What makes consumers share personal data with brands?

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Getting personal data is something most companies strive for. However, consumers are very careful with sharing their information with marketers. Most of them (62%) fear that marketers don’t obey the rules of data privacy. This is the main finding of a recent report from SDL, based The report was based on data from a survey of more than 4,000 consumers in the United States, the United Kingdom, and Australia.

Not surprisingly, younger consumers are not that frightened about the way marketers work with their data than older consumers. In the UK, just 48% of the 18-24 year old respondents worry about it versus 63% of the 45-54 year olds. The US is less open with data sharing in the younger generation. 59% of the respondents between 18-29 years worry about data privacy. This compares to 71% of the age group 45-60 years.

SDL Data Personalized Data 2014

There is also a big gap between what data people share and what not. Data about age, gender, and income is more openly shared with marketers. Respondents made clear that they are less open to share the name of their spouse, lists of family and friends, and obviously their Social Security number.

SDL Data Smartphone Shopping 2014It seems that loyalty programs are still a great hook for marketers. In order to being able to join a loyalty program 49% of respondents were willing to share personal information with brands. Furthermore, free products and services in exchange for data still gets 41% sharing personal data.

Still, the fear of being tracked gets people away from sharing their data online, especially when it comes to in-store tracking. Most respondents (76%) with smartphones replied they are not happy with retailers‘ tracking their shopping tours as they do not understand what the intention of the tracking effort will be.

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SDL Data Trusted Brands 2014Trusted brands are in a comfortable situation: 79% of respondents stated they are more likely to hand over personal data to those brands they have purchased from before. Obviously, this changes in percentage from country to country with the UK being most hesitant about sharing information Almost one third would not share any information with marketers. The report is a good indicator on what kind of structured data is easy to generate, but also shows the challenge of getting sensitive data from consumers.

Infographic: How proximity & micro-location marketing offer new possibilities to marketers

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In a consumer world that is becoming more and more mobile technology driven, the outreach to customers depends on sending the right message at the right time in the right context with the right content impulse. Retail marketers need to be aware of how micro-location and proximity marketing will connect them with those early mobile adopters.

And just imagine how marketers can target their customers just when they are taking their purchase decision. Only as mobile technology and relevant data will let marketers know in which shopping experience the potential customer is.

Like a „look over the shoulder“ of their customers, retail stores can now use mobile and targeting technology to better understand the purchase behavior of their customers. Sensors and Bluetooth low energy (BLE) beacons enable marketers to track and target those buyers in retail stores from the minute they walk in the door, and always send them relevant personal promotion content.

This infographic by MDG tells us that only 23% of marketers are using location-based data in their current mobile campaigns. Still, this technology will be changing the marketing approach in the future. As ore and more marketers are heading towards micro-location marketing (this marketing tactic is expected to reach $2.3 billion globally by 2016), it will depend on the customers whether they will accept this real-time marketing and hyper-targeting advertising formats.

infographic-future-of-proximity-and-micro-location-marketing

Big Data Opportunities (Infographic)

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We discussed this topic in many panels at dmexco this year, and in the last couple of years I assume not many buzz words have made their way through so many blogs and articles: Big Data. Some see the value of it in measurement and analytics for marketing purposes. Others try to identify new potential and hire Corporate Data Scientists for their web strategy to leverage the potential of unstructured data. And some are still on their way to understand how their data can be embraced to exchange with the data of some partner or even their clients.

The topic Big Data will stay. Just look how much data is generated daily: 2,5 Exabyte. A number that doubles every year according to an infographic the guys from Elexio have put together. It illustrates the potential for companies and how Big Data might generate bigger opportunities in several sectors. Especially, in retail or e-commerce where Big Data let’s brands analyze customer behavior and deliver more personalized messages in order to create an exciting user experience, more engagement, and sure i the end more sales. However, sometimes you wonder if they are doing it right.

As Big Data also let’s us analyze offline data, some clever marketers might combine those with online data to get a clearer view of consumer activity. On the one hand, this might be good as it keeps them from delivering the wrong banner or engagement outdoor advertisement and content to the wrong customer. On the other hand, there might be people arguing that Big Data is still in its infancy as long as companies cannot extract critical and unstructured data from the valuable data that creates a new customer journey experience.

The main challenge will be how we bring Big Data and security together in the future. Consumers get stressed these days as they realize that promotion banners and branded content are following them across channels – with products and services which are often not wanted, or already bought. But how can companies deliver a seamless customer experience? How can they make use of Big Data that boosts their lead generation or sales numbers while still showing careful approach that consumers appreciate?

