Tag Archives: market segmentation

Targeted Segmentation Through Mobile Marketing

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The mobile is an effective channel to reach out to many users. The mobile devices, including smart phones and tablets could increase the productivities and efficiencies of organisations. For the time being, the mobile applications (apps) are an “in demand” area for research and development. Gartner (2015) anticipated that mobile analytics was going to be one of the latest technologies that could disrupt business intelligence. In fact, the market for advertising on mobile is still escalating at a fast pace. Moreover, there are niche areas for professional growth, as more and more individuals are increasingly creating new applications for many purposes on mobile operating systems.

Recent advances in mobile communication and geo-positioning technologies have presented marketers with a new way how to target consumers based on their location (Camilleri, 2016). Location-targeted mobile advertising involves the provision of ad messages to mobile data subscribers. This digital technology allows marketers to deliver ads and coupons that are customised to individual consumers’ tastes, geographic location and the time of day. Given the ubiquity of mobile devices, location-targeted mobile advertising are increasingly offering tremendous marketing benefits.

In addition, many businesses are commonly utilising applications, including browser cookies that track consumers through their mobile devices as they move out and about. Very often, when users leave the sites they visited, the products or services they viewed will be shown to them again in advertisements, across different websites. Hence, many companies are using browsing session data combined with the consumers’ purchase history to deliver “suitable” items that consumers like. There are also tourism businesses who are personalising their offerings as they collect, classify and use large data volumes on the consumers’ behaviours. As more consumers carry smartphones with them, they may be easily targeted with compelling offers that instantaneously pop-up on their mobile devices.

For instance, consumers are continuously using social networks which are indicating their geo location, as they use mobile apps. This same data can be used to identify where people tend to gather — this information that could be very useful. This information is valuable to brands as they seek to improve their consumer engagement and marketing efforts. It may appear that businesses are using mobile devices and networks to capture important consumer data. For instance, smart phones and tablets that are wifi-enabled interact with networks and convey information to network providers and ISPs. This year, more businesses shall be using mobile devices and networks as a sort of sensor data – to acquire relevant information on their consumers’ digital behaviours and physical movements. These businesses have become increasingly interactive through the proliferation of near-field communication (NFC). Basically, embedded chips in the customers’ mobile phones are exchanging data with the retailers’ items possessing the NFC tags. The latest iPhone, Android and Microsoft smartphones have already included these NFC ca­pabilities. This development has recently led to the use of mobile wallets. The growth of such data-driven, digital technologies is surely adding value to the customer-centric marketing. Therefore, analytics can enable businesses to provide a deeper personalisation of content and offers to specific customers.

The geo-based marketing message or offer is delivered at the right time, and at the right place. The brands that hold customer data can gain a competitive edge over their rivals. Of course, firms will need more than transaction history and loyalty schemes to be effective at this. They may require both socio-demographic and geo-data that new mobile technologies are capable of gathering.

For instance, many mobile service companies are partnering with local cinemas, in response to the location-targeted mobile advertising; as cinema-goers often inquire about movie information, and they may book tickets and select their seats through their mobile app. The consumers who are physically situated within a given geographic proximity of the participating cinemas could be receiving location-targeted mobile ads. The cinemas’ ads will inform prospects what movies they are playing and could explain how to purchase tickets through their phone. The consumers may also call the cinemas’ hotlines to get more information from a customer service representative. Besides location-targeted advertising, the mobile companies can also promote movie ticket sales via mobile ads that arte targeted to individuals, according to their behaviour (not by location). Therefore, the companies may direct mobile-ad messages to those consumers who had previously responded to previous mobile ads (and to others who had already purchased movie tickets, in the past months). Moreover, the cinema companies could also promote movies via Facebook Messenger Ads if they logged in the companies’ website, via their Facebook account. The mobile users might receive instant message ads via pop-up windows whenever they log into the corporate site of their service provider.

It is envisaged that such data points will only increase as the multi-billion dollar advertising monopolies are built on big data and analytics that can help businesses personalise immersive ads to target individual customers. The use of credit card transactions is also complementing geo-targeting and Google Maps, with ads; as the physical purchases are increasingly demanding personalisation, fulfillment and convenience. Consumers and employees alike are willing to give up their data for value. Therefore, the businesses need to reassure their customers through concise disclosures on how they will use personal data. They should clarify the purpose of maintaining consumer data, as they should provide simple user controls to opt in and out of different levels of data sharing. This way, they could establish a trust-worthy relationship with customers and prospects.

Companies are already personalising their mobile shopping experience based on the user situation and history. Tomorrow’s tourism businesses are expected to customise their user experiences of applications and web interfaces, according to the specific needs of each segment. Big data and analytics capabilities are increasingly allowing businesses to fully leverage their rich data from a range of new digital touchpoints and to turn this into high impact interactions. Those businesses that are able to reorient their marketing and product-development efforts around digital customer segments and behaviours will be in a position to tap into the hyper-growth that mobile, social media and the wearables market are currently experiencing.

References:

Camilleri, M. A. (2016). Using big data for customer centric marketing. Using Big Data for Customer-Centric Marketing. In Evans, C. (Ed.) Handbook of Research on Open Data Innovations in Business and Government, IGI Global, Hershey, PA, USA. https://www.um.edu.mt/library/oar/bitstream/handle/123456789/10682/Using%20Big%20Data%20for%20Customer-centric%20Marketing.pdf?sequence=3&isAllowed=y

Gartner (2015) Gartner Says Power Shift in Business Intelligence and Analytics Will Fuel Disruption. http://www.gartner.com/newsroom/id/2970917

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