Tanla Mobile Marketing and Advertising Guide

The Tanla guide aims to give you a comprehensive view of the opportunities presented by mobile marketing and advertising. The report has been compiled by Tanla Mobile, powered by opinion articles from leading industry thought leaders and edited by mobile marketing expert Helen Keegan.

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Tanla Mobile Marketing and Advertising Guide

© 2008

www.tanlamobile.com

2008: The Year of Mobile Marketing and Advertising:

N.V. Subba Rao, CEO Tanla Mobile Inc 9

The Global Mobile Market:

Gautam Sabharwal, Director Global Business Development, Tanla Mobile 13

Mobile Emerging as 7th Mass Media:

Tomi Ahonen, Author & Consultant 19

A Brief History of the Mobile Phone 27

Developments in Mobile Technologies 28

Why Mobile is Important 29

Mobile Marketing Past, Present and Future:

Russell Buckley, Managing Director Europe, Admob 35

Thoughts For Marketers On The Values Around New Digital Media Opportunities:

Gillian Kennedy, Managing Director, Emerging Media Platforms Ltd 39

Mobile Has Always Been All Inclusive:

Mike Short, Vice President R&D, O2 Europe 43

Mobile Marketing & Advertising 48

WhatisMobileMarketingandwheredoesitfitintheMarketingMix? 48

The 5 Cs of Mobile = Connectedness 48

Creating Mobile Moments 50

The Mobile Marketing Value Chain 51

Different Types of Mobile Marketing Campaigns 52

TexttoWin 52

Voting and Participation TV 52

Quizzes 52

Mobile Content [pictures, ringtones, video] 53

Games 53

Applications 54

CRM 54

IVR 54

MMS 54

Direct Response 54

Mobile Barcodes 56

QR Codes 56

Java or On Device Portal [ODP] 58

Mobile Marketing Challenges 58

Technology Constraints 58

Marketers and Mobile Marketing 58

What do I Measure 59

Campaign Planning 60

Permission Marketing 60

Running a Successful Campaign 63

ProductionandFulfilment 65

Technical Project Management 65

Outbound Campaigns 66

CONTENTS

6

From Hand to Eye, Mobile Marketing gets Co-ordinated:

Anuj Khanna, Head of Marketing, Tanla Mobile, UK 69

Mobile Search 71

A Question of Search: Can Web Search Supremacy Translate to Mobile?

Ben Tatton-Brown, Head of Advertising Sales, EMEA, Medio Systems 75

Music and Mobile 80

Podcasting 81

Moblogs 81

RSS 82

Bluetooth/Infra Red 83

Business Models in Mobile 85

Ad-Funded Content 85

Mobile Advertising 86

Sponsored SMS 87

Selling Your List 87

Sponsored Content 88

Off The Page Promotion 88

Subscription Model 88

User Generated Content 88

Wholesale 88

Retail 89

Don’t Have a Business Model 89

Social Networking Will Drive the Next Wave of Mobile Commerce:

Jeff Spirer, Vice President Mobile Internet, Tanla Mobile Inc 91

Mobile TV – Are We Nearly There Yet?

Steve Flaherty, Mobile Consultant, Keitai Culture 95

The Mobile Web, Beyond Best Practices:

Daniel Appelquist, Senior Technology Strategist, Vodafone 99

Limited Use of Mobile Content Provides Advertisers With An Opportunity To Go It Alone:

Jessica Sandin, Head of Mobile & Senior Consultant, Fathom Partners 105

A Brave New Future for Mobile:

Gerry Drew, Chief Operations Officer, Tanla Mobile, UK 109

Appendix 113

Emoticons 113

Glossary of Terms 115

Events and Networking 120

Further Reading 121

Magazines (Print) Covering Mobile Topics 121

Blogs 121

Acknowledgements 123

Sources and References 125

7

2008: The Year of MobileMarketing and Advertising:

N.V. Subba Rao, CEO Tanla Mobile Inc

N.V. Subba Rao is the CEO and President for Tanla Mobile Inc (USA) and is also responsible for

expandingbusinessoperationsforTanlaMobileacrossAsia.SubbajoinedTanlaMobileinJuly2007

fromBhartiAirtelLtdwherehelastheldthepositionofChiefOperatingOfficer.Hehasover20years

industryexperience,workingwithbluechip telecommunicationsandFMCGbrands includingBharti

Mobile, Tata Tele, Proctor & Gamble and Agro Tech Foods Ltd.

9

10

Is not life a hundred times too short for us to bore ourselves? ............... Nietzsche

If there is one industry that has taken the above quote to heart, it is the mobile marketing industry. It

continues to seek new opportunities and perspectives to better connect with today’s evolving requirements

for technology enabled communication and lifestyle marketing.

Possibly AlexanderGrahamBell didn’t imagine beyond traditional voice based communicationwhenhe

invented the telephone, yet it was a true ‘Eureka’ moment. From that perspective mobile and converged

communications is a revolution in the making, yet it doesn’t seem to evoke the same ‘Eureka’ feeling. This

is because the mobile phone is no longer ‘outside of us’. It is now very much a part of us - becoming an

expressionoffreedom,personality,lifestyleandentertainment;aswellasalifelineforenablingfasterdata

access, cutting across the various enterprise verticals and customer segments. To borrow a Proctor and

Gamble corporate slogan, mobile ‘continues to touch lives and improve life’ possibly more so than any other

product or service before it. You can use a mobile device to reach directly into the mind of the consumer and

subsequently change their behaviour. What could be a more powerful medium in today’s society, for mass,

one-to-oneandcontextualmarketing–the7thmassmediaassomepunditsdescribeit!

The industry is on the cusp of a new era of mobile and integrated media consumption, encompassing

a myriad of real and virtual social networks, web sites, devices and products/ services for commercial

consumption,whilecreatingnewstorefrontsdefinedbytheindustrydomain.Newdynamicsunfoldonthe

sector almost every day, be it via announcements from Nokia, Google or Apple or the numerous bodies

across UK, USA, India, S. Africa and Asia who are all working to create platforms that enable easier, faster

and better integration and monetisation of content (almost to Thomas Edison’s logic of “Hell, there are no

ruleshere–we’rejusttryingtoaccomplishsomething”).

Walls have come down and new windows have come up. Applications, client server models, style sheets,

websheets,browsers,paymentmechanisms,adservingengines, textadvertising, campaigns, contests,

promotions and web stores: these are just the tip of the marketing frenzy to create more direct and personal

connect with customers across all psychographic, socio-economic and business indices.

From a marketing perspective, 2008 will give rise to a number of questions concerning mobile marketing.

Namely, how it will become

- even better at browsing/ search

- a simpler way to make payments/ facilitate commerce

- a more integrated medium for marketing and advertising

- more effective for social networking/communication

- moreexcitingforintegratingnewusergeneratedcontent

2008: The Year of Mobile Marketing and Advertising

11

These,andmanyotherquestionsrelatedtothemobileecosystem,willhelpbetterdefinenewmarketing

andadvertisingformatsandfirmlyestablishthedependenciesforthoseformats.Today,morethanever,

themarketingandadvertisingindustryiswitnessingtheneedforsignificantchange.Traditionalmarketing

models are often criticised in the boardroom, with questions asked regarding ‘Does your marketing work’,

‘Where is the consumer in all this’, ‘Is brand marketing relevant any more’, etc. The mobile phone represents

one of, if not the, most important marketing opportunities in the last century for two key reasons:

1. Themobilephoneisverypersonalbothintermsofhowitexpresseswhoweare,butalsothe

waysinwhichitisused–whoamI?/whatdoIdo?/whatcanIdo?

2. As a result of how its infrastructure has evolved, mobile offers many unique opportunities for

the advertiser. These include accurate and relevant targeting, rich data on usage and

consumerbehaviour,higherresponseratesandflexible,costeffectivecommercialmodels.

The net result is a more rewarding and interactive relationship with the customer, and overall

better brand indices.

ThomasFriedman’spowerfulmetaphor(andbook),thatthe‘worldisflat’isatrulyinspiringwayoflookingat

the forces that are stitching the present wireless and software enabled world. I trust all mobile enthusiasts

enjoy reading this guideanddiscover themanybenefitsmobilemarketingandadvertising canbring to

bothbusinessesandbrandsina‘flatworld’,Thenewmobileplatformsarenotjustanexpansivebutalso

an inclusive medium, that not only makes marketing and advertising cost effective but also more personal

and relevant. Compared to traditional marketing and advertising, mobile possibly offers ground for more

significantdevelopmentsforlargebrandsandenterprisestobetterconnectthedots!

WishingyouallamoreMobile2008!

N.V. Subba Rao

CEO Tanla Mobile Inc

The Global Mobile Market:

Gautam SabharwalDirector Global Business Development, Tanla Mobile

Gautam Sabharwal is responsible for Tanla Mobile’s global business development, sales and marketing.

An expert atmarket visualisation, approach strategies and sales initiatives, he bringswith him in-

depth knowledgeof the TelecomServices Industry. His experience includes several years running

successful businesses in the emerging telecom services markets of Europe. His long-term strategy

planning, along with knowledge of Tanla’s core businesses, is instrumental in steering the company

in the right direction.

13

14

New Players Bring Change to the Mobile Sector

Throughouttheshorthistoryofmobiletherehavebeennumerous-toomanysomewillsay–innovations,

milestones, developments and advances promising to change the mobile industry for ever.

2008willseetheemergenceofthenewmobileworld-order,namelytheinfluenceof‘traditional’internet

brands as new and powerful entrants to the mobile sector. They will bring with them established models

and approaches to marketing and advertising, amongst other things, that will change the landscape and

consumermobileexperienceforever.

TheimpactofdevelopmentssuchastheiPhoneissignificantanditsarrivalmarksanimportantturning

point. The iPhone has made the mobile internet become a competitive driver for handset manufacturers

and operators alike, while forcing others to review OS and device simplicity.

The future growth of the mobile marketing sector is dependent upon two traditionally disparate sectors

collaborating, the mobile and the media industry. But the real growth potential for mobile will come as a

result of brands such as Google, Yahoo and MSN securing their place at the new mobile table.

Combinethesefactorswiththefactthatoperatorsincreasinglyofferfixedratedatacharges,thisallmeans

the opportunity for mobile marketing is here and now.

Mobile advertising will be constrained unless users have unlimited data plans.

Source: 2Q06 Mobile Content Industry Survey, Mobile Advertising Services Report 2006,

Informa Telecoms & Media

The Global Mobile Market

Strongly disagree3%

Strongly agree26%

Agree25%

Disagree12%

Somewhat agree34%

Mobile advertising will be constrained unlessusers have unlimited data plans

Source: Informa Telecoms & Media’s 2006 Mobile Content Industry SurveySource

15

The Predictions

*Correct as at September 2006.

While predictions do vary, the overall message is one of growth for mobile advertising in all key territories.

Source: eMarketer January 2007

Research Film Prediction Comment

eMarketer USA: $421m in 2006 to $4.7bn by 2011 Mobile advertisment only WW: $11.3bn by 2011

Yankee Group USA: $40m in 2006 to $2bn in 2010 Mobile advertisment only

Ovum USA: $46m this year to $1.3bn in 2010 Accounts for text delivery advertising only

Strategy Analytics USA: 17% of total online ad spending by 2010, SMS and display advertising while browser based advertising will claim the greatest share with 44%

Jupiter Research USA: $2.1bn in 2011

ABI Research WW: $19bn by 2011 Mobile marketing and advertising combined

Informa Telecoms WW: $1.5bn by the end of 2007 to $11.5bn by Mobile advertisment onlyand Media* 2011

Shosteck Group WW: grow to $9.6bn by 2010 Mobile advertisment only

Mobile Advertising US Spending Projection, 2006-2011 (US$m)

5000

4500

4000

3500

3000

2500

2000

1500

1000

500

0

2006 2007 2008 2009 2010 2011General Mobile Ad Spending Mobile Multimedia Ad Spending

410

11

878

26 55 110 213402

1547

2285

3202

4356

16

Which Territories are Seeing the Biggest Growth?

Welcometothenewplayersinthemarket.India,ChinaandAsiaareamongstthenewbattlegrounds;with

China already having more mobile users than the US. Across these regions there is a common vein, many

consumers own or prefer purchasing a Smartphone over a PC. So the trend toward mobile content is high.

With wealth increasing in these territories, mobile advertising revenue in these emerging markets is

expectedtobeamajorcontributortotheoverallglobalmarket.

An Appetite to Receive

Thechangesbroughtaboutbythenewmobileworldorderwillbenefitthemobilemarketingbusinesscase.

The application of knowledge and techniques applied in the internet space will allow brands to opt for and

better measure mobile as a viable channel. Also, consumers will increasingly show a willingness to receive

advertising on the device.

Howwillingwillconsumersbetoreceiveadvertisinginexchangeforcheapermobilecontent?

Source: 2Q06 Mobile Content Industry Survey, Mobile Advertising Services Report 2006,

Informa Telecoms & Media

How willing will consumers be to receive advertisingin exchange for cheaper mobile content?

50%

45%

40%

35%

30%

25%

20%

15%

10%

5%

0%

Source: Mobile Content Industry Survey Informa Telecoms & Media

Music Games Mobile TV& Video

Idle Screen SMS/MMSUCG/Communications

Not at all willingFairly willingSomewhat willingWillingExtremely willing

17

Critical success factors

AccordingtoInforma’sMOBILEADVERTISINGSERVICESresearch,therearefourfactorsthatwillinfluence

the mobile advertising market.

Regulation - of mobile content, broadcast networks for the delivery of mobile TV, as well as for the advertising

techniques for the mobile channel, such as codes of conduct for SMS messaging.

Digital Rights Management (DRM) - is about the ability to have a clear view of who owns what content and

exactlywhatcanbetransferredacrossamobilenetwork.

Monitoring and measurement - if mobile advertising is to succeed than the critical element will be the ability

to capture data on mobile campaigns.

Pricing - the chicken and the egg debate. Will consumers pay for network time to receive adverts or will they

receiveadvertstogetfreenetworkairtime?

Mobile Emerging as 7th Mass Media:

Tomi Ahonen, Author & Consultant

Tomi T Ahonen is a four time best-selling author and strategy consultant who lectures at Oxford

University on digital convergence. Tomi’s reference customer list reads like the who’s who of mobile

telecoms, including Ericsson, Orange, Motorola, Nokia, NTT DoCoMo, TeliaSonera and Vodafone as well

as leading media and advertising giants. Tomi’s fourth bestseller “Communies Dominate Brands” was

hailed as a landmark book on old media and interactivity, user-generated content and engagement.

Tomi regularly runs workshops and seminars for leading media customers around the world. He

chaired the world’s first mobile advertising conference in 2001, presented the mobile keynote to the

Periodicals Publishing Association, and to the Media in Motion event in 2004, etc. A founding member

of Engagement Alliance, Forum Oxford, Wireless Watch, and Carnival of the Mobilists, Tomi blogs at

www.communities-dominate.blogs.com. His website is www.tomiahonen.com

19

21

The Mobile Phone has emerged as the 7th Mass Media channel. It is as different from the internet [6th Mass

Media] as TV [5th] is from radio [4th]. Trying to force concepts from the internet, TV, or other previous media

willproduceadisappointingaudienceexperienceonmobile.Butunderstandingtheuniquepowerofmobile

as the 7th Mass Media will deliver radical new concepts and new winners.

Mostof themediaexperts, includingmanyeven innewmedia,donotunderstandmobile. Itbecamea

massmediafirst inJapan justsevenyearsago,anduntil recentlywasmostlydismissedasayouthtext

messaging and viral marketing channel only. Yet the economics of mobile produce enormous opportunities.

Three times as many people have mobile phones than have personal computers. Twice as many people

have a phone subscription than a credit card, more households have mobile phones than TV sets. And

mostimportantly,themobilephonecanreplicateallofthepreviousmassmediawithsixuniquebenefits,

which is why already 588 million people consume premium content such as news, TV, entertainment and

games on mobile phones in 2007. During 2008 more people will access internet content on phones than on

theweb.Thisisnomeresci-fifantasyoftechnologybuffs;it has already happened in Japan, South Korea,

China and Taiwan.

Notthefirsttimethere’sbeenanewmassmedium

First Four Mass Media. The traditional mass media are well known and established with known formats.

News and weather work on radio, long-form stories in books and cinema; videogames work well on

recordings etc. Print is the oldest, from the 1500s, it introduced the buy-to-own business model for books

and introduced advertising and subscriptions to newspapers and magazines. Recordings [late 1890s]

introduced performance media separating the creative element [the writer/composer] and the performer

with the global performance celebrity star, such as Edith Piaf, Elvis and the Beatles. It is possible to consume

booksandprintedcontentonrecordings,yet recordingsdidnotdestroy theprint industry; rather itbuilt

a whole new parallel media industry worth 30 billion dollars today. Cinema [1900s] turned celebrity into

superstarwiththefirstglobalicon,CharlieChaplin.

Mobile Emerging as 7th Mass Media

22

Cinema introduced moving images and multimedia content and the pay-per-view business model, ie you

hadtopayeverytimeyouviewedamovie.Manythoughtcinemawouldkillbooks;ratherHollywoodbuilt

anothernewindustryworth30billiondollarsattheboxoffice,andanother20billioninafter-salesproducts

like video rentals, DVD sales etc. Radio [1910s] brought the broadcast model with a ‘streaming’ approach

tocontentdelivery-ifyouwerenottheretolisten,youmissedthecontent;massmarketrecordingofradio

[theC-Casette]wouldnotappearuntil50yearslater.Radiowasthefirstpervasivemediummeaningitwas

omnipresent nationally and if content was broadcast, it was received simultaneously by all.

TVthefifthmassmedia [1950s]. The most dominant mass media for the past 50 years has been television,

yetTVdidn‘treallyintroduceanythingnew!Whileeachofthepreviousfourmassmediabroughtinnovations,

TVdidnot,yetinspiteofthis‘deficiency’TVsoondominatedallothers.Wehadmultimediainthecinema,

and broadcast in radio, TV only combined those. TV soon took over the news from cinema. It took over much

of the drama series and live sports broadcasts from radio. Where families in the 1930s sat around the

radio set to listen to a soap opera, concert or news broadcast, in the 1960s those families organized their

living rooms to allow good viewing of TV. TV discovered the power of celebrity, and soon shows emerged that

promoted celebrity [eg talk shows] and propelled normal people into temporary celebrity status [eg game

shows, reality TV]. After the advent of MTV, suddenly music videos - no longer radio - became the deciding

factor to a music artist‘s success.

SixthMassMedia:theInternet.Soenterthesixthmassmedia,theinternet,inthe1990s.Thisisavery

youngmedianotwellunderstood.Asamassmedia,theinternetisthefirstthatiscapable of replicating

alloftheotherfivepreviousmedia-wecanreadbooks,magazinesandnewspapersonline;viewmovies;

listentoradio;viewTV;downloadrecordingsegMP3files,computersoftware,videogamesetc.Thatiswhy

itisathreattothepreviousfivemedia.Furthermore,theinternetintroducedtwoelementsnotpossibleon

previous mass media: interactivity and search. Yes, we could write to the editor of a newspaper, but still,

mostofthemassmediadidnothaveanyrealisticmass-marketinteractivityabilitytenyearsago;onthe

webitisbuiltin.Andsearch?Ithasbecomethemostusedapplicationontheweb.Capableofdoingwhat

all other media can do, and adding two powerful new elements, it is no surprise the internet cannibalizes

existingmassmedia.Nottomentionthecostsofproductiononthewebareatinyfractionofthoseofowning

aprintingpress,abroadcastlicenseornetworkforexample.

23

Mobile newest, also least understood

Sowhatabout the7thmassmedia? The mobile phone emerged as a mass media from about the year

2000. The youngest of the seven mass media, it is by far the least understood. Many see similarities to

the internet, thinking that because of the small screen and less convenient keypad, the mobile internet

issomehow‘simpler’or‘dumber’.SimilarlymanyTVexecslookatthetinyscreenandthinkTVonmobile

is somehow a ‘reduced’ offering, where viewers will only ‘snack’ at selected highlights. Nothing could be

further from the truth. In fact the mobile phone as the seventh mass media is by far the most powerful. It is

asdifferenttothewebasTVistoradio;mobilemedia‘sinfluencewillbegreaterthanallwe‘veseensofarof

the internet, so much so that mobile to internet will be as dominant in its media audience reach and media

impact on society as TV was to radio in the second half of the last century.

Like the internet before it, today the phonecanreplicateeverythingtheprevioussixmassmediacando. You

can consume newspapers, read magazine articles, listen to radio and podcasts, buy MP3 songs, watch TV,

even watch whole movies on the phone - Nokia shipped Mission Impossible 3 on a memory card with the

N93phones[andthe2hourmovieworksfineonthehigh-resolutionscreenofthatphone].Anywebcontent

can be consumed on the phone, and the phone easily supercedes the interactivity of the web, because e-

mail and IM are already on the phone, but SMS and MMS messaging are unique to mobile. Similarly search

alreadyexistsonmobile.Already in 2006 the value of paid content on mobile at 35 B USD is bigger than

on the fixed wireline internet at 25 B USD.

Mobile has 6 unique benefits

The power of the mobile phone as a mass media is due to six elements not available on previous mass

media. [1] The phone is the first truly personal medium. A 2006 survey by Wired revealed that 63% of

the population do not share the phone even with one‘s spouse, it is that personal. [2] The phone is always

carried. A survey in 2005 by BDDO found that 60% of the population sleep with the phone physically in

bed;aNokia2006studyfoundthat72%ofususethephoneasouralarmclock.[3] The phone is the first

always-on mass medium, today many media offer alerts via the phone, what is on another real time medium

like TV, such as CNN breaking news alerts via SMS.

Probably the most important, is that [4] the phone has a built-in payment mechanism. No other medium

has a built-in payment mechanism, even on the internet you have to subscribe to PayPal or provide a credit

card, etc. But already today, older media collect payments through the mobile phone. Habbo Hotel the web

online playground collects micropayments through premium SMS. TV shows from Big Brother to American

Idol earn billions via SMS votes. Some gaming and chat cable TV channels in Europe earn 80% of their total

revenues from mobile payments.

Tapping into the social networking and user-generated content phenomenon, is that [5] the phone is a

creative tool available always at the point of creative impulse.ForexampleTimeMagazine‘sPersonof

the Year 2006 was the ‘You’ of User-Generated Content. Mostly when the photo opportunity emerges, our

digital camera is safely at home in its camera case. But the cameraphone [which is also our video recorder

and podcast recorder] is in our pocket, always at the ready to snap images and clips. User-generated content

is radically altering the media world as seen at YouTube, Ohmy News and SeeMeTV.

24

Lastly but perhaps most relevant to the legacy media, [6] mobile captures the most accurate customer

information in any medium. AMF Ventures measured the relative accuracy of audience measurements

onTV,internetandmobile,inMay2007,findingthatonTVonly1%ofaudiencedataiscaptured;onthe

Internetabout10%ofaudiencedataiscollected;butonmobile90%ofaudienceinfocanbeidentified.

Considering media content targeting and advertising, this means that for practical purposes we know the

exact composition of our total audience,individuallyandexactly-andevenwherethemediaisconsumed.

Notevenonthewebdowehavethislevelofprecision.CRMwillberevolutionized!Itisnotsurprisingthen

tofindthatinJapan,54%ofallmobilephoneusersreceiveadvertisingontheirphones,andwithtargeting

and personalization, 44% like the ads so much, they actively click on the ads.

Don‘t focus on the limitations

Of the limitations to consume, the phone has a screen smaller than that of TV or a personal computer, that

istrue.Thatisbalancedagainstitbeingalwayswithus,oftenusedinparallelwhenwatchingTVonaflat

screen-30%ofJapaneseTVviewersalreadydothis;20%oftheBritishvoteviamobileinrealityTVshows.

The same holds for the keypad.Yes,alaptophasabetterkeyboard,andwritingabookforexampleismuch

easier on a PC than tripple-tapping on a phone keypad. But the phone has the camera [a picture worth a

thousand words], the microphone [podcasts], and now: 2D barcodes, as the quick shorthand of the digital

generation. You don‘t type the name of your colleague from the business card, you zoom to the 2D barcode

[thatlittlesquarethatlookslikeafingerprint]andyourphonereadsthetext init -thephone‘magically’

replaces the need for any typing at all.

As to content migration, in 2006 already 18% of all music worldwide was sold to mobile phones [mostly

ringtones], as is 14% of video games. TV and advertising has also moved into mobile during 2007. News

and search are showing strong signs of moving that way as well. What is important to note, is that the phone

willnotkillothermedium;theywillalladjust,likeradiodidtoTV.Allsevenmassmediawillcontinue.But

only those who understand the power of mobile will be able to share in its success. Just like those who

understood interactivity and search on the web.

27

A Brief History of the Mobile Phone

The mobile phone was invented1 in 1973 by Dr Martin Cooper, a former general manager at Motorola. The

firstcallwasmadeinApril1973byDrCoopertohisrival,JoelEngelwhowasHeadofResearchatBell

Labs,butitwassometimebeforemobilephoneswereavailablecommercially.Probablyourfirstmemories

ofmobilephonesarefromthe1980swhenthehandsetswerelarge,expensiveandtypicallyusedbycity

high-fliers.Todaythingsareverydifferent:nearlyeveryoneintheUKhasamobilephone,withmanypeople

having one for business and one for personal use. The table below shows how common the mobile phone

has become in a short space of time.

The table below shows mobile penetration rates in selected countries.2

Notonlyhasthemobilephonebecomesynonymouswithmodernliving,sohastextmessaging.3 The network

operatorsneverthoughttextmessagingwouldbecomearevenuestreamforthem;itwasoriginallydesigned

by engineers to check whether or not the line was working. As such, the technology was embedded on all

mobilephones,albeitbehindthescenes.However,intheearlydaysoftextmessaging,fewpeopleknewof

itsexistencebeyondtelecomsengineers.4

Just a few years later, customers discovered the messaging tool on their mobile phones and started to use

ittoseewhatwouldhappen.Thismeantthattheysentatextmessagetoafriendandthisstrangemessage

appearedontheotherperson’sphoneandinappearing,washowthenextcustomerfoundoutaboutthe

textmessagefacilityontheirphone.Thiswastrueviralmarketing.

By1999textmessagingwasprovingsopopular thenetworksrealisedthat therewasarevenuestream

availabletothembypromotingit.Atthistime,wesawthefirstadvertisementsincludingtextmessagingas

partoftheservice.Textingtookthenetworkoperatorsbysurpriseatfirstandtheywerenotgearedupfor

large volumes of messaging going through their systems.

Total population 59.4m 297m 41.1m 1081m 127.8mUrban population (per 1000 pop.) 89.2% 80.8% 76.7% 28.7% 65.7%

No. of households 25.3m 110.2m 15.0m 202.9m 48.5mAverage number per household 2.4 2.6 2.7 5.3 2.6

Telephone lines per 100 pop. 56.4 60.5 41.5 4.1 46.0Mobile telephone subscribers per 100 pop. 102.2 62.1 86.5 4.4 71.6

Computers per 100 pop. 60.0 76.2 24.4 1.2 54.2

Cost of living December 2005 (New York=100) 125 100 95 47 136

Colour TVs per 100 households 98.2 99.6 98.5 35.1 99.0

UK US SPAIN INDIA JAPAN

28

Itwasalsoaroundthistimethatthefirstmobilemarketingentrepreneursputtheirthinkingcapsonand

worked out that the mobile phone could be an incredibly important advertising communications channel.

Youngpeoplewereembracingtextmessagingandinturn,theirparentsandgrandparentswerefindingout

abouttextmessagingasitwastheeasiestwaytokeepintouchwiththeyoungpeopleintheirlives.

Thosefirstcompaniestothinkaboutcommercial textmessagingand inparticular,usingtextmessaging

formarketingincludedZagMe,Flytxt,12snapandEnpocket.AllthesecompanieswereVC[VentureCapital]

funded and to a certain extent were creating concepts and rules as mobile marketing simply hadn’t

been invented at this stage. So it was a steep learning curve both from a technology and an operational

perspective.

Eightyearsonandthemarketisreallyfindingitsfeetandthevaluechainisbecomingcleareralongwith

companies’ roles within that ecosystem. But we are just at the start of the mobile journey when compared

with the previous 6 mass media, as pointed out in Tomi Ahonen’s article ‘Mobile Emerging as 7th Mass

Media’

Developments in Mobile Technologies

In terms of technology we are now at a combination of 2.5G5 and 3G

6 and have multi-media messaging

[withpictures,animations,videoandsound],Javagames,MP3musicfiles,instantmessenger,emailand

lots more besides.

Mobile technology can be likened to television. In the early days of television, it was amazing to have moving

picturesinyourlivingroomatalleventhoughitwasaverysmallscreen;televisionwasnotbroadcastall

day and viewers were subjected to the test card for long periods of time. Who could have imagined back

intheearlydaysoftelevisionhowthetechnologywouldprogress–colourtelevision,over300channels,

video, dvd, surround sound, Tivo/Sky Active, interactive television, games to play on your television, digital

television,videoondemandetc?

Mobile technology is on a similar roadmap. In the early days, we had small screens with black and white

text,butitwasamazingthatyoucoulddomorethanjusttalkonyourphone.Weareinthe‘colourtelevision’

age of mobile telephony. Most handsets on the market now have a colour screen and camera as standard

features, and we’re seeing the emergence and acceptance of new technology features such as Bluetooth,

mobile internet, Java, email, television and more. Who knows what will emerge in the years to come as the

costofthetechnologyreducesanddataspeedsincrease?

So why not have another look at your phone and think about how you use it. Already you may be using it

fortalkingandtextmessagingandquitepossiblyasanalarmclockandcalendaraswell.Someofyouwill

have downloaded applications such as Googlemail, Googlemaps or Shozu on to your phone, changed your

ringtone and probably sent and/or received an MMS message to boot. OK, you might not do these things all

thetime,butthechancesareyou’vedonethem!

29

Why Mobile is Important

You’re probably reading this guide because you’re already engaged in mobile marketing or advertising

activities or you’re thinking about it. Mobile has already come a long way and this section gives some

statistics and useful information to show how mainstream mobile has become, as well as penetration rates

and usage statistics which will help you gauge how relevant mobile is or isn’t for your particular audience,

product and company.

Did you know

Thereis102.2%mobilepenetrationintheUKaccordingtothelatestoperatorfigures.

[Source: Economist Pocket World in Figures, 2007]

In the UK, 4,825 billion messages were sent during September 2007, an average of over 1,2 billion

messages every week. This equates to the same number of messages sent during the

whole of 1999.7

Over 15 million handsets are replaced per annum which is about a third of all handsets. The

typical upgrade time is currently 18 months for a mobile phone but seven years for a landline. The

difference being that a landline is seen as a utility and the mobile phone as an object of desire.

When was the last time you had a debate in the pub over the fact that your landline telephone was

betterthanyourmate’s?

GlobalSMStrafficoverthe2007/2008NewYearperiodincreasedby30percentcomparedtothe

sameperiodlastyear.Aroundtheworld,phoneuserssentatotalof43billiontextmessagesto

wish their loved ones a happy New Year.8

10%ofUKhomesonlyhaveamobile[figurerisesto14%inScotland].Thisisparticularlyprevalent

in lower income households, where the mobile phone is treated as a landline and is often plugged

permanently into the wall. Usually this will be a Pay As You Go phone which means that there are

no monthly rental charges to consider and outgoing calls can only be made when there is enough

credit on the phone, although you can receive calls any time. This is also the case in some high

income households, e.g. a businessman constantly on the move with little need for a landline.

[Source: Ofcom 2007]

Prepaystillmakesup64%ofthemarket.[Source:Ofcom2007]Althoughthisfigurehasfallenin

thelastfewyearsfromover70%,itisstillasignificantpartofthemarket.Ifsomeonedoesn’thave

credit on their phone, it does affect their ability to reply to your message at all. Also the networks

expirepre-paynumbersveryquickly–sometimesafteronlyafewweeksofnon-usage–withthose

numbers recycled in as little as 3 months.This is worth bearing in mind when dealing with customer

database lists and CRM. Another point worth noting is that typically, a customer has on average £2

of credit on their phone, so this is something to remember when asking them to pay for stuff on their

phoneoraccesscontentwheretheirdataratechargesmaybeexpensivee.g.iftheyarenotona

flatratetariff.

•

•

•

•

•

•

30

80%ofunder25smorelikelytotextthantalk.10

85.8%ofUKmobilecustomerssentatextmessageinthelastmonth.11

25% of under 10s have a mobile phone.12

14 million or 30% of UK users browsed WAP in the last month.13

Ofcom recently published their annual communications report which includes a section on mobile telephony.

Theirfindingsareusuallymoreconservativethanfiguresfromotherresearchcompanies,butstilltheresults

are encouraging. 92% of the under 45 UK adult population use a mobile phone, falling to 70% of over 45s.

Usage for the under 45s has changed little between 2005 and 2006 but amongst the over 45 age group it

has increased from 66% to 70%.

Use of mobile services also varies according to socio-economic group, with 85% of UK ABC1s

using a mobile phone in the last year compared with 76% of C2DEs which is broadly similar to the

previous year. The important thing to note from this is how widespread mobile usage actually is.

The report shows us the use of online and mobile applications which is interesting to compare and

contrast as mobile services move forward. Today 79% of mobile users use their handset to do more

thanmakeorreceivecalls,64%ofthemaretextingand53%ofthemareusingvoicemail.Taking

pictures with your phone is popular with 40% of customers doing this and 25% of customers actually

using MMS, 17% of the UK’s mobile owners have 3G and 3% of all mobile users are using video

calling, although I still haven’t seen anyone use video calling in the wild yet.

3G take up is greatest in London at 21% penetration and lowest in the North of England at 14%.

Unsurprisingly Urban take up is slightly higher at 19% than rural at 12%.

Use of Mobile Applications

Base: All adults 15+ who have a mobile phone

Source: Ofcom, The Communications Market 2007

•

•

•

•

•

•

•

80%

60%

40%

20%

0%

79%

52%40%

25% 20% 20%12% 10% 10% 9% 8% 7% 7% 4% 3%

64%

Any

Text

m

essa

ging

Voic

emai

l

Take

pho

tos

Pict

ure

Mes

sagi

ng

Pers

onal

or

gani

ser

Play

gam

es

WA

P

Send

/rec

ieve

vide

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ips

FM R

adio

Use

IMr

chat

func

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Dow

nloa

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ms

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dvi

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clip

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ream

ing

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lling

Base: All adults 15+ who have a mobile phoneSource: Ofcom research, 2006

Use of Online Applications by Dial-up & Broadband Internet Users

Base: All adults 15+ who have access to the internet at home

Source: Ofcom, The Communications Market 2007

The network operators are gaining ground in different parts of the country with O2 winning the battle,

particularly in Scotland and Northern Ireland. In London, however, T-Mobile has 36% market share.

More detailed information is available from the Ofcom report ‘The Communications Market 2007’ which is

available as a free download from www.ofcom.org.uk

31

Any

Sending and recieving email

General sur�ng/browsing

Purchasing goods/services

Looking for/downloading info for personal use

Banking

Looking for/downloading info for work

DOwnloading music/�lms/video clips

Looking for/downloading info for college

Instant messaging

Playing games

Realtime gambling/auctions

Other

None of these

0% 20% 40% 60& 80% 100%

Base: All adults 15+ who have access to the internet at homeSource: Ofcom research, 2006

Broadband

Narrowband

100%

80%

60%

40%

20%

0%

UK

Engl

and

Scot

land

Wal

es

NIre

land

Lond

on SE SW EM WM EA

Y&H NE

NW

Base: All SMEs currently using mobiles

Source: Ofcom research, 2006

Vodafone O2 T-Mobile Orange Three BT Mobile Other/Unsure

1 See Wikipedia for more information: http://en.wikipedia.org/wiki/History_of_mobile_phones

2 Source: The Pocket World in Figures 2007 published by The Economist.

3 Atextmessageis160characterslong[includingspaces)andcontainsnoformatting.ItisfreetoreceivestandardSMStextmessagesintheUK,butnotinall

countries.IntheUS,somenetworkschargeforcustomerstoreceiveeachtext.AlsoseeWikipedia

http://en.wikipedia.org/wiki/Short_message_service.

4 ThefirstSMS[textmessage)wassentinDecember1992ontheVodafonenetworkintheUK.Itwasoriginallycreatedforinternaluseanditnevercouldhave

been predicted it would become so popular.

5Also known as GPRS [general packet radio switch) or WAP over GPRS. In consumer terms, this allows faster connection to the mobile internet and data transfer.

6 3G is a faster connection to the mobile internet and data transfer thus allowing, in theory, more reliable voice calls and faster data transfers. It is sometimes

dubbed as broadband on your phone, but realistically, 3G speeds are not always so fast or reliable. This will come as the operators roll out 3G to all their

consumers.

7 SourceMDA:http://www.text.it

8 Source Acision

9 SourceMDA:http://www.text.it

10 SourceMDA:http://www.text.it

11 Source: m:metrics Spring 2007

12 Source: MORI

13 Source: m:metrics

32

19

Mobile Marketing Past, Present and Future:

Russell Buckley, Managing Director Europe, Admob

Russellisoneoftheleadingexpertsonmobilemarketingintheworld,havingoverseennearly2,000

campaigns since 2000. Russell is the co-author of MobHappy, one of the most popular mobile

marketing and mobile technology blogs on the web. Before joining AdMob, Russell spent over 15 years

workinginmarketing,includingadvisingleadingbrandssuchasCoca-Cola,Diageo,TexacoandMars.

In 2000, he was recruited to be Director of Marketing of UK-based mobile marketing start up, ZagMe,

one of the leading pioneers in mobile advertising. Russell learned about AdMob soon after its launch

and immediately saw the potential. He gave up his consulting practice to join founder Omar and launch

AdMob in the European market.

35

36

Foryearsmarketersandmobilistsalikehavebeenexcitedabouttheprospectsformobilemarketing.But

despite their evangelising and the obvious potential of the mobile channel, it seemed to be locked in a

permanent winter. However, 2007 saw a definite thaw as new businessmodels emerged that promise

great things.

Themainreasonwhymobilemarketinghasn’treallytakenoffhistorically,hasbeenthemixedresultsthat

the various techniques have generated. In the beginning, we had SMS push campaigns, where the user

opted-in to receive alerts from advertisers, or triggered by an event, such as going shopping in the mall.

Whilethissoundslikeagreatideaforadvertisersandcustomersalike,therealityisthattheexecutionis

fraught with issues.

Firstly it is expensive to send, meaning that many potential advertisers couldn’t justify the return on

investment.Thentherewasthetrickyproblemofgettingcustomerstoopt-ininthefirstplace.Finally,while

thedefinitionofspamrevolvesaroundpriorpermission,therealityisthatitdependsonthecontextofwhen

the message is received. If the customer gets it at the wrong time, in the wrong mood or even if the content

wasn’t valuable, it’s simply condemned as spam.

SMS is more about CRM (Customer Relationship Management) activity, like airlines sending travel updates

orcreditcardcompaniessendingtransactiondetails,orforusersto“pull”informationtotheirphonesfrom

other media. For instance, someone might send an SMS as a result of seeing a poster campaign to ask for

stockists,orenteracompetitionthey’veseenonacerealbox.

SMS pull is already a well established technique and is one that will continue to grow. A recent report from M:

Metrics found that 18.5% of UK adults had interacted in this way with a marketing campaign in the previous

month alone. Ultimately, marketing without an SMS short code will look as odd today as marketing material

withoutawebaddress. Indeed, it’spossible thatphone interactionwill supersede thefixedwebas the

preferred communication channel, as it encourages immediate interactivity and thus higher responses.

AsusefulasSMSis,2007sawthelaunchofanewwayformarketerstousethemobilechannel–Mobile

Web Advertising. And unlike its predecessor, SMS push, it’s proved unequivocally to generate consistently

highresultsfortheearlyadopters,withmanyclaiming4timestheROIthattheyenjoyusingthefixedweb,

which in turn is already a highly effective medium.

Mobile Marketing Past, Present and Future

37

Sohowdoesthiswork?Ifwetakemycompany,AdMob,asoneofthepioneersandsuccessstories,we

partnerwithmobilewebsitesthatenjoyhightrafficandoffertorunadvertising[text-linksandgraphical

banners] on a revenue share basis. Then we make this space available to advertisers via our self-serve web

platform. This allows most campaigns to be set up and run in a matter of minutes. Advertisers can target

their campaigns according to the characteristics of mobile handset that the ad appears on, such as location,

make of handset and phone capability.

For mobile content sellers, this has meant that the mobile has been transformed from a distribution channel

into a highly effective marketing medium. All users need to do if they’re interested is click on a link and

theyget straight to the information.Compare this to traditionalTVads,asanexample,wherepotential

respondents need to grab their phone, access the mobile web [assuming they know how to and have the

right settings], type in a url and only then connect with the information.

The medium has proven to be so effective that AdMob now runs one billion ads every month, despite

only launching the platform in January 2006. AdMob also has 850 million pages a month available for

advertiserstouseandtargetthe30%ofadultswhoalreadyusethemobilewebandthisfigureissettorise

dramaticallyasoperatorsofferflatratedatapackages,handsetsgetbetter,speedsgetfasterandaswalled

gardensfalldown–allthesetrendsareacceleratingthisyear.

Another important trend is that more mainstream brands are looking to establish their footprint on the

mobilebycreatingtheirownmobilewebsites.Clearly,onceamobilewebsiteisbuilt,itwillneedtrafficand

the AdMob system is highly effective for doing this. A recent campaign saw AdMob generating 40% of the

traffic,despiteonlyreceiving0.4%shareoftheoverallmarketingbudget.

2007sawsignificantmovesinadvertising-fundedcontent,gamesandapplications,asmarketersgrewin

their sophistication in using the mobile medium.

Thefutureformobilemarketingandthemobilewebisnowlookingveryexcitingforallparticipantsinthe

valuechain,includingfortheall-importantenduser.Notonlyismobilewebadvertisinghelpingthemtofind

contentthey’relookingfor,butit’llmakeproductsandservicesavailableatsignificantlylessthanthey’re

payingforthemnow.It’sbeenalongwait,butmobilemarketinghasfinallyarrived.

Thoughts for Marketers On The Values Around New Digital Media Opportunities:

Gillian Kennedy, Managing Director, Emerging Media Platforms Ltd

Gillian began her career in media at The Observer, which was followed by 12 years at Emap working

across several markets and media. As Interactive Commercial Development Director at Emap

Advertising Gillian’s responsibilities included commercialising new digital platforms and digital new

product development. Gillian has been an early pioneer of mobile advertising, working in this area

for 6 years. 2007 saw Gillian work as an independent consultant both in UK & Europe. She has now

formed Emerging Media Platforms which focuses on scoping, implementing & communicating new

digital media opportunities for clients.

Gillian is actively involved in growing the new digital markets. A former member of DMA Mobile Council,

Gillian is a member of several digital networking groups and a regular speaker at conferences and

Thought Leadership seminars in the UK & Europe. Last year she took a diverse range of trips to the Far

East & Europe to gain greater insight into the rapidly involving digital world we now live in.

39

40

The new converged digital media world frequently represents a dichotomy for those who play a role in the

everchangingvaluechain.Communicationbetweenindividualsisagoodexampleofthis.Whilsttheprice

ofcommunicationhasdecreasedsignificantlyoverthelastfewdecades,thevaluethatconsumersplaceon

communication has increased more than ever so presenting a further challenge to those who market brands

and need to capture associated value.

Along with this comes ‘new’ new media opportunities which are made possible by fast moving new

technologies that allow us to easily interact on a global 24/7 basis whether they be online or mobile. New

content and inventory created by developments in technology present both marketers and media owners

with new opportunities and associated challenges to get it right, or at the very least make fewer mistakes

than your competitors. There is considerable uncharted territory here. With regard to inventory, the new

digital world will accommodate some standardised formats. Takemobile as an example, in Japan NTT

DoCoMohascarriedbanneradvertisingforthelastfiveyears,atrendthatiscurrentlybeingrolledoutwith

the UK operators’ advertising inventory. Whilst we can be sure search will play a vital role in this sector, we

have only just started the journey when it comes to integrated advertising formats and data targeting that

willenrichtheconsumerexperience.Itgetsreallyexcitingandmuchriskierwhenwestarttothinkabout

user generated advertising though this is probably a little further down the line.

Change, driven by technology and new distribution channels, creates a new set of rules for content owners

and marketers alike which requires some thought for those who venture into this arena. Audiences have

more control than ever before and can decide when and where they want to engage with content and who

they share it with. How audiences choose to receive content i.e. online, mobile, MP3 player and so on,

providestheplatformofchoicetoengagewithcontentandbrands,whichneedstobecreatedspecifically

for that platform. Audiences can now decide who they get content from, which includes brands or friends, as

well as what they want to receive and what they are prepared to pay for.

New media is actively consumed with audiences down-loading, searching or clicking through for more

information that is relevant to their needs. Consumption patterns include during the day in the office,

at home in the evening or when audiences are on the move and vary according to device. This active

media consumption by audiences creates a superb tool for brands to engage with audiences in an

appropriate way.

Think about what the device has to offer the consumer and how easy and useful it is in their own lives. Last

year Ispentsometime inJapanandwassuitably impressedby theenduserexperiencearoundmobile

TV.Here device features including superb clam shaped screens, ease of use functionality and flat rate

datacharginghascreatedacleverconsumercentricexperiencethatextendsaudienceconsumptiontime

ofthismedium.UKoperatortrialsofmobileTVindicatethatmobileTVwillextendtimespentconsuming

this medium and 30 minute sessions will become a reality. What a fantastic new canvas for brands to start

enriching and engaging their audience. The new rules around successful marketing within ‘new’ new media

needtoputtheaudienceincontrol.Getthisright,andsuccesswillfollow!

Thoughts For Marketers On The Values Around New Digital Media Opportunities

23

Mobile Has Always Been All Inclusive:

Mike Short, Vice President R&D, 02 Europe

Mike’s career spans 32 years in Electronics and Telecommunications, with the last 19 years in Mobile

communications. He was appointed Contracts Director of Cellnet in 1989 with multi-million dollar

infra-structure investments and UK interconnect agreements. In 1993 the focus moved to establishing

Cellnet’s GSM service and he was elected Chairman of the GSM Association for 1995/96 and served

ontheExecutiveBoardfor5years.

Mike’s focus today is on Third Generation cellular, Mobile TV and steering O2’s Group Research and

Developmentinmobile.HealsoisamemberoftheUKHomeOfficeInternetTaskForce,OSAB(Ofcom

Spectrum Advisory Board) and has been chairman of the UK Mobile Data Association since September

1998. He was appointed VP Technology for O2 in 2000, Visiting Professor at Surrey University in 2003

and Board Member University of Coventry in 2006. He is a Fellow of BCS/ RGS / CIPS and a member

of IET and the Royal Television Society.

43

44

Theobsessionwith3Gsuggestsaninexorablequestforspeedandanewgenerationoftechnologywhenit

really is about capacity, capability and content. As we move into the broadband world we also must not forget

the4thC–theCustomer.Butthecapabilitytomeetmarketneedsisalsodrivenbyprogressontheinternet.

Mobile 2.0 will soon be with us opening up a whole new world of content and applications.

Taking recent figures from InsightResearch the global telecom revenues in2006areexpected to grow

annually by 5.91% [CAGR] to 2010, from $1.24 to $1.56 trillion, as the diagrams below illustrate:

Mobile Has Always Been All Inclusive

$170B $250B

$589B

$467B

$774B

$443B

$592B

2006 - $1.24 Trillion 2010- $1.56 Trillion

$16B

CAGR - 2006/10

Broadband Wired 10.5%

Narrowband Wired 1.4 %

Broadband Wireless 51.7%

Narrowband Wireless 7.8%

People are spending more and morefree time online

Most popular leisure activites amongst Europeans

Listening to music 67%Watching �lms/DVDs 65%Sur�ng the internet 60%Travelling 58%restaurants/bars 40%Walking/rambling 38%Gardening 36%DIY 34%

Sources: Fig 2 Fonester

Fig 2

Narrowband wireless growth is driven by cellular and its share is anticipated to grow from 47.4% to 49.6% of the global total revenues. However, it is broadband wired and wireless that show the fastest growth rates. As also illustrated by this guide this is driven by a wider demand for Applications than purely voice services.

People are spending more of their free time online [as seen in Figure 2] and broadband adoption including 3G continues to grow.

In terms of internet and comparisons this is not the special positionforEuropealone–over1billionnewphonesor3000perday are being shipped worldwide this year.

In Asia, India reached 187 million customers by the end of June 2007, and based on 6 million growth per month it is likely to exceed 200million during September 2007. According to ‘TheMobile World’ research, China remains the largest mobile market in the world with 484 million customers and with growth currently at 7million permonth should exceed 500million in a similartimeframe. By contrast Japan should have reached 100 million, but with themajority being 3G for the first time in September2007–andthe leadingmarketglobally for3Gbasedonthesecustomer numbers.

Sources: Fig 2 Forrester

45

The evolution of the internet to Web 2.0 and beyond will have a more profound impact on applications

development. Web based applications will move from ‘consult / surf / search’ to ‘share / collaborate /

exploit’withWeb2.0capabilityandeventuallyto‘suggest/happen/discover/provide’,allalongsidea

general trend from content ‘pull’ to ‘push’.

Early examples ofWeb 2.0 we see areMy Space, Facebook, 2nd Life,Wikipedia and some enterprise

collaboration tools. When we look to see how Web 2.0 will impact mobile, it not only takes us into a wider

world of partnerships partly based on mobile content but also into the growing market for mobile applications

or Applications, Anywhere, Anytime.

We already see growing interest in mobile video and TV from the growth in downloads and mobile broadcast

TVtrendsaroundtheworld.Wealsoexpecttoseeallphonessoldby2010tohavemobileemailandmobile

internetcapabilities–asanindustryweneedtomaketheseapplicationsaseasytouseastheyare

to sell.

Other mobile applications will be based on combinations of Web 2.0, and messaging telematics. For

exampletransporttelematicswillevolvefromnavigationtojourneymanagement[withcongestionalerts,

breakdownandotherinformationservices];parkingwillgetsmarterforconnectedcars;congestionanalysis

viawirelesswillsupportroadresourcemanagementandusercharging;environmentalsensorswilloffer

pollutioncontrol;connectedroadswilloffermoreroadsafetyandbetterinformeddriversandpassengers.

In education a further phase of connected learning growth is anticipated as mobile access speeds [through

3GandWiFi]extendtheresearchexperiencefromthelectureroomtotheschoolclassroom.Earlyexamples

ofusagewillbeseenwithfieldtripsandgeoblogging,supportedbymobilecameras.Thisislikelytobe

followed with wider shared learning based on PDA’s becoming EDA’s or Educational Digital Assistants. It is

widelyexpectedthatdigitalhomeworkandInteractivelearningwillfollow.

Video/TV

Transport

Energy &

Environment EducationHealth

Content / messaging

wireless

Web 20

Web 10

46

Inhealthwealreadyseeexamplesof‘wellness’beingtestedaspartofsportstrainingusingmobiledevices,

oftenwithGPSandtypicalsportsmonitors.Thisisexpectedtoevolveintowidersocialandhealthcareas

both low power monitors and short range [Bluetooth/ Wibree] wireless connectivity develops. Social care

in the community will require better mobile alarms and alerts, to compliment developments towards the

digital home of the future.

The further growth in telematics for societal requirements [Transport, Energy and the Enviroment, Education

and Health] will be supported by growing GSM economies of scale and systems integrators. Harbor Research

predict the machine to machine market [M2M] could reach annual revenues of $290 billion by 2011

[$200Bn services / $80 Bn operations / $10 Bn hardware], but this will require applications partnering and

ecosystems to be more fully built.

As we continue to move from a verbal to a visual world, Web 2.0 and beyond will play a much bigger part in

mobile communications. With more [mobile] phones than people in many parts of the world we are now able

toofferamuchwiderrangeofapplicationsandsolutions–aworldofApplications,Anywhere,Anytime.

48

Mobile marketing is the ability to connect brands to customers via the mobile phone. In its early days, this

meantSMS,ortext,marketinge.g.sendingouttextalerts–thefirstbeingnoticesforUKclubbersinIbiza.

Thisnowcoversmuchmoreasthetechnologyhasdevelopedoverthelastfiveyears.We’vemovedfrom

simple textmessaging, black andwhite operator logos andmono ringtones to true tones andMP3 [so

it’s the real music on your phone], video clips, streaming video, games, multi-media messaging, instant

messenger and more.

What is Mobile Marketing and where does it fit in the Marketing Mix?

Mobile marketing is about having the ability to connect with consumers via their mobile phone wherever they

happentobe:theoffice,collegeorschool,thepub,thetheatre,outshopping,outplaying,walkingthedog,

at home watching television, in bed listening to the radio. Wherever you are, with the right permissions, you

can connect customers and clients and vice versa.

Mobilemarketingfitsacrossmanymarketingdisciplinesincludingsalespromotion,CRM,directmarketing,

above the line, interactive, integrated, loyalty schemes or it can stand alone.

The 5 Cs of mobile = Connectedness

We are now living in a new digital age where the network effect is dominant. With online social networking,

web 2.0 approaches to internet and other businesses and the easy availability and access to information,

entertainment and people 24/7, it really is a connected world. This is never more so than with mobile

phones which increase our accessibility to people and information wherever we, or they, may be.

With reference to articles by authors Paul Golding14 and Tomi Ahonen, there are at least five primary

elements to consider when developing campaigns and applications for the use of mobile phones.

Mobile Marketing & Advertising

49

1. Communication

Themobilephoneisprimarilyacommunicationsdevice.Itallowsonepersontotalktoanother;itallows

one person to send a message to another via SMS, MMS, instant messenger or email. It even allows us to

communicate in pictures, audio and video and multi-player gaming. But it’s fundamentally about allowing

one to one communication. For marketers it’s all about communication and if used wisely the mobile phone

canbeasimportantapartofthemarketingmixasdirectmarketingandemailare.

Communication is also evolving into richer forms including emoticons, images, audio and video. This is

obvious if you watch any young person interacting on MSN, Yahoo Messenger or Aim and see how they

personalise theexperiencebeyondnormal language.This isalsoevidentonsocialnetworkingsites like

MySpace where you can personalise your own online presence.

Marketingquestion:Whatarewecommunicating,when,towhom,whyandhow?Howarewegoingtoallow

customerstocommunicatewithus?

2. Consuming

Consumption on mobile takes two forms. We buy things for and with our mobile phones: we may decorate

our phones with phone jewellery or flashing stickers; and we pay for ringtones, images and videos to

personalise them.

In addition, now that we have full multi-media access on our phones, we’re also consuming a wide range

of content from video news clips, casual games like Sudoku and news services. It could be argued that we

‘consume’ messages from loved ones and marketers alike.

Marketingquestion:Whatdoourcustomerswanttodoontheirphones?Howdoesthatfitinwithwhatwe

wanttocommunicate?

3. Communing

The mobile phone allows us to connect with the digital world and have a presence or be ‘always on’. It

means that we have access to information 24/7 and that others can connect to us 24/7. This allows a level

of access we have never had before, even with the advent of broadband on our computers. It means we

canfindoutanythingwewantatanytimewithadevicethatsitsinourpocketandiswithustwenty-four

hours a day. It means that we can remain ‘linked’ to people around us without having to be in physical

contactorinthesamephysicalspace.Wealsousemobilephonestofindcontactsandsoulmatesascan

beseenwiththeprevalenceoftextchatservicesandthepopularityofmobilesocialnetworkingservices

such as Flirtomatic.

Marketing question: How does our marketing effort allow customers to commune or link with us and/or the

outsideworld?

50

4. Convenience

Themobilephoneisaveryconvenientwaytocommunicatewithanotherpersonorentityorfindsomething

outbylookingituponthemobileinternetorbyaskingaTexpert15 a question. It’s a tiny device that packs

a powerful punch, some phones have hard drives of 8GB or more and most have cameras, WAP access and

the ability to download applications and games. The mobile phones we have today are more powerful than

the desktop computers we had sitting on our desks less than 10 years ago.

Marketing question: Can we make our campaign or our service more convenient for customers by allowing

mobileinteractivity?Isourserviceorcampaignconvenienttouse?

5. Control

You decide how ‘always on’ you want to be, or not. You can turn your phone off at any time. You can see

who is calling you and decide whether or not you wish to take that call. You can see who is sending you a

textmessageandyoucandecidewhetherornotyouwishtoreply.Whatthismeansformarketersisthat

the customer may choose to interact with you via their mobile. They may [or not] give you permission to

talk to them via their mobile phone. But it also means that you need to put the customer in control of that

permission and make it easy to unsubscribe from marketing activities.

Marketingquestion:Havewegotoursubscribe/unsubscribeprocessright?

Creating Mobile Moments

One of the key differences mobile phones and computers, is the way we use them and in particular the types

of things we enjoy doing with them. The chances are if you are interested in computer games you will end up

spending several hours playing the one game. At work, you can spend your whole day glued to your screen,

inputtingdata,checkingemail,surfingtheinternet,preparingdocumentsetc.

However with a mobile phone, although you may have a long telephone conversation with someone, most

activitiesareshortandsweet:‘MobileMoments’.Textmessagingisaveryshortformofcommunication;

mobile games are typically played for 10 to 20 minutes whilst waiting for a bus or commuting on the tube or

train. If you vote in TV shows such as Big Brother or I’m a Celebrity Get Me Out of Here, it takes just seconds

and you get a feeling of instant reward. Browsing on WAP sites can still be slow, although it’s getting better

with 3G becoming more mainstream, so you’re unlikely to spend hours doing it [yet]. So when embarking on

a mobile communications strategy, think ‘short and sweet’ and look towards creating that ‘mobile moment’

ratherthanamobilehalfhourormobiletwohours.Asconsumers,we’reusedtoinstantgratification,and

the mobile phone is an ideal way to feed that addiction.

51

The Mobile Marketing Value Chain

With ABI Research stating the global mobile marketing and advertising sector will be worth US $19 billion

by 2011 and the Internet Advertising Bureau ‘Engage for Mobile’ conference in November 2007 claiming

MobileAdvertisingissettotakeupmorethanhalfofadvertisers’budgetsby2012;thingsarelookingvery

positive for the key stakeholders in the mobile marketing value chain.

Brands

Brands have realised it is no longer enough to ‘push’ marketing campaigns at consumers, they need to

involveandengagewiththemtofindnewwaystocreateandretainloyalty.Mobilehasgivenbrandsaunique

opportunity to do this and create a two-way relationship, ultimately building product awareness, driving sales

andretainingloyalty.Byusingmobileaspartofamarketingcampaignbrandscanreachaspecifictarget

audience, via a time-sensitive, measureable medium.

Marketing / Digital Agencies

Mobile has transformed the media landscape over the past seven years, with many big agencies such as

Ogilvy and Saatchi launching an interactive digital division that includes mobile services. The increasing

sophistication of the handsets themselves, with integrated media players, high resolution imaging and

cameras have in turn given agencies more scope to work with to create interactive, innovative campaigns

that help drive consumer engagement.

Mobile Advertising Networks

CompaniessuchasAdmobandEnpocketpartnerwithmobilewebsitesthatenjoyhightrafficandofferto

runadvertising[text-linksandgraphicalbanners]onarevenuesharebasis.Theymakethisspaceavailable

to advertisers via self-serve web platforms. This allows most campaigns to be set up and become operational

in a matter of minutes. Advertisers can target their campaigns according to the characteristics of mobile

handset that the ad appears on, such as location, make of handset and phone capability.

Search Engines

Many customers are accessing the mobile internet through established, web-based vendors such as Yahoo,

Google and MSN, rather than use the network operator’s searching tools, putting the search engines in a

strong position.

Mobile Marketing Service Providers

Service providers, such as Tanla Mobile, are a full service mobile agency, that provide a complete solution

to technically enable mobile marketing and advertising campaigns, working in partnership with the other

players in the mobile marketing value chain.

Network Operators

Network Operators are moving away from the walled garden approach to portals, opening up their network to

third parties, to encourage competition and increase data usage through the provision of new and innovative

content. They have traditionally charged consumers to buy digital content from their mobile portals, and are

now beginning to share demographics and mobile media consumption insights with brands as they move

to advertisers funded models.

52

Different Types of Mobile Marketing Campaigns

Asmentionedearlier,mobilemarketingfitsinacrossawidevarietyofmarketingdisciplinesaswellasbeing

achannelinitsownright.Itwasfirstusedmostfrequentlybysalespromotionagenciesasaveryconvenient

waytomanageacompetition–theubiquitous‘textandwin’promotion.Nowthereisnoneedtodealwith

sack loads of mail and the data inputting post-campaign to allow for a follow-up campaign which means that

smart direct marketers can step in and take advantage of the opportunity.

TexttoWin

This is a very convenient way to manage a competition or prize draw. A number is published on a pack,

poster,magazine, TV or email and the customer is asked to text in aword, lucky number, answer to a

question or their own details for a chance to win a prize to a ‘long’ mobile number16

or a shortcode17.

It also means that you are able to do a follow up campaign as this is also a convenient way to kick-start

building your own list and you can do reporting and analysis by measuring repeat entries, times and date

of entries etc.

Voting and Participation TV

Weareall familiarwithtextvotingonthetelevisionforprogrammeslikeBigBrother, I’maCelebrity,Get

Me Out of Here, The X Factor and Britain’s Got Talent. We’re also seeing polling and voting and ‘ask a

question’via textmessageonmoreseriousprogrammessuchas theBBC’sQuestionTime. Inaddition,

mostnationalandregionalnewspapersusetextmessaging,andinparticularvotingandpolling,asawayto

engage customers in a simple dialogue. Again it is a good way to build a customer database list as well as

encouragingparticipation.Similaranalysiscanbedoneasforatextandwinpromotionintermsofnumbers

ofpeoplewhoparticipatedandwhen,repeatusageandsoon;andincarryingoutthisanalysisyoumaybe

able to pick up on patterns of usage and create cluster groups to help with further relevant marketing and

promotions to those customers.

Some of these initiatives have been tainted recently with the scandals on the Channel 4 programme, Richard

and Judy, ITV’s GMTV and even the BBC’s Blue Peter. The misdemeanours vary but it reiterates the need for

good planning and good customer service. So, be clear with your terms and conditions and check these with

a lawyer, e.g. opening and closing times/dates, how much it costs, the criteria for entry, what money [if any]

is going to charity, any additional network charges that may apply.

Quizzes

Quizzes are eternally popular as seen with the proliferation of quiz formats on television, the popularity of

thepubquizandeverpopularpersonalityprofiling.Quizzesworkverywellonmobilephonesusingeither

textmessagingoraJavaapplication.Thebenefitofusingatextmessagingformatisthateveryonecanuse

that on their mobile phone. But on more sophisticated phones, a Java quiz application can be developed

whichallowsadeeperlevelofinteractivitythantextaloneasgraphicsandsoundcanbeincorporatedand

withalinktoaWapsiteorwebsitespecificallydesignedformobile.Thismeansthatnewquestionscanbe

uploaded on to the phone at the click of a button.

53

Thetypicalwaytostartaquizistotextinakeywordtoacentralmobilenumberorshortcodeandaquestion

is sent to you by return. The quiz can be as long or as short as you like. Typically, the questions require an

A, B, or C answer or a single word answer to keep the data handling simple. It is possible to include what’s

calledanaturallanguageenginebehindthesystemtoanalysecustomer’stextmessages,butthisaddscost

tobuildingandmanagingtheapplication.Anaturallanguageengine‘reads’theincomingtextandattempts

to recognise it and picks up on keywords within the message in order to work out how to respond.

Mobile Content [pictures, ringtones, video]

The mobile content industry is huge and has sprung up from literally nowhere. Many people have changed

their ringtone from the standard ringtone setting and experimented with pictures on their phone to

personalise it. Brands are now capitalising on the popularity of mobile content and are using it as part of

their marketing effort. A picture or ringtone can be a second or third tier prize in a free prize draw or other

competition, the content based around the brand itself. Many brands and companies employ this tactic of

rewarding customers with content for their mobile phones including Honda, Pepsi, Coca Cola, Carling and

Fosters.It’saneasywaytorewardcustomerswithoutdealingwithcomplexhandlingofsendingoutsmall

prizes in their hundreds or thousands.

Games

Mobile games are so popular that they are now an industry in their own right and all the major players in

the games industry have a mobile games division. Nokia produced the N-Gage which is a mobile phone

specificallydesignedforplayinggameswhichcompetesdirectlywithNintendoDSandDSLiteandSonyPSP

whichhaveinternet,filesharingandmulti-playergamingcapability.

Adding mobile connectivity to the mobile internet allows customers to engage in multi-player gaming

wherever they are and also allows live updates to the game and the ability to load their score on to a leader-

board. In some cases, gaming can be customised according to location so they can challenge real players

in their vicinity whether that’s using the location service from their network operator, by using a service like

Jaiku18 or Buddyping19orusingBluetoothataspecificlocation.

Mobilegamesarealsoapopularrewardforcustomers,althoughmoreexpensivetoproduceanddeliverthan

a simple ringtone, picture or even a full audio track. This is because the cost of production is typically about

£20,000 [which is small fry compared with the cost to produce a mainstream Playstation 3 game which

can run into millions]. So you have to balance the budget with the potential for ROI and what other fringe

benefitsyoumaygetfromgoingdownthegamesroute.Astechnologiesimprove,thecostofproductionwill

come down as a large chunk of the cost is down to having to customise and test for a multitude of phones.

Ofcoursesavingscanbemadeby‘reskinning’anexistingmobilegameandchangingsomeoftheimages

and screens in the game to suit your particular needs. Since the game already works across handsets and

operators, your production costs reduce dramatically provided the changes are cosmetic.

54

Applications

Thisiscurrentlystillarelativelyunexploredareaformobilemarketingbuthaspotential.Applicationscan

be fun or useful and would typically be Java based to reach the mass market, although higher end business

phones such as the Sony Ericsson P800 and P900 range and the Nokia N-Series use Symbian20 which is a

more powerful platform for applications.

The application can be almost anything you want it to be. It can keep you up to date with stocks and shares

if you’re a broker, or it could be a horoscope application that gives you your daily reading in the morning.

Development, distribution, billing [if required] and delivery would be similar to handling a mobile game.

It should be noted that as soon as you start asking customers to download an application to their phone,

that can act as a barrier so it’s not a given that you will get penetration as quickly as you might like it. That

said both Google and Opera have had great success with generating full, successful downloads of their

mobile email, mapping [Google] and browser [Opera] products.

CRM

TextmessaginginparticularisareallyusefulelementofanyCRMorCustomerRelationshipManagement

initiative. It can be used to keep customers up to date with what’s new and offer them last minute or

exclusiveoffers. Textmessaging ismoreexpensive thanemail for this kindof activity, but is potentially

quicker to run, as you don’t have the creative design and build to consider [unless you’re planning to do

MMS21].Costspertextwillvarydependingonthevolumesyouputthroughthenetworksandalsothecost

ofanyapplicationyouusemayalsobeincludedinthepertextcost.

IVR

IVR stands for Interactive Voice Response which has typically been used by large corporates to manage

incoming calls e.g. press one for yes and press two for no. It is also used to pay for mobile content and for

premium rate services off the television screen and in the back of magazines.

MMS

Multi-media messaging is becoming more popular and more readily available on handsets. Most new phones

have a camera function as standard and will also have the capability to send and receive multi-media

messages. An MMS message can contain pictures, video or animation, a sound clip [which can be used

asaringtone]andformattedtext[usingcolour,sizeandbold].Itcouldalsoincludeabarcodethatcanbe

scanned at point of sale. The typical message size is 30k for outbound campaigns. But the user sending in to

you can have varying size of MMS depending on what their handset and their network operator allows.

Direct Response Campaigns

Oneofthesimplestwaysforanadvertisertoengagewithacustomerviamobile istohavethemtext in

to a shortcode as a method of direct response to an above the line advertisement. We are seeing these

campaigns on posters, in magazines and on the television already. This is also a straightforward way to build

yourownmobilemailinglistforfuturetextcampaigns.

Some media owners are branding their shortcodes and running direct response campaigns for their

advertisers as well as their own promotions and competitions from those numbers. Viewers or listeners

understand that if the message has come from a particular shortcode, it belongs to the radio station or the

TVstationandispartoftheirbranding.Forexample,theshortcodeforBBCRadio2is88291whichisthe

same as their FM frequency 88 to 91 FM.

55

SMS responses to above the line campaigns are increasing in popularity and are generating good response

rates among consumers, as illustrated in the graph below.

3 month average ending July 2007. Source: m:metrics

The response request may vary in terms of what the advertiser is offering.

Texttowapormobilewebsite

Hereacustomerisencouragedtotextinandinreturnreceivesadirectlinktotheadvertiser’smobileweb

sitewherebytheycanfindoutmoreabouttheproductorservice,enteracompetitionoropt-intoreceive

furtherinformation.Nowthemobileinternetexperienceisimproving,moreofthisactivityisoccurring.Itis

moreeffectivethanaskingacustomertotypeinaURLdirectlyintotheirbrowser.Thisisfiddlytodo(aswe

don’t have a QWERTY keyboard) and the majority of mobile customers are unlikely to know their way round

their browser in order to do this unless they’re a medium to heavy mobile web user.

Texttoscreen

Thisdescribestheability to text inyourcommentstoascreen–bethat theTVscreenorascreen ina

shoppingmallornightclub.Itusesthesamesoftwarethatdrivestextchatservicesandisgenerallyvery

popular. It isoftenacharged-for service (asseenon televisionwhereviewersareasked to text in their

comments or questions to TV programmes). Advertisements or sponsored messages can be included in the

repliestocustomerstoconfirmthattheirmessageshavebeenreceivedonthesystem.Intelligentanalysis

ofthisdatawouldalsohelptofindoutmoreaboutthecustomerbase,whenthey’reengaged,whatthey’re

talking about and how frequently they interact with you. All useful information for segmenting and targeting

your customers.

Sent 1 or more text messages in response to an o�-mobile advert

7

6

5

4

3

2

1

0

France Germany Italy Spain UK US

Sent 1 or more SMS Messages

3 month average ending July 2007. Source: m:metrics

56

Texttoemail

This describes the ability to respond to an advertisement with your email address. Once you’ve sent in

youremailaddress,anemailisautomaticallygenerated,withfullgraphics,attachedPDFfileandissent

straighttoyourinbox.Thismeansthatyoucangiveacustomermoreinformationthanyouwouldbeable

toinatextmessage.Arguably,thisshouldbesecondarytoatexttowebsiteserviceaspartofthemobile

marketing USP is the immediacy, as the chances are that someone who interacts via mobile wants instant

gratification.However, therewillbetimeswhenthis isanappropriatemechanismwhereveryvisualand

detailed information needs to be distributed, or where the customer wants to bookmark something to check

out later when they have more time.

Texttopost

Similar to text to email, you can text in your postcode and your house number and the systemuses a

PostcodeAddressFindertoworkoutyourfulladdressandsendwhatever it istoyourhome–bethata

brochure or free product sample. This is typically used by travel companies to send out their brochures and

for sales promotions where sampling is a major part of the campaign.

Texttomobilecontent

This refers to a customer who sees an advertisement on television, hears it on the radio, or sees it in print

andtextsintoreceiveapieceofcontentbacktotheirphonesuchasaringtoneoramoney-offcoupon.This

is typically received as a wap push link and a SMS message and means that the customer is one click away

from the content rather than having to search a mobile web portal for that piece of content.

Mobile Barcodes

Mobile barcodes have been used in the UK since 2002, with businesses sending ‘paperless tickets’ to mobile

phones which are then redeemed via in-store EPOS systems. They can reduce production and distribution

costs associated with traditional paper-based ticketing channels, overcome security problems associated

withpaperticketssuchastickettouts;andincreasecustomerconveniencebyprovidingastraightforward,

instantaneous way to buy tickets and eliminate the need for long queues.

Apopularexampleisaconcertpromotion,wherefansseeprintoronlineadvertisementsfortheevent,text

intoashortcodeorlongnumberandreceiveatextorpicturemessagecontainingabarcodeanddetails

about the concert. They turn up at the eventwhere their textmessage is scannedand validatedby a

member of staff and they are allowed entry to the concert.

Companies such as Mobiqa, Swiftpass and Trinity Mobile have been pioneering mobile barcodes and they

are now widely used in the retail, transport and leisure sectors.

QR Codes

QR Codes (Quick Response Codes) are 2D Barcodes developed by Japanese company Denso and were

released in 1994 with the primary aim of being easily interpreted by scanner equipment in manufacturing,

logistics and sales applications. In comparison with other Barcodes, QR Codes combine several advantages:

• They can hold a very large capacity of numbers or letters in any language

• Their printout size can be very small

• They offer high speed reading

• They can be read from any side (omnidirectional or 360° scan)

57

TheimagebelowshowsanexampleQRcode.

Japan’s highly developed 3G network and high usage of mobile internet prompted the networks (NTT

DoCoMo, J-phone), handset manufacturers (Panasonic, NEC, Sharp) and service providers (Denso,

MediaSeek, 3G Vision) to work together to bring QR code readers to mobile phones. They decided to turn a

camera phone into a barcode scanner that would deliver encoded information, as well as URLs that could

connect directly to the mobile internet.

A user with a camera phone with the correct reader software can scan the QR code image, which can cause

thephone’sbrowserto launchandredirecttoabrand’smobile internetsite. Thereisnoneedtotexta

shortcode or enter a URL by hand. High spec phones such as the Nokia N95 have QR readers pre-installed,

but QR code-reading software is available to install on camera phones which do not have a reader already

in place.

QR codes are now recognised by over 90% of Japanese mobile phone users, and used by over 50% of them

for quick, easy access to information. In fact more people in Japan surf the web using a mobile phone than

a PC. QR codes are found on magazines, posters, packages and vending machines throughout Japan,

thoroughlyassimilatedintothemarketingandadvertisingmix.

QR codes have now made their way to the UK. When the DVD of the movie ’28 Weeks Later’ was released in

theUKinSeptember2007,partoftheadvertisingcampaignincludedaQRcodecontainedinasquarebox

onthefilmposter.IthelddetailsabouttheDVDandlinkstorelevantmaterialontheinternet.Infact,one

giant poster in Shoreditch, London displayed nothing but a QR code.

Thistechnologyhasawideappealformarketersandpublicalike–introducinginteractivityintowhatwasa

traditionally passive medium. In the housing industry, buyers could walk past a for sale sign, and instantly

scanthebarcodetofindmoreinformationabouttheproperty;brandmanagersinthecarindustrycould

include a barcode on outdoor advertising, enabling car enthusiasts to watch a video clip of the car in action,

etc. Nowadays with most phones having a camera as a standard feature, QR codes could be as popular, and

as widely used by brands and marketing agencies in the UK as they are in Japan.

WAP Portal or Mobile Internet

ThisphrasedescribesthemobileversionofsiteslikeTheSunorChannel4;orthenetworkoperatorsown

portals that are often a starting point for someone to browse the Internet. Currently the network operators

havethelargestportalsintermsoftraffic,butmediaownersarenowlookingatWAPtoextendtheirreach.

EachnetworkhasitsownWAPportal–O2Active,VodafoneLive,Todayon3,OrangeWorld,T-Zonesand

Virgin Bites. The network operators are proud of their portals and have invested a lot of money in them,

but as customer acceptance and usage of WAP grows then more players will come into the market to be a

customer’s gateway to the mobile internet.

58

Java or On Device Portal [ODP]

Java portals are also growing in acceptance as a gateway to the Internet. The reason being, that Java is

a technology embedded on the majority of mobile handsets already and gives a relatively speedy user

experience–henceitswideusageformobilegames.

The term Java Portal describes a hybrid of WAP and Java. You download an application on your phone, which

is a template that can be updated with news, information and links via WAP. This means that it is not memory

hungry, as it does not keep lots of information stored on your phone. But also, you can keep up to date with

whateveritisyouwanttoknowabout.Ananalogyisanemptymagazineframeworkthatfillsupwiththe

latestarticleswhenyouclickabutton.Thebenefitofthisisthattheuserexperienceforbrowsingcontentis

improved, as it’s not solely reliant on WAP and the brand is stored on the phone to be looked at any time.

More people are using Java portals, particularly now that 3G penetration is rising [68% of UK mobile

subscriberstouse3Gby2010.Source:Forrester]andthebrowsingexperienceisgettingbetter.Theadvent

of the iPhone also shifts the focus back to browsing andmobileweb; as the only applications allowed

on the iPhone are browser based. Therefore they don’t affect the handset operating system and cannot

inadvertently, damage the phone in any way.

Mobile Marketing Challenges

Technology Constraints

Mobile technology is fast moving. On average customers upgrade their phones every 18 months, whereas

average upgrade time for landlines is every seven years. Nokia, LG, Siemens, Samsung, Sony Ericsson,

Motorola et al introduce new handsets every few months, and each has new features, new operating

systems, different screen sizes and different functionality. Some new handsets have a bigger impact on

themarketthanothers–theNokiaN95launchedwithabangin2007andhasbecomeverypopularvery

quickly with 3G and data users. The launch of the iPhone is already causing ripples in the mobile industry

but it is too early to analyse its impact in the price sensitive, competitive UK market.

Cameras and colour screens are now mainstream, as is Java, which is the technology behind most mobile

games and many applications. However, each handset manufacturer handles Java differently so if you

produceagame,forexample,youwillhavetomakesureitiscompatibleacrossawiderangeofhandsets

and tailor the application to make sure it is optimised for that handset.

Marketers and Mobile Marketing

The marketing landscape is already complex, without the addition of email and online campaigns, let

alone mobile. Understandably, marketers whose focus has been on a visual brand image were wary about

communicatingwiththeircustomersviatextmessage.Plaintext, limitedto160characterswasnotthat

excitingwhen you’re used to seeing your brand in a clever, quirky TV advert. However today’s phones

with colour screens, cameras, internet access and video capability mean there is more scope to run more

interesting, integrated campaigns.

Thereisstillsomehesitancyaboutmobilemarketing,andtheperceptionthattextmessagingequalsspam.

There is also a worry about email spam and viruses that make people very wary about allowing access

to theirmobile phone number in case the same problems arise. This has been exacerbated by spam

messagingsuchas‘Youhaveahotdatewaitingforyou.Call0906XXXXXXXtofindoutwhohasleftyoua

message’ which encourages customers to call a premium rate number and is nothing more than a scam.

59

Data Protection regulations in the UK and also the rules surrounding premium rate services are strict in the

UKandbreakingthoserulescanlandyouwithalargefine.

30% of the population are accessing the internet via their mobile phone and it’s the big brands currently who

are winning the race to getting us to look at them on their phone.

The following table shows the rankings of the top mobile web sites among Smartphone users in the United

States and the United Kingdom, for the month of June 2007.22

WhatdoIMeasure?

Anotherconcernaboutmobilemarketingis‘Howdoyoumeasureit?’Thesamerulesapplytomeasuring

mobile marketing as other campaigns. There is no guarantee of success just because you use the mobile

channel, it’s how you use it that’s important, and when used well, does deliver a high ROI, and this is

typicallyhigherthandirectmailandemail.Youcanmeasureresponserates,forexample,howmanynew

people on the list, how many competition entrants and how many repeat entries. You can also measure

click through rates and unsubscribe rates. The latter being a useful indication of how well your campaign

is being received.

Traditionalmeasurementtechniquesshouldalsobeused–researchingcustomerattitudesforexample