With all the social media sharing and curating of content via social networks and their buttons, does it really make sense talking about Big Data and security? Or, do we need organizations that audit how companies handle customer data? What rules do companies and brands need to obey to enable a social and secure shopping experience? Many questions that we will discuss on a panel at the ChapmanBlack „Future of Digital“ event in Berlin next week. Sure, I will change those afterwards…

Please find the infographic of Elexio with latest insights into the new opportunities that Big Data can offer to brands and companies.

Big Data Infographic Cloud

Mobile & Responsive Design: Hype or Hope? (Infographic)

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It is a dream for many people responsible in the developer field: Creating a mobile app once, without the need to amend it for any screen, any device or any audience. Responsive web design is said to be able to deliver just that – one size design fits all kind of a thing. But is it really true?

In days where more than 20% of all web traffic is generated via leading e-commerce websites coming from mobile devices, responsive web design is becoming an alternative many developers are thinking about. Not surprising, right?! The unique screen resolutions has been growing from 97 in 2010 to 232 in 2013. For those retailers that wanted to rise the number of online shoppers alongside with the growth of screens coming via not desktop resolutions, responsive design became a new and attractive option.

For the marketing and web optimization guys from Monetate, it seems there is only one real alternative if companies don’t believe in their customers to download their mobile app: responsive web design. Still, mobile shopping is not a hype anymore, it has become the real revenue driver in e-commerce. There is an expected $38.8 billion spend on smartphones and tablets according to eMarketer in America in 2013 which is forecasted to grow up to $108.6 billion by 2017.

However, brands might argue that the development is not cheap at all. If you see another alternative or have the proof that responsive design is not the only alternative, let us know…

Responsive-Web-Design-Infographic

5% of negative online reviews are deceptive, finds MIT study

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© carlos castilla - Fotolia.com

© carlos castilla – Fotolia.com

We all know that ratings, reviews and recommendations -the 3 R’s of the social consumer- rule the modern world of shopping and our daily customer journeys. When we are trying to figure out the coolest holiday hotel, the latest gadget or the cheapest flights, people tend to rely on what online reviews tell them before purchasing whatever they are longing for. Online reviews make a big impact on our life and happiness, and turn the customer journey into a big secret. Nielsen and Forrester have shown in their studies how we find trust in brands and products, and reviews play a significant role in the purchase decision-making processs.

But what if reviews are simply wrong, or bought from people that don’t flag these reviews as hidden content marketing derivates? Years ago, we might have asked our friends or close people where to go for dinner, what music tape to buy, or which book to read, we now just go online and read what some foreigner might have said. No matter which mentality this person has, which preferences, which background, which age and gender. The 3 Rs make our decisions easier, we think.

Although we might have all guessed it, the proof of wrong online reviews now comes with a study from the MIT and Northwestern University that examined over 400,000 reviews in 6 months. The study states that many reviews were simply deceptive, untrue or even written by people who never tested or bought the product or service. In 5% of all negative reviews people get paid to hype products. Most of these people are writing bad and often untrue reviews but are actually newcomer to the business they are talking about. 

The good part of this study is that the study offer some advice for us and tells us how to detect deceptive story-telling.

„What is most compelling is most reviews tend to be too detailed. Another easy clue look for is repeated use of exclamation points. Two, three or four for emphasis, is often associated with deception,“ Eric Anderson, Northwestern University Professor and co-author of the study said. „At the end (of the study) we concluded that many of the negative reviews came from customers who were trying to act as self proclaimed appointed brand managers.“ Anderson summed up.

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However, many reviews might be untrue or bought, it is probably a good way to try to understand what negative reviews are basically saying and balance it against positive reviews. Seeing the positive reviews makes us get out of the bad tonality which often is simply based on anger and frustration around bad services and untrue or bought reviews. And the more people are trying to dive deeper into the intention and personality of the reviews, the faster they might detect if the review is deceptive.

„Really what you have to do is read a lot of them. Don’t just read the 2 or 3 negative ones which may or may not be real–read alot of the reviews.“ Ken Bernhardt, former Professor of Marketing, Georgia State University

Mobile Advertising: Performance gets better, and Google takes 50% of revenue

18.06.2013 von  
Kategorie Mobile

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mobile-webThere are different views on why mobile advertising is performing. However, some new studies might spread some light: one form TNS and one from SessionM which did their study in cooperation with Millward Brown. The study SessionM published today shows that consumers react positively twice as often to mobile ads… but only as long as they get some value out of it.

Mobile banners are most used from smartphone owners when they get a gift card, coupon, events tickets or loyalty points. Although this gives some good insight in the ranking of the preferred mobile engagement options, consumers want to know what benefit they get out of the digital experience. It means that marketers need to be clever and having some good approach. The surveyed consumers replied that the way mobile ads are presented was crucial to their feedback.

