Mobile Marketing Will Shuckburgh, Business Development Director, Nectar 3rd March 2011.
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Transcript of Mobile Marketing Will Shuckburgh, Business Development Director, Nectar 3rd March 2011.
Private and confidential
Agenda
• Nectar
• Why mobile, why now?
• Customer Insight
• The Nectar App
• Results
• Some things we have learned
Private and confidential
Groupe Aeroplan is the global leader in loyalty management
• Miles-based coalition in Canada
• 5 million members
• 75 earn partners and 188 burn partners
• Points-based coalition in UK and Italy
• 12m 12-week active UK households
• 14 earn partners and 30 burn partners
• Nectar Italia launched March 2010
• Nectar Chile launched August 2010
• Customer-centric retailing business
• Tools and SKU analytics platform
• 100+ Consumer Packaged Goods partners
• Present in 7 markets in the Middle East
• 130 partners
• HSBC principal partner and 40% shareholder
• Loyalty Marketing Services Provider
• Presence in North America, EMEA and Asia Pacific
• Global leader in loyalty • C$2bn turnover• Over 3,000 employees• Presence in over 16 countries in
North America, Europe, Middle East and Asia
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Nectar is the UK’s largest loyalty programme with over 50% of UK households
Points Issuing Partners Rewards PartnersCollectors
15.1M Households active in the last 12
months
Database
Nectar Business
Plus over 450 online retailers on eStores including:
Source: Nectar Stats, January 2011
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Agenda
• Nectar
• Why mobile, why now?
• Customer Insight
• The Nectar App
• Results
• Some things we have learned
Private and confidential
In the beginning there was paper…
• Very, very personalised paper
• 5m+ unique offer combinations in a Points Update Mailing
• Award winning trigger campaigns: Home Mover’s Kit etc
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And then there was digital...
• www.nectar.com receives circa 2m unique visitors per month
• Most visited areas: eStores, offers, account management, rewards
• C. 1million collectors have transacted through Nectar eStores across Nectar and Nectar Business
• 45% of registrations are online
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Mobile – Why now?
• Mobile phone internet access developments:
• Screen size and clarity
• Flat rate monthly data charge
• Mobile network speed
• Demise of walled gardens
• By 2013, more people will access the web from a mobile than a PC (Gartner)
• Member appetite – Facebook comments + collector survey
• Critical mass of smartphones
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“Nectar Everywhere” - Customer Value Proposition
Value ₤
ConvenienceInspiration ♥
NectarEverywhere
Data will drive relevance in all three areas
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Agenda
• Nectar
• Why mobile, why now?
• Customer Insight
• The Nectar App
• Results
• Some things we have learned
Private and confidential
Key Market Research findings
• Nectar smartphone survey, June 2010, 201,258 respondents
• 36% own smartphone
• 58% have had a smartphone for less than 1 year
• 59% find out about new apps via App store or friends
• Distribution of the best known types
1. iPhone
2. Blackberry
3. Android
• Android is expected to overtake iPhone in 2011
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Over 40% of all smartphone users download an app at least once a month
n=73,897
0
10
20
30
40%
Everyday
2.8%
More ThanOnce a Week
8.6%
Once aWeek
8.6%
2 to 3 timesa month
13.8%
Oncea month
8.4%
Once every2 to 3 months
7.7%
LessOften
15.9%
NeverDownload
34.4%
How often, on average, do you download apps to your phone? All smartphone users.
40%
Private and confidentialn=20,005
iPhone users download apps more often than other smartphone users
0
10
20
30%
Everyday
6.0%
More ThanOnce a Week
20.0%
Once aWeek
18.3%
2 to 3 times amonth
26.7%
Once amonth
12.1%
Once every 2to 3 months
7.2%
Less Often
5.8%
NeverDownload
3.9%
How often, on average, do you download apps to your phone? iPhone users
80%
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Customers told us that they want…
Convenience and value
• Access to Nectar point offers on the go and in their own time
• To see their points balance and manage their account 24/7
• Store finders to easily locate where they can collect and spend points
• To receive communications when new offers are available through the app (70% are happy to receive alerts from Nectar)
• Attainable and worthwhile offers that are updated frequently (weekly or monthly)
Nectar iPhone App survey, June 2010, 201,258 accounts participated in the survey
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Agenda
• Nectar
• Why mobile, why now?
• Customer Insight
• The Nectar App
• Results
• Some things we have learned
Private and confidential
Nectar app functionality
Points balance One-to-onebonus points offers
Store locator Programmeinformation
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The business model
• Mobile Offers
• One-to-one offers wherever members go
• No paper or point of sale interaction
• Very cost efficient channel
• Combines our Insight and Currency
• Clear monetisation model
• App is free for customers
• CPG’s and partners charged for offers
• Bonus Points revenue
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We’ve also built Sainsbury’s iPhone app
Sainsbury’s news Store locator In store offers One-to-onebonus points offers
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Agenda
• Nectar
• Why mobile, why now?
• Customer Insight
• The Nectar App
• Results
• Some things we have learned
Private and confidential
iPhone app launch results
• Nectar and Sainsbury’s apps launched on 16th August 2010
• 0.5M downloads of the Nectar app so far
• Over half a million user sessions
• Nectar app #3 in the UK free app chart within four days
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App reaction – our partners
“The Sainsbury’s App is more than meeting expectations in terms of customer demand and we are excited that, working together with Groupe Aeroplan, our app will evolve through a solid development pipeline”
“I really like the site locator and the personalised offers. So much easier, friendly and accessible than to have to use a website when you are ‘on the go’ as our customers are!”
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Initial results for partners have been outstanding
• Results to date of targeted offers for Nectar’s 3 biggest retail partners:
• 23%-57% offer opt-in
• 4% -48% of targeted customers completing the right purchase
• £Multi-million incremental spend
• High ROI, which will guide channel pricing
• Collectors responding to the offers have benefitted from hundreds of thousands of pounds worth of rewards
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Mobile – where next?
• “Nectar Everywhere” strategy: right offer, right people, right place, right time
• Mobile website
• Roadmap of new functionality for the apps
• Further platforms
• Integration of website and mobile data into our warehouse
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Agenda
• Nectar
• Why mobile, why now?
• Customer Insight
• The Nectar App
• Results
• Some things we have learned
Private and confidential
Key Considerations
• Prioritise your app platforms by download volumes & demographic fit
• Engage staff and customers early in the design cycle, limited ability to trial
• How to drive repeat usage?
• Does your web analytics tool allow you to track the interactions through your app?
• Customers expect new releases and features – set out a roadmap
• Feedback is instant through the app store and other social media – be ready to respond
• You have to ask for good reviews - in app prompting
• Many retail environments have limited or no mobile coverage – make it work off line
• Many retail scanners won’t scan a barcode image on a mobile phone – remember that a bad customer experience can damage overall brand perception
• Strike up a relationship with Apple – proves very handy at times