:5/2345.G $&" >68-?-77..:B/2.=60 !$# C7D86B/2345.Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 2 Inexperienced mobile marketers are far less likely to pursue lower funnel marketing objectives !"#$"%&'%(")%'&**&+#.07)/(#2#.8649./-)(#.5I2364D605I2/.:8-/-8-. contextual information !"#$"%&'%(")%'&**&+#.6H1+.67/82/09:9/7/0./0.@+F- %#" O-.=092 *)# &!# 5..2%.646..-.2#&.2E/:5.=5A:3./6)(#.:J/5I2360.2..97:--.=B/52 ?=1/052G/.+/.M@206+.#*)% 280)3(#1#.-.23+4- $%" #" !" Base: 139 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti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ugust 2012 Figure 3 Fewer marketers take advantage of unique mobile./29:D2G/.@- %$" N.62345../852548B/</12 R.#(#2(#0)1%(&824: (+# *%# O:8J/.<2:0128/.-D/8=/03/1T2)'#26A27:8J/.

Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 4 Despite potential of mobile marketing.*#0)(/.%-6()7.7.01 Base: 139 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti./.#%&*#/3%-4#*+(7(#4)%&87: $%# !"# $$# .%- $'# >%$/1*$ $'# $&# .-4# /-5#/56()*.&7*%3()# <&88%)* ()*+.-.01 23.-4#78(-59#+%'#'%&15#.#/0%&*#+%'#$%&#/11%2/*(#$%&)#*%*/1#3%0.(*. spend is nearly equally split between advertising and marketing !"#$%&#'()(#*%#*+.&7*%3()# =-4/4(3(-* .-.4+-. August 2012 Page 6 .1(#3/).

and media/entertainment companies. person.D61142.13. preferences.-123-.B8-/0. or organization.2108-C/. personal.-/0.%-&%.10713889/:3-/0.#&6'$/78%#79%#9:'&$/.9/.@12.@1.1 .26.1:3991:..:-/E.D3D. Q.D1 .. auto. Mobile will: • Be highly contextual.B.2-/6/...- Base: 139 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti..D3D.B. Context includes a consumer’s situation.- G203@. • Allow brands to meet and engage with their customers throughout their purchase journey.5.-..D/6-23-/0.B.6 $(# A0. Highly targeted advertising that appears creepy will push consumers (and their state and federal representatives) toward protecting their information.6. to acquire customer names and engage directly — not through indirect channels or Page 7 .. among others.08-C05-17021B.@. shopping..663D/. always with me.-4/5'%.E. electronics).1-2377/:N1E/6/-026N1.123-. Forrester defines context as the sum total of everything customers have told you to date as well as what they are experiencing at their moment of engagement..1@0<. talking..077.. This “always on.E. Marketers must focus first on utility and using context to improve the quality of the user experience by simplifying tasks.Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 5 Too few marketers leverage unique mobile metrics to gauge success !"#$%#&'%$"'%()*+.@13<32.%1-2%2..=00L1M9/L.123-.66 &'# +.893:..610..D3D.D.. not shared” device generates highly contextual information that marketers can use to support their customers through utility.14:0580..%-3%1-2&%.g. retailers.@/314K3:.2 H.26> '$# I.=> !"# T0=/9. ''# F.13@E. '!# H8.<.=6/-.'%$-%#.2.82/.6 !)# G23..6> A06-163E/... $'# !!# $&# ?889/:3-/0.” and embrace the new opportunities that mobile offers. CPG./78%/7/$/#$/:'. posting photos) means that the mobile phone will know more about consumers than any other device. relevancy.-.%$"'%.g. and attitude.903@6 $%# +. banking.-13@6> A56-0B.23-.1456. The combined power of the network and device (through sensors) collecting data as well as user behavior (e.663D.26/0.5.2.1B.200'.1123-.3@61D.. think “mobile-first. August 2012 Mobile Offers Untapped Opportunities To Marketers Mobile offers a phenomenal number of new opportunities to marketers to engage directly and in highly relevant ways with their customers.2170:561 0=S. and simplified experiences.6NM1O</--.6 &)# J0:/391B..E. Marketers must migrate away from the paradigms of the PC.'$&/0.'.-:R *$# A9/:LC-P205DPC23-. Mobile offers a first-time opportunity for manufacturers (e.2170990<.

