Mobile: The Great Connector

RESOURCE INTERACTIVE THINK ABLE 2011
MOBILE

Mobile: The Great Connector

RESOURCE INTERACTIVE | ©2011 Point of View | Mobile 1

RESOURCE INTERACTIVE THINK ABLE MOBILE

Introduction: Mobile Comes of Age

Mobile technology has drenched our daily lives. From Stat Shot:
texting to shopping to socializing to gaming, it’s more
than just all the rage—it has become the great connector According to International Data Corporation, smartphone
of all channels and touch points (and not just the digital manufacturers shipped 100.9 million devices in the fourth
quarter of 2010, while PC manufacturers shipped 92.1
ones). Mobile has become the ever-present cornerstone
million units worldwide. Or, more simply put, smartphones
of consumers’ lives, enabling new experiences and
just outsold PCs for the first time ever.*
empowering connections and interactions as never before.
Just as the nexus of personal computers and the Internet 1
Source: Read Write Web, February, 2011
(with email) changed the way we live and work, this new,
revolutionary convergence of smart phones and cloud
tablets with apps and high-speed networks is causing a
quantum shift in our daily interactions and transactions.

The adoption of—and innovation around—advanced
mobile devices and services in 2010 was staggering. We
expect that pace to dial up exponentially in 2011. In this
paper, we take a look at how this fast-evolving channel
is changing the world of consumers and how commerce
and brands can mobilize for the future to meet consumer
expectations.



O.P.E.N. Mobile Experience to Meet Consumer Expectations

We’ve long proclaimed that brands must open their We believe consumers expect brands to be O.P.E.N. We
mindsets and experiences to embrace their socially believe the more open a brand is to consumers by ensuring
networked and consummately collaborative consumers. them the following integrated experiences, the more
consumers will embrace and buy from that brand:
Now, to that brand-opening call, we add another layer:
Truly open brands must have open mobile experiences.

Why? On-demand—Delivers accessible, self-directed
and instantly gratifying experiences.
Because consumers are more in motion, more mobile and
more demanding than ever before. Therefore, brands must
be open around the clock and around the world, energized
and optimized for meaningful experiences on major mobile
Personal—Facilitates meaningful interaction with
platforms and devices.
individuals.

Engaging—Deepens attachment through relevant
emotional experiences.

Networked—Taps the exponential potential of
individual consumers and online communities.



O.P.E.N. Mobile Experience to Meet Consumer Expectations

More than the sum of its parts, brand openness must Here are some of the things consumers seek when making an
be holistic and expansive enough to meet consumer O.P.E.N. connection with mobilized brands:
expectations and be with consumers wherever they are
— Usable tools at every inspiration point
now and wherever they are headed next. While they may
have multiple connected devices (desktops, laptops and — Personalization, localization, and real-time sharing options
tablets all at their fingertips as the constant motion of their — Mobile advertising that connects them with the brand, and
lives flow), we are certain that the central connection point the brand with them
will be their primary mobile device. O.P.E.N. experiences — Experiences that harness unique devices, applications, and
can now be delivered across a range of always-connected services to enrich and engage
devices that open the door to not only new consumers, but — Commerce opportunities that integrate mobile with social,
also to brand loyalists in new ways. web and retail channels
In recent years, The Open Brand has been the foundation
for rich, relevant, lasting relationships between consumers
and brands. Enabling marketing technologies and channel
expansions like mobile have accelerated the imperative
for brands to ensure integrated, O.P.E.N. experiences.
As growth technologies and channels (including mobile,
social, virtual and augmented reality) evolve and mature,
consumer expectations will continue to heighten and
brands will constantly need to be ahead of ensuring
O.P.E.N. brand experiences for their consumers. The
alternative is irrelevance.