The study makes clear that the mobile strategies need to be clear to the consumer, said Lars Albright, CEO of SessionM: „The questions are, ‚What value am I bringing to the consumer?‘ And, ‚How am I doing it?'“ It asked 1,000 consumers in a digital survey, as well as a dozen participants in each four hour interviews. 93% of respondents said they had the opportunity to choose a reward in exchange for their smartphone time was „important“. This comes as no surprise after the latest Adobe study telling us that often digital advertising is found „annoying“.

The difference between rewards-based mobile ads and different types of on-the-go promos was that rewards-based mobile ads performed better for purchase consideration (+65), the brand in brand interaction (+14%), branded website traffic (+13%), web searches (+8%), in-store shopping for the brand (+6%), and approaching the brand’s social media pages (+5%). Obviously, the user can be handled and does not always see banners as „annoying and invasive“.

Finally, while a lot of industry players see location-based services as the key to mobile’s future, Joline McGoldrick, research director at Dynamic Logic, Millward Brown’s digital practice, spoke about how interest-level marketing can be a huge help to the space. „Targeting is getting better in mobile,“ Joline McGoldrick, Research Director at Dynamic Logicsaid, „but it is still not perfect.“

eMarketer 2013Now, although mobile ad revenue is far from reaching big amounts of ad spendings, many marketers see it as a growth area. Whatever the number that is attached to total mobile ad revenue worldwide is, Google is the leader with over half of surveyed people according to eMarketer. And if you see the numbers it seems that Gogle is still not happy with the budget chunk they do get, reaching out for more it seems. But also Facebook investors will see some light at the end of the tunnel with mobile ads on the rise. However, Google might like the competition but all that market dominance simply making way for some more challenging competition.

It will be interesting to see who will come up as the leader in this cmpetition, who can compete with Google in general, and will Google continue to grow their business? You tell us your views….

PayPal Global Study: Will we have a wallet-free future soon?

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Credits: © Piotr Marcinski - Fotolia.com

Credits: © Piotr Marcinski – Fotolia.com

Are you still keen carrying a wallet with you for paying your stuff? I am not. I actually hate it. And I have got my money loose in my trousers very often (not seldomly ending up staright in the washing machine). Now, Paypal might have a solution for me in the future. They recently announced their findings of a new study conducted by Wakefield Research which gives some insights on the end of the wallet: 83% of respondents across five countries (Germany 90%, Canada 87%, U.S. 86%, Australia 80% and UK 76%) would love not to carry a wallet with them. Now, Paypal is reacting to this answer and will be launching Cash for Registers. It will allow merchants to accept Paypal payment as well.

The study made clear that the UK (32%) is most open to choose a smartphone over a wallet when going out if they could only bring one item. Canadians might be struggle the most in the old world: 75% of them don’t carry cash around. Obviously, the beach and the gym (but also restaurants and grocery stores) are places where people would love to leave their purse away in all countries. However, Germans and Americans don’t like it at concerts and sports events, whereas Canadians don’t want it in the bar. And parking mobile apps are very much appreciated today in all countries.

„It’s not about replacing cash or your credit card with a new payment method, it’s about using technology to solve real shopping pain points. PayPal is at the forefront of developing products that make life easier, help shoppers be more efficient, and untether consumers from their wallets forever.“ David Marcus, President, PayPal

The question is whether the development we see in terms of getting rid of the penny is increasing. Countires like Canada are trying to reduce the distribution of pennies, following Australia, New Zealand and other countries. Increased metal costs and a questionable need for 1-cent coins might be valid reasons. In the U.S. it costs more to produce a penny than to there is need for it. And while Germans still would bow to pick up change and carry it in general, Americans and Britains are most likely to lose it.

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Although I would also call for a wallet-free future, I sometimes think about the problems it might cause for i.e. charity. How often do donate change to charity in a week? And how often are kids proud when you give them some money for their saving-box? Or when we hand over the jar where we collected the money for them? Would we also give and save them money when it is digital? How do you see it? And would you be open for the wallet-free future?

Facebook/IDC study finds, email top activity on smartphones

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Some say, email is a dead media, some know it is not. At least not on smartphones in the U.S… For American adults email is still the most common activity on smartphones. In the second place comes Web browsing, closely followed by using Facebook. This is the result of the „Always Connected“ study from IDC. The study is based on feedback from more than 7,400 iPhone and Android users between 18 and 44 years old.

IDC Facebook Email top 2013These are the main findings of the study….
– 78% check email on smartphones
– 73% browse websites
– 70% using Facebook in some way
– 131 minutes per day communicating on their smartphones
– about 33 minutes of the above are spend on Facebook.

