Q&A: The Future of Mobile Marketing in Europe
Europe’s mobile advertising market continues to grow at considerable pace.
According to IAB Europe’s recently-released 2013 AdEx Benchmark report, marketers spent 130 percent more on mobile display than they did in 2012. Last year mobile accounted for a sizable 11.5 percent of the €27.3 billion spent on online advertising.
Alongside this growth, Celtra has witnessed of 200 percent year-on-year expansion, with Europe a key driver of this upsurge in fortune.
Here EMEA General Manager Jonathan Milne discusses what the future has in store for Europe in the mobile marketing sphere.
BRE: Mobile advertising has been around for a few years now – what are the major changes you have seen?
JM: The major changes Celtra has seen in the mobile advertising industry are predominantly based around scale. Whereas in 2012 brands were experimenting with mobile advertising, today mobile advertising is almost as prolific as – and in many cases more so than – desktop display advertising.
So this is now a very real and significant channel for advertisers. We’re also seeing the merging of mobile and desktop advertising, which have previously been two silos inside advertisers’ minds.
The introduction of HTML5 technology means user interactivity and engagement is now possible across all screens. As we see mobile overtaking desktop in the near future, the notion of mobile first cross-screen will be something that advertisers and agencies embrace to ensure they can have one team building one set of consistent creative that run across all screens – and deliver a single set of comparable metrics to help them understand performance.
Can you explain what is meant by cross-screen capabilities, and the importance of this in terms of advertising?
When we say cross-screen we are speaking in relation to how consumers use multiple devices today. Consumers use a combination of smartphones, tablets, desktop computers, and other screens, and HTML5 cross-screen advertising enables one single, synchronised set of ad creatives and ad assets to run across all of those screens and reach the consumer – whichever screen they may be using – in a complementary, engaging manner.
The reason this is important is that consumers have very high expectations of their experience on mobile and tablet devices, and increasingly high expectations across all digital screens, so they expect a coordinated brand experience across the board.
What does the future hold for mobile advertising, and what lies beyond the smartphone screen?
We predict a progressive move towards cross-screen advertising, where mobile, tablet and desktop will simply be different screens through which an advertiser will access consumers and interweave their message into one cohesive campaign.
The future of mobile advertising is cross-screen advertising, but this will be mobile first cross-screen advertising. Mobile will remain the first, the most significant and the most utilised screen by consumers.
We also see a move towards ‘viewability’ being used as an increasingly important metric for advertisers and agencies. This provides certainty that their ad was indeed viewable and seen by consumers – subsequently delivering more transparency and more insight into the value they’re getting from the media spend they’re investing.
Beyond viewability and beyond cross-screen, the capacity for the creative to dynamically change – which we call ‘dynamic creative optimisation’ – promises to allow advertisers the ability to optimise the content of their ad based upon how users engage with it over time.
For example, if there are particular videos or images that appeal to consumers more, the content of the ad will change to weight delivery of the advertising to show more of these drivers of engagement.
Similarly, we are seeing more and more optimisation of media buying based on how the consumer engages with the ad. So as an agency buys media from a number of different suppliers and publishers, those media buying points which are driving greatest engagement and eliciting consumer reaction will be pushed and weighted forward.
These two facilities – to dynamically optimise both the creative and the media – will be important factors in the future as advertisers look to get stronger ROI from their mobile and cross-screen advertising.
Re-defining the economics of CX in the new customer journey
There’s no shortage of customer service channels for the enterprise to select from today. Regardless of the many new metrics that have emerged – such as customer success, or empathy – cost reduction is still a primary driver in selection criteria.
There are many articles dedicated to how companies can turn customer service and customer experience (CX) from a cost to a revenue centre. The problem is, if you stop there and don’t look beyond cost reduction, you’re limiting the scope for CX to become an even bigger economic contributor in the enterprise.
There is every opportunity for customer service and CX to significantly influence the front end of business, particularly amongst direct-to-consumer subscription-based products and services, such as popular streaming services like Netflix, Amazon, Disney+, as well as sports subscription services like DAZN.
In these products and services and others, there are new customer journeys that may drive business growth and revenue. They start earlier and may last a lifetime, so getting things right at the start of the journey is key so that customers have the best experience from day one.
Not only will this help in making customers less likely to reach out for issues-based support further down the line, but these customers will be much less likely to churn, and much more likely to take up new services as they are offered throughout the lifetime journey.
So, what does the new customer journey look like for these services?
Opportunity waiting for the likes of Netflix & Disney
While consumers may have previously regarded customer service as a way to mitigate the inconveniences in their lives, the customer journey is expanding in scope every day. Today there are many more touchpoints available that put CX in a position to drive revenue.
For one-off purchases, traditional CX deployments have not changed significantly in the past few years. However, if you look at the change in the CX relationships we’re seeing with subscription-based products and services, particularly media-based streaming services, it’s clear that these companies lead what quickly become very multifaceted relationships with their customers. These have serious potential to evolve over time for increased economic benefit.
For any sort of subscription-based business, customer lifetime value is paramount, and the requirement to actively manage a continued positive customer experience is critical.
Every interaction is an opportunity, and every data point is a chance to offer more value. Introductory offers can convert to longtime customers. Longtime customers may take up opportunities to upgrade to more premium products or services. They may also appreciate incentives to invite family and friends to become customers. Consumers who like a particular service, for example, may appreciate a recommendation for another similar or complimentary service.
It all starts with customer interaction, and the customer experience journey becomes an opportunity to strategically affect the user base and resulting revenue - which is a far cry from the limitations of call center cost reduction or churn metrics.
How do companies support the new customer journey?
More and more, customers look at the new customer journey as engaging with brands as part of their lifestyles. Many companies are making brand ambassadors available before the traditional customer journey even starts, which is a marked change from a purely transactional relationship associated with a one-off purchase.
These ambassadors, who are often independent users of products or services, are providing trusted pre-sales advice, and that same trusted advice can also function to nurture the customer journey in a subscription-based relationship. Call it ‘GigCX’ or ‘crowdsourced customer service’ or even ‘peer-to-peer customer service’ - it doesn’t matter.
The key is in providing impartial, trusted advice from real users. Think about it: who would you rather get advice from? Someone who has used a product or service extensively, or someone who has been trained to provide customer service surrounding that product or service?
For services such as streaming media, advice from trusted experts with real product know-how could be invaluable. This may not be limited to technical issues, such as what to do when you can’t access your favourite show, or how to access services across various devices. It could be parents helping other parents who are concerned about how to restrict adult content from child viewers, or simply customers who have similar taste in programming who can comment on the benefits of upgraded or premium products. The point is, these experts are easily available at any touchpoint in the customer lifetime journey, creating more chances to add value.
It’s also about tipping customers from ‘passive’ to ‘promoter’ in the NPS scale. It’s an opportunity to turn neutral customers who may be vulnerable to competitive offerings into loyal enthusiasts who will keep buying and referring others, fuelling growth. It may ultimately help drive even further revenue by creating customers that are helping to sell the brand itself.
And, while chatbots and automation may play a key role, they are often not able to handle the more complex support needed in the new customer journey. Conversational AI is rarely as conversational as it claims to be, and in the new customer journey, most companies are finding that a mix of automation and people-centric service is an ideal way to nurture the many new touchpoints created.
It’s no longer about trying to replace human capital with automation: it’s about orchestrating a uniquely personalised CX, and proactively engaging during the customer lifecycle to enhance the experience, and to create more long-term value.
At the moment, we’re only seeing the tip of the iceberg in terms of the power to affect the economics introduced by the new customer journey. We’ll no doubt see this evolve rapidly particularly amongst streaming companies as they use human-centric connections in CX to support the full potential of customer lifetime value.
About Roger Beadle
Roger Beadle is an entrepreneur and business leader who is reinventing how customer service is delivered via the gig economy. After establishing several businesses in the contact centre industry, Roger co-founded Limitless with Megan Neale in 2016. Limitless is a gig-economy platform that addresses some of the biggest challenges faced by the contact center industry: low pay, high attrition and access to new talent. Previously, Roger and Megan helped to build one of the largest privately-owned outsourced contact center business in Europe, before selling the business to the global conglomerate Hinduja Group. Roger is an outspoken proponent of digital ethics, worker’s rights and the ‘good-gig:’ which encapsulates gig work for incremental pay versus full time work, skilled gig work, no unpaid time/downtime and zero expenses.
Named a Rising Star at Deloitte’s Technology Fast 50 program, Limitless is a gig customer service platform, combining crowdsourcing and AI to help global businesses address their biggest customer service challenges – rising costs, increasing attrition, variability in demand and the need for diversity. Brands like Microsoft, Unilever, Daily Mail Group and Postmates are using Limitless’ SmartCrowdTM technology to connect with their most engaged customers, and reward them for providing on-demand customer service that can flex in line with demand. Limitless is one of the world’s first global tech platforms to introduce localised platform terms to protect the rights of its gigging workers. Backed by AlbionVC, Downing Ventures and Unilever Ventures, Limitless is empowering people worldwide to earn money for providing brilliant customer service for the brands they love.