Forrester Research: Challenge Thinking. Lead Change. #LSS2016

How Mobile is Driving Local Consumer Behavior Jennifer Wise, Senior Analyst

April 21, 2016

© 2016 Forrester Research, Inc. Reproduction Prohibited 3

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Location. Location. Location. Image source: “Search Engine Land (searchengineland.com)


Agenda

› How is mobile changing consumers’ expectations of company interactions? › What does this expectations shift

mean for local digital marketing? › How can companies deliver?


Agenda



Image source: “Pexels (/www.pexels.com)


of US adultsuse a tablet

46% 48 hours 24 min.Apps + s ites

of US adultsuse a smartphone

70%

14 27

66 hours 56 min.Apps + s ites

5226

Base: 61,222 US online adults (18+); 1,851 US online smartphone owners (18+) and 73 US online tablet owners (18+); Source: Forrester’s North American Consumer Technographics® Online Benchmark Survey, 2015; Forrester’s US Consumer Technographics Behavioral Study, January 2015 to March 2015

Welcome to The Mobile Mind Shift

The expectation that I can get what I want in my immediate context and moments of need.


Mobile Moments are the next battleground

A mobile moment is a point in time and space when someone pulls out a mobile device to get what they want in their immediate context.



And creates an expectation gap

Performance Gap

Convenience Gap

Personalization Gap


Agenda





The local marketing opportunity is great:

› Foot traffic

› Proximity marketing

› Real-time retail

› In-store behavior insights


Customers are ready ›  69% of US smartphone owners search weekly or more.

›  40% and 50% of all searches on mobile devices have local intent. *

›  21% have compared prices in-store in the past 3 months.

›  43% are interested in allowing their phone interact with a beacon to guide them to the location of a desired product in-store.

›  52% are interested in allowing their phone interact with a beacon to provide them with special offers.

›  Nearly 80% of local shopping searches via mobile convert.*

Source: comScore; *Base: 4,556 US online adults (18+); Source: North American Consumer Technographics Retail Survey, 2015 (US&CA)


And demanding

Base: US online adults 18+ (online weekly or more) smartphone owners Source: North American Consumer Technographics Customer Life Cycle Survey 2, 2015


Agenda



Let’s redefine “location” Image source: “Pexels (/www.pexels.com)


A host of technologies fuel spatial data

Source: “TechRadar™: Spatial Data And Location Intelligence, Q1 2016” Forrester Report


“Location” is more than a data point


What is “Local”?

Stationary place = “Where?”

Contextual factor = “What?”


Use the WHO Framework:

W:

“What do target customers seek?”



Identify the local moment

Customer journey:

• What are customer’s motivations?

• What does the customer need?

• What is her context?

Local moments Context


Customers have local needs and demands

“Right now, I find the manual search using apps… and search bar results… that merely list all those retailers carrying the item with its price. I want the best price in town.”



“I would like an app that finds me the best local deal on the products I am looking for across multiple stores… based on my location.”



“I sometimes use my phone to check other store prices, both before and while in the store. I want to make sure I’m getting the best deal.”

H:

“How does my customer find?”



Consumers “discover” in many ways

Natural engine search results

Facebook

Emails from companies or brands

Links from other websites

"How have you typically found online information or websites you've visited in the past month?"


Pick the right channel and tactic to deliver

Device? Channel?

Device? Channel?

Device? Channel?

O:

“What should I offer the customer?”



Design your strategy to deliver on needs


Connect to local business information

Source: Google search, iPhone


Connect to local business information

Source: Google search, iPhone




Use location to trigger local inventory ads

Source: August 10, 2015 “Brief: Search Marketing Innovations To Watch” Forrester report.




Sort a user’s shopping list by location within the store

Source: August 10, 2015 “Brief: Search Marketing Innovations To Watch” Forrester report.

How can you deliver local marketing?

Image source: “Search Engine Land (searchengineland.com)

1.  Mobile has accelerated consumers’ local expectations of companies.

2.  Focus on context, not location, to understand your consumers’ information needs.

3.  Follow the WHO framework to develop a local marketing strategy that delivers on consumer need – and company objectives.

forrester.com

Thank you

Jennifer Wise [email protected] @JenniferWise

Business

Forrester Research: Challenge Thinking. Lead Change. #LSS2016