SMBs to Increase Mobile Sign-​up Campaigns

Small and medium sized businesses  (SMBs) aren’t so different from the rest of marketers. These enterprises are very interested in using mobile campaigns but remain less impressed by the ROI metrics. SMBs also indicate they’ll increase their mobile effort next year and they have specific ideas about which formats work for them.

Over the next 12 months, 45% of SMBs already using mobile will level budget their mobile media spending while another 27% plan to increase their allocation to this format. A new Borrell survey also shows that 24% of SMBs haven’t finalized their mobile plans for next year. For those small businesses who use the format, nearly 42% will increase their spending between 11–20% over the next 12 months. While nearly 50% of SMBs say their media mix will include mobile next year, the rest either will not buy or are still working out how mobile will deliver results for them.

This hesitation on the part of some SMBs may highlight a problem in the mobile industry. Currently, 38% of surveyed SMBs say a better ROI will lead them to spend more on mobile. Another 41% don’t know. For now, the preferred method of mobile marketing is ‘sign ups’. This strategy means they are willing to pay for leads – the email addresses or phone numbers of people who want to know more about them. Only 6% of SMBs will pay for impressions and 18% will pay for clicks.  What SMBs really want is a way to target ads by location with 75% of surveyed respondents calling that feature somewhat or very important.

SMBs  use of mobile campaigns is still in the experimental stage but if they can find partners who will help them design location-​based and sign-​up campaigns, more of their digital ad dollar may shift to this format.

[Source: Borrell Survey. Pontiflex​.com. 18 Sep. 2012. Web. 16 Oct. 2012] 
Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.