Too many people/news stories confuse the two concepts. This is a great article which I commented about on the bottom. It has two components for Domino’s. The first is a wonderful success story for Mobile Strategy, the second is their Mobile Marketing Strategy which I personally find the incorrect way to handle mobile marketing.
Mobile Strategy should be using mobile technology to enhance your business, whether that be providing information to helping create a sale from anywhere. Once a consumer knows for instance that they can order a Domino’s or Pizza Hut pizza with a few clicks on their Smart Phone this can help migrate people from calling up for a pizza. This reduces costs, and increases profits, and hopefully the ease of use helps create loyalty. Though taste and price points also are an issue. For most New Yorker’s even an ease of ordering and low price are not enough to order from a chain Pizza Company since the taste is so sub par vs a real NY Pizza. The way Domino’s created their mobile web site and ordering system in my view is a major Mobile Strategy Success Story.
Now let’s take mobile marketing. How does Domino’s use mobile to market their products to initiate a sale? Now that is a big challenge. Domino’s feels bugging people at 4:30pm after the consumer ‘opt’s in’ to be communicated with, or a banner ad on the 10 most viewed mobile sites is the way to go. Pizza Hut feels an ‘opt in’ program to win a free pizza each month is another way to go.
The challenge here is the small viewing space allows limited information to be presented for banner ads. And if you cannibalize even 10% of that viewing space you risk pissing off consumers even if they like your brand. And this is push advertising that the consumer did not ask for. It is my view that someone’s mobile device is like their bedroom. Push is bad in the bedroom!
Of course once someone tries out the Domino’s or Pizza Hut site and bookmarks it there is not need to informational contact with the consumer stating you can order via mobile web.
As for the loyalty programs where someone sends an SMS Text to be signed up for future communication, just like tweets this will cause clutter in people’s inboxes once they sign up for many of these programs just like what has happened with email. You get drowned out in the volume of businesses trying to reach someone. And after the initial sign up this is Push Advertising not Opt In. And another key point which people do not realize, when they send the SMS Text they send their phone number. This can be dangerous if the number get’s sold to other parties. So until there is a way to send your Opt In without showing your phone number this is an issue. Ask anyone if they want to give their number to Domino’s or Pepsi my guess is most would say no.
So how do you get people to try your product or service by using mobile marketing properly in a classy non-intrusive manner? It is called bribery. And it is going to cost you something. But that should be ok since if you get a consumer to send an SMS Text or go directly to your mobile web site this is 100% measurable. This isn’t guess work like TV, Print, Billboards etc. This is the real deal. They actually took initiative to engage with you. Willingly. Permissively. There is very few advertising/media methods that can claim this. So offer a coupon, something free, or something ridiculously cool (like a mobile web content treat). It will earn you much more loyalty and improve your relationship with the consumer than any other form of marketing. And use your existing media plan to achieve this. No need to use Mobile to reach out. You are already advertising Out of Home, TV/Cable, Print etc. Ask the consumer to use their phone to get the reward. This will allow a much more real anytime, anywhere engagement than anything else in your arsenal.