Touching The Infinite
Touching The Infinite
THE INFINITE.
A report on the 2017 Adobe Mobile Maturity Survey.
TABLE OF CONTENTS
3 Introduction—We are
approaching infinity.
30 Analyze—Novel tools expand
understanding.
16 Manage—Extraordinary
experiences are now ordinary.
36 Optimize—Enhance endless
experiences.
26 Acquire—Billions could
gravitate to the right strategy.
38 Conclusion—Chart your path
to the infinite.
through a telescope, he can see changes. Similiarly, mobile technology has reached a point where the possibilities seem endless.
As capabilities and business models evolve, they enable us to access limitless goods
and services, connected devices, and digital experiences at any point and time.
You need to be where your customers are—and In fact, mobile is changing how people shop. It’s likely
they’re on mobile, particularly on their smartphones. mobile will play a role at many points along your
Adobe surveyed more than 4,000 consumers in the customer’s journey—from research and reviews to
United States and Europe on their mobile behavior and cost comparison and purchase.
found that 92 percent of respondents consider their
smartphones to be their primary device.4 In fact, the Understanding how mobile enables connected
average user checks his smartphone 85 times a day.5 experiences across a customer’s journey is the
Collectively, Americans check their phones 8 billion key. Consider retail alone: Smartphone traffic is
times a day.6 cannibalizing desktop traffic on retail websites. In fact,
visits to retail websites on mobile devices will eclipse
Mobile dominates in both number of desktop by Q1 2018.9 And although desktop remains
visits and time spent online: king when it comes to revenue, expect mobile retail
revenue to catch up later in 2018.
• Smartphones are not just used on the go: Mobile
is replacing desktop as the primary means of The reason retail revenue lags in amount of traffic is
online access in the home. simple—it’s due to the customer experience. Customers
• Mobile represents almost two out of every three may be spending more time on mobile, but they
digital media minutes.7 aren’t spending as much money. The opportunity
• More than 50 percent of searches happen on across all verticals, from financial services to high tech,
mobile devices.8 lies in creating highly engaging, personalized mobile
experiences that encourage conversion.
Customer Cross
experience channel
Marketing
New strategy / MOBILE Driver
focus
40%
of resources—including
31% 49% 14% 6%
budget and staff—as
the top challenge.13
Customer Experience efforts
39% 47% 10% 3%
<1%
IT
Base: Total Marketing Respondents n=254 ^Base excludes Not Sure/Don’t Know
Base: Total IT Respondents n=50 ^Base excludes Not Sure/Don’t Know
Marketing IT
Annual Investment in Development Annual Investment in Development
Less than $500K $500K to $1M Less than $500K $500K to $1M
$1M to less than $5M $5M to less than $20M $1M to less than $5M $5M to less than $20M
$20M or more $20M or more
Base: Total Marketing Respondents ^Base excludes Not Sure/Don’t Know Base: Total IT Respondents ^Base excludes Not Sure/Don’t Know
Our survey findings show that a significant slice of technology spend is allocated to creating, measuring, and optimizing
mobile. Budgets have held steady, but most expect these expenditures to increase next year.
Mobile Apps
60% 38% 2%
Mobile Websites
69% 29% 2%
Increase Stay the same Decrease Base: Total Marketing Respondents excluding Not sure / Don’t know
Annual development investment ranges from US$4.2 to US$4.8 million for apps and US$4.9 to US$5.1 million for websites,
2016 | Four essential elements for digital maturity.
according to both marketers and IT decision-makers. Consistent with last year, one-third of digital marketing spend is
being devoted to mobile marketing programs to drive customer acquisition.
Marketing IT
% of Technology Spend Allocation % of Technology Spend Allocation
Base: Total Marketing Respondents excluding Not sure / Don’t know Base: Total IT Respondents excluding Not sure / Don’t know
Leading companies invest in people too. Companies that break Organization Has Central Mobile Leadership Team
down silos, foster communication, and deliver customer value
are quickly rewarded.
