VANTAGE POINT: Tag, You're It: Mobile Marketing Innovations that Drive Sales in a Down Economy
Tough economic times have consumer goods (CG) manufacturers rethinking their marketing strategies for 2009. While staying one step ahead of the latest product attributes will always be critical, using technology to generate consumer mind- and wallet-share will take a fresh course in 2009. The companies that finish ahead of the pack will be the ones that drive sales, influence perceptions and trigger future innovations through real-time digital connections and interactive communications with their customers.
The time for this strategy is now. Companies that use the economic downturn to invest in new technology to innovate and grow will be better positioned when the economy recovers. With the web providing instant access to knowledge, consumers are in much greater control of their shopping experience. And everyday they're sharing their experiences and influencing an infinite number of future purchases with myriad online communities. Web 2.0 has ushered in Feedback 3.0; enabling consumer goods manufacturers to join their customers' conversation through blogs, social networking sites such as Facebook and Twitter, and other technical forums.
Yet, with the pressure to deliver an experience that exceeds expectations never stronger, CG companies need to do more than just join the conversation; they need to start conversations by generating excitement and viral buzz for their brands.
Fast Growing Market: Mobile Devices That Enable Much More than Calls
Mobile marketing is an emerging practice that CG companies can tap to provide a dynamic experience for their customers. With IDC predicting that converged mobile devices or smart phones will grow 8.9 percent worldwide in 2009,1 consumers are eager to do more than just make a call with their mobile phones. Gaming, mapping and location, entertainment, news, and social networking applications have taken off, according to IDC, and this is creating a wave of opportunity for new innovations that enable consumers to instantly track, find, know and connect with their mobile phones.
Microsoft is providing businesses with a whole new way to take advantage of mobile marketing opportunities that link consumers to the digital world with our Microsoft Tag solution. Made available to the general public for free beta download in the United States on Jan. 7, 2009, our new software capability is made to enable CG companies and other marketers to engage with consumers in meaningful and creative ways via mobile phones and to measure the effectiveness of that engagement.
How Microsoft Tag Works -- and Why You Should Know About It
It's truly simple. Consumers can use the camera of their Internet-enabled mobile phones to snap a tag (see image).
The time for this strategy is now. Companies that use the economic downturn to invest in new technology to innovate and grow will be better positioned when the economy recovers. With the web providing instant access to knowledge, consumers are in much greater control of their shopping experience. And everyday they're sharing their experiences and influencing an infinite number of future purchases with myriad online communities. Web 2.0 has ushered in Feedback 3.0; enabling consumer goods manufacturers to join their customers' conversation through blogs, social networking sites such as Facebook and Twitter, and other technical forums.
Yet, with the pressure to deliver an experience that exceeds expectations never stronger, CG companies need to do more than just join the conversation; they need to start conversations by generating excitement and viral buzz for their brands.
Fast Growing Market: Mobile Devices That Enable Much More than Calls
Mobile marketing is an emerging practice that CG companies can tap to provide a dynamic experience for their customers. With IDC predicting that converged mobile devices or smart phones will grow 8.9 percent worldwide in 2009,1 consumers are eager to do more than just make a call with their mobile phones. Gaming, mapping and location, entertainment, news, and social networking applications have taken off, according to IDC, and this is creating a wave of opportunity for new innovations that enable consumers to instantly track, find, know and connect with their mobile phones.
Microsoft is providing businesses with a whole new way to take advantage of mobile marketing opportunities that link consumers to the digital world with our Microsoft Tag solution. Made available to the general public for free beta download in the United States on Jan. 7, 2009, our new software capability is made to enable CG companies and other marketers to engage with consumers in meaningful and creative ways via mobile phones and to measure the effectiveness of that engagement.
How Microsoft Tag Works -- and Why You Should Know About It
It's truly simple. Consumers can use the camera of their Internet-enabled mobile phones to snap a tag (see image).
Without having to type long URLs or text short code, consumers can use Microsoft Tag to connect to mobile content such as product information, promotions, music, video, ring tones, free text and more. Because Tag is available for a wide variety of phones including Windows Mobile 5 or 6, Blackberry, Java, Symbian S60, iPhone and J2ME, many consumers can benefit from this technology.
CG companies can use these colorful, two-dimensional tags to turn cell phones into "sell" phones that assist in the promotion and sale of products. By transforming traditional marketing media (for example, print advertising, billboards, packaging and merchandising in stores or on LCDs) into live links, they can provide detailed information, promotional offers and entertainment online.
