Pak Mail Interactive Store Presentation 8.23.13

Interactive Store Presentation ��8/26/13

Mobile Statistics

•  87 percent of American adults own a cell phone •  Mobile data traffic in 2012 was 12 times the size of the entire

internet in 2000 •  By the end of 2013, the number of mobile-connected devices

will exceed the number of people on earth •  There will be over 10 billion mobile connected devices by 2017 •  84 percent of cell phone users say they could not go a day

without their device •  1 out of every 3 digital media consumption minutes is spent on

mobile •  44 percent of users say they sleep with their phone nearby so as

not to miss a notification

Mobile Overview

•  Smartphones surpassed 125 million U.S. consumers in 2012 •  81 percent of college students own a smartphone •  More than 50% of mobile phone users in the U.S. use a smartphone •  Tablets are one of the fastest selling devices in history to reach more

than 50 million U.S. consumers •  One third of digital media consumption time happens via smartphones

and tablets •  Tablet ownership increased 177 percent in 2012, with almost a third of

tablet owners viewing it as one of their top 3 most preferred electronic devices

•  26 percent of people in the US own a laptop, smartphone and tablet •  33 percent of people would rather give up TV than their smartphone •  35 percent of smartphone users expect to use their phone more to

access internet in the future

Smartphones and Tablets

iPhone and iPad Growth

Mobile Media Consumption

•  Apps account for 4 out of every 5 mobile minutes •  The most popular activity for tablet owners was accessing search results (73.9

percent) •  2 in 5 smartphone subscribers read posts from brands and organizations; 50

percent of the tablet audience does so as well •  9 percent of people check their phone within the first 15 minutes of waking

up •  Accessing social networks or blogs ranked among the top mobile media

activities for smartphone users (65.3 percent) •  2 out of every 3 smartphone and tablet owners access social networking sites from

their device •  94 percent of smartphone users have used their device to search for local

info •  90 percent have taken action as a result

•  The number of local searches on mobile devices increase 400 percent in 2012

•  40 percent of all annual mobile searches are local searches •  Local mobile searches are projected to exceed desktop searches for the first

time in 2015

What devices are customers using?

What are people doing on mobile?

Actions Taken After Smartphone Search

App Downloads

Mobile Case Study #1:��

Overview

•  Client Overview: Starbucks is the largest coffeehouse company in the world with 20,891 stores in 62 countries.

•  Assignment: Starbucks wanted to find a way to leverage their Rewards program and increase customer loyalty by moving into the mobile space.

•  Solution: Develop a mobile app that customers can use in place of their gift card.

My Starbucks Rewards Mobile App

•  Features: •  Check your card balance •  Reload your card with any

major credit card •  View your transactions •  Track your Rewards •  Store locator

Campaign Results

•  Starbucks offered a $5 credit for cardholders to join which resulted in 500,000 mobile app downloads in two weeks

•  The app currently has 10 million active users •  80,000 new Rewards customers are joining each week •  4 million customers are completing their Starbucks transactions

via mobile each week

Overall Impact on Business

•  Starbucks can now send push notifications to their customers and target them anytime, anywhere

•  By collecting customer data during app sign-up, Starbucks is now able to more effectively market to their customers directly via the app or email

•  Increased store traffic and revenue •  Increased awareness of their loyalty program

Overview

•  Client Overview: adidas designs and manufactures sports clothing and accessories. They are the second largest sportswear manufacturer in the world and also operate 115 retail locations.

•  Assignment: adidas wanted to find a way to track foot traffic and in-store conversions as a result of mobile investment

•  Goals: •  Drive sales to adidas brick and mortar stores •  Assign a value for mobile to in-store conversions •  Prove that mobile brings incremental value to the business

Mobile Strategy

•  Knowing that potential customers often use mobile sites to locate nearby stores, adidas created an online-to-offline mobile campaign to track in-store ROI coming from mobile

•  By leveraging location extensions in their search ads, users were directed to the store locator page upon click-through to help drive in-store traffic

Campaign Results

•  By comparing data from previous years with the data they gathered during this campaign, adidas determined: •  1 in 5 people who clicked through to the store locator page visited an

adidas store •  4 percent of the people who clicked on the store locator translated

into an actual sale for adidas •  For a mobile investment of $1million, the value brought by store locator

clicks was an extra $1.58 million. •  For every $1 spent on mobile, adidas’ ROI was $1.81.


