Your Brand in their Hand – The case for Mathematics in Marketing.
Since MobileDigital first started sending personalised visual incentive-based promotions in 2015, we have been collecting data on the use of SMS and MMS alone and in combinations. In the table below we have attempted a realistic assessment of 4 types of direct to mobile personalised promotion communications comparing email, SMS, MultiMedia Visual Messaging (MMS), and a combination of one SMS and one MMS.
This table talks to horses for courses, marketers should be using all of these tools. All deliver positive ROI, some are higher up-front risk with a higher revenue reward. All communication platforms should be considered as the right message, at the right time, in the right place, in the right context.
There is also the pester factor with email – the question has to be asked – how many times do you have to blast someone and they don’t open, before they never open again, either opt out or worse ignore you forever. The reality is – if you keep blasting me, and I am not engaged, you are attempting to touch me, and frankly, I am not interested, and become less and less interested, to the point where you are now doing harm by pestering me. Some communication needs to be more about engagement than touch, personalised visual communication can draw an immediate response, but also it is a brand message and image refresher – and talks to leaving brand residual.
The Table Explained
We have set the price of labour at $50 per hour, 90 minutes to prepare an SMS, 180 minutes to prepare an email and the same for an MMS, and 255 minutes to produce an SMS and MMS in two separate sends. Correspondingly labour would cost $75 for the SMS, $150 for the email and the MMS and $225 for the two send MMS and SMS
Email distributions costs are set at $25 for 10,000 send, and 5c for SMS, 45c for an MMS and 50c, for a combined send of MMS and SMS
Basket size or purchase value has been set at $54.
The minimum redemption rate set on email is 0.12% as documented by the American Direct Marketing Association in 2017. Redemption rates on SMS, MMS and SMS/MMS are, as observed by our clients and documented. MMS has been generally quoted as delivering 3 times the redemption of SMS, and 10 times that of email. This is not a tough spreadsheet to build yourself and stick your own numbers in. We have been very circumspect – yes we have seen MMS gain 40% redemption (for a VIP group) and we have seen MMS on poorly executed campaigns below 10%. The BMW Snow Tyre (in case studies on this site) is an independent audited MMS example that delivered 30% response, off $60,000 cost, and receipted $45 million. This talks to the power of visual marketing.
The Absorb column refers to data on recall, we remember 10% if we hear it, 20% if we read it, and 80% if we see it as a visual. SMS doesn’t have brand imagery or identity capability so we don’t give it credit for the residual brand “hang time” – unless the SMS arrives in the same inbox as the MMS, where the brand image has been made clear.
We have also introduced into this table, brand residual, which is a key aspect for marketers in keeping their brand imagery in the minds of their clients. Irrespective of redemption or not, if 20% of email is opened then 20% of your clients see your brand, same with MMS, if 98% of people it is sent to see your brand imagery and message – your brand will be refreshed in their mind for the next time. SMS cannot convey brand image, and has very little residue, except in those who redeem. An SMS sent using SNIPER, following an MMS will have some residue, as the SMS appears in the same text inbox – as SNIPER clients are allocated a dedicated mobile number.