Mobilizing Your Brand

The brands that are getting it right started with some
basic tenets and knowledge bases that we encourage
all our brands to start with:

— Knowing your consumers
— Knowing yourself, your strategy, your brand
— Knowing your competition
— Knowing your goals and objectives
— Knowing your mobile best practices




Chief marketing officers (CMOs) and brand managers are Profile: Starbucks Gets Wired
increasingly aware of mobile’s importance for connecting
with consumers. They are talking about mobile and diving Ever since the sound of fingers on keyboards joined the
into launch sites and apps as fast as they can. However, cacophony of coffee grinders and milk steamers, Starbucks has
been known as a truly wired brand. In 2010, it went the extra
only a few brands are really cracking the code.
mile for consumers by offering free WiFi, and in January 2011,
In this section, we look at some of the other keys to mobile it launched its mobile payment system, enabling smartphones
success for CMOs and consumers alike and to act as Starbucks cards for in-store payments, balance-
the brands that are getting it right. checking and reloading. Likewise, when consumers opt into
mobile campaigns, they may also receive a text-messaged
discount if they wander into the geo-fenced range of a store.
01 Integrate Your Strategy—Mobile is a state of being,
embedded in the lives of busy consumers. It is not a
standalone channel, or a singular marketing tactic. Instead, it
Starbucks has long been plugged into its consumers’ multi-
channel habits, offering online card management and in-store
must work to ensure a brand is creating O.P.E.N. experiences
with and for consumers. So, don’t go rushing off on a tactical surfing options for years. Going mobile is just the latest move
mission to launch a mobile site or app without first looking in their long-term strategy.
at how it plays in your consumers’ lives and with your other
channels, and how it mirrors the measure of your brand. That
means having a strategy that brings mobile into the fold of your
other channels (destination site, in-store, social, etc.) rather than
treating it as a stand-alone or orbiting channel. Ensure that all
channels blend together to create a seamless brand experience,
no matter the media or platform.




02 Create Always-On Experiences—Mobile is different
than other channels because consumers can take it
with them everywhere they go. It elevates the channel to a new
Profile: A Spotless App from Clorox

Next time you splash red wine on a new dress, you can
level of importance for consumers and brands because the get stain-removal advice on the go from Clorox, through
expectation (and the experience) is 24/7. Now that consumers its mobile stain-fighting app. On the spot, you can search
can find everything from a clean restroom (via the Charmin- for stains by type or fabric, and get advice on using Clorox
sponsored Sit or Squat app) to a great place to eat nearby (with products (where appropriate) or other stain-busters
the Urban Spoon app), consumer demands and expectations
(like club soda), if they’ll do the job better. The app also
now reach beyond the destination site or the bricks-and-mortar
enables consumer feedback and lets users add their own
store. Mobile creates opportunities to be not just always-on, but
always reactive, responsive and available for consultation. Make stain removal tips and rate stain removal guides. Long
the most of this ever-present channel by engaging consumers in after many marketing campaigns have faded away, this
24/7 brand experiences that fit into their fast-moving lives. Catch clever, always-on app will still be a stain-fighter’s best
up with them at the check-out stand with brief, on-brand games friend (and Clorox, a trusted source for cleaner clothes).
and polls (like Gain’s “Get a Sniff of Me” quiz and Laundry
Personality profiler). Excite them with the immediacy and
evanescence of mobile flash sales. Or meet them at the airport
gate with geo-targeted features about stores and sales in the
city where they’ve just landed. The bottom line: Be as mobile,
as swift, as on-the-move and in-the-moment as your consumers
are by serving on-brand experiences that match their mobile
lifestyles.

Stat Shot:

82% of consumers say they access their smart phones
while shopping.*
1
Source: “Get Ready for the Mobile Shopper,” InsightExpress.com, July, 2010




03 Mobilize for Commerce and Connectivity—The “e”
in “ecommerce” has evolved from its original meaning
(electronic) to one infused with a more mobile joie de vie:
Blackberries, applying its famed 1-click checkout to the mobile
model for quick and easy purchasing by on-the-go consumers.

