Tag Archives: Placecast

LSA 2013: Mobile Promotions Show True Value

Ads aren’t just valued for bringing in calls and walk ins. Local businesses increasingly place value on consumers looking up maps and directions, or participating in loyalty efforts, notes SuperMedia Director of Mobile Development Chris Folmer, who was speaking on a panel at The Local Search Association conference April 16 in Las Vegas. “There are lots of ways to drive true value,” he says.

Loyalty programs represent a real growth opportunity. Consumers are already engaged with the client. They need to maintain the relationship,” says Folmer. He notes that SuperMedia is rolling out a number of new loyalty programs. The programs are great acquisition tools. They are “really good to talk to new clients about. They really like it.”

The traditional backbone of loyalty programs have been text messaging, he adds. Texts really deliver results, and are “exploding” for SMBs. The key is to “get people to want to engage in content.” But they can also be tricky because they are so easy to unsubscribe from. “It only takes one bad offer for someone to opt out,” he notes.

Speaking on the same panel, Placecast SVP Blair Swedeen also emphasized strong results from text-based programs. Promotions sent out when consumers are near a store result in a 2.5 x boost in frequency, and a 22 percent purchase rate. There is also a 5 percent increase in average order value, he notes.

Increased smartphone penetration has greatly expanded the universe for smart offers, says Swedeen — smartphone users will also get push offers on their Apps and emails. “Most customers want delivery across all channels,” he says.

Edo Interactive VP Jeff Fagel says that texts in fact have already been surpassed by smartphone emails. Apps are also proving to be very effective. Merchants that have a promotion on a mobile app are seeing a 20 percent boost in their response rate.

Redemption rates are also soaring. A program that Edo ran with Subway, for instance, achieved a 15 percent redemption rate across the board. It drove the value of purchases up 30 percent. Moreover, 40 percent of those customers who redeemed offers came back at least once or twice in the next 90 days.

The key is driving “the right offer to the right customer,” and keeping it simple, adds Fagel. “There is nothing as impactful as ‘thumbs in faces,'” he says, noting that mobile offers will see 10-15x redemption rates of traditional coupons.

Placecast: Getting National Retailers on the Local Web

National retailers are increasingly looking to get their local stores into local websites, directories and social and mobile sites. But they are confronting issues such as bad local store listing data, and the challenge of competing with locally-owned stores for social and mobile media awareness, according to a morning panel hosted by Red Door Interactive at its San Diego headquarters.

Members of the panel included ESET VP Dan Clark; Universal Business Listings CEO Doyal Bryant; Citysearch National Sales Manager Michael Tood: and Placecast Chief Revenue Officer Jeff Montgomery.

For national retailers, “the biggest competitor is a locally-owned shop,” notes Placecast’s Montgomery. “Digital Physical” efforts attached to consumer wallets are the way to go.

Because of that, the natural goal for chains like Target is to zero in on what makes the local Target outlet “My Target.” Relevancy is tied to where you are,” says Montgomery. In fact, it is “not just where you are, but the time of day. It means something if it is 8:30 on a Saturday night.

Montgomery suggests that retailers begin to go beyond “no brainer” Website features such as Store locaters and product info and start digging in with video, mobile and SMS. “Mobile web sites are obviously something you need to do in the future,” he says. But in conversations with more than 160 agencies and brands, Placecast has learned that the bug question is: “what do I do in mobile?”

“The objective is to learn as quickly as possible,” says Montgomery. “Don’t just look at clicks. They don’t capture a user’s emotional connections.”

Montgomery suggests that retailers start with short codes and keywords, which have a similar impact as more sophisticated bar codes and scannable coupons, even if they don’t exactly provide “the same rich experience.” What retailers will find is that SMS is “incredibly affordable. You can build that asset right out of the gate,” he says. They’ll also see very high open rates in email from smart phone users. The mobile open rate is 82 percent, and 69 percent open immediately.

Red Door Interactive Headquarters, San Diego