Mobile Marketing & Retail Strategies

Overview

This major investigation into the opportunities for marketing on the mobile provides reputable industry intelligence and forecasts for the three markets which together comprise mobile retail: mobile coupons; smart posters; and, mobile advertising.  Incisive analysis of key players and their recent product launches are provided, along with discussions on the evolution of the mobile retail market over the next five years.

Key forecasts in this mobile marketing and retail report include mobile adspend per subscriber, smart poster download and product fee values, together withs the total size of the mobile retail opportunity, all split by eight regions. The report alsos includes analysis of key campaigns in each of the major mobile advertising distribution channels (SMS, MMS, in-content downloads, idle screen, mobile TV, mobile internet, on-portal advertising and augmented reality).

This report is aimed at all those seeking to optimise their spend on the mobile channel, including retailers seeking to enter the mobile space, digital marketing agencies, advertising networks, vendors and operators.

Table of Contents

Executive Summary

1. Mobile Retail Defined

1.1 Report Scope
1.1 The Changing Customer Experience
Figure 1.1: The Retail Customer Journey
1.2 Growth of Mobile Commerce
1.3 The Evolution of the Mobile Retail Market
Figure 1.2: Mobile Retail Market Evolution
1.4 The Mobile Retail Customer Experience
Figure 1.3: The Mobile Device in the Retail Customer Journey
Figure 1.4: Mobile Location Services Applied to Retail
Figure 1.5: Mobile Shopping Activity by Age Group - Motorola Survey
1.5 The Mobile as a Retail Channel
1.6 The Opportunity for Mobile Retail
Figure 1.6: The Mobile Retail Opportunity ($m) Split by Smart Posters, Coupons & Advertising, 2009-2014
Table 1.1: The Mobile Retail Opportunity ($m) Split by Smart Posters, Coupons & Advertising, 2009-2014
Figure 1.7: The Mobile Retail Opportunity ($m) Split by 8 Key Regions 2009-2014
Table 1.2: The Mobile Retail Opportunity ($m) Split by 8 Key Regions 2009-2014

2. Mobile Retail Market Developments

2.1 eCommerce & mCommerce Players
2.1.1 eBay Mobile
Figure 2.1: eBay iPhone App
2.1.2 Google Mobile Coupons
Figure 2.2: Google Mobile Coupon Screenshot
2.1.3 Mocapay
2.1.4 ngpay
Figure 2.3: ngpay Mobile Shopping Mall Partners
2.1.5 PriceSpider
2.2 Mobile Marketing Agencies & Loyalty Specialists
2.2.1 Tetherball
2.3 Smartphone App Developers
2.3.1 Big in Japan/ShopSavvy
2.3.2 Occipital/RedLaser
2.4 IT & Telecom Vendors
2.4.1 IBM
i. IBM Investment Plans Announced June 2009
ii. IBM & Cisco Joint Demonstration
iii. IBM Presence Zones
iv Mobile Mashup Platform
Figure 2.4: IBM Mobile Mashup Composition Framework
2.4.2 ViVOtech
i. Strategic Business Areas
a. Contactless & NFC Mobile Phone Payments with POS Readers
Figure 2.5: ViVOtech POS Product Range
b. Mobile Phone OTA Provisioning Infrastructure Software
c. Mobile Marketing, Promotion, Prepaid and Loyalty Application Software
Figure 2.6: ViVOtech Strategic Development Areas
ii. NFC Based Value Added Services
2.5 Retailers & Merchants
2.5.1 Ocado
Figure 2.7: Ocado on the Go Screenshots
2.5.2 House of Fraser
i. Perfect Present - app
Figure 2.8: House of Fraser iPhone App
2.6 Mobile Network Operators
2.6.1 Orange: Shots
i. Interactive SMS/MMS Advertising Service
2.7 Analysis
2.7.1 Retail Shopping Channel
Figure 2.9: Retail Shopping Channels
Figure 2.10: Retail Shopping Channels - Impact of Mobile
2.7.2 Mobile Retail Players
Figure 2.11: Mobile Retail Players