•  Increased store traffic •  Increased in-store revenue •  Increased national brand awareness •  Increased awareness of local retail locations

Overview

•  Client Overview: Farmer’s Foods is a family-owned and operated grocery chain with nine locations, seven in Virginia and two in North Carolina.

•  Assignment: Farmer’s Foods wanted to create a loyalty program to reward their existing customer base and build a membership utilizing mobile instead of a rewards card.

•  Goals: •  Increase membership •  Drive in-store traffic •  Increase overall sales

Mobile Strategy

•  Develop an SMS campaign in which, after the customer opts in, they receive weekly discount coupons and are automatically entered into monthly contests for shopping sprees.

•  They promoted this program through their website, print ads, local web banners, weekly flyers and in-store signage.

•  To join customers just sent a text message to the Farmer Family Discount Club.

Campaign Results

•  In less than a year, they acquired more than 2,000 mobile members

•  Coupon redemption rates range between 8 and 15 percent depending on the offer •  The average food coupon redemption rate is 1.6%

•  In-store traffic has increased incrementally


•  By collecting customer data through the opt in requirements, they can now more effectively market to their customers directly via GPS-enabled geofencing.

•  Increased store traffic and revenue. •  Increased brand awareness and awareness of their loyalty

program specifically.

Overview

•  Client Overview: maurices is a chain of women’s clothing stores. They currently have 750 stores in 44 U.S. states.

•  Assignment: Develop a mobile loyalty program so they can target their most loyal customers out-of-store and drive in-store traffic.

•  Goals: •  Increase overall sales •  Drive in-store traffic •  Facilitate word-of-mouth conversation

Mobile Strategy

•  They developed an SMS campaign in which the customer opts in to receive exclusive promotions, style tips, in-store promotions, Q&A options and other exclusive content. •  To give incentive to opt-in, consumers received an instant mobile coupon for

20% off any in-store item. •  Mobile program info was advertised throughout all brand

communications including: •  In-store collateral •  Facebook fan pages •  Facebook advertising •  Direct mail •  Print advertising •  Website

•  Each channel was given a designated key word so that maurices could track opt ins from each channel.

•  Developed scheduled messaging to promote trends and in-store promotions.

Advertising

Campaign Results

•  Within the first month, more than 5,000 customers opted-in the maurices Mobile Style Club. After four months, there were more than 20,000 opt-ins.

•  Overall coupon redemption rate was more than 60 percent. •  Drove more than $1MM in sales through mobile couponing in

the first four months. •  The average amount spent by each customer was more than

$70 per redemption.


•  By collecting customer data through the opt in requirements, they can now more effectively market to their customers directly via GPS-enabled geofencing.

•  Increased store traffic and revenue. •  Increased brand awareness and awareness of their loyalty

program specifically.

What are your competitors doing?

FedEx Mobile App

•  FedEx has 2 mobile apps. •  One is primarily concerned with shipping and it’s main feature is package

tracking. It also offers updates and notifications about shipping delays and features a store locator.

•  The other is a FedEx Office app that allows you to track a package as well but is concerned more with print jobs. You can set up and manage print jobs as well as locate stores.

FedEx Package Tracking App

FedEx Office App

UPS Mobile App

•  The UPS mobile app is primarily concerned with package tracking. You can also find a location, request a quote, ship online and connect with the brand socially.

USPS Mobile App

•  The USPS mobile app has a lot of functions; location finder, quote tool, package tracking, pickup scheduling, supply ordering, etc.

How can Pak Mail leverage this medium?

