SOURCE: Aberdeen Group

Aberdeen Group

September 10, 2009 10:00 ET

Leading Companies Embrace Mobile Marketing to Reach Consumers on the Go

New Research Reveals How Top Companies Extend Marketing Communications Through the Mobile Channel and With Mobile Enhancement of Traditional Media

BOSTON, MA--(Marketwire - September 10, 2009) - Recent advances in mobile devices and related technologies and standards make it possible for companies to capitalize on mobile marketing as an intimate yet ubiquitous way to reach consumers on the go in a relevant, engaging, and profitable manner. According to a new report by Aberdeen Group, a Harte-Hanks Company (NYSE: HHS), "The ROI on Mobile Marketing: Why It Pays to Reach Consumers on the Go," leading organizations engage in anytime, anywhere marketing through mobile devices in ways that yield positive business outcomes, including increased customer acquisition, retention and profitability.

The report finds that 65% of top performers, compared to 13% of Laggards, are currently satisfied with their average return on marketing investment (ROMI) on mobile marketing campaigns. By contrast, only 40% of top companies, compared to 8% of Laggards, are currently satisfied with their average ROMI on traditional media (TV, radio, print). The fact that leading companies are 1.6 times more satisfied with their ROMI on mobile marketing versus marketing through traditional media helps explain why 62% of companies are increasing their budgets for mobile marketing even as they reduce or completely eliminate programs in many other areas.

Aberdeen research reveals that mobile marketing programs are evolving at a rapid clip, with many companies expanding their capabilities beyond text message marketing, which has been the dominate vehicle for interacting and transacting with consumers on the go. In many cases, companies are also adopting integrated, multi-channel approaches that might involve, for example, an initial call-to-action that drives the consumer to a mobile website where they can then view a video, enter a sweepstakes, request a coupon or engage in any number of other brand experiences.

Developing and executing a mobile marketing campaign typically involves a wide range of technology enablers, from SMS messaging solutions and mobile Internet hosting and delivery services for delivering content across disparate mobile networks and the thousands of types of mobile devices to dynamic ad delivery platforms, which use campaign management software to deliver targeted ads to a publisher's mobile content based on a set of predefined criteria. Aberdeen research suggests that success in leveraging the mobile channel also requires a combination of strategic actions, organizational capabilities and performance metrics. With respect to the latter, Aberdeen found that leading companies are 10 times more likely than Laggards to have defined performance metrics in place for measuring mobile marketing effectiveness.

The report includes a number of recommendations to help spur performance improvements, based on the actions that top performers are taking. In addition to adopting best practices for mobile marketing campaign development and execution, recommended actions include hiring resources that have mobile as part of their job description, exploring location-based or proximity techniques to drive precision marketing effectiveness and integrating social media into mobile marketing campaigns.

"The combination of reach and intimacy makes marketing through the mobile channel a highly effective way to engage, interact and even transact with consumers," said Jeff Zabin, Research Fellow at Aberdeen Group. "Getting mobile marketing right is a great challenge. It's also an opportunity with enormous upside in terms of driving customer acquisition, retention and profitability on an ongoing basis."

A complimentary copy of this report is made available due, in part, to the following underwriters: 5th Finger, Mobile Marketing Association and iLoop Mobile. To access a copy, visit: http://www.aberdeen.com/link/sponsor.asp?cid=6096.

For additional access to complimentary Customer Management Research, please visit http://research.aberdeen.com/index.php/Customer-Management/

About Aberdeen Group, a Harte-Hanks Company

Aberdeen provides fact-based research and market intelligence that delivers demonstrable results. Having queried more than 30,000 companies in the past two years, Aberdeen is positioned to educate users to action: driving market awareness, creating demand, enabling sales, and delivering meaningful return-on-investment analysis. As the trusted advisor to the global technology markets, corporations turn to Aberdeen for insights that drive decisions.

As a Harte-Hanks Company, Aberdeen plays a key role of putting content in context for the global direct and targeted marketing company. Aberdeen's analytical and independent view of the "customer optimization" process of Harte-Hanks (Information - Opportunity - Insight - Engagement - Interaction) extends the client value and accentuates the strategic role Harte-Hanks brings to the market. For additional information, visit Aberdeen or call (617) 854-5200, or to learn more about Harte-Hanks, call (800) 456-9748.

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