via Warc.com NEW YORK: Companies making the most effective use of digital media typically adopt a distinct set of strategies in areas like mobile, social networking and data analytics, a study has argued.

PricewaterhouseCoopers, the advisory group, polled 489 US firms with annual sales of over $500m, and identified a selection of “top performers” boasting the strongest revenues, growth, margins and innovation credentials.

It revealed that 50% of these leading players planned to spend a minimum of $1m on building mobile tools for their customers to use in 2012. The same was true of just 29% of other enterprises.

Moreover, 66% of the premier digital businesses described their interaction with consumers on mobile devices as “quite or very significant”, measured against 45% of all the corporations assessed

A 30% share of “top performers” deployed social networks to reach shoppers, versus 37% of firms not attaining such a status. But while 41% of the former group yielded “significant benefits” from this tactic, a smaller 24% of “the rest” said the same.

“Interestingly, though, there seems to be little connection between use of social media for external communications and actual commercial success,” PwC study stated.

“We have found that the organisations that achieve solid results from their social media efforts are those that use it not only as an outreach platform but “also as a method to listen and engage.”

By contrast, the companies enjoying the most impressive returns are making greater usage of social media internally, and 36% should spend at least $1m on this channel in 2012, standing at 22% for “the rest”.

Similarly, although 56% of the entire panel intend to collect more consumer data in the next year, this rises to 66% for “top performers”. Exactly 50% of the best organisations will exploit such insights for R&D, falling to 28% elsewhere.

Some 89% of top performers also agreed their company had a strategy in place that was likely to succeed, and 86% said their CEO actively championed new technology to achieve success. This beat average scores of 68% and 60% in turn.

More specifically, 63% of the highest-ranking operators believed that their chief information officer and chief marketing officer had a “strong” or “very strong” relationship, a total that fell to 42% of all featured corporations.

“Leading firms … understand that being behind the curve on the strategic use of technology not only puts their firms at a competitive disadvantage, but weakens their ability to interact and strengthen relationships with customers,” PwC said.

Data sourced from PricewaterhouseCoopers; additional content by Warc staff, 3 February 2012

Via WARC / Comscore NEW YORK: Increasing numbers of US consumers are using smartphones to research and buy products, a report has shown.

According to comScore, the research firm, 38% of smartphone owners – an audience currently standing at 90m people – have purchased goods and services through their handset on at least one occasion.

During September 2011, some 47% of individuals who acquired products via this route bought digital items like music, ebooks, ringtones, films and television programming content, the company found.

A further 37% bought clothing or accessories directly from a retailer, with tickets to events including movies, plays and sporting fixtures following on 35%.

In a demonstration of the integration between emerging digital platforms, 34% of the mcommerce population completed transactions on daily deals websites such as Groupon and LivingSocial.

This matched the total generated by gift certificates, while 32% of the mobile customer base opted for electronics like TV sets and computers.

Ordering food for delivery or pick-up, for example a takeaway pizza, scored 31%, hotel reservations yielded 29%, physical books registered 26%, and car rentals logged 24%, as did airline tickets.

Elsewhere, 13% of shoppers buying from a phone made purchases linked to the automotive category, suggesting this channel holds opportunities for a wide range of sectors.

“In September we saw two-thirds of all smartphone owners perform shopping activities on their phones, including comparing products and prices, searching for coupons, taking product pictures or locating a retail store,” Mark Donovan, comScore’s senior vice president, mobile, added.

Looking at the location of consumers as they bought offerings through their smartphone, 56% did so at home, and 42% engaged in this pastime at work.

Another 37% did so when travelling, and 36% actually utilised mcommerce tools in bricks and mortar stores.

Other outdoor sites, such as parks, schools and restaurants, posted a combined 42%, comScore’s analysis revealed.

Data sourced from comScore; additional content by Warc staff, 7 December 2011

Via Mashable

Thanks to the Internet, marketing has evolved over the years. Consumers no longer rely on billboards and TV spots — a.k.a. outbound marketing — to learn about new products, because the web has empowered them. It’s given them alternative methods for finding, buying and researching brands and products. The new marketing communication — inbound marketing — has become a two-way dialogue, much of which is facilitated by social media.

Another reason why inbound marketing is winning is because it costs less than traditional marketing. Why try to buy your way in when consumers aren’t even paying attention? Here are some stats from the infographic below.

• 44% of direct mail is never opened. That’s a waste of time, postage and paper.
• 86% of people skip through television commercials.
• 84% of 25 to 34 year olds have clicked out of a website because of an “irrelevant or intrusive ad.”
• The cost per lead in outbound marketing is more than for inbound marketing.

Inbound marketing focuses on earning, not buying, a person’s attention, which is done through social media and engaging content, such as blogs, podcasts and white papers. This content is interesting, informative and adds value, creating a positive connection in the eyes of the consumer, thus making him more likely to engage your brand and buy the product. So it costs less and has better a ROI.