3. Mobile Coupons: Campaigns & Market Forecast

3.1 Introduction
3.2 Campaigns
3.2.1 Alcoholic Beverages: Coors Brewers (UK)
3.2.2 Soft Drinks: Lucozade (UK)
Figure 3.1: Lucozade Mobile Marketing Campaign Invitation
3.2.3 Cinema: Orange Wednesdays (UK)
Figure 3.2: Orange Wednesdays
3.2.4 DIY: Hornbach (Austria)
3.2.5 Coupon Service: NTT DoCoMo Toruca (Japan)
Figure 3.3: NTT DoCoMo ToruCa in Use
Figure 3.4: NTT DoCoMo ToruCa in Use
3.2.6 Clothing & Household Goods: JCPenney (USA)
3.2.7 Coffee Shops: Starbucks (USA)
3.2.8 Leisure: Sunglass Hut (Australia)
Figure 3.5: Sunglass Hut \"Look Famous\" Mobile Coupon Campaign
3.3 Mobile Coupons Drivers & Constraints
3.3.1 Overview
Figure 3.6: Mobile Coupons: Market Drivers & Constraints
3.3.2 Drivers
i. User Demand
Figure 3.7: UK Mobile Media Usage - Orange Survey Result
ii. Smartphone Growth
iii. Cost Savings
iv. Increase in ARPU
v. One to One Marketing
vi. Enhanced Security
vii. Reduced Churn for Mobile Operators
viii. Environmental Benefits
ix. MVAS (Mobile Value Added Services)
x. Higher Redemption Rates
xi. Convenience
3.3.3 Constraints
i. Availability of Capable Handsets
ii. MMS Issues
iii. Mobile Barcode Reading Issues
iv. Operators Excluded?
vi. Ecosystem Incentivisation
vii. Retailer Participation
viii. Managing the Coupon on the Phone
ix. Danger of Spam
3.4 Coupons Developments
3.4.1 Changes in Technology
3.4.2 Changes in the Market
Figure 3.8: Orange Exposure 2 Survey - Popular Mobile Commerce Offerings
3.5 Mobile Coupons Market Forecast
3.5.1 Approach and Assumptions
Figure 3.9: Mobile Coupons Market Forecast Methodology
3.5.2 Mobile Coupon Users
Table 3.1: Percentage of Mobile Phone Users Who Redeem Mobile Coupons Split by 8 Key Regions 2009 - 2014
Figure 3.10: Average Mobile Phone Users (m) Who Redeem Mobile Coupons Split by 8 Key Regions 2009 - 2014
Table 3.2: Average Mobile Phone Users (m) Who Redeem Mobile Coupons Split by 8 Key Regions 2009 - 2014
3.5.3 Mobile Coupon Transaction Values
Figure 3.11: Total Mobile Coupons Retail Redemption Value ($m) Split by 8 Key Regions 2009 - 2014
Table 3.3: Total Mobile Coupons Retail Redemption Value ($m) Split by 8 Key Regions 2009 - 2014

4. Smart Posters: Campaigns & Market Forecast

4.1 Introduction
4.2 Campaigns
4.2.1 Mass Transit: BART (USA)
4.2.2 Action Sports: LG Sports (USA)
Figure 4.1: LG Action Sports Bluezone Campaign
4.2.3 NFC Trial: Citi Tap and Pay (India)
4.3 Smart Posters Drivers & Constraints
Figure 4.2: Smart Posters: Market Drivers & Constraints
4.3.1 Smart Poster Drivers
i. One to One Mobile Marketing Opportunity
ii. Impulse Purchases
iii. Product  Discovery
iv. Future Service Enhancements
v. Widespread NFC Applications
4.3.2 Constraints
i. Business Model Uncertainties
Figure 4.3: NFC Ecosystem Top Level View
ii. Device Availability
iii. User & Merchant Reluctance
iv. Infrastructure Availability
4.4 Smart Poster Market Forecast
4.4.1 Smart Poster Product Information Download Fee Value Forecast
Figure 4.4: NFC Smart Poster Product Information Download Fee Value ($m) Split by 8 Key Regions 2009 - 2014
Table 4.1: NFC Smart Poster Product Information Download Fee Value ($m) Split by 8 Key Regions 2009 - 2014
4.4.2 Smart Poster Product Sale Fee Value Forecast
Figure 4.5: NFC Smart Poster Product Sale Fee Value ($m) Split by 8 Key Regions 2009 - 2014
Table 4.2: NFC Smart Poster Product Sale Fee Value ($m) Split by 8 Key Regions 2009 - 2014
4.4.3 Smart Poster Total Fee Value
Figure 4.6: NFC Smart Poster Total Fee Value ($m) Split by 8 Key Regions 2009 - 2014
Table 4.3: NFC Smart Poster Total Fee Value ($m) Split by 8 Key Regions 2009 - 2014

