A new Harris Interactive study on people’s attitudes toward the economy and technology reveals that despite skyrocketing fuel prices and rising costs for daily household staples, over one-third of consumers say the dire economy will not affect their spending habits.
Harris Interactive reports that the majority (60 percent) of consumers who will now limit their discretionary spending will curtail going out to restaurants (74 percent) and limit their purchase of electronics (71 percent), among other choices like buying fewer clothes and taking fewer vacations.
Grabbing consumer’s attention through their mobile devices is seen as an increasingly viable advertising channel. To many the use of mobile phones has become an indispensable part of their lives.
People are actually severing ties to land lines with increasing frequency. According to a new study from the National Center for Health Statistics, 16 percent of U.S. homes are using wireless phones exclusively – more than double the amount from the same period in 2004.
These trends support the push by marketers to leverage mobile advertising as part of an integrated marketing program to promote their brands and sell products and services, Harris analysts conclude – especially during difficult economic times.
Business may be slowing for many companies but, the fact is, there are a lot of people who are still spending money and even those cutting back still need to buy essentials. The key is to reach out to them through innovative marketing including mobile advertising and provide the right incentives to capture their business.
The Harris Interactive research indicates that mobile advertising, especially via mobile phones, can gain a foothold among this large and growing group if it is unobtrusive, targeted toward an individual’s personal tastes and offers something unique.
Among adults surveyed, 37 percent said they would be interested in viewing mobile ads with incentives.
No other advertising medium approaches the personal relationship consumers have with their mobile devices. This relationship needs to be respected, but can be leveraged by marketers through robust segmentation and personalization.
The key is to gain consumer interest by providing them with something traditional advertising cannot.
Harris Interactive asked survey respondents to identify the best mobile advertising incentives. Cash is king, with 80 percent of adults identifying it as the top incentive for responding to mobile advertising.
Among adults, free minutes (49 percent) and discount coupons (37 percent) are appealing incentives. Free entertainment (31 percent) and music (24 percent) downloads also captured the attention of adults.
In terms of how these incentives should best be delivered, the Harris Interactive research indicates text messaging is the most preferred advertising approach among over two-thirds (69 percent of adults consumers.
The allure of video imagery in mobile advertising is key and 30% more of these adult mobile technology users are open to ads being transferred automatically to their email than in the past.
“Adults are growing more accustomed to mobile advertising, but it appears this technology in general has yet to deliver the needed advertising experience to consumers, but this will surely come as the medium evolves,” said Judith Ricker, division president, Harris Interactive research group.
“No matter how mobile advertising messages are delivered, our research shows that consumers demand that if a company is going to invade their personal space with advertising, it better be for something of interest to them so personalization is hyper-critical.”
Providing personal information to marketers to help them target advertising messages and products has always been a sensitive topic, but more than half, 54 percent of adult respondents said they are comfortable doing so for mobile advertisers, especially if offered for the right incentive.
Like any good advertising, mobile ads must be relevant to consumers by conveying a clear value proposition, as well as tightly integrated into marketing campaigns that are aligned with the overall brand strategy. Adult consumers in will provide some degree of personal information to help marketers achieve this.