Mobile Targeting - Temple...

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Mobile Targeting Michelle Andrews Temple University Chee Wei Phang Fudan University Xueming Luo Temple University Zhang Fang Sichuan University

Transcript of Mobile Targeting - Temple...

Mobile Targeting

Michelle AndrewsTemple University

Chee Wei PhangFudan University

Xueming LuoTemple University

Zhang FangSichuan University

Background

Uniqueness of Mobile Technology

• Mobile Portability = Real-time Targeting• GPS, Wi-Fi, Bluetooth, iBeacon = Geo-Targeting

• Geo-Targeting + Temporal Targeting

Research Questions

(1) How do timing and location in combination affect mobile sales?

(2) What are the underlying mechanisms for these effects?

Contextual Marketing Theory

• Efforts to influence purchases must be context dependent

– Portability enables ubiquitous reach and time-sensitive offerings

? Temporal & spatial boundaries may interactively impact behavior

• Decision to attend event is function of event time and place

• Ex: web usage contexts affect revisit intentions

Kenny and Marshall 2000; Johnson 2013; Galletta et al. 2006

Field Experiment

• Large, randomized field experiment

• Text messages promoting movie tickets

• Users had not previously purchased mobile tickets

• Large city in China

• Single movie promoted

• Sent to 12,265 mobiles

SMS Message

To enjoy a movie showing this

Saturday at 4:00 pm for a reduced price, download this online ticket app to purchase

your movie tickets and select your

seat.

Variables

• Dependent

• Mobile targeting effectiveness: ticket purchase via new app

• Independent

• Temporal targeting

• Geo-targeting

Defining Temporal Targeting

• Messages sent at 2 pm

• 2 hours (Sat.), 26 hours (Fri.), 50 hours (Thurs.) before movie

• Movie time: 4 pm, Saturday

• Messages sent to mobiles located at

• Near distances: < 200 meters (from the movie theater)

• Medium distances: 200 meters < x > 500 meters

• Far distances: 500 meters < x > 2km

Defining Geo-Targeting

200m

350m

1km

Random Sampling by Location

Oversamplingof Near distance

Undersamplingof Far Distance

Cinema

Control Variables

• Theater (A, B, C, D)

• Rate plan types

• MOU (minutes used monthly)

• ARPU (monthly bill)

• SMS (amount of text messages sent and received)

• Traffic (amount of data usage)

Response Rate

• 901 of 12,265 users downloaded app and bought tickets= 7.35%

• Mobile click rates in Asia:= 0.42%

eMarketer 2012

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Evidence: Temporal Targeting

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χ² = 9.53, p < .01

χ² = 14.68, p < .01

Mean purchase for same-day messages:• Higher than one-day prior

• Higher than two-day prior

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Evidence: Geo-Targeting

Mean purchase for proximal distances:• Higher than moderate distances

χ² = 9.20, p < .01

• Higher than far distancesχ² = 18.33, p < .01

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Geo- and Temporal Targeting Combined

Additional Results: Customer Scenarios• Messages sent to mobiles located in

• Residential districts

• Shopping districts

• Financial districts

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Time

Near Medium Far

At Mall At Home At Work

Distance x Time x Customer Scenario

Geo-Targeting on same day is most effective for shoppers vs. others (χ²=5.12 & 19.07, p = .01)

Geo-Targeting’s effect diminishes over time

U-shape for far distances is robust across segments

• Mobile targeting by location and time

• Customer context matters

Geo- and Temporal Targeting Takeaway

Effectiveness Effectiveness

Time TimeNear Distance

Far Distance

THANK YOU!

[email protected]

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