Starbucks is showing that mobile plays a critical role in its overall initiatives by unveiling a new application that features gift card capabilities.
The app includes the company’s eGift feature and combines the features of its iPhone my Starbucks and Starbucks Card mobile apps. The app is available for free download in Apple’s App Store.
“Conceptually the ability to send a coffee gift card to someone else via mobile would only help enhance the customers use of a Starbucks mobile app,” said Marci Troutman, CEO of Siteminis, Atlanta.
“Also, since you have to create an account to send it, and have an account to use it, this locks in more dedicated customers for Starbucks,” she said. “The ease of using PayPal for the transaction and the ‘email the card’ makes this a brilliant mobile move for Starbucks.”
Incentives Previously, the eGift capability was available at Starbucks.com, but now consumers can treat friends and family to their favorite beverages.
Consumers can access their favorite Starbucks Card features, use the mobile payment capability and track their My Starbucks Rewards.
Starbucks Card eGifts can be customized with a personal message and sent using a consumer’s contacts or Facebook friends list for any amount between $5-$100.
The mobile gift cards work like an actual Starbucks card and can be redeem at any participating company-owned and licensed Starbucks.
“Every time I’m in Starbucks, I and everyone around me is on their mobile phone — I think the question should be, how detrimental is it for Starbucks to not have a mobile presence?,” Ms. Troutman said.
Mobile coffee The app lets consumers check their Starbucks Card balance, as well as reload it with any major credit card or PayPal.
Consumers can also consolidate their balances and access food and beverage nutrition information before making a purchase.
In addition, the app features a Drink Builder, which lets consumers build a virtual beverage.
Starbucks customers can also use the QR code reader to check out promotions.
“Mobile commerce will jump significantly in growth by end of this year as we head into and through the holiday seasons, retailers are starting to realize that mobile is an extension of the business that won’t go away and with this realization are or will be working toward a mobile solution in the short term,” Ms. Troutman said.
Smartphones have quickly become powerful tools for brands and marketers to interact and engage with consumers.
Mobile applications have especially paved the way in mobile marketing strategies, allowing brands to reach their audiences through branded apps and other in-app mobile advertising opportunities.
A new generation of interactive mobile technologies has recently entered the scene that allows us to link real world and digital experiences and communication, among them near field communication (NFC), quick response (QR) codes and location-based services.
These technologies are all driving new channels of interaction between businesses and customers in real-time, context-sensitive environments.
While there is room for all of these technologies to transform how businesses can reach consumers, competing markets and inherent weaknesses within each technology could hinder mainstream adoption.
With this in mind, what should marketers consider before diving into these real-world linking technologies?
QR codes QR codes are physical bar codes that, when scanned with a mobile application, can connect users to digital content.
Created in 1994 to track auto parts in Japan, the QR code has since made much headway in mainstream marketing campaigns due in part to its cheap, effective means for businesses to enhance more traditional marketing campaigns.
This hybrid approach of marrying print to digital is attractive for businesses wishing to experiment alongside current practices.
In addition to being easy to implement, QR codes can provide marketers with in-depth, accurate analytics, around exposure, product interaction and location-linked data.
For instance, a QR code featured in a magazine ad could provide immediate, real-time insights around reader engagement, their physical location and interaction with specific content.
But are they actually catching on?
QR codes require user familiarity, a third-party scanning app, and conscious action on the part of the mobile user, all of which provide hurdles to mainstream adoption.
However, increasing consumer awareness and scanning behavior point to a future where encountering QR codes becomes an everyday occurrence.
Near field communication NFC has gained a lot of interest recently due to its use in mobile payments, such as Visa’s NFC contactless mobile payments. What has not yet been fully exploited is NFC’s potential for implementing mobile marketing campaigns and storefront interactions.
Using high frequency transmission between chips embedded in individual smartphones and in the offline world, NFC quickly transfers information when chips are in close proximity to one another.
While broad NFC applications are still in the testing phase, businesses will soon have the ability to use this technology to track consumer traffic in stores, integrate daily deals offers with check-ins, and, similar to QR codes, connect real-world objects and marketing materials to digital content.
NFC has great potential to break down barriers and create a seamless experience between digital and physical interactions, as seen in Foursquare’s recent test.
Yet, a few obstacles still stand in the way of mainstream adoption: NFC chips are not yet widely present in smartphones, and embedding them in posters and storefronts can be a relatively complicated and costly endeavor.
Location-based services Location-based services represent a broad category of apps, mobile Web sites and phone features that enable mobile users to share their location to friends and businesses.
Social apps such as Foursquare and Facebook have helped shape mobile users’ habits around checking in to real-world locations to receive social networking or gaming rewards. Now, these companies are partnering with businesses to leverage their platform for marketing and promotional purposes.
A recent application of leveraging location for marketing would be Groupon’s recent launch of Groupon Now, which enables the Groupon app to alert potential customers to nearby business deals.
Location-based services, while great for blanketing select content to select mobile users, do not give much insight into individual consumer behavior or interest until the point of sale because most businesses must rely on third-party apps to execute these campaigns.
Additionally, consumers have privacy concerns, highlighted by the recent discovery of Apple’s and Google’s location tracking, which may delay or hinder the extent to which these services can delve into mobile user data.
Conclusion With the glut of smartphones crowding the mobile phone market, there is no question that mobile marketing will take new and exciting forms in the next year.
However, before jumping into the first new mobile technology that comes your way, it is critical that you weigh the options to see which technology best fits your marketing objectives.
12 April 2011 Swiss watchmaker Tissot has partnered with Holition to showcase its Ladies and T-Touch collection in one of Harrods iconic Brompton Road window displays as part of the store’s new promotion celebrating all things Swiss.
The augmented reality application will be live and fully interactive on weekends between 12pm and 6pm from 1st – 24th April.
The window display will enable consumers to virtually ‘try on’ watches from both the Ladies and T-Touch men’s collection, and a fully interactive touch screen will allow customers to engage with a wider range of Tissot watches than ever before.
Customers are also invited to take a piece of Switzerland home with them with the opportunity to win a Tissot Jungfraubahn watch and a holiday to Jungfraujoch to witness the most spectacular mountain panorama in Switzerland.
Guy Cheston, Harrods Director of Advertising Sales & Sponsorship, said: “We are delighted that Tissot is participating in Harrods storewide Swiss promotion.
The use of augmented reality in Harrods world famous window displays allows us to interact with customers in a new and exciting way.”
Jonathan Chippindale, CEO, Holition, comments that: “We are extremely excited about the Harrods showcase as we are able to take our interactive technology and enhanced consumer experience directly to the iconic windows of the world’s most famous department store.
Luxury brands are continuing to challenge expectations and consumer perceptions and we are proud to be at the forefront of this change.”
