Philippine Retailing Newsletters 2018 PRA Newsletter 2018 Q1 | Page 7

Mobile-first strategies will gain ground Shopping malls use it to entice more families to visit their facilities and more moviegoers to watch in their cinemas. Some major Philippine newspapers and magazines use it to save the declining readership in the country. A local fast-food chain used it to encourage people to visit their branches. As a marketer or entrepreneur, you should not ignore mobile device users this 2018. An Ericsson report notes that smartphone penetration in the Philippines will grow to 70% in 2018 from 40% in 2015. Moreover, Filipinos use the internet on their mobile devices for over 3.5 hours every day, per the latest GlobalWebIndex data. Rise of the chatbots Artificial intelligence (AI) is still in its infancy in the Philippines, with financial institutions being among its first adopters through chatbots. Nonetheless, in the near future, these AI-powered computer programs will redefine interactions between brands and consumers. Also noteworthy is the growth of mobile shopping or m-commerce in the country. The Philippines posted the highest year-on-year increase in mobile shopping in Asia-Pacific based on a consumer poll conducted in 2016 by Mastercard. In 2017, RCBC and UnionBank launched their own chatbots that use Facebook Messenger as a platform. Althou gh their functions seem to focus more on customer service than brand promotion, chatbots are very promising as marketing tools. With more Pinoys getting mobile-savvy and having access to cheaper and faster mobile data plans, brands should prioritize mobile marketing in their digital marketing campaigns for 2018. Videos to dominate content marketing In the 2017 GetCRAFT survey, marketers rated video as the most effective content marketing initiative, beating popular content formats such as articles, infographics, and e-newsletters. Looking back at the past years, videos were obviously the favorite content format among local fast-food chains. The two leading brands, Jollibee and McDonalds, have churned out one tear-jerking video after another. Other brands caught on later in 2017 with light and funny video campaigns. Trends that will shape digital marketing in the Philippines in 2018 As long as they tell heartwarming stories Filipinos could easily relate to or something to tickle their funny bone, videos will continue to be watched, liked, and shared in 2018. Of course, that would mean more exposure for such brands. Big data will be the next big thing The year 2017 marked the emergence of big data in the banking and telecommunication industries. This year, more industries are expected to invest in this game-changing technology. Spurring this growth is the institutionalization of big data as a profession, as well as the subsequent entry of big data professionals in the workforce. About four years ago, some universities in the country began to include Big Data and Analytics subjects in their undergraduate business and IT courses. For any company that strives to understand its customers better, it makes good business sense to leverage big data. Because Filipinos are among the heaviest internet and mobile users in the world, huge amounts of data can be collected to study their online behaviors. The more you know about your target customers’ wants, needs, and dislikes, the better you can decide which marketing tactics will effectively communicate your brand message. More ways to engage customers with AR A digital marketing innovation that has been around in the Philippines for almost a decade, augmented reality (AR) allows businesses to provide customers a new, immersive way to experience their brand. Convenience and speed are the biggest advantages of using chatbots. In just a few taps on their smartphones, potential customers can get instant answers rather than go through the hassle of personally visiting a branch or calling a company’s hotline. Using chatbots will continue to be an effective way to connect with customers, considering that Facebook Messenger is the Filipinos’ instant messaging tool of choice. However, FB Messenger’s popularity is not enough to sustain the consumers’ interest. A 2017 Amdocs-commissioned worldwide survey found that Filipinos preferred polite, smart, caring, fully customizable, and funny chatbots. Also, 51% of the 500 respondents said they would like to see a human-like bot rather than an avatar. Mobile payments will play a bigger role in mobile marketing While most financial transactions in the Philippines are still in cash, more and more consumers are using digital payments. As the latest Visa Consumer Payment Attitudes study revealed, 65% of Filipinos purchase with their smartphones and 41% make mobile payments at least once a week. Just imagine how broad a customer base you can reach out to if you take advantage of mobile payment and integrate it into your mobile marketing strategy. It is cost-effective, too. Compared to traditional print ads and billboards, using mobile payment to promote your brand does not cost as much. Plus, your marketing message will more likely reach and engage interested consumers. For example, you can create special deals via coupons to customers who pay their purchases using their phones. When customers redeem those coupons, you can extract customer data that will give you insights as to when and how frequent they buy from you. This enables better targeting and tweaking of your ads based on your customers’ buying behavior. Final notes: Simply implementing all the digital marketing innovations discussed above does not automatically guarantee a smooth-sailing 2018 for your brand. A word of advice: review your company’s or clients’ business objectives and align your digital marketing strategies with these goals. This holistic approach to running digital marketing campaigns can help propel your brand forward this 2018. Gary Viray is a Filipino tech entrepreneur, marketer, author, data analyst, and the Founder and President of Propelrr, an innovation and digital marketing agency. (Rappler, 01/23/2018) 7