Recommendations

•  Pak Mail should have an active mobile presence because mobile can be leveraged to: •  Collect customer data to cost-effectively market on a national level

including through email and GPS-enabled geofencing •  Increase national brand awareness and, in turn, increase awareness of

local locations •  Increase in-store traffic and in-store revenue for stores across the

country •  Send push notifications to customers so they can be marketed to

anywhere, anytime •  Begin to market to a younger demographic by leveraging a medium that

they are already active in •  Increase interactivity with the brand out-of-store and keep Pak Mail top

of mind •  Promote customer acquisition

Facebook

•  Facebook is the most visited site on the internet •  Facebook has approximately 160 million U.S. visitors per month

•  Or about 3 of every 4 internet users •  90 percent of all time spent on social networking sites is spent on

Facebook •  655 million people log on daily •  There are more Facebook users than cars in the world •  Five new profiles are created every second •  93 percent of adult internet users are active on Facebook •  1 in every 7 minutes online is spent on Facebook •  Facebook accounts for 1 out of every 5 page views on the internet

worldwide •  The average user spends 700 minutes per month on the site •  The average user has 130 friends and is connected to 80 pages, groups

and events

Facebook Overview

Facebook Daily Active Users

Who is Using Facebook?

How Do People Use Facebook?

•  Facebook users spend more than a quarter of their time on Facebook consuming and interacting with the Newsfeed •  The Newsfeed is the primary location where branded content is

consumed. •  Users are 40-150 times more likely to consume branded content in the Newsfeed

than to visit the Fan Page

•  Facebook is the #1 used mobile app reaching 3 out of every 4 smartphone users

•  57 percent of people on Facebook access it via their mobile device

•  More than 100 million people are using the Facebook native app •  There are 751 million mobile active Facebook users •  70 percent of people use Facebook on their phone and 61

percent use it daily •  Smartphone users check their Facebook page an average of 14

times per day •  That adds up to an average of 32 minutes per day

Facebook and Mobile

Facebook Mobile Monthly Active Users

Facebook Case Study #1:��

Overview

•  Client Overview: 7-Eleven is the world’s largest operator, franchisor and licensor of convenience stores.

•  Campaign Objective: Encourage customers to engage with the Slurpee brand in a whole new way and drive Slurpee sales.

•  Solution: They created “Bring Your Own Cup Day” a day when Australians were given the freedom to bring in anything they liked and fill it with Slurpee for the cost of a medium Slurpee. It was promoted on Facebook through the 7-Eleven Page and a Facebook Event.

Campaign

•  In addition to promoting it through their Facebook page and an event, 7-Eleven asked followers what they would fill with a Slurpee. The best responses were turned into print ads.

Campaign Results

•  Over 80,000 customers served – that’s a cup every 1.8 sales •  Sales increased 270% •  More than 320,000 litres of Slurpee were sold


•  Increased in-store traffic and revenue •  Increased brand awareness for both 7-Eleven and the Slurpee

brand •  Increased social engagement and interactivity with the brand •  Spurred content creation that was then used in print ads to

further promote the event

Overview

•  Client Overview: Sanrio is a Japanese company that designs and sells products based on Japanese pop culture. Their most popular character is Hello Kitty. They have 100 boutique retail locations in the United States.

•  Campaign Objective: Provide visitors with up-to-the minute information on all 100 Sanrio boutique stores in the US and drive social media communities to make purchases at brick-and-mortar Sanrio locations.

•  Solution: Develop a store locator tab and promote store visits by adding exclusive Facebook promotions to store listings.

Store Locator Tab

Real-Time Store Updates and Special Promotions

Campaign Results

•  The initial promotion test run drove 600 deal redemptions in just two weeks

•  After launch, sales for the month were up year over year •  Approximately 75% return customers vs 25% new customers •  570,000 total tab visits in the first three months


•  Increased in-store traffic and revenue •  Increased national brand awareness •  Promoted customer acquisition in addition to customer

retention at retail locations •  Increased social engagement and interactivity with the brand

Overview

•  Client Overview: Gordmans is an everyday low-price department store with approximately 70 locations throughout the Midwest. Back to school is their busiest time of year aside from the holiday season.

•  Campaign Objective: Because they do not have a fully functional ecommerce site, they wanted to create a promotion that displayed products and drove in-store sales during the Back to School season by leveraging their Facebook presence.

•  Solution: Develop an interactive app that would run from July 18 – August 19 that engaged fans and generated revenue.

Choose Your Outfit App

•  The Choose Your Outfit app allowed fans to choose from pants, shirts, hats and other various accessories to dress an avatar

•  Each outfit could be shared via Facebook

•  A coupon was provided for 15% off in store upon completing your outfit

Campaign Results

•  10,376,388 impressions

•  8,771 new connections

•  832 shares •  12,617 unique users •  In-store average

transactions increased from $32 to $68.60 store-wide.


