Mobile And The Media 5 Ways To Succeed In 2016

Tom Farrell - VP Marketing Barry Nolan - VP Strategy (@barryno)

sales@swrve.com swrve.com

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The Changing Media Landscape

The future in media in three charts

Mobile is universal 4 billion users

source: A16Z

Marketing tech is PC based

The future in marketplaces in three charts

Mobile is universal 4 bn users

Digital time spent Mobile = 62% of time

Mobile 62%

Desktop 38%

source: Comscore source: A16Z

The future in marketplaces in three charts

Mobile is universal 4 bn users

Digital time spent Mobile = 62% of time

Mobile Apps v’s Mobile Web Apps = engagement, retention, conversion

Mobile 62%

Desktop 38%

0

55

110

165

220

Mobile App Mobile Web

source: Comscore source: Comscore source: A16Z

Minutes per user

6

Desktop minutes are not declining

Comscore: Insights Into Today's Digital Consumer

7

All the growth is in mobile apps Mobile is now 2 out of every 3 minutes

Comscore: Insights Into Today's Digital Consumer

8

0

5

10

15

20

Facebook Skype Whatsapp Snapchat Instagram Spotify Twitter Pinterest Uber

Mobile delivers large, engaged audiences Hours per month, UK

Source: comScore Mobile Metrix, Age 18+, UK, June 2015

Hou

rs p

er m

onth

9

Know the difference between mobile-web and mobile-app users

It is vital to your business model

Mobile App Mobile Web

8.9

3.3

Monthly Unique Visitors (M)

DISCOVERY mobile web is best for

building audiences

https://www.comscore.com/Insights/Presentations-and-Whitepapers/2015/The-2015-US-Mobile-App-Report 10

TOP 1,000 MOBILE APP v’s TOP MOBILE WEB PROPERTIES

Mobile App Mobile Web

8.9

3.3

Monthly Unique Visitors (M)

DISCOVERY mobile web is best for

building audiences

https://www.comscore.com/Insights/Presentations-and-Whitepapers/2015/The-2015-US-Mobile-App-Report 11

Mobile App Mobile Web

10.9

201.8

Average Monthly Minutes per Visitor (M)

ENGAGEMENT But users spend

20X time in apps.

TOP 1,000 MOBILE APP v’s TOP MOBILE WEB PROPERTIES

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POWER USERS

Make a large amount of money

from a small group of people

Subscription

13

POWER USERS

Make a large amount of money

from a small group of people

Subscription

CASUAL USERS

Make a small amount of money

from a large group of people

Advertising Model

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• 25% of its iPhone app’s monthly users are subscribers

• 3X more pages consumed on apps than through browsers.

• While 30× more NYTs unique visitors access the Times through the mobile web, it’s the app subscribers who disproportionately engage.

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Business Models

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Digital advertising is the largest revenue source.

People pay for access. Normally leaky firewalls

Affiliate revenue and sponsored posts

Advertising Subscription Affiliate

Conversion JourneysSessions, rates, clicks User knowledge

Three Models - Three Different Success Factors

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OtherAffiliate6%

Subscrip=ons55% Adver=sing

39%

• 1m pay; 59m don’t - 1.7% conversion rate.

• 12% of NYT digital sub readers deliver 90% of total digital revenue.

• More paying subs now that at any point in their history.

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PaywallSubscriptions Advertising

Getting the paywall balance is key. Paywalls (essential to drive subs) by definition impact advertising (# impressions).

19

Business Model - Advertising

Sessions, rates, clicks

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mobile will account for 72% of U.S. digital ad spend by 2019 Google, eMarketer

Source: Google DoubleClick, February to April 2014Click-through rates across static image, flash and rich media formats

21

© comScore, Inc. Proprietary. 19

Whither the Click?Only 1 to 3 clicks per one thousand impressions!

Today, very few people click on ads ….

Source: Google DoubleClick, February to April 2014 Click-through rates across static image, flash and rich media formats

0.14% 0.15% 0.32% 0.16% 0.15%

19© comScore, Inc. Proprietary.

Whither the click 2 clicks per 1,000 impressions

Source: Google DoubleClick, February to April 2014Click-through rates across static image, flash and rich media formats

Before After

Millennials ad blocking has been

tracked at >70%

AD BLOCKING

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As mobile-only Facebook users grow, Facebook rolled out native ads

High-performance advertising

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Business Models - Subscriptions

Conversion Journeys

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Your app is here.

25% of apps used

precisely once

117 apps on a typical

iOS device

77% of users churn

within days

2% of users convert

into paying customers

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• Only 6%-11% of readers will pay for online news.

• Average spend is approximately $10 per month.

• A large majority will never pay for news.

Monetising media is hard.

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The 30% is not the problem Conversion is.

• App Store purchases have the least friction and best conversion.

• A one-month free trial, auto-renewing sub, converts best.

• Then work to build the relationship with the user

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App Stores give people a familiar and simple way to purchase

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One touch always beats six pages of account and

credit card entry.