This infographic from Voltier Digital highlights the differences between the two kinds of marketing. Let us know your opinions in the comments below.

via WARC NEW YORK: Over 70m consumers in the US now access social networking sites through their mobile phones, a study from comScore, the research firm, has revealed. According to the company’s estimates, 72.2m people – a third of the entire mobile audience – logged on to these platforms via a handset in August 2011, a 37% increase on an annual basis.

More specifically, 39.9m individuals engaged in this pastime “almost every day”, a total which had expanded by 58% during the last 12 months.

Facebook led the field in terms of usage, reflecting its dominant position in the market as a whole. Some 57.3m of its members signed in from a wireless handset in August, a 50% lift year on year.

Twitter was in second place having attracted 13.4m mobile subscribers across August 2010, equating to 75% growth on August 2010. LinkedIn attracted 5.5m visitors in the same way, a 69% surge.

At present, the most popular activities undertaken by the mobile social networking audience are viewing comments from their friends on 80.3%, and posting status updates, on 69.5%.

Elsewhere, 53.2% of people had followed links to websites, and 52.9% read posts from brands and organisations.

This was ahead of the 44.8% that looked at material from celebrities and other public figures. Another 34.8% of netizens posted links to websites.

Turning to more commercial matters, 33.3% of consumers had received coupons and offers on these web properties, and 27.7% clicked on ads.

When considering the means via which mobile subscribers access social networks, comScore reported 42.3m did so through a browser, up 24% year on year, and 38.5m utilised an app, a 126% annual improvement.

Some 60% of smartphone owners logged on to social networks on these gadgets, nearly double the overall average, Mark Donovan, comScore’s senior vice president for mobile, said.

“Knowing that fans and followers engage with branded content on mobile devices opens the door to a world of opportunity for location-based services,” he added.

Data sourced from comScore; additional content by Warc staff, 24 October 2011

Read More Via Warc

GOTHENBURG: App downloads are set to increase rapidly around the world in the next five years, fueling growth in the subscription and advertising revenues generated through this channel.

Berg Insight, the research firm, estimated the number of apps installed by consumers on wireless devices will grow by 56.6% annually between 2010 and 2015, reaching 98bn a year by the end of this period.

More specifically, the company reported the revenues resulting from individuals paying for these tools, alongside in-app purchases and related subscriptions, hit €1.6bn in 2010.

It predicted the amount delivered by these combined activities should stand at €8.8bn in 2015, equivalent to a compound annual growth rate of 40.7%.

Apple is currently the leading source of income where mobile applications are concerned, with the firm’s App Store supplying some €1.3bn last year, a total anticipated to come in at €4.4bn in 2015.

During the same period, Google’s Android platform contributed a relatively modest €80m, but is projected to yield €1.5bn by the end of the forecast period.

The Windows Phone operating system manufactured by Microsoft is likely to assume third position in this area by 2015, although the company still has work to do if it is to catch up with Apple and Google.

Elsewhere, Berg Insight reported that in-app advertising was worth €300m last year, or 16% of all application revenues. Ad sales through this channel should be €750m in 2011 and €3.5bn in 2015.

As advertising is expected to be more of a “volume game”, Google Android is anticipated to assume a leading role, as the number of handsets utilising this operating system may be more prevalent, while Apple’s subscribers remain of higher value.

Overall, Berg Insight argued that Android would provide €1.2bn in ad revenues by 2015, versus only €39m in 2010. Apple’s comparative returns are pegged to rise from €230m to €1bn in this period.

Johan Svanberg, a senior analyst at Berg Insight, said: “Most apps are free to download and app monetisation will be a challenge for developers. Free to download monetisation strategies such as in-app advertising and in-app purchasing will be increasingly important.”

Geographically, Asia Pacific, which houses the key mobile markets of India and China, is pegged to account for 40% of all app downloads by 2015.

Data sourced from Berg Insight; additional content by Warc staff, 10 October 2011

The rise in tablet ownership is growing faster than most industry analysts predicted. This includes smaller tablets like the galaxy tab and the new smaller Kindle from Amazon. Companies need to re-examine how their websites, micro-sites and  product specific landing pages will appear on these devices as well as smartphones. Reach out to ApolloBravo for a free mobile readiness evaluation.

via WARC 

NEW YORK: Nearly a fifth of consumers in China, the UK and US now own a tablet, up from less than 5% late last year, according to a new report.

Citigroup, the financial services provider, surveyed 1,800 people in these three nations, and found the proportion of respondents possessing slate devices had grown from 3% to 18% since November 2010.

Penetration has reached 21% in China, ahead of 17% for Britain and America. Similarly, 26% of the Chinese sample were “very likely” to purchase a tablet, falling to 12% for both the UK and US.

Citigroup’s analysis revealed 31% of its panel were at least somewhat keen to buy such a gadget, versus 14% late last year. In all, 77% of this group would like to obtain an iPad, climbing from 73% in the same period.