Mobile enables engagement with customers throughout the purchase journey. messaging will be a key carrier of information from products to phones. is my member adhering to his or her treatment program (e. Given the small bandwidth or byte-footprint of messaging combined with the immediacy it offers. including at the shelf or even at the point of sale. Among newbies. Key performance indicators (KPIs) must transition from focusing purely on traditional marketing (e. Page 8 . collecting points through proof of purchase) to obtain customer names and build limited profiles. products and machines will increasingly have the ability to communicate with the mobile device. Marketers have a (phenomenal) opportunity to engage with consumers exactly when they are ready to transact. content. campaigns. They must plan infrastructure and staff to support the future scenarios described. In some scenarios. They must develop a mobile-first mobile marketing strategy — which means not simply taking tactics. losing weight. or a plan in place to use mobile to its fullest potential. impressions) and business success metrics (e. lower operating margins or COGS) to consumer-centric ones. Digital mobile services will be overlaid on physical products (and local establishments) to create experiences. the expertise. consumers will be proactive in finding products to purchase.g. their level of expertise. Forrester created a segmentation of marketers based on their approach to developing their mobile strategy. or “If I am an insurance company. but few marketers have a road map. which is a first step. • “Commerce-enable” the physical world. and services designed for the PC and shrinking them on to a small screen. click-through rates.g. Marketing must consider its role to be one that extends throughout the customer’s life cycle. to metrics that focus on questions like. but only 25% were running mobile campaigns as part of a longer-term mobile strategy (see Figure 6).Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) intermediaries. metrics. higher revenues or conversions. Focusing on convenience or delivering mobile experiences with high utility that result in higher customer satisfaction and brand affinity may be the starting point. Using real-time context today to target consumers or offer convenience by creating utility or simplifying tasks is limited. A purse seen on a bus will be identified with visual search and immediately purchased. messaging will be used to alert consumers to relevant deals. however. The attributes of those marketing professionals who will fall short of maximizing the potential by failing to build a thorough set of competencies include: • Relying on third parties for their mobile marketing strategy — thereby forgoing long-term planning. contextual information. • Limited use of real-time. Companies must transition. 47% reported that their agency has a strong influence on their mobile marketing strategy. • Add a digital services layer to physical products and locations.g. post-purchase tactics such as product warranty registration or sweepstakes or loyalty programs (e. In other cases. these companies have relied on low-conversion. Companies or marketers otherwise only knew their customers if they logged in or raised their hand. Running shoes and pill bottles will initiate replenishment. • Force marketers to reconsider success metrics. “If I am a bank.g. Interactive walls and posters will be catalysts for immediate purchases. lowering cholesterol)?” Few Marketers Are Preparing For This New World The vision of future opportunities enabled by mobile is powerful. is my customer saving more? Or paying more bills on time?”.. “Have I made my customer’s life better with access to real-time data and applications to process that data?”. In the past. Manufacturers of everything from cars to shirts to savings accounts will have these opportunities. and how they are executing campaigns. Nike already sells a fitness experience today with its in-shoe sensors and wristbands that track and relay workout information to the mobile phone. From healthcare to automotive to retail. Many marketers use location.

Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) but very few interpret the meaning of a customer’s location beyond proximity to a brick-and-mortar location (see Figure 7). Mobile affords marketers the opportunity to layer services on products and extend their dialogue or engagement with customers through to ownership and replacement or refill. Mobile marketing campaigns. Some 63% of marketers surveyed self-reported a good working relationship with their technology counterparts. • Limited collaboration with eCommerce. with operating system and hardware updates. Among the marketers surveyed. targeting individual consumers or creating rules to target consumers will trump mass outreach to audiences. Project-based work implies silos and IT team workarounds rather than a high degree of trust and cooperation. and 59% revealed their tactics were part of short-term programs running while they developed a long-term strategy (see Figure 9). 7% reported they were running campaigns in the absence of an overall mobile marketing strategy.g. • A traditional view of what marketing is. Marketers self-reported outsourcing mobile application development (30%) and mobile web development (33%). Moreover. print. and product availability) will depend upon access to services and content housed internally in back-end systems. such as stores and bank branches. Many marketers are doing well to collaborate across business and functional groups. Marketers must develop the ability to create dynamic offers based on real-time information. and applications are not “one and done” projects. • A failure to view their IT team as a strategic partner. with only 38% wanting to hand over that responsibility to their IT counterparts (see Figure 11). Only 37% of the marketers surveyed were collaborating closely with their operational counterparts (see Figure 10). Too few marketers have worked with product teams to actively develop these experiences (see Figure 8). brick-and-mortar. customer accounts. 60% reported that most of their mobile marketing and advertising initiatives involved project-based work. but that didn’t necessarily translate into depending upon them for the development of mobile services. In a very traditional sense. and product teams. Moreover. and end-cap or displays in retail locations to promote their products — tactics very much focused on brand awareness and driving trial or purchase. The potential of mobile extends well beyond a siloed channel for mobile commerce or services. websites. • Use of project-based work. Moreover. marketers have relied on TV. creating dynamic offers based on customer profiles and information (e. pricing. Mobile has the opportunity to enhance other touchpoints — especially those in the physical world. They are mobile services that must be watered and cared for. so to speak. radio. Page 9 .

