Many companies in the consideration stage of growing direct mobile relationships with customers might start by assessing if the expense compared against the benefit. Calculating a proposed return on investment (ROI) before committing to a new expense can be challenging, but good news! We worked with Forrester Consulting to help with the task.
A September 2015 study conducted by Forrester Consulting, “The Total Economic Impact of Urban Airship’s Mobile Engagement Platform,” and commissioned by Urban Airship, found that customers using Urban Airship’s mobile engagement platform would likely generate a risk-adjusted return on investment (ROI) of 878%, and a payback period of two months, based on results from four customers compiled into a composite organization.
Among the benefits that Forrester found could be achieved using Urban Airship’s mobile engagement platform were:
A 10-70% increase in one-day mobile commerce sales from a product promoted through a push notification
Remind your customers of a current sale, promote your hottest items or let them know that the pair of shoes they’ve been eying is still available… but perhaps not for long. A well-executed push notification is a great way to catch your user at the right time and encourage them to complete their transaction.
A 15-30% increase in average spend per customer
Targeted messaging based on data means you can reach users with the information you know they want. This results in both happier customers and a higher average spend.
A 20% increase in lifetime value of a customer due to mobile influence on purchase behavior
Your mobile app users are your most loyal and most connected users. They have given your app valuable space on their phone, as well as given you permission to reach them with relevant content.
An increase in app engagement, traffic and sales driven to other channels
App users are also likely to interact and engage with your brand across other channels, becoming “super users” and maybe even lifelong brand advocates.
Maybe, rather than asking if marketing can afford the expense of mobile engagement, the question should be whether your organization can afford to not open mobile as a front door to business?
For more about how you can achieve a higher ROI from your mobile marketing efforts, download the report.
Still not sure? Try us out for free today.