O2: ‘Mobile four times more efficient than TV’

Mobile media spend was over four times more efficient than TV and twice as efficient as other digital executions in a recent integrated campaign conducted by Pizza Hut.

Claire Valoti, MD of O2 Media, said Pizza Hut’s mobile messages were 4.4 times more efficient than TV and 2.6 times more efficient than digital advertising at driving footfall into its stores as part of the campaign.

O2 Media’s location-based ‘You Are Here’ tool was used to target families near Pizza Hut restaurants to encourage them to take part in its ‘kids eat for free’ promotion.

Participating O2 More customers could download a voucher for the promotion via an SMS link sent to their phones and redeemed in-store.

Valoti said that mobile was the top-performing media for the campaign, adding that its was 142% more efficient at delivering incremental sales revenue than the campaign average.

The mobile operator’s advertising arm took part in the cross-platform campaign with Starcom, measuring the effectiveness of each medium using the media agency’s POEM (Proprietary, Paid, Owned & Earned Media) tool.

Valoti said the mobile element of the campaign worked so well because the targeting, including the location element, was so sophisticated.

“We have a lot of demographic data to target by including demographic data, billing data and location data,” she said.

The data comes the same month as O2 Media announced that its O2 More customer base had reached 10m, to account for almost half of all O2 subscribers, after the operator altered its subscriber terms to opt-in by default (nma.co.uk 11 May 2012).

“We want to make it very clear that the customer is always in control of these messages and being part of this service. Every communication from O2 More includes instructions on how to opt out of the service,” said Valoti adding that opt-out rates are “minimal”.

The UK’s largest operator Everything Everywhere too is attempting to ramp-up numbers with both its Orange and T-Mobile brands.

However, the outfit’s Orange brand is more conservative in its approach to bolstering numbers to its Orange Shots service which currently counts 3m registered participants.

An Orange spokesman told new media age: “Customers across both our PAYG and PAYM segments have been joining our interactive SMS advertising service in one of two ways – choosing to opt in via a shortcode, or when we actively outreach to those we believe will be interested in this service, with a welcome pack clearly explaining how the service works and the benefits available.”

The Everything Everywhere outfit also said it was also attempting to address the problem of SMS spamming on its network as highlighted recently by the DMA (nma.co.uk 15 May 2012).

This includes working on a on a code of practice on spamming with the GSMA encouraging cooperation with other network operators.

“We are currently assessing a number of spam filtering solutions and are working closely with the regulatory bodies to implement these effectively” said an Orange spokesman.

“In order to minimise spam, we already monitor unusual traffic patterns and apply commercial and technical policies to discourage spam being sent to our customers,” he added.

“Orange customers can also forward spam messages to 7726 for free to help us investigate spam messages promptly.”

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