“everywhere.” And nowhere is “Everywhere” Commerce more And then there’s eBay, which, according to TechCrunch, reached
evident than in the mobile universe. Mobile commerce is making $1.5 billion in sales with its growing stable of mobile apps and
its mark in multiple ways: Not only is it allowing consumers services, and whose stated goal for 2011 is to double that amount
to buy directly from mobile websites and apps, but it is also of sales. By subdividing particular interest areas such as fashion
serving as the connective tissue that powers purchasing, as well and automotive for easier and faster mobile browsing, eBay
as sharing for decision support, in other channels. This kind has created personalized experiences that speak directly to its
of O.P.E.N. mobile commerce connectivity isn’t just a “nice to consumers, and, in turn, drive sales wherever those consumers are.
have” concept for brand futurists: It’s already happening, and
happening quickly, as mobile aligns with other channels to Profile: In-Store Meets Smart Phone
shape more compelling commerce experiences than they could
individually. Beyond social, mobile is becoming the glue that binds other
channels together to form engaging O.P.E.N. experiences.
Amazon and eBay, two of the brands that drove the original For instance, retail locations are discovering that a
ecommerce revolution, are also a leading the way in Everywhere smartphone can work just as well–if not better–than a credit
Commerce. Amazon consumers purchased an impressive $1 card for on-the-go shoppers.
billion worth of products via their mobile devices in one year,
and its number-one-selling product in 2010 was the Kindle Starbucks consumers are some of the first to pay for a
eBook reader (which itself is an ecommerce mobile device, latte via mobile app, but other brands and retailers aren’t
allowing for easy purchase and download of eBooks—but only far behind. Several companies, including Visa, are testing
from Amazon). The Kindle is a testament to the enchanting Near Field Communication (NFC), a short-range, high-
power of mobile devices to free the consumer for roaming frequency wireless technology for secure data exchange.
at will without losing touch with what matters. Walk through In November, 2010, Verizon Wireless, AT&T, and T-Mobile
any park or airport and you’ll see more and more people announced plans to offer NFC-based service by 2012. And
enjoying an eBook versus an old-school page-turner. But the the iPhone 5 and iPad 2, as well as new generations of
staggering sales enjoyed by Amazon don’t end with the Kindle. Google’s Android platform phones, are rumored to utilize
The company drove its mobile numbers to the stratosphere by NFC, allowing many retailers and consumers to exchange
launching apps for the iPhone, iPad, Android devices and
currency and goods with the click of a smartphone.




04 Optimize for ROI—Savvy brands view mobile as a
new type of canvas, not simply a smaller replica of their
existing brand landscape. Rather than shrinking your brand to
Stat Shot:

51% of consumers say they’d purchase more if more mobile sites
fit in your consumers’ back pockets, develop an optimization were optimized.*
strategy to make it shine brightly in the evolving space of
smartphones and tablets. Optimization for mobile takes brands 1
Source: Brand Anywhere and Luth Research, eMarketer Digital Intelligence, October 2010
farther, faster, by creating compelling experiences that inspire
fresh consumer interactions, exploration and transactions.

Ensure that your site and apps are fully optimized for the mobile
space by following these tips:

— Remember that mobile is not the Web, so optimize for faster
load times with lighter graphics and a streamlined (one- or
two-click) user experience.

— Make the most of mobile’s unique “brand in the hand”
capabilities with tools and apps that inspire real-world
sampling (the way the Sherwin-Williams ColorSnap app
does) and in-store decision-making (as does the Weight
Watchers PointsPlus Finder app).

— Tap the power of tablets to serve up everything from eye-
catching e-catalogs to floor-walking sales associate tools.




05 Engage with Apps and Ads—A truly O.P.E.N.
brand incorporates engaging experiences that help
define its optimal level of openness. As with optimization
The Great Big Christmas Book app allowed shoppers
to browse hundreds of the hottest holiday toys in an
immersive shopping experience. Using virtual stickers,
vs. miniaturization for interaction and transaction, brands kids could flag the toys they love and add them to a virtual
must envision the mobile experience as an entirely new wish list. The app allowed parents to share those gift lists
opportunity to create experiences uniquely suited to the
with family and friends via email and text. An in-store
mobile environment. Mobile apps and ads that engage and
savings section and store locator made finding the best
inspire, without simply replicating destination site or in-store
experiences, earn brands more attention, commerce and word- deals effortless. The Great Big Christmas Book was one
of-mouth (or, in today’s social lingo, “sharability.”) Don’t just the hottest iPad apps of the season, turning Toys “R”
reinvent the wheel for mobile: Reinvent where that wheel is Us into the next best thing since Santa for time-starved
taking your brand. parents.

