This is part 1 of a 2-part post delving into SoMoLo.This section focuses on defining SoMoLo and the benefits and opportunities for businesses engaged in SoMoLo marketing. In Part 2, I present a recent SoMoLo experience from my travels abroad.
SoMoLo is an acronym for social mobile local. The rapid global proliferation of mobile devices, projected to reach one billion combined with the power of social networks and now location based apps are fundamentally changing the marketing landscape. It is expected to influence $628-$752 billion in retail sales by 2016.
Social mobile and local marketing efforts have increasingly been grabbing the attention of CMO’s. This is reflected in survey responses that indicate marketers are allocating more of their budget to these channels.
Finding the SoMoLo Opportunity
The real opportunity is found at the intersection where social mobile and local are linked together. Equipped with smartphones, social networks and the Internet, consumers are behaving differently, they are becoming social shoppers.
79% of US smartphone and tablet owners have used their devices for shopping-related activities. These new consumers are action-oriented, 88% take action the same day. Read Purchasing Trends in the Social Shopper Community to learn more about this very influential segment.
The SoMoLo phenomenon levels the playing field for small businesses willing to seize it. In an effort to provide more relevant search results, Google has adapted their algorithms to favor local businesses. Surveys indicate 74% of smartphone owners cited looking up local services as the leading activity they associate with their smartphone.
Successful SoMoLo Has the Customer at the Center
Successful SoMoLo marketing efforts are customer centric, the focus is helping consumers easily find, purchase, use and share their experiences. Instead of the traditional “push” effort designed to broadcast messages to consumers, this new approach is designed to attract consumers to a business through the effective use of content, search optimization and social sharing. A SoMoLo strategy won’t be successful in the long-term without a focus on the customer experience. Customer Experience Differentiation is crucial to developing lasting relationships and deepens customer loyalty.
SoMoLo requires a different mindset and it can present some real challenges. For most, a change in culture is necessary to ensure that all employees who interface with customers are on the same page. One of the most important changes is cross functional collaboration. In an article I contributed to Windmill Networking, I explain why culture is the key ingredient for successfully adding social media into the marketing mix. To successfully add social media to the marketing mix, your organization must not only have forward-thinking leadership, but it is crucial that the business have a healthy culture, which starts with leadership.
Among the many benefits of SoMoLo, businesses can experience increased engagement with all stakeholders, as well as more satisfied customers willing to share and recommend with their social networks. Studies show that satisfied consumers are willing to pay more for a positive customer experience. Satisfied customers are far more likely to buy more products or services over time, creating a profitable relationship for both the business and the customer.
How would you rate your overall customer satisfaction? Do you see room for improvement? Have you analyzed your marketing initiatives through the SoMoLo lens? In what ways could your efforts be targeted more toward the intersection of social mobile and local?