&'H) IJ.6#+8"#0$+$(" 'B< Base: 150 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.*)0?)06/)7094#&)7"/8&*4$1)0/)"'-&/*4.&#?@&/.< &'(')* !"#>&6+#+1#3(.*/"*&1.& • (&&#)*+&4/)7"/8&*4$1).65#213.4$1)4$4*4"*4-&.* ::.&)E4*+)7094#&)7"/8&*4$1 • F0.65#%+(&+"5.4"# 2&(9"+.6?81$%"# .)/096." !"#"$%&' • (&&#)*+&.65#%+(&+"5.& BC. 7$(#&5"6/.)"/&)3/0G&%*59"./"# 01(#1$(#213.Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 6 Reliance on third parties combined with immature strategies is correlated to short term initiatives !"#$"%& '"()*+.-"(. /"0+1%)"2-%2 3*4 51*&+"( !6-*&27"*$2 8%+&+1&+9"( Base: 123 mobile marketers @&(9"+.)4. ='< :.# )"-"41*2"6+# &6)#)"4.4"# 2&(9"+.*4##)4$)*+&)*&. <05=*5 >06/. • A&)%/&"*&')06/)7094#&)7"/8&*4$1). August 2012 Page 10 .)4$5+06. • A&)"/&).)+"-&).&)4$5+06.#%"(-.#8&%#&#%+(165# .604$"6/"# 16#1$(#213.*/"*&1."% !"#$% !"#$%"#&#'() *&(+.*/0$1)&23&/*4.65#A12*"+"6/.*5"$'5#&"/$)3+".4"#%+(&+"5. D&E94&.&+-% !+.#.

-%&/%.4<.8.741.60./6)(#.5<1H:.4:959464:3.- $'# E5B0.-17-.>83?..Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 7 Experienced marketers are using mobile-specific contextual elements !"#$"%&'%(")%'&**&+#.8<4./ !'# "&# =>5<.(/(%0%.(./-)(#.4:?5:24.)$#'#$%@.60.47 .(#$%=%>/&'#*) ()# !%# !$# • 9&5#*):2.237. @AB238..5:1 /4106434-7.5-4. August 2012 Page 11 $(" .A4B9BC.1591A3? J58.00123--. +.*:(#1)%#. August 2012 Figure 8 Too few marketers have a broad definition of what marketing can be !"#$#%&&$'"$()%$*"&&"#+.$!-'!-.206/5:80:./-06034 #" &" 2.*A • B).5:1.0..H./-01..<05-0 • 9&5#*):2.23.>3D.20:7814-8:9.-$.34567.-.-. 4-50067/3895-:183-.>83?./(#.2-5I !$# K.4.?0>.2%..25: .$'$.$%! )#/0.5<10.8<4.:.14789:8:9.F8G4.8<4.-..4.5<1H:32-5I )!# G..30 .<.2#&.741.74-=8247.5:1./-01.<A.5//<825380:7D %(" #%" %)" "#$%!&#'! ($%)*+.%1&5#*)%1.<25:./..)$#'#$ • <(.34567.1 '(" '%" Base: 150 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.18?7.60.3-0 Base: 139 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.74-.A4B9BC 0>:4-.5:1.'&/1.$) • <(. %*# C5238.>5/A1. ('# C5238.-./-01.07)/(#2#.8. *+.(#&.-%(.-%#..<2.+. F.12+3%$4"52$ 1"06/.73064-.(#$%=%>/&'#*) !"# "M1N.9.<./?@7825<.5-3/183-.- • ?40#).189835<.23.$'%. *(# (# 4B085:.D.-.30.9.-8 L.8147DB* !" $%" "$%)*+.4E/4-84:247./)%3&4%42#.5<1C.5-4.-%0#1).

