SOURCE: Pontiflex


August 24, 2011 09:00 ET

86 Percent of Retailers to Increase Mobile Ad Spending in the Next Year, With More Than Half Focusing on Ad Campaigns That Acquire Email and Social Signups

Dissatisfaction With Click-Based Mobile Campaigns Forcing Top Retailers to Seek Alternatives; Lilly Pulitzer, Ouidad and Paper Hat Press Among Those Using Mobile Signup Ads to Expand Communities

BROOKLYN, NY--(Marketwire - Aug 24, 2011) - A new study conducted by The Relevancy Group (and commissioned by Pontiflex) reveals that 86 percent of retailers are increasing mobile ad spending in the coming year. However, 55 percent of those retailers surveyed also said that they were dissatisfied with or did not participate in click-based mobile advertising models. These findings are consistent with the priorities of marketers across all industry categories, which also point to the shift away from click-based advertising models in mobile advertising. Instead, marketers are shifting the focus of their mobile advertising campaigns to acquiring email and social signups. The survey found that 54 percent of advertisers wanted to use mobile advertising to acquire email subscribers and 53 percent of marketers said that building social communities was a priority.

Retail brands running signup ads to build email and social communities include Fortune 500 retail brands, leading national retailers and SMBs such as Dockers, Lane Bryant, Lilly Pulitzer, Nautica, Tommy Hilfiger, CafeMom, Palm Beach Jewelry and Paper Hat Press. With signup ads, people can sign up to hear from their favorite brands without leaving the mobile app or website they're on. Advertisers pay only for valid signups -- and never for wasted clicks or impressions.

Building Email and Social Communities Is Top Priority For Retailers
Using signup ads, luxury brand Lilly Pulitzer, a well-known women's retailer that serves women of all ages, as well as men and children, was able to double the size of its email and social communities in just three months, all while reaching new customers. Once people sign up to hear from Lilly Pulitzer, the company is able to send them an email in real time. Lilly Pulitzer can engage with people via email and extend the conversation to social media sites, such as Facebook and Twitter.

"Including signup ads in our marketing mix has allowed us to reach new interested customers who weren't already actively searching for our products on the web," said Rachael Crews, Senior Manager, E-commerce, Lilly Pulitzer. "We really see the value of social media and online communities. Lilly Pulitzer is a brand that is passed down from generation to generation. What better way to reach like-minded and connected people than on Facebook and"

Similarly, curly-hair specialty product maker Ouidad, an internationally recognized stylist, salon owner, mother, author and global educator, partnered with Pontiflex to connect with curly-haired people and increase digital and in-store sales. Ouidad was able to achieve 140 percent instant ROI and increase its email and social media footprint. Ouidad also utilizes Pontiflex signup ads to help educate and engage people with the Ouidad brand and products. Like with Lilly Pulitzer, people sign up to hear from Ouidad via email. The company uses email to drive traffic to social media sites such Facebook, Twitter, and YouTube. The result is that Ouidad drives sales online and in stores.

"The signups that we've gotten from Pontiflex are performing exceptionally well," said Abby Whitmer, Marketing Manager, E-commerce, Ouidad. "They're top quality, and we've seen very little drop off from our database, indicating a high lifetime customer value. And with Pontiflex, Ouidad pays only for new email subscribers, which I love."

Small and Medium Size Retailers Also Benefit From Signup Ads
In addition to large brands, SMBs are also using signup ads to make the most of the mobile opportunity. According to Borrell Associates, 80 percent of SMBs will increase mobile marketing spend in 2011. One example is Paper Hat Press, a personalized children's book company run by an award-winning team of authors, editors, illustrators, designers, producers, techies, and entrepreneurs. Paper Hat press ran mobile signup ads across a variety of app categories: games, travel, lifestyle, utility and news/entertainment and quadrupled its email database with mobile signup ads.

"Pontiflex Mobile Signup Ads allow Paper Hat Press to extend the reach of our digital ad campaigns to mobile environments and reach mothers across top mobile platforms," says Manish Naik, CEO, Paper Hat Press. "That can't be beat."

"Lilly Pulitzer, Ouidad and Paper Hat Press are examples of innovative marketers," said Zephrin Lasker, CEO and Co-founder, Pontiflex. "They have been able to extend the reach of their digital campaigns, connect with people across mobile, email and social platforms and see real results."

About Pontiflex

Pontiflex powers a new kind of digital advertising called Signup Ads.

Signup Ads are a new, simple and 100 percent opt-in way for people to hear more from brands they like. People can sign up without leaving the website or mobile app they're on, and advertisers pay only for valid signups and app installations.

Whether it's moms who join Kimberly-Clark's HUGGIES loyalty program, pet lovers who want to help animals with the ASPCA, or people who want personalized books from small businesses like Paper Hat Press, millions of people use Signup Ads every day to connect with their favorite brands and organizations.

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