Retailers, Is Showrooming Ruining Your Holiday Spirit? Try These 4 Mobile Advertising Strategies
Have you ever checked your smartphone while shopping to compare prices at another retailer? Or maybe you’ve been in the checkout line at Bed Bath & Beyond and scrambled to bring up that coupon you found earlier on the store’s website? Better yet, perhaps you needed a second opinion about that dishwasher you were about to buy, so you looked up some reviews in-store just to make sure it was purchase-worthy. If you’ve done any of these activities, you’re a showroomer. It’s okay though, you’re not alone. Over half of the American population this holiday season will be dual-shopping—browsing in-person and online at the same time via their mobile device.
Previous studies from the 4A’s found that 25% of showroomers planned to buy in-store but then changed their minds during the process. How can retail marketers combine mobile data with location-based technology to embrace showrooming? We’ve highlighted four mobile advertising strategies to ensure brands make the most of their holiday advertising.
1. Re-Target Your Existing Customers
Advertisers retarget consumers using browser cookies, so why not use “cookies” in the physical world as well? Re-engage customers who recently visited your store using GeoCookies, the location equivalent to browser cookies. This is a great way to not only engage showroomers but also to re-engage those who have recently visited a physical store location.
Most often when consumers are showrooming, they’re looking for a deal. Fifty-two percent of consumers use their mobile device in-store to look for a better price while 36% search for an online promotion. Leverage this knowledge by offering these consumers a coupon for a certain percentage off their next purchase. Anderson Robbins Research found that 23% of people will leave a store when offered a 5-10% discount elsewhere. Beat competitors to the punch by offering a discount before consumers move on to another retailer.
2. Leverage Your Selling Points
Brick-and-mortar stores offer something that online retailers just can’t touch: A physical location and instant gratification. Leverage your in-store capabilities of friendly customer service and a chance to compare and purchase merchandise in-person. Geofence a 1 to 5-mile radius around your stores to focus on the convenience of your location and market to those most likely to visit.
Dynamically show consumers the "distance to the nearest store" in your mobile ads. Whole Foods successfully implemented Scored GeoFences earlier this year to drive in-store foot traffic. By marketing to those most likely to visit the store (those consumers who are close-by), Whole Foods achieved a post-click conversion rate 3X the retail industry average.
3. Target Likely Showroomers
Eighty-eight percent of 18-34-year-olds own a smartphone. This group is also 3X more likely to use a mobile device while shopping. And, according to comScore, 47% of 18-24-year-olds and 46% of 25-34-year-olds have engaged in showrooming behavior. Geofence your locations while using GeoAudiences to remain top-of-mind with the tech-savvy generation.
One-third of showroomers are using their mobile device in-store to look for product reviews or item information. Make product reviews more accessible to Millennials by featuring customer reviews in your mobile ads. Additionally, you can leverage in-app product browsing on your ad's landing page to ensure content is easily accessible to those looking for more information.
4. Become a Holiday Destination
Use a combination of Scored GeoFences and GeoAudiences to engage a variety of consumers with ad creative that dynamically changes based on customer preferences. Create ads flaunting your children's gift offerings to target moms and dads. Or boast about your selection of luxury goods for those who are more affluent. Creating different ads for different audiences based on their gender, age, family status, or income increases the likelihood of the ad's effectiveness.
Use holiday-themed mobile creative so consumers will closely associate your brand with holiday shopping. Incorporate twinkling lights, fun characters, and holiday colors so that there is no question that you are a holiday shopping destination. Rich media creative allows consumers to build holiday wish lists, shopping gift lists, or play mini holiday-themed in-ad games.
With accurate mobile location data, showrooming becomes less of a challenge and more of an opportunity. Connecting your physical location with the mobile world allows your ads to resonate with a more relevant audience.