Tags as tiny as 5/8" can be included on all kinds of material: the Web, shelf cards, e-mail, calendars, mapping, social applications, paper coupons and promotions such as T-shirts and magnets. Since consumers can share the content that they accessed with others in their communities, CG manufacturers can benefit from positive viral buzz for their brands.
Another plus is that Microsoft Tag can support more effective decisions about marketing spending. By accessing which tags are being read when and where, CG companies can use the detailed impression activity that's available at the back-end Microsoft Tag campaign management site for analysis and timely action. If an offer isn't delivering results or if the promotion needs to frequently refresh, CG companies can create a single tag for the special and update the offer as often as necessary. It's as simple as changing the content of a web page.
CG companies can use these colorful, two-dimensional tags to turn cell phones into "sell" phones that assist in the promotion and sale of products. By transforming traditional marketing media (for example, print advertising, billboards, packaging and merchandising in stores or on LCDs) into live links, they can provide detailed information, promotional offers and entertainment online.
Tags as tiny as 5/8" can be included on all kinds of material: the Web, shelf cards, e-mail, calendars, mapping, social applications, paper coupons and promotions such as T-shirts and magnets. Since consumers can share the content that they accessed with others in their communities, CG manufacturers can benefit from positive viral buzz for their brands.
Another plus is that Microsoft Tag can support more effective decisions about marketing spending. By accessing which tags are being read when and where, CG companies can use the detailed impression activity that's available at the back-end Microsoft Tag campaign management site for analysis and timely action. If an offer isn't delivering results or if the promotion needs to frequently refresh, CG companies can create a single tag for the special and update the offer as often as necessary. It's as simple as changing the content of a web page.
The Technology behind Microsoft Tag
Microsoft Tag brings the benefits of quick response and the measurement capabilities of online media to offline marketing to provide a leap in mobile barcode innovation. Developed by Microsoft Research, the technology powering Microsoft Tag is called High Capacity Color Barcodes (HCCBs). The advanced computer imaging of HCCBs employs different symbol shapes in geometric patterns and multiple colors. This allows Microsoft to reduce the size of the tags while increasing the amount of information that can be stored and improve readability on poorly-lensed mobile phones.
For a listing of all the supported mobile devices, a free download of the beta version or to experience Microsoft Tag for yourself, we invite you to visit www.microsoft.com/tag.
Uncovering New Ways to Drive Loyalty with Your Top Customers
Microsoft Tag is just one example of how Microsoft is helping companies make the most of emerging mobile marketing innovations and social computing trends. We see a world of opportunities to engage consumers in real-time to help accelerate sales cycles, influence opinions and foster loyalty. To test our own efforts, we have established a research facility called the Retail Experience Center, in part, to help us better understand and address how consumers are experiencing the Windows brand as they select and purchase PCs.
Located at Microsoft's headquarters in Redmond, Wash., the Retail Experience Center is a private, 20,000-square-foot facility housing a fully-functioning, integrated store environment, from the point of service to the receiving dock. What makes the Center unique is that it blends Microsoft's merchandising strategies as a consumer goods company, with our business and solution capabilities as a technology provider to the retail and CG industry -- all with technologies that are readily available today or in the very near future.
An Open Invitation: Join us at the Microsoft Retail Experience Center
The Retail Experience Center provides an immersive, hands-on setting that enables visitors to gain an in-depth sense of how Microsoft is reaching consumers in new ways and how software and innovations can help them create a consumer-driven operation. CG companies can try out easy, more natural ways to interact with and access digital content targeting consumers. Interactive technologies featured in the Center include digital signage and kiosks plus applications that deliver real-time information to a shopping cart or mobile phone to help influence buying decisions, sales and customer loyalty.
We invite CG companies to experience the Retail Experience Center, including more than 25 technology innovations such as Microsoft Tag, Microsoft Surface, Microsoft AdCenter, Microsoft RFID infrastructure and Microsoft Commerce Server 2009 along with partner solutions in action. For a quick online tour of the Center you can visit www.microsoft.com/presspass/presskits/rec or contact us to schedule an on-site guided tour.
During today's challenging economic conditions, the Retail Experience Center can give you fresh ideas on how to address rising consumer expectations and competitive pressures. You'll takeaway strategies on how to connect your customers with your brand in an engaging and interactive way that increases sales and loyalty via their preferred shopping channels including online, in-store and mobile.
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Doug Caywood serves as Director, U.S. Consumer Goods, Microsoft Corp. He can be reached at [email protected].
Source:
(1) IDC press release, "Mobile Phone Market Poised for Slowdown in 2009, Says IDC," December 18, 2008