Sunday, March 30, 2014

Upwardly Mobile

Upwardly Mobile was originally published in the Peach Report which is published 4 times a year by CGA Peach the leading authority on all things restaurants, bars and pubs in the United Kingdom.  Find out more about the publication by clicking here.

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Brands that want to bridge the gap between consumers’ digital and real-world experiences need to make the most of mobile technology. Chris Munz of Fishbowl sends a letter from America


I have just returned from this year’s Innovation Summit hosted by the NRA—the National Restaurant Association, I should add, not the National Rifle Association—and it was clear that mobile is taking centre stage in the US. On-the-move technology is perhaps the best way now for brands to reach restaurant, bar and cafĂ© customers, with more and more operators finding ways to explore the mobile ecosystem.

They are all trying to use the mobile experience to connect with customers and interact with them in real time. This is particularly crucial for those targeting the younger generation of so-called Millennials, who have disposable income in their pockets but who want to communicate with brands on their own terms. Mobile is key to this.

Those leading the way in the US industry at the moment include Starbucks, with a hugely successful loyalty scheme. More than eight million customers now access its mobile app, using it as a digital hub for mobile payments and product information as well as for its gold- star loyalty program. All these facets are smartly integrated into a single app linked to the point of sale, allowing Starbucks to build an overlap between online and in-store environments and target different groups of customers. The lesson here is that a mobile strategy should aim to provide an optimal customer experience, resulting in more engagement at the right time.

Optimise to maximiseIt is becoming apparent that mobile means many things to many different brands, but apps, smartphone- optimised websites and mobile- friendly email messages are perhaps the most common tools now. In many ways mobile has been the saviour of email, but restaurant chains have learned that they need to simplify their messages to ensure they are easily read. Products like our own Offer Manager can individually code offers to each customer, which can be speedily read by point of sale equipment and which allow casual and QSR chains to target different customer segments with relevant content. The result of this is higher open rates and better customer redemption and frequency.

Research suggests a growing number of consumers are enjoying interacting with mobile apps, and restaurant groups that offer one immediately put themselves ahead of the competition. The generation of people born in the digital age is infused from birth with technology, and that inevitably changes the way we create content. Mobile technology like the app allows brands to become more nimble and relevant in their content development, and facilitates the real-time approach that consumers are demanding.

Mobilising loyaltySo what should you consider before designing a mobile strategy? The key questions to ask are: 
* Is my customer base ready for a mobile experience? 
* What should the customer experience look like? 
* What is the end result of this strategy? 
* Which departments in your organization need to be involved to design, implement and evaluate your mobile programme?

In mobile marketing, brands that are closest to their customers have been a lot more aggressive with their digital strategies—so how would your business stack up? In particular, many chains are using mobile to try to regenerate interest in what have become tired, card-based loyalty schemes. The latest Marketing Sherpa research tells us that the vast majority of consumers are reluctant to carry cards to use in restaurants or bars—but they are much more open to holding an app or being part of a cardless loyalty scheme, so there is a great opportunity to re-engage them.

The prevailing view in the US at the moment is ‘If you build it, they will use it.’ Consumers want new ways to interact with the brands they love, and the restaurants, cafes and bars that can fuse the in-store and mobile experiences will be the ones that get better engagement and more sales. 

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