Marketing IT
Eight-five percent of marketing decision-makers and 94
percent of IT decision-makers say their organization has a
Not sure / Not sure /
centralized mobile leadership team in charge of the consumer Don't know, Don't know, 2%
2%
mobile experience. No, 4%
No, 12%
Marketing
“Mobile’s not something that can
IT
be successful at The Home Depot
with a small team of ninjas. We
need to have the entire company
behind the effort.”
MATT JONES
general manager of mobile, Home Depot16
Marketing
40% 7% 21% 8% 24%
IT
26% 10% 26% 8% 30%
Prioritize apps Shifting to apps Both equal Shifting to web Prioritize web Base: Total Respondents
Some 38 percent of IT decision-makers are prioritizing or shifting to mobile web, but only 32 percent of marketing decision-
makers say the same. Financial services decision-makers prioritize web and apps equally. To anticipate your customers
needs, you need to support both.
For the best customer experience, it’s important to build a strong foundation for your content that can scale to meet
the needs of different engines. It’s also critical to build sites that work beautifully in the mobile environment—in other
words, that aren’t squeezed versions of a desktop website.
52%
Designed specifically for tablets
56%
3% 1% 18% 72%
None Apple App Store
4% 0% 6% 68%
4% 4% 3% 2%
41-60 apps Other
8% 8% 2% 2%
IT
67% 13% 20%
4%
Business users Marketing IT
8%
Base: Total Respondents
2%
Other
0%
3%
Not sure / Don't know
2%
46% 17%
Every 3 months or more Less than a week
44% 12%
28% 19%
Every 4-6 months 1 to less than 2 weeks
34% 24%
19%
9% 2 to less than 3 weeks
Every 7-9 months 22%
14%
13%
6% 3 weeks to less than 1 month
Every 10-12 months 14%
4%
8%
1 to less than 2 months
4% 18%
Less than once a year
2%
4%
2 to less than 3 months
7% 4%
Not sure / Don't know
2% 2%
3 to less than 6 months
2%
4%
6 months or more
0%
Marketing IT 14%
Not sure / Don't know
Base: Total Respondents
4%
Marketing
Earned media 55% 52%
32% 35% 24% 8%
Base: Total Marketing Respondents ^Base excludes Not Sure/Don’t Know Base: Total Respondents
The winning formula to balance acquisition and cost: Start with owned
media for both.
Make sure your owned media gives potential customers a real incentive to
download your mobile app, and then go from there. One example of owned
media is your email list. With email channel ROI at US$39 for every US$1
spent, 26 promoting your app to existing customers via email makes sense. Other
examples of owned media include social media and your website. Use your
home page to highlight a better experience on your mobile app—it not only is
highly effective but also almost free.
71%
63%
Targeting
54%
46%
Optimization
48%
2%
Do not use any technologies
0% Marketing
3% IT lack systems
Not sure / Don't know
4% Base: Total Respondents 70%
Mobile analytics centers on two main capabilities: customer intelligence and
mobile app engagement. Customer intelligence helps you build a better brand
through the analysis of key user touchpoints. You need ground truth about what’s
66%
lack mobile data
happening with your app through lifecycle metrics. Tools for customer intelligence
include the following:
71%
74%
63%
74%
Base: Marketing
Push notifications are the current darling—most marketers use them often. When powered by real-time
analytics, they’re ideal for alerts, new offers, and content. But they must be orchestrated and automated
along with other messaging channels. For example, you might send a push message to a user who does
not open email.
In-app messaging is on the cusp of widespread adoption too. Again, with input based on analytics, in-app
messaging can be used to cross-promote apps, content, and special offers or to request app store ratings.
1. Start with A/B and multivariate testing. Does Your Organization Use Redbox keeps movie
Test to determine the best experience for your Segmentation to Personalize...? buffs applauding.
customers—maybe delayed East Coasters like the coffee
Entry forms
deal, but West Coasters prefer the juice bar. Then offer The Redbox app allows users to browse and
58%
up experiences based on rules developed from the reserve movies for pickup at one of 40,000
62%
test. Measure to determine if the approach increases physical kiosks located across the United
Check out process States. 34 But engagement and retention are a
satisfaction and ROI.
58% major challenge.
