New technologies and especially the use of smartphones have changed people’s everyday activities. They have also affected marketing strategies and marketers’ approach towards consumers.
Regarding marketers, mobile marketing has from one hand a significantly lower cost than traditional advertising media and from the other hand enables companies to establish a personal relationship with customers (customer-centric marketing). Other benefits of mobile marketing: interaction between advertiser and consumer (Qui-Gao, Pei-Luen et al., 2010), pre-sales, sales, after-sales support(Roger Strom, Martin Vendel et al. , 2014) and personalized content, since companies are able to collect data concerning consumers preferences and consequently form specific target groups.(Phumisak Smutkupt, Donyaprueth Krairit et al, 2010 and Koh Jing Yee, Rashad Yazdanifard, 2013).
Regarding consumers, the value of mobile marketing is associated with the anywhere and anytime access (Roger Strom, Martin Vendel et al. , 2014). Access to advertisements while on the move enables consumers to have product information available constantly(Baoling Li (2013).
However, in a recent research, Catherine Watsona, Jeff McCarthy b, et al. (2013) support the majority of consumers are negative and cautious towards mobile marketing since smartphones are perceived as something private and personal. Most of them consider mobile advertising spam and wish to have more control regarding what is appeared on their smartphone’s screen. They don’t like being exposed and make personal information known.
In order to increase consumers engagement and involvement to mobile advertising , companies need to give them the feeling of control and reassure them regarding safety of their personal data. QR codes are a modern strategy adopted by several companies. Consumers scan an image or code with their smartphone and are redirected to a relative website with product information. (Cathy Boyle,2011). Another recent practice is the following: consumers take a picture of a product they like and send it to their favorite store, receiving information on whether there is a similar product available. Amazon’s app is a great example (Venkatesh Shankar, Alladi Venkatesh, et al. , 2010). These practices incorporate the variable of control from consumers side and enable companies invest on customers loyalty.
Sources:
Gao, Q. ,Rau, PLP. & Salvendy, G. (2010) Measuring perceived interactivity of mobile advertisements. Behaviour & Information Technology,29(1),35-44.
Strom, R. & Vendel, M. (2014) Mobile Marketing : A Literature Review on its Value for Consumers and Retailers. Journal of Retailing and Consumer Services,21(6),1001-1020
Smutkupt, P. , Krairit, D. & Esichaikul, V. (2010). Mobile Marketing : Implications for Marketing Strategies. International Journal of Mobile Marketing,5(2).
Li, B. (2013) Understanding Mobile Marketing: Conception, Current Situation and Key Issues. Liss,1319-1324.
Boyle, C. (2011) eMarketer Webinar: Mobile marketing trends, insight and best practices, http://www.slideshare.net/eMarketerInc/emarketer-webinar-mobile-marketing-trends-insights-and-best-practices-14791998
Venkatesh , S., Venkatesh, Al., Hofacker, C., Naik, P.(2010) Mobile Marketing in the Retailing Environment: Current Insights and Future Research Avenues. Journal of interactive Marketing 24,111-120.
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Hello,
I agree that many are concerned about privacy issues with respect to mobile targeting. However, prior research has shown that the positive effects of targeting outweigh the negative effects. I do believe the new method you are mentioning has great potential for the future (the Amazon example). However I believe this is very time consuming for Amazon. Maybe AI or machine learning could be a solution?