Last week I attended a mobile marketing breakfast held by Citrus in Melbourne. This was timely as AIMIA had also released their latest mobile study. With so many facts, figures and trends circulating it is therefore time to review and interpret just what this means for marketers.
Fact 1) AIMIA stated iPhone now represents 21% marketshare in Australia whilst a Telstra survey indicated ownership of iPhone was approx 10%.
Handset manufacturers globally and locally are very coy about releasing statistics related to handsets shipped to individual markets. As a result it is difficult to gain actual figures on handset ownership. What is however obvious from the above statistics is handset ownership of iPhone sits somewhere in the realm of 10 – 20% share in Australia. So what other manufacturers are dominating the landscape? Nokia still retains a high level of share with ownership above 40% but does seem to be slightly diminishing, whilst what is on the rise is the share of Android phones.
What this means is we have 3 to 4 dominant players which are battling for share and to quote the GM of Technology of Citrus “When creating mobile strategies don’t think handset think mobile capability”
Fact 2: 40% of smart-phone users in Australia are over the age of 40 (Source: AIMIA)
Like with social media locally and globally usage of smart-phones is becoming less generational. When mobilising your site it is therefore important to consider that it may be utilised by people of all ages thus how can you best cater for an array of individuals from different age groups.
However despite greater uptake by the older generations, it seems heavier usage still exists for younger demographics as well as for males – according to the Telstra Smartphone Index.
Fact 3: 41 per cent of consumers have installed a mobile application and of those 43% have installed less than 5 apps (Source: AIMIA)
When many organizations think mobile strategy they think apps. However these statistics show that whilst many consumers are using smartphone they are not all downloading applications. And those that are, many do so in small quantities. Therefore if your budget is small you need to decide where it will be best spent. I believe these statistics really crystallize 2 things;
1) Mobilise your existing site and build an app second
2) As app development can be expensive – do your research and your numbers and ensure that if you go down the application path that you build something unique otherwise your return may be minimal.
Fact 4: Mobile eCommence has grown in some areas and has been fairly static in others.
Statistics from AIMIA showed;
• 24% of respondents used their mobile phone for banking at least on a monthly basis, compared to 19% last year.
• 17% of respondents used their mobile phone to make payments at least on a monthly basis, compared to 12% last year.
• 12% of respondents used their mobile phone to buy things for their mobile phone at least on a monthly basis, compared to 10% last year.
• 9% of respondents used their mobile phone to buy things not for their mobile phone, at least on a monthly basis, compared to 8% last year.
What these statistics show us is that more convenience type transactions like banking and mobile payments are increasingly becoming important to mobile users. Whilst transacting for general goods seems to have remained rather static year on year. This could be because of the lack of m-commerce sites in Australia as many retailers still struggle to establish an eCommerce presence.
Fact 5: One in five use mobile search sites like Google, Yahoo and Bing daily. (Source; Telstra Smartphone Index)
In addition to the above trends, statistics from Google suggest mobile search has tripled in the past year. Trends such as these reveal the importance of creating a mobile search strategy and in particular optimising for local search.
Fact 6: Mobile advertising expenditure will reach $76m by 2015, growing at 46% a year (Frost & Sullivan)
Mobile advertising in Australia has reached $9.1 million in 2010, small compared to the projection of the next 5 years. As it is projected that mobile internet usage will surpass desktop by 2013, organisations need to ensure they are investing their marketing budget in channels where their audiences are spending their time. In Australia we have witnessed slow uptake of shifting spend from the offline to the online space and therefore organisations who exploit the trend early will benefit from low advertising rates and higher cut-through.
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It is refreshing to see that at least 1 party is leveraging the online channel in a way that is engaging the Australian public. The Liberal Party has decided to use YouTube as 1 of the channels in the marketing mix to market itself and they are doing so in a unique way. Liberalparty.tv has released a series of humorous and entertaining videos – featuring what they term the “Labour Lemons”.
The content arena is vast and often your organisation will be competing against a mass of content related to your product / service or industry. One of the fundamental things to therefore consider is how are you going to build cutting edge content that will keep people coming back for more? When I set out blogging there were 2 key things that defined my content position / edge in the market;
4. Content Distribution
1. Online Internet Usage in Oz – According to Nielsen, Australians spend an average of 17.6 hours a week online, making up 33 per cent of their total media time.