Profile: Tablets + Toys “R” Us = Sales

Smartphones aren’t the only mobile devices burning up
the airwaves these days. According to Forrester Research,
24 million tablet PCs are projected to be sold in the United
States this year, up from 10.3 million in 2010.

Resource Interactive and Toys “R” Us tapped into this
growing trend for the holiday shopping season. Resource
teamed up with the leading toy retailer to create an iPad
app that was easy and fun for parents and kids to use
together.



RI: The Future of Mobile

If past is prologue, as Shakespeare wrote, then 2010 set Mixed Reality for Real ROI—Mobile is helping to remake reality,
the stage for mobile to soar to new heights, both as a way with virtual reality (VR) and augmented reality (AR) combining
of life and a way of commerce. Mobile has now become into mixed reality (MR) experiences that give consumers greater
control, visibility and creative input into purchases and experiences.
an embedded behavior for millions of mobile consumers Mobile experiences such as Sherwin-Williams Color Snap (which
whose lives and devices are always on the go. Up next are allows people to photograph a real-world hue and match it to
fast-evolving devices and apps that engage and reshape a Sherwin-Williams paint color) are turning the real world into a
consumer experiences, changing the face of commerce virtual palette for personal exploration. Likewise, MR experiences
along the way. Here are a few mobile technologies and are enabling everything from virtual product personalization
uses that we believe will continue to reshape the mobile (as Puma’s Creative Factory does) to simulated dressing rooms.
Macy’s “Magic Mirror” system, installed at its flagship store during
landscape. New York Fashion Week in September 2010, allowed shoppers to
virtually try on clothes with the help of an iPad that “dressed” them
with clothes they picked from a program. We expect MR to crop up
everywhere, driven by mobile apps and devices that add an instant
layer of virtual products to almost any shopping experience.



RI: The Future of Mobile

Tags Take Off—Mobile tags, also known as QR codes, Stores Turn to Tablets—iPads and other tablets are becoming
are already sweeping through stores, allowing shoppers to de rigeur on the sales floor of stores ranging from the Apple
compare and share product features and prices at the snap of a Store (of course!) to Old Navy. Tablets are empowering product
smartphone. Now tags, including those produced by Microsoft and inventory searching and sampling at stores such as Best
(which has its own Quick Response system), are offering ever Buy and The Disney Store, while also mobilizing the sales
richer and more engaging information to support the decision force, allowing them to escape from behind the cash wrap to
process. Once a consumer has downloaded a free tag reader, finalize consumer transactions (and more effectively up-sell and
a snap of a tag (or, in some cases, a plain old bar code) can cross-sell from the floor). We anticipate that tablet kiosks will
load up everything from a video from a fashion designer (as soon become as common as promotional displays, creating an
does Macy’s Rachel Roy line, tagged by Microsoft) to an instant expansive new way for brands to showcase custom and out-of-
sweepstakes prize (as August 2010 readers of Allure magazine stock products, while enlivening the exploration and decision
readers discovered when they scanned to win their share of processes for shoppers.
$725,000 of free beauty booty). Tags can go anywhere you can
leave an imprint, from bus stop displays to cocktail napkins. The
result: The entire world is now a potential shopping cart.



Final Thought

All of the pieces are in place to turn mobile engagement from
a speculative cost into a core element of profitable digital
execution strategies. Retailers, consumer products brands, and
manufacturers alike are leaping into mobile, sometimes without
looking deeply at the increasingly available array of tools and
options which are already familiar to many US consumers.

By the end of 2011, an estimated one billion people around the
world will be connected to the mobile web, and 50 percent of
all Americans will own a smartphone. Because of the explosion
of web-enabled mobile devices, mobile usage is now on a
hockey-stick trajectory: Searches on smartphones and tablets
have increased 4x in the last year, and the world of mobile
apps continues to engage mobile users in their every waking Connect with Stephen—Make sure your brand isn’t left behind.
moment—125 years’ worth of Angry Birds is played every day! Let us help you look before you leap.
—The Official Google Blog, Feb 2011.

Stephen Burke
Vice President, Mobile

Email: sburke@resource.com
Phone: 614-621-2888


Mobile: The Great Connector

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