NYTimes: countdown, clear buy button

NYTimes: buy via app-store, free trial

WSJ: free trial, auto-renew, using Google payments = zero friction

The Economist: promote registration, impulse purchase (fast path)

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A/B test different

conversion messages (e.g Free Trial or Subs Benefits?)

& trigger moments (e.g after 3rd article read)

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Permissions (notifications)

Register with email (get 1 month free?)

Convert = Purchase 1 time: 1 month, 1 day, crossword

Subscribe: app, app+digitial, print+app+digital

Future goals: upsell editions, affiliate marketing etc.

Goal 1

Goal 2

Goal 3

Goal 4

Futures

Progressive Engagement and Conversion Journeys

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Create a personalised onboarding schedule to activate first-time customers

ONBOARDING >90% of new users will abandon

your app in days

Track each users behaviour, and segment based on their actions (or inaction).

Real-time is critical as ‘in-the-moment’ interactions are often the most valuable.

Lifecycle marketing

Onboard & convert

each new user

Nurture & deepen

usage

Engage and grow

relationships

Retain & re-engage

lapsing users

Focus around four jobs

WSJ: simple tutorial, pitch free trial immediately

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Mac Life

Grew conversions by 49% via on boarding messaging

Phased On-Boarding

The Times: sell “experience” of being a member

First impression on app openONBOARD

Today Firm Paywall

Create different onboarding experiences on the flyONBOARD

Variant BVariant A

Video tour

Call-to-action

Create a full tourONBOARD

Variant B

Explain the value push permissions

Subscribe call-to-action

Test multiple variants - pick the best.ONBOARD

Variant BVariant A

! Duplicate*this*campaign

Last%week Last%month Since*start

ENGAGEMENT METRICS

Campaign*Report Message*Details

A7er*seeing A7er*clicking

320Impressions

105Clicks

32.8% Click-through Rate

240Users

000

No*Account/In<App*Message(80*users***40*clicked)

000

C

O

20.0%20/100

45.0%45/100

No*Account*Create(80*users***40*clicked)

A Account*Create(80*users***40*clicked)

O

000

O

B

40.0%40/100

Subsequent Time in Appafter seeing

Subsequent Number of Sessionsafter seeing

2.64sessions/user

3.91sessions/user

3.18sessions/user

4.80minutes/user

3.80minutes/user

4.10minutes/user

Click-through Rateclicks/impressions

000

No*Account/In<App*Message(80*users***40*clicked)

000

C

O

5.00$/user

25.00$/user

No*Account*Create(80*users***40*clicked)

A Account*Create(80*users***40*clicked)

O

000

O

B

1.00$/user

Sharesafter seeing

Premium Subscriptionafter seeing

0.01per*user

0.3per*user

0.02per*user

5.2per*user

2.27per*user

3.14per*user

Revenueafter seeing

Variant C

Automated Lifecycle Messaging Day 1 2 3 4 5 6 7 8 9

See every premiership goal

as it happens.

Lets get you set up

Three months subscription for the price of one

In the days after first app open: speak with each new user who has yet to subscribe

Optimal: Swrve picks the best time to reach each user the day after install.

Contextual: Message only each new user yet to subscribe.

````````` Day +1 “Lets get you set up”ONBOARD

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Optimize user experiences and personalised messaging

ENGAGMENT The best engagement messages are ones that add value to the customer.

Variant 2Variant 1

What UX drives session length?

Test whether displaying Expansive or Condensed articles increases session length and total minutes.

A/B Test

What impact does different ad inventory& loads have on engagement?

What impact does different advertising inventory have on user engagement, session length, and retention?

Variant 2Variant 1

What is the best way to drive sharing?

Use share sheets?

Or share buttons?

Engage around personal interests

Readers who use push notifications are more engaged.

Target: User has read 5 articles by this writer.

Engage around personal interests

Engage around personal interests

Target: User has read 5 articles by this writer.

Push Message: Alerts the user whenever the writer posts.

Promote features that increase engagement

Target: Users who have not saved articles for offline reading

Trigger In-app message After user has read an article

In-app message to ‘nudge’ users to use offline reading

Many types of push

Quick Push

Broadcast to millions, in an instant

Can the newsroom use it?

A range of push options to optimize engagement

Fast Push

Broadcast to millions, in an instant

Transactional Push

In-house systems message a user directly.

ENGAGED

A range of push options to optimize engagement

Fast Push

Broadcast to millions, in an instant

Transactional Push Personal Push

In-house systems message directly with a segment.

A campaign of one.

ENGAGED

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• Media = mobile.

• Know the difference between mobile-web and mobile-apps.

• Ad or Subscription models have very different marketing challenges.

• Onboarding - the first days of use are critical to long-term use.

• Build engagement strategies that serve users’ needs

Mobile And The Media 5 Ways To Succeed In 2016

Tom Farrell - VP Marketing Barry Nolan - VP Strategy (@barryno)

sales@swrve.com swrve.com