66%
2. Enable rapid personalization and test again
Screen flows (pathing and funnels) By combining app analytics with targeting and
with dynamic content.
50% optimization, Redbox streamlined the iteration
Product, description, price, image, offer, location, dates, 60% necessary to encourage in-app engagement.
headlines, copy, images, and pages can be swapped in Its marketers can develop segments and run
In app notifications
and out to personalize and optimize experiences. The A/B tests within the combined user interface to
71%
number of possible experiences along even a basic assess the most appropriate form of messaging
76%
customer journey is phenomenal. With thousands and determine the best time to reach out.
Home screen
of different permutations, optimization moment by
67% Marketing
moment isn’t humanly possible. You need automation Redbox took advantage of the functionality
86% IT
for producing content as well as for rules that govern its with its push messaging initiative. Engaging
Base: Marketing
permutations and delivery. with customers at 9 a.m. resulted in a doubling
of its baseline rental numbers within the first
3. Automate personalization to 4. Increase velocity to react in a hour of sending a message. Tests also showed
enable optimization at scale. real-time world. that promotional offers to engage new users—
Use machine learning to decide on and deliver the most By velocity, we mean the efficiency of the process for example, a coupon for free rental—were
relevant experience, content, or offer to an app user based between marketers, IT, and creatives to conceive, design, most effective, ultimately driving a 56 percent
on their past, current, and changing behavior. From our build, and publish the content to build experiences. open rate.
survey, we learned that more than half of marketing and Mobile is pushing us toward a real-time world in which
IT leaders personalize everything from home screens to everything happens at light speed. Your organization
in-app notifications to checkout. needs to establish agile and robust processes internally to
power each step.
Importance of Source in Helping Formulate Organization's Mobile Marketing and Development Plans
Marketing
Internal analytics and BI 34% 40% 21% 4% 1%
Executive leadership 31% 42% 22% 5% 1%
Overall strategic business plan 38% 43% 16% 2%
Systems integrator / agency 25% 36% 30% 7% 2%
Industry analyst and market data 34% 35% 26% 4% 1%
Tech provider 26% 38% 29% 7% 1%
Customer feedback 52% 32% 13% 3%
Extremely important
Competitive pressure 27% 38% 26% 8% 2%
Very important
Somewhat important
IT Not too important
Not at all important
Internal analytics and BI 42% 42% 14% 2%
Executive leadership 47% 31% 20% 2%
Overall strategic business plan 38% 48% 14%
Systems integrator / agency 29% 49% 18% 4%
Industry analyst and market data 20% 54% 24% 2%
Tech provider 39% 47% 12% 2%
Customer feedback 64% 22% 12% 2%
Competitive pressure 42% 36% 14% 8%
Base: Total Respondents (excluding ‘Do not use this source’)
it to the center of their digital transformation. But those that prepare • Experience with mobile marketing/
development activities at their organization
for a giant leap will transform their companies along with entire
• At least recommend or request mobile
industries. At the edge of capability and technology, they will meet marketing/development tool(s) to use
and exceed consumer expectations and thrive in the new world of • The respondents perform mobile
unlimited experiences and possibilities. marketing activities on a regular basis
and either recommend or request mobile
marketing tools. Respondents were not
For business and marketers, the challenge is daunting. We’ve helped
required to use Adobe products
by giving you a trajectory. The timing and magnitude of the mobile • 500+ employees or, if agency, largest client
shift may vary by your industry, but the value does not. It’s a whole has 500+ employees
new universe to explore, and experiences are the key. • Fifty-eight percent of the respondents work
directly for an organization; whereas, forty-
two percent work for an agency on behalf
So chart your path. Follow it. And touch the infinite.
of their clients
These Adobe Marketing Cloud solutions work together to help you move toward
mobile success:
Adobe Campaign:
Use loyal customer lists to run social retargeting.
Adobe Analytics:
Use engagement or conversion metrics to create models and recommendations for
customer insights that drive campaign performance.
Adobe Target:
Leverage Adobe Marketing Cloud audience profiles to create a consistent customer
experience from the ad unit to the landing page.
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