Author: Rebecca

Brands are being advised to look to this channel in order to help to considerably increase their sales in that country.

According to a Draftfcb China global study, the adoption of mobile commerce by brands and companies could help them to double or even triple the sales that they are experiencing over the short and medium term future.

The research looked into the data collected by a study in which there were participants from 8 regions.

Participants in the survey lived within one of eight major global economies and were aged from 18 to 64 years old. It was conducted in the second half of 2012 and there were 8,000 respondents to the mobile commerce survey. The countries included the United States, the United Kingdom, India, South Africa, Brazil, Germany, China, and the Middle East.

The results indicated that China was an extremely important player in the mobile commerce ecosystem.

The survey indicated that among the respondents from China 57 percent of smartphone owners would purchase any type of product using their devices. This was considerably higher than the global average, which was 49 percent. Chinese consumers have become a very important part of smartphone retail shopping, as they live in one of the economies in which the penetration of these devices is the greatest.

The study showed that China possesses the most active mobile commerce market. In fact, people in that country use their smartphones for more functions overall than in any other country or region represented in the survey. Overall, smartphone users from China were conducting 4.9 different types of activities on their devices every day. Comparatively, the United States was in second place at 4.7 percent, and India conducted 4.4 activities per day.

The research indicated that mobile commerce provides brands with access to most cities in China, even when their stores or products don’t actually have a physical location within them. It also stated that this helps to explain why some of the most common smartphone shoppers are individuals residing in the smaller cities and people in Generation Y, the most digital of all of the adult demographics.

Fiksu research data has indicated that smartphone ads are outperforming those that are more familiar.

Fiksu has now released the findings of its most recent research which have indicated that the cost per engagement of mobile marketing is ten times less expensive than paid search marketing.

This study is only the most recent evidence of how advertising over this channel is succeeding.

In fact, it shows that mobile marketing has pulled ahead of traditional advertising techniques both in affordability and effectiveness. The report, “Brand building on mobile devices: measuring the value of consumer engagement,” involved an analysis of over 2.4 billion app marketing data points from global application brand campaigns that have been implementing promotions through the Fiksu Platform. What it revealed was that compared to traditional channels of advertising, these are considerably more cost effective.

Fiksu also released a new metric for measuring the ROI of mobile marketing of brands.

As an element of its study, Fiksu brought in a brand new type of metric that was created to allow companies and brands to better understand the return on investment (ROI) of mobile marketing (the cost per mobile engagement). According to Fiksu, the central findings from this research were the following:

• The mobile marketing CPM (cost per thousand impressions) rates are the second smallest among all of the various forms of advertising – including print, broadcast and digital. The only lower rate is through social media.

• When it comes to major brands, mobile display advertising CPCs (cost per clicks) are up to 90 percent less expensive than desktop pay per click (PPC) campaigns.

• In mobile app advertising, the CPEm (cost per engagement in mobile) for mobile marketing is a tenth of the cost of a keyword click over desktop.

According to the Fisku vice president, Craig Palli, “Brands are waking up to the fact that mobile apps provide an incredible and very cost-effective canvas for marketing. But using CPM and CPC as sole measures of ROI eclipses the powerful engagement that mobile apps bring and which brand marketers seek.” When discussing this mobile marketing study, he went on to say that “Fiksu’s new CPEm metric is a far more meaningful tool for brands to use for planning and decision-making.”