MOBILE NEWS: Advertisers 'underspend' on mobile marketing
Smartphones convert three times as many sales as previously thought, according to new research by ResponseTap.
The discrepancy has arisen because the majority of brands only track sales conversions when they take place within the smartphone browser. However, many customers research brands on a mobile device but then call to purchase.
On average 0.4 per cent of smartphone browsing results in a transaction. But when you include transactions made via a phone call, the figure jumps to 1.3 per cent.
The data is significant as advertisers typically allocate online marketing spend to different devices based on the proportion of sales that can be attributed to them. Response Tap says the research suggests that until now advertisers have been underspending on mobile marketing.
Ross Fobian, CEO of ResponseTap, said: “This data emphasises how important it is to track and analyse your telephone calls to fully understand how customers are researching and purchasing your products. Only then can you ensure you are optimising your marketing spend.
“We know that customers often want to speak to a real person before a purchase, but it's now clear that this is particularly the case when someone is checking you out on a smartphone. It also shows far more shoppers begin their purchase journey on a smartphone than previously thought. Investing a higher proportion of marketing spend to attract their attention at that point will make sense for many brands.”