)/(%0)/$1#."#$'-*+.922L42L<>N2L-/92/94E2<520 >4.#*$8'"*3'3*+09'-*+'9/15.&($#7(.Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) Figure 9 Project based work hampers long term infrastructure and talent build out !"#$"%&'%(")%'&**&+#.<L2R2L42<660:-<50117 6<<>B-50/42L-/92/94E T<542R2U4254M4>2L<>N2L-/9 /94E Base: 150 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.#*$(0'."/'0/:/0'*4'5*00()*.8 Base: 150 mobile marketers Source: A commissioned study conducted by Forrester Consulting on behalf of Velti.<60/-<5: .-/0123.C-B0564205B2-5AC/ $# )# O-.'.92K L4206/-M4172:44N2 /94->2.#*$' 4I<EE4>64 "(# )$# FDGHD2<>2D4692D40E: "'# )$# ")# "(# &# %# J4>729-. August 2012 Page 12 .(. August 2012 Figure 10 Cross role collaboration is minimal !"#$%#$&'()*+."'.-%./%5&6%"37)%16.)/%(")%2&.'-*+.#*$1"#2'3#.#)/'.'*./0(.-.C10>2P0:-: 8><BC6/2D40E: =:4>2?@A4>-4564 897:-6012.C10> P0:-: .#*)% $3243#-./(61' 3#."/'4*00*3#$&'4+$5.4567 "&# *!# !%# !$# !"# *$# ""# ")# "&# )+# $# %# )# ))# "!# (# )&# !'# !!# Q4B-CE2R2L42L<>N2L-/92/94E 0:2544B4BS2PC/25</2<5202>4.

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Forrester Consulting Mobile’s Potential Lies Beyond an Extension of the Desktop (A Forrester Consulting Thought Leadership Paper Commissioned By Velti) KEY RECOMMENDATIONS: MARKETERS MUST BUILD A BROAD SET OF COMPETENCIES Marketers must pursue a multi-pronged approach today to build the competencies necessary to leverage mobile to achieve marketing objectives — especially those marketers who self-identify as newbies or who have limited experience. automotive. full funnel medium. Marketing professionals will need multi-year services road maps and a close working relationship with their IT counterparts to capitalize on mobile opportunities in a few years’ time.g. • Build competencies either in-house or through strategic partners. First. The use of context is basic among advertisers today. Vendors have touted the ability to engage with consumers in exactly their moment of need. All 150 marketeering companies we surveyed represent more than $100M in revenues. and financial services. eReaders. The respondents were key influencers for the digital or mobile strategies within their company. few consumer-facing companies have the ability to act on the information that they already have — let alone information collected in real time. There’s a broad range of strategic and technology competencies that marketers must build or have access to through strategic partners. Page 14 . accounts. • Develop both strategic and tactical plans to utilize context. context is primarily limited to location. Methodology In this study. The intimacy and contextual relevance offered by mobile devices gives marketers the ability to “get to know” or build profiles of individual customers. and consumer touchpoints in the channels. Second. which will become interactive. Only 54% of marketing executives surveyed were leveraging data from multiple screens to build customer profiles. and the seven agencies represent $10M in revenues. and tablets to TV screens. The definition of marketing is expanding to encompass the entire consumer journey. • Embrace mobile as a unique. There is a cost associated with the opportunity. If you are a marketer. In reality. marketers must create holistic profiles that go beyond mobile device usage. such as a check-in or an in-store barcode scan. etc. schedules (e. for buses or planes). Marketing professionals will need not only customer profiles but also real-time access to data in reservation systems. marketers must devise good reasons to engage with customers frequently. product catalogs. other than information directly provided by consumers. CPG. loyalty programs. Too few marketers are looking to build in-house competencies to support strategy and services development. travel. Future mobile services will depend heavily on infrastructure and services. Few marketers are thinking ahead to new contextual elements or how to use context to offer utility and simplicity — not just highly targeted advertising. Forrester surveyed 157 US-based B2C marketers and agencies within the following industries: retail. • Create new business rules based on real-time data. Long lead times are associated with building these capabilities. Mobile opens up the opportunity both to launch entirely new products and services as well as to enhance existing services. • Work with product teams to extend the reach of marketing beyond purchase. Consumers are ingesting media across a growing number of screens — from portable devices such as mobile phones. products. • Work closely with internal technology teams. Marketers must consider not only how consumers use these devices differently but also how they use them in parallel. pricing. Mobile marketers positioning themselves for future success will: • Understand consumer behavior across screens. this paper can serve as a benchmark to help you assess your readiness versus the internal competencies you need to take advantage of the opportunities that mobile offers. They must develop a tactical plan to bridge the gap.