MGM Grand reveals mobile strategy at MMF conference
NEW YORK -- MGM Grand Hotel & Casino revealed its mobile strategy to attendees of the Mobile Marketing Association's Mobile Marketing Forum.
The hotel chain plans to continue to use the mobile channel as a means of data acquisition and to use information collected to expand upon its existing on-property SMS offers. An MGM executive revealed some of the company's plans and even gave the audience tips in terms of using the mobile channel.
"All the hotels in Las Vegas have some level of mobile marketing programs in place," said Michael Perhaes, assistant vice president of marketing at MGM, Las Vegas. "Ours is the most robust because we have truly embraced mobile.
"We have recognized the channel's utility," he said.
MGM announced during the conference that it will be introducing Mobile Concierge in coming months for large groups of travelers.
Additionally, MGM plans to develop a mobile user segmentation action plan so that it can better target offers to consumers.
MGM's Mr. Perhaes said that the company plans to solidify and implement success metrics as well.
So why is MGM so bullish on mobile?
The mobile channel has helped MGM speak to travelers in its hotels and when they are on the road.
MGM has been running mobile promotions targeting the 25-34 age demographic, as they are 65 percent likely to SMS.
The company has integrated SMS calls to action within its more traditional marketing initiatives: Broadcast, billboards, the sides of trucks, print and email.
MGM has used mobile to get consumers to text in and join its database of mobile users.
Promotions include discounts for rooms, amenities, dining and show tickets.
"For each of the calls-to-action we used a different keyword so that we can track the effectiveness of each advertisement," Mr. Perhaes said.
Because of MGM's experience with mobile, Mr. Perhaes gave the audience members some tips on getting into the channel.
So, a brand decides mobile is an integral part of its campaign. What's next?
MGM has been using the mobile channel for about a year and a half and is fit to give tips to other brands and marketers considering moving into mobile
"I suggest that brands and marketers partner with a third party provider and build a mobile site," Mr. Perhaes said. "Also it is wise to use a Web-based SMS campaign management tool and obtain a short code instead of sharing one.
"Define success, communicate, and be patient and learn," he said.
According to Jeremy Whitt, vice president and associate director of interactive at Cramer-Krasselt, MGM's agency, "the hotel business is all about heads in beds."
"When we first considered mobile as part of MGM's marketing strategy it was meant to aid the brand in database management," Mr. Whitt said. "Then we decided we would throw it into our communications to spread the word about what we were doing."
Giving room offers to travelers on their way to Sin City allowed MGM to book an additional 150 room nights.
With the slowing economy, the hotel industry is trying all means to get more "heads in beds" and it seems as though mobile was able to address this challenge for MGM.
Recently, MGM launched a mobile display ad campaign, with banner ads running across Yahoo Mobile and Platform-A.
"We chose Yahoo because we were able to target through Yahoo's logins and Platform-A had great targeting capabilities," Mr. Whitt said.
"The campaign worked well, but data acquisition succeeds all media," he said.
Consumers that clicked on the banners were taken to a landing page with on-property offers for dining, amenities and discounts.
MGM's mobile initiatives were not only useful for guests, but it gave the hotel a means of communicating with travelers while they are there.
"It was a great mechanism to keep them on property instead of going to another one of Las Vegas' hotels and casinos," Mr. Perhaes said.