Now, it has to be mentioned that the study was sponsored by Facebook. The study supports the fact how important Facebook is for the communication via smartphones. It also makes clear how much time users of social networks spend their daily time when they are out on the streets, at work, at shopping or following sports activities. Obviously, most of the time is spend on Facebook – in eight different activities, people responded that they are almost 4-5 times more likely to be on Facebook than using Twitter or LinkedIn.

IDC Facebook Facebook Twitter LinkedIn comparison 2013

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The value of the study can in some way put into question, although we have seen many studies in the last years that demonstrate the importance of direct one-to-one communication on Facebook and the mobile use of Facebook. Another study by Localeze/15miles/comScore Local Search found that not email but search is the main activity of the mobile users. However, the approach of the study was different. It looked at people not only in the 18-44 years range and it proved the use of smartphones and tablets. there must be a reason why Facebook sponsored this study. I would not be surprised if they will publish some new mobile advertising opportunities soon.

Study Mobile Search: How it drives activities and conversions online and offline

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We all experience on a daily business how mobile devices are changing our world. Mobiles become more and more our shopping companion, and with it mobile search becomes more and more popular to satisfy our needs. Google and Nielsen cooperated in a recent report to illustrate where and how people use mobile search, and what purchasing behaviour results from it.

Most mobile search activities happen in the afternoon and evening. However, the activities happen at home (68%) and not from „on-the-go“ (17%). The driver for the activity is 81% the need for „speed and convenience“. Funnily enough people believe that doing a mobile search at home is easier than opening the computer (83%).

Google mobile search drives on and off

Concerning the types of mobile search, it varies still. People tend to do food and shopping „in-stores“ versus finding travel information which is done from their office or while on-the-go. The interesting finding for marketers is that these searches drive users to do additional activities. 73% trigger additional actions after doing their mobile search.

Google mobile search triggers

The study makes clear that mobile searches are pushing fast online and offline activities. More than half of all mobile users do call a business, make a purchase and visit a store in the short time-period of only one hour. Furthermore, mobile searches becomes more and more impactful for businesses. Mobile searches trigger consumers for additional actions and conversions (73%). The respondents of the study also visited a retailer’s website (25%), shared information (18%) and visited a store (17%).

Google follow-up activities mobile search

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Although this study might have some Google touch, the reports offers some good insight into the offline and online world and how it gets driven by mobile search. We should not be surprised to get further new mobile products from Google for users (mobile value-add) as well as for marketers (mobile ad products).

Which products would you like to see from Google for mobile search that don’t exist yet?

Study: Consumers prefer mobile apps to mobile websites

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After yesterdays moderation of the dmexco Night Talks in Hamburg on „Mobile – The new first screen“, a recent study grabbed my attention this morning. It makes clear that users really are more into apps rather than mobile websites. According to the findings of the global study from Compuware Corporation, a technology performance company, 85% of consumers responded that they prefer mobile apps over mobile websites.

Although the latest InMobi study gives insights how people react to mobile advertising and why apps get into the centre of attention of the mobile user, the study from Compuware states that the reason why apps become so popular these days. The respondents said that they are „more convenient, faster and easier to navigate.“ Furthermore, it adds some more findings…

„Mobile applications are thought to make life easier by streamlining calendars and grocery lists (…) offering entertainment while in line and making it easy to collaborate with co-workers. Consumers now associate apps with banking, paying bills, shopping, booking hotels and travel, as well as with staying productive and connected with both home and office tasks.“

The 3Rs of the social customer also become apparent in the choice of which apps will be downloaded to their mobiles. 84% of users say app store ratings are important in their decisions to download and install a mobile app. And there are some obvious reasons how apps need to deliver in order to be be benefitial…
– Easy access to product and store information
– Help planning and navigating trips
– The ability to communicate in real time

However, the benefits seem quite clear, there are also some complaints about mobile apps. The mobile users mentioned that they had…
– 62% a crash, freeze or error.
– 47% slow launch times.
– 40% an app which just would not launch.

Still tolerance is high when the app does not work immediately. 79% said, they would retry a mobile app only once or twice if it failed to work the first time. Still, companies and brands should be aware that the competitor is not too far away with their mobile app offering.

Compuware - Consumer reaction to bad apps

„With consumers expecting greater experiences with mobile apps now more than ever, fulfilling those expectations doesn’t just happen — it takes a conscious effort throughout every stage of the design and development process to get it right. Performance is a crucial contributor to providing a dependable mobile app user experience, so performance should be considered a key driver in the design process. Mobile applications need to focus on a core utility, and they need to be fast and reliable in order to be valuable.“ Stephen Pierzchala, Technology Strategist, Compuware APM Center of Excellence.

It would be interesting to get your expectation on a good mobile app or website? What is your normal reaction when mobile apps don’t deliver to your expectation?

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