16. Australian Mobile Internet Usage – Australians’ ownership of internet enabled phones now sits at 43 per cent, with 29 per cent regularly using it to search, email, find maps and share their lives on Facebook, Twitter and MySpace.
The introduction of applications like ShopSavvy will provide consumers with new ways to compare and shop on the move. Named a potential game charger – comparsion apps combine location with traditional comparison technology to enable consumers to do online research out in the field. By scanning bar codes users can compare prices of the products in the area simplifying the process of “shopping around”.
Both Google (AdMob) and Apple (iAds) are heavily investing in networks to monetise the increasing number of applications being loaded into app stores. Unlike other forms of advertising networks, mobile networks can combine location based data with user profiles to deliver a new targeting capability. And whilst statistics of mobile advertising vs other forms show market share is still relatively small the opportunity is significant. The Apple iStore alone has experienced over 4 billion downloads for free apps – and this sheer volume of consumer usage and engagement is one which many marketers will be looking to leverage – particularly early on. Like any newer form of media, consumer interaction is high partly due to lower advertiser saturation rates and noise. Statistics currently show that that appvertising campaigns are delivering response rates of between .3% – 6%.
Facebook racked up over 600 million searches in May 2010. Compare this to January 2009 where search volumes were a mere 161 million and it is obvious to see that Facebook search is becoming a sizeable opportunity. A significant portion of searches are obviously related to people search as the average query length on Facebook is 2 words – however search is starting to evolve to cover topics related to fashion, electronics and travel. What is however most interesting is that Facebook are actively focussing on improving search within its eco-system with the launch of Open Graph. By leveraging content from its “LIKE” feature combined with sites actively integrating with Facebook ie like TripAdvisor, Facebook has started to collate content to serve up to users when they search for a particular theme or topic. Whilst still in a very premature stage – get it right and this could significantly move the goal posts in the search landscape as content is served up on the basis of user popularity. For more on Facebook search –
It is hard to pin point accurate statistics for Twitter search with reports ranging from 350 million to 18 billion searches per month. Regardless of this, the numbers are sizeable. Combine this with content that finds users – rather than users searching for content and there is no doubt that Twitter presents a significant opportunity for businesses. But this doesnt come without a high level of competition. Twitter reporting more than four billion tweets are sent using the service in a given month – that is a lot of content that could appear within the SERPs thus optimisation is key.
Whilst KRudd and Tony Abbott are building their social presence, the absence of strong search rankings is an obvious flaw in their online political push. The sheer volume of searches surrounding the main contentious topics is significant – yet neither of the Liberal / Labour websites are to be seen within the top 10 results for many search terms related to contentious issues. With real time search, news search and traditional search there is a significant opportunity for either party to take the SERPs by the balls and use it as a key channel to educate the general public on their stance on the big issues.
One of the highlights of Obama’s online campaign in 2008 was the prominent call to action to sign up to the Obama site. By doing so the Obama communications team was able to develop a robust communication strategy to keep Obama’s loyal followers up to date on his views, policies and successes on the campaign trail. Both parties seem to be falling short of exploiting this onsite for different reasons. The ALP has built a somewhat confusing sign up process whereby it is not really clear as to what the user is in-fact signing up to. Whilst the Liberal party on the other hand has hidden its email sign up below the fold on the home page – which would make it very difficult to acquire users. Add to this a lack of sign up features at key touch points on the site (ie within the latest news section) and this signifies a significant opportunity that has been lost to build an ongoing relationship with their potential voters.
The group discussed the opportunity which lies within social search, however the discussion around “social search” being a search channel in its own right delivered some interesting insight. During the discussion statistics about the current volume of searches being conducted on some of the major social platforms and the growth potential in the future were shared.
The discussion turned to how search pro’s and marketers are measuring organic search efforts. Whilst personalisation and localisation are playing an increasing role within SERPs it seems many still utilise ranking tools to measure performance alongside of other key indicators such as back links, indexed pages and of course traffic generated through search efforts and the engagement / conversion of that traffic.