5. Mobile Advertising: Campaigns & Market Forecast

.1 Introduction
5.2 Mobile Advertising Campaigns
5.2.1 SMS Advertising Campaigns
i. Case Study: Blyk (2007-2009)
5.2.2 P2P Messaging Advertising
i. Case Study: Orange - August 2008
Figure 5.1: P2P SMS On-Net Traffic Interception
5.2.3 MMS Advertising
i. Case Study - BMW (2007 and 2009)
Figure 5.2: BMW MMS Campaign Screenshot
5.2.4 In-Content Download Advertising
i. Case Study: Jeep - March-April 2008
Figure 5.3: Engagement Campaign Screenshots for Jeep, Screenshots
ii. Case Study App Store Advertising Campaign: Carling - July 2008
Figure 5.4: The Carling iPint
5.2.5 On-Portal Advertising
i. Banner Advertising
a. Case Study: Tesco Mobile - April 2008
ii. Mobile On-Portal Search
a. Case Study: Intel Mobile Scavenger Hunt - December 2008
Figure 5.5: Madhouse Campaign Strategy & Screenshots
5.2.6 Mobile Internet Advertising
i. Case Study: Kodak Express/BuzzCity (2009)
5.2.7 Idle Screen Advertising
i. Case Study - Idle Screen Campaign: Dairy Queen - March 2009
ii. Idle Screen Campaign: Coca-Cola - February 2009
5.2.8 Mobile TV and Video Advertising
i. Case Study: Paramount/Rhythm NewMedia - March 2008
5.2.9 Augmented Reality Advertising
i. Case Study: Best Buy - December 2009
Figure 5.6: Screenshot of Brightkite App Incorporating Best Buy Advertisement
5.3 Mobile Advertising Drivers & Constraints
Figure 5.7: Mobile Advertising Drivers and Constraints
5.3.1 Drivers of Mobile Advertising
Table 5.1: Relative Reach of UK Media, 2008
5.3.2 Constraints on Mobile Advertising Growth
Figure 5.8: Exponential Growth in Data as Prices Fall
5.4 The Market for Mobile Advertising
5.4.1 Mobile Advertising in the Economic Downturn
i. Expectations for Mobile Advertising
5.4.2 Market Development: Key Assumptions by Mobile Distribution Channel
i. SMS Advertising
ii. MMS Advertising
iii. In-Content Download Advertising
iv. On-Portal Advertising
v. Mobile Internet Advertising
vi. Idle Screen Advertising
vii. Mobile TV Advertising
viii. Mobile Augmented Reality Advertising
5.4.3 Total Mobile Advertising Expenditure: Current Market & Forecasts
i. Adspend on Mobile Services
Figure 5.9: Total Mobile Adspend ($m) Split by 8 Key Regions 2008-2014
Table 5.2: Total Mobile Adspend ($m) Split by 8 Key Regions 2008-2014
Figure 5.10: Adspend ($) Per Mobile Subscriber Per Annum Split by 8 Key Regions 2009-2014
Table 5.3: Adspend ($) Per Mobile Subscriber Per Annum Split by 8 Key Regions 2009-2014
Figure 5.11: Location-Based Advertising Market Growth ($m) 2009 & 2014

Companies Referenced

5^th Finger, Best Buy, Big in Japan, Cisco, Citi, Coca Cola, Coors Brewers, Dairy Queen, eBay Mobile, Google, Hornbach, House of Fraser, IBM, JCPenney, Jeep, LG, Lucozade, MasterCard, Mocapay, Motorola, Nokia, NTT DoCoMo, Occipital, Orange, Paramount, PriceSpider, Starbucks, Sunglass Hut, Tesco, Tetherball, ViVOtech, Vodafone.