Alternatives powered by Microsoft Windows witnessed a slide from 52% to 40%, and equivalents utilising Google’s Android operating system enjoyed a two-percentage point gain, to 38%.

Price remained the “primary inhibitor” to greater uptake, mentioned by 39% of adults questioned, although a “lack of functionality” when compared with PCs was another common factor.

A 62% share of tablet owners saw it as a “toy/gadget”, growing from 44% in 2010. Meanwhile, 18% had acquired one for work, a lift from 13%, while giving someone the device as a gift logged 18%, down from 27%.

Overall, 94% of iPad owners have downloaded apps, with 63% accessing 11 or more such tools, totals standing at 79% and 37% in turn for individuals using competing products.

Thus far, 81% of the iPad population have paid for applications, measured against just 43% of customers for rival brands. Equally, iPad users had paid for 39% of apps, declining to 22% for users of other slates.

Data from the US and UK showed 67% of the tablet audience surf the web via this route, with 55% sending email and instant messages, 31% reading ebooks, 33% social networking and 17% playing games.

Looking forward, the number of people expecting to log on to social networks in this way fell to 29%, with gaming also sliding to 14%, but both pastimes are likely to see rising interest.

Elsewhere, the study reported that laptop ownership rates had climbed from 62% to 81% since November 2010, figures hitting 28% and 59% respectively for smartphones. 

Data sourced from PC Mag, Barron’s, AllThingsD; additional content b Warc staff, 28 September 2011 

Independent research from IDC and IDATE   below show mobile web use surpassing wired by 2015. With the massive growth of smart phones, mobile devices, and tablets combined with declining PC sales most analysts see this happening sooner rather than later.  While many companies have put social media plans in place, most are unprepared for the wave of small screen mobile devices that will be accessing traditional websites. Contact ApolloBravo for a free mobile readiness evaluation.

via WARC.  The number of consumers accessing the mobile web around the world will surpass the fixed-line internet audience in the next two years, IDATE, the research firm, has predicted.
According to the company’s estimates, the amount of fixed-line web users worldwide should increase from almost 1.5bn at the end of 2010 to 2.3bn in 2015.

During the same period, the number of people going online via mobile devices is expected to rise from just over 1bn to 2.6bn.
The exact crossover between these two channels is due to occur in 2013, when the mobile internet beats the 2bn user threshold, and moves fractionally ahead of the traditional alternative.

Such a trend will be driven, in particular, by markets like China and India, where wireless handsets are likely to become the primary means of online access for many consumers, rather than more expensive laptops and PCs.

A key benefit following on from the rapid expansion of the internet population should be a “steady” increase in the revenues accruing to digital channels including search, social networks, video and online retail.

IDATE’s analysis further suggested the web could take 20.2% of global advertising spend by 2015, or €88bn.
This will result in the internet nearly doubling its share of advertising expenditure in 2008, when the net took 10.4% of the total outlay recorded by brand owners.

Elsewhere, IDATE predicted that ecommerce revenues would top €1.1tr by 2015.
Data sourced from IDATE; additional content by Warc staff, 20 September 2011

Via Warc

NEW YORK: Television viewing habits are changing in the US, with young consumers watching more content on the web and via mobile phones, a study has found.

Altman Vilandrie & Company, the consultancy, and Research Now, the survey firm,polled 1,000 adults to discuss evolving attitudes in this area.

They found only a third of 18–34 year olds view shows as they are first broadcast every day, compared with the figure of 58% posted by panel members over 35 years old.

A 60% majority of 18–34 year olds also watch online video once a week or more, and 11% play back TV programmes and movies on a mobile phone on a daily basis.

Using laptops or desktop PCs while the TV was on is also “common for all age groups”, and 28% of people owning a tablet like the iPad use this device at least 50% of the time they are in front of the television.

Overall, 20% of respondents now spend less on cable TV than in the past – what the study described as “cord shaving” – as online video platforms meet their needs, a total rising from 15% in 2010.

Within this, 24% of 18-34 year olds with cable services have seriously considered “cutting the cord”, although only between 3% and 4% of all consumers had actually done so thus far.

“Consumers are removing the shackles of the traditional primetime TV line-up and creating their own personal networks of preferred programming and viewing times,” said Jonathan Hurd, a director at Altman Vilandrie & Company.

In an example of the growing integration between TV and the web, 23% of Netflix subscribers reported this was the main reason they paid for broadband, and 22% would downgrade their connection if they no longer used the streaming service.

Elsewhere, the study showed 41% of 18–34 year olds would prefer to utilise a smartphone, tablet or computer keyboard to change TV channel than use a remote control.

Similarly, half of 18–34 year olds wanted to access modified programme menus, such as a screen offering apps or pictures of the content available, rather than the current style of TV guide.

High-definition formats were popular among 75% of 18–24 year olds, suggesting service providers can attract a younger audience with excellent picture quality.

Data sourced from Altman Vilandrie & Company; additional content by Warc staff, 9 September 2011