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SUMMARY
The mobile phone is an ideal marketing channel because it is personal,
interactive, and relevant. While mobile users do not want to be bombarded
with traditional advertisements on small screens, merchants can leverage
mobile phones to create deeper and longer lasting customer relationships.
Based on in-depth interviews with merchants, vendors, and operators, this
report presents the six steps to mobile advertising success. It also explains
how the continuing evolution of mobile phone networks and handsets will enable
merchants to steadily expand their mobile marketing strategies to include
sales and customer support.
Mobile Advertising: Opportunities & Illusions
- 1.The mobile phone presents unique opportunities to interact directly with
consumers. One-way sales pitches squander those opportunities. Datacomm
Research recommends mobile ads that engage end-users through contests,
giveaways, and special promotions.
- 2.Ease of use is the Number One challenge to mobile data (and therefore
mobile advertising) success. Independent mobile information services that
push desired content to mobile users, preloading it when possible, and using a
mix of mobile phone, Wi-Fi, and Bluetooth access when necessary, are the
solution.
- 3.Most mobile content will be advertising-supported. The best way for
mobile operators to monetize advertising is by selling merchants rules-based
access to millions of subscribers. Successful operators will treat merchants
like enterprise customers, offering them mobile marketing subscriptions backed
by an array of management tools.
Benefits:
This report is the result of more than three dozen in-depth
interviews--typically lasting one hour each--with merchants, operators, and
mobile marketing vendors. These interviews yielded information and insights
not available elsewhere. Topics discussed included pioneering mobile marketing
efforts, early successes and failures, technical and business challenges,
strategies for moving forward, and customer response.
TABLE OF CONTENTS
Executive Summary
- Business Implications
- Opportunities
- Illusions
- Strategies for Merchants
- The Six Keys to Mobile Advertising Success
- Strategies for Mobile Operators
- Strategies for Handset Makers
- Strategies for Application & Content Developers
- Strategies for Third-Party Service Providers
- Strategies for Mobile Marketing Vendors
- Key Conclusions
Mobile Advertising: Ready for Primetime?
- Mobile Advertising Options
- Text messages
- Ringtones and Wallpapers
- Application-based Ads
- Mobile Web Content
- Multimedia Messaging
- Streaming/Broadcast Media
- Downloaded Media
- Ringback Tones
- Branded MVNO Services
- Mobile Search
- Banner vs. Interstitial
- Direct vs. Subtle
- Viral Marketing/Social Networking
- Mobile Advertising Technologies
- 2/2.5/3G Wireless Networks
- Mobile Devices
- Messaging
- IP Multimedia Systems (IMS)
- Wireless Web Technologies
- JAVA/BREW
- Audio and Video Standards
- IP TV (DVB-H/MediaFLO)
- Bluetooth
- Wi-Fi
- Infrared
- Near Field Communications (NFC)
- Memory Cards
- Bar Code/Visual Identification
- Mobile Advertising/Targeting Tools
- Mobile Advertising Practices
Mobile Advertising Strategies
- Pricing Mobile Content
- Industry Structure
- Technology Roadmap & Timing
- Market Segmentation & Growth
- Mobile Phone Market
- Business-to-Consumer
- Business-to-Business
- Consumer-to-Consumer & Social Networking
- Customer Profiles
- Social Networking
- Complementary Strategies
- Complementing Print & TV
- Complementing Online
- Mobile Advertising Business Models
- Strategies for Success
- Operators
- Vendors
- Advertising Agencies
- Merchants
- Select Industry Leaders' Strategies
Select Vendor Profiles
Figures
- Figure 1: Forecasted mobile advertising service revenue, by world region,
2006 - 2010
- Figure 2: Growth of Internet ad revenue by quarter, Q1 1997 - Q1 2006
- Figure 3: Predicted maturation timeline for key mobile technologies
- Figure 4: Current reach (% subscribers) of key mobile technologies
- Figure 5: Predicted reach (% subscribers) of key mobile technologies in
2010
- Figure 6: Example AvantGo screen with banner ad
Tables
- Table 1: Technology and business factors driving mobile advertising growth
- Table 2: Technology and business factors inhibiting mobile advertising
growth
- Table 3: Comparison of mobile data service plans of four largest US mobile
phone operators
- Table 4: Mobile advertising in the mobile marketing ecosystem
- Table 5: Comparison of mobile ad formats
- Table 6: Comparison of mobile ad responses
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