Friday, February 06, 2015

Digital Marketing is Now a Must for Mass Marketers



According to a study released by mobile analytics company NinthDecimal, 70% of consumers in 2014's third quarter bought new packaged goods products after being served mobile ads. Over 50% of consumers not only shop online but download coupons to mobile devices.


NinthDecimal's study was based on data from a billion mobile devices and a survey of 1202 users; the study showed that mobile ads have a significant effect on increasing store traffic in grocery, drug, and mass channels. Consumers that were shown mobile ads for packaged products had a 75% increase in store visits within the control group of similar segments, and 96% increase in store visits relative to general population. According to the study, the effect of the mobile ads was especially magnified over the past year. A similar study performed by NinthDecimal in 2013 showed only a 29% increase in store traffic from mobile ad watchers.




The study also indicated that store apps are more popular among men, although women have long been identified by grocery chains as more profitable customers. 57% of store app users are male, and a similar percentage are in the18-33 age range. Greater than 2/3 of store app users are urban dwellers, while just under 1/4 are suburbanites.


Digital marketing is now a must, but it has room for improvement. NinthDecimal's consumer survey found that over 1/2 of consumers are displeased with having to scan mobile devices at checkout to redeem offers. Yet over 1/3 of consumers expressed willingness to connect in-store, saying they'd like to be recognized and receive offers upon entering.

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