•  Increased in-store traffic and revenue •  Increased brand awareness •  Increased social engagement and interactivity with the brand •  By collecting customer data, they are now able to more

effectively market to their customers directly via Facebook or email

Overview

•  Client Overview: FedEx has been striving to be a more sustainable company through such initiatives as implementing electric trucks and lower-emission planes.

•  Campaign Objective: Get people to interact with FedEx’s brand and do some tangible good in the world.

•  Solution: Develop the Enchanted Forest app in which users could plant a virtual tree. Every time someone planted a virtual tree, FedEx helped the Arbor Day Foundation plant a real one.

Enchanted Forest App

Campaign Results

•  Over 39,000 unique visitors planting over 11,000 trees – leaving a conversion rate of 29%

•  22% of visitors returned to the application •  95% share rate •  Average time spent using the app: 4 minutes

•  Average of 5 pages of content


•  Increased in-store traffic and revenue •  Increased brand awareness •  Increased social engagement and interactivity with the brand •  Increased awareness of FedEx’s sustainable initiatives •  By collecting customer data, they are now able to more

effectively market to their customers directly via Facebook or email

•  The FedEx Corporate Facebook Page has: •  700,009 likes •  7,391 mentions •  26,286 check ins

•  Integrated package tracking into a tab so customers can track a package directly from Facebook.

•  Created a custom tab so customers can ship a package directly from Facebook.

•  Occasionally develop custom apps such as the Enchanted Forest App referenced earlier.

•  Content is pushed out daily and is only sometimes shipping or FedEx related.

•  Various FedEx sweepstakes have been promoted on Facebook.

FedEx on Facebook

FedEx Facebook Page

FedEx Facebook Customer Service Tab

FedEx Facebook Ship to Friends Tab

FedEx Facebook Promoted Sweepstakes

•  The UPS Corporate Facebook Page has: •  964,439 likes •  39,645 mentions

•  Developed a custom UPS My Choice app so customers can track a package directly from Facebook.

•  Custom tabs include: •  Package tracking •  Sustainability news •  Careers at UPS •  Ringtone and video downloads

•  Content is pushed out daily and is usually UPS related. •  Recently promoted a video contest in which the prize was a trip

to Vegas.

UPS on Facebook

UPS Facebook Page

UPS My Choice App

UPS Interactive Posts

•  The USPS Facebook Page has: •  75,352 likes •  1,890 mentions

•  Custom tabs include: •  Shipping tools such as package tracking and store locator •  Business resources

•  Content is posted daily and is often related to shipping or USPS. •  Questions are often posted to encourage interaction. •  Often promote different USPS events such as the Stamp Out Hunger

Food Drive or Earth Day

USPS on Facebook

USPS Facebook Page

USPS Package Tracking

USPS Interactive Facebook Posts

USPS Event Promotion Posts

•  The PostNet Corporate Facebook Page has: •  8,218 likes •  22 mentions •  2,463 check ins

•  Custom tabs include: •  Location finder •  Franchise sales •  Offer tab •  Reviews •  Videos

•  Content is pushed out a few times a week and is only sometimes shipping related.

PostNet on Facebook

PostNet Facebook Page

PostNet Custom Offer Tab

PostNet Video Contest

PostNet Facebook Posts

Recommendations

•  Pak Mail should increase their Facebook presence because Facebook can be leveraged to: •  Collect customer data to cost-effectively market on a national level

through Facebook and email •  Increase national brand awareness •  Increase in-store traffic and in-store revenue for stores across the

country •  Increase socialization and interactivity between customers and the brand •  Begin to market to a younger demographic who is incredibly active on

Facebook in order to increase their target market •  Increase interactivity with the brand out-of-store and keep Pak Mail top

of mind •  Promote customer acquisition

•  95 percent of consumers use email •  91 percent of consumers reported checking their email at least once a

day •  82 percent of consumers open emails from companies •  27 percent of customers were more likely to say their favorite

companies should invest more in email •  Email open rates are the highest they’ve been since 2007 •  44 percent of email recipients made at least one purchase last year

based on a promotional email •  7 in 10 people say they made use of a coupon or discount from a

marketing email in the last week •  People who buy products marketed through email spend 138 percent

more than people who do not receive email offers •  Customer acquisition via email has quadrupled in the last 4 years •  For every $1 marketers spend on email, the average ROI is $40

Email Marketing Overview

•  According to a report by the Direct Marketing Association, for every $1 marketers spend on email, the average ROI is $40

Email ROI

Email Case Study #1:��

Overview

•  Client Overview: Chick-fil-A is an American fast food restaurant franchise specializing in chicken sandwiches. They currently have 1,400 restaurants in 38 U.S. States.

•  Objective: Chick-fil-A wanted to better integrate their email program into their overall digital marketing strategy and, in turn, increase revenue and in-restaurant traffic.

•  Goals: •  Increase sales •  Communicate with current customers in a way that would drive traffic,

increase retention and connect with the audience.

Campaign

•  They developed a campaign that combined product announcements and promotions with broader, brand-related content that drove subscribers to both online and offline experiences.

•  They also increased the way subscribers could interact with those messages by adding social sharing features, store locator buttons and online event calendars.

•  Emails were designed to highlight a primary offer and also feature additional content and calls to action that would appeal to a range of interests.

Campaign Creative

Campaign Results

•  30% open rate (215% higher than industry averages) •  12% click-through rate (1,600% higher than industry averages) •  Average unique clicks surpassed 30% •  75% of Chick-fil-A email subscribers reported that they visited a

store after opening an email •  Facebook fans increased from 25,000 to 1.2 million

•  30 days following an email deployment, the average number of new fans per day grew almost 700% compared to 30 days when no emails were sent

•  Emails drove 8% of Chick-fil-A website traffic •  Almost 50% of emails were forwarded or shared


•  By collecting customer data through the opt in requirements, they can now more effectively market to their customers directly via email

•  Increased store traffic •  Increased in-store revenue •  Increased brand awareness

Overview

•  Client Overview: Quiznos is a franchised fast-food restaurant brand that specializes in toasted subs. There are currently 4,000 Quiznos in the US.

•  Objective: Quiznos needed a way to launch it’s new delivery service.

•  Goals: •  Drive delivery sales •  Increase awareness of delivery service

Campaign

•  They developed an email campaign that promoted the delivery service and drove click-throughs to their delivery service landing page.

•  They created and tested 21 email creative versions in 5 different delivery markets.

Campaign Results

•  Q-Club subscribers increased 3x •  22% increase in same store sales •  44% email coupon click-through rate •  Increased in-store traffic incrementally •  Based on a post-campaign study, they learned that Quiznos

customers wanted more email communication



•  Increased store traffic •  Increased in-store revenue •  Increased brand awareness •  Increased awareness of the delivery service

Overview

•  Client Overview: Since 1988, Mud Pie has designed giftware and distributed it through independent and premier department stores. In 2010, Mud Pie expanded it’s business model to begin selling directly to customers.

•  Objective: Develop a way for customers to buy from Mud Pie directly.

Campaign

•  They developed a campaign called “important occasions.” Since people often forget birthdays, anniversaries and other important dates, this program couples date reminders with incentives to buy.

•  Four days after customers sign up for the Mud Pie email program, they receive an invite to enter three “special occasions” dates, such as anniversaries and birthdays, for their friends and families. A customer can also enter into the program directly from their website.

•  After signing up for the program, customers receive a personalized email reminder 21 days prior to each important occasion, accompanied by a 10% off coupon.

Campaign Results

•  39% open rate •  31% click-through rate •  The “special occasions” program is Mud Pie’s highest revenue-

generating consumer campaign to date •  5% conversion rate •  8.2% of the Mud Pie database has joined the “special occasions”

program



•  Increased revenue •  Increased brand awareness

FedEx Email Sign Up

FedEx Welcome Email

FedEx Promotional Emails

PostNet Email SignUp

UPS Email SignUp

UPS Email Categories

Recommendations

•  Pak Mail should implement an email marketing program because email can be leveraged to: •  Collect customer data to cost-effectively market on a national level

including through email •  Increase national brand awareness •  Increase in-store traffic and in-store revenue for stores across the

country •  Increase interactivity with the brand out-of-store and keep Pak Mail top

of mind

Pak Mail Interactive Store Presentation 8.23.13

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Transcript of Pak Mail Interactive Store Presentation 8.23.13