Companies are developing their marketing capabilities to interact more directly with consumers using smartphones to purchase and pay for products.

According to Australian Communications and Marketing Authority (ACMA) research from June 2014, the use of M-commerce in Australia is soaring, up from 0.62m Australians in December 2010 to 3.4m in December 2013, an increase of 448%. The usage has further increased with a report from InMobi in August 2014 indicating that 65% of Australians have made purchases via their mobile.

BPAY has seen this trend continued with over 20% of the 30 million payments made through BPAY each month via a mobile or tablet device.

This is because of key developments including an increase in the use of Smartphones. Over12 million people owned a smartphone at May 2014, up 8% since May 2013.

Furthermore, consumers are increasingly using these devices to find out information and then enact their purchasing decisions, as well as take advantage of various payment platforms.

There is ever increasing potential for companies to analyse mobile data and engage more directly with consumers.

Companies are using a range of techniques to adapt their marketing strategies to utilise these consumer behavioural changes, such as engaging in real-time conversations with customers as they interact with websites on tablets and smartphones.

By connecting with customers through their devices and analysing their mobile data, marketers are able to communicate effectively with customers at a more intimate level than ever.

The key to success in mobile marketing, according to a paper by business consultancy McKinsey called ‘Big Data, Analytics and the Future of Marketing and Sales’ by Jonathan Gordon, Jesko Perrey and Dennis Spillecke is using big data effectively by efficiently targeting the right customers through the right platforms.

Marketing teams now have to create campaigns that work across social media and mobile devices by combining creativity with technology and by working closely with data specialists. This is because their customers are finding out about new products through social media, which they are accessing through mobile devices.

Companies that use big data and analytics effectively show productivity rates and profitability 5 – 6% higher than those of their peers. McKinsey analysis of more than 250 engagements over five years has revealed that companies that put data at the centre of their marketing and sales decisions improve their marketing return on investment (MROI) by 15 – 20%. That adds up to $150 – $200 billion of additional value based on global annual marketing spend of an estimated $1 trillion.

Jayson Demers, writing for Forbes, says big data gives brands the ability to manage successful campaigns that require strong data analysis capabilities.

He said: “Companies must evaluate their internet marketing performance on different platforms and create and implement an analytics programme by defining metrics and developing a plan, collecting the data, developing reporting features and capabilities and ongoing analysis and implementation.”

This helps drive data deeper into the DNA of a business. Google’s data experts suggest that about 15% data capture, 20% data reporting, and 65% data analysis are reasonable ratios.

New technology means marketing teams can respond faster to events and reflect that in campaigns. Messages can be targeted to very specific groups quickly.

Companies can target consumers based on their location, their profile and target specific offers without human interaction. A smartphone can be seen as a mobile wallet plus a payment instrument, a centre of interaction and can potentially provide secure identification.

Companies can automate the collection of big data as much as possible by using the right tools. Qualified staff should focus on analysing the data, what the data means and what you do with it are the priorities.

By using analytics to identify valuable opportunities, by being selective in the big data they analyse and by looking at the customer journey to successfully manage the huge amounts of big data available, companies can successfully master the huge potential of online marketing and target consumers directly.

 

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This article represents the views and opions of the author and do not necessarily reflect the opinions of BPAY.

Published by BPAY Pty Ltd.  BPAY is offered by over 150 Financial Institutions. Contact your Financial Institution to see if it offers BPAY and to get the terms and conditions. This is general advice – before using BPAY please review the terms and conditions and consider whether BPAY is appropriate for your personal circumstances.
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