Report: SMBs see value in mobile

Moving ahead, look for more small businesses to push into mobile. That is the takeaway from BIA/Kelsey Group's 'Retail SMBs - Advertising & Marketing Trends' report which indicates that while the highest mobile penetration rates for SMBs are around 11%, those businesses are very satisfied with the return on their investment.

by Kristina Knight

According to the report retail-based small businesses rank social media, SEM/SEO and email as their highest priorities for at least the next year, but also indicates many are looking into CRM infrastructures to ensure they are serving the customer base.

"Going forward, retail SMBs register an interest in many advertising and marketing services, particularly ecommerce services, online satisfaction surveys, email marketing, online leads management and business software in general," said Steve Marshall, director of research, BIA/Kelsey. "We believe this is consistent with their solid base in email marketing - they've got the foundation in place, and now they're ready to add more sophisticated and powerful services."

Meanwhile, another report underlines the importance of customer service. LoyaltyOne has released data showing most (8 in 10) shoppers don't give retailers a chance to make up for a bad experience. What does that mean? The report authors break those dissatisfaction down like this: Poor customer service can put 25% of potential revenue at risk for mass merchandisers, apparel brands can put 16% of their potential revenue at risk and department stores can up 15% of their potential revenue at risk because of poor customer service.

"The results are a resounding confirmation that poor customer experiences have a considerable negative impact on shopper spend and attrition which can run into the billions," says Dennis Armbruster, LoyaltyOne Consulting Vice President and Managing Partner. "We're ushering in a new era of customer experience measurement vital to retailers looking to make even more informed decisions."

LoyaltyOne collaborated with Verde Group and Wharton's Dr. Deborah Small on the report.

Tags: BIA/Kelsey, loyalty marketing, loyalty trends, LoyaltyOne, mobile commerce, mobile marketing, mobile trends