Mobile marketing is going to be a top focus for retailers in the coming year, with 40 percent of retail executives planning to spend most of their marketing budgets on mobile channels.
According to a survey by RetailMeNot, two in five executives said they would spend 50 to 100 percent of their marketing money on mobile.
Overall, the emphasis on mobile is heavy throughout the industry: 87 percent of executives plan to increase their mobile spending from 2015.
The report does note that marketing spend is increasing across the board — even on non-digital channels. But the increased investment is highest with mobile, where retailers are growing more confident in the channel’s ability to deliver real results.
“Leaders in retail marketing have been increasingly investing more in digital media through mobile channels, and attribution capabilities are helping them to better understand the real net positive impact of these investments,” said RetailMeNot’s CMO of North America, Marissa Tarleton, in a press release.
Retailers Eager to Optimize
Executives are confident in mobile’s relevance to their consumer base and brand goals. But they don’t believe the current state of mobile is as efficient and effective as possible.
Seventy-six percent of respondents said that while they’re seeing value from their current mobile marketing efforts, they think optimization could yield “considerable upside potential” and much greater ROI.
Those returns aren’t mobile-exclusive, either. The majority of mobile teams in retail marketing departments say they’re tasked with using mobile marketing to drive both mobile sales and traffic to physical stores. Those demands from retailers also increased between 2014 and 2015, as executives better understood the omnichannel nature in which consumers shop.
A key challenge going forward is finding better ways to attribute mobile marketing to tangible ROI. Retailers are looking into several strategies to improve tracking of marketing strategies, including mobile promotion codes that can illuminate consumer paths to purchase.
Not every obstacle to optimal performance has been cleared, but the challenges are doing nothing to slow down retail embrace of mobile marketing. By increasing budgets for mobile spend, retailers are targeting consumers across all channels.
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