Retailers have been discussing, planning, testing, prototyping, piloting, and deploying mobile device engagement scenarios for consumers over the last 2-3 years. While the levels of success retailers have had varies wildly, at the core of these efforts is the desire to engage consumers at a more intimate level. The mobile device - the 1 foot screen - represents a compelling channel to not only engage consumers but also to provide a platform for retailers and other publishers to create and disseminate content.
The interesting parallel here is in how traditional eCommerce organizations have realized the power and value in personalization. Personalization as a strategy seeks to create a tailored, unique experience for a customer based on who they are, what they like and don't like, and how they like to shop. "Good" personalization creates tangible business value (i.e. uptick in conversion rates) and a soft value in terms of brand affinity.
The biggest struggle I have heard from retailers is not in the belief that there is value in personalizing a mobile device experience for customers. The biggest struggle is in three areas:
1. The use case(s)
What types of things will customers really want to "do" with their devices in the context of our brand or shopping experience?
2. The "annoyance" factor
How can retailers offer mobile device experiences that are non-intrusive yet engaging, and that provide enough incentive for customers to engage while preserving trust between the retailer and the customer.
3. The technology
How do we do this? How does this connect to other things we are doing in digital commerce? How do we link a mobile device initiative with the rest of our strategy in areas like customer analytics, order management, content management, etc?
With TAG, Microsoft creates a platform to enable a multitude of compelling mobile use cases. At its core TAG is a mobile marketing platform. Microsoft TAG is inherently opt-in, as it encourages customers to seek out the information through both the download of the light application and the capture of the barcode itself. For retailers, it provides a cloud-based infrastructure complete with analytics that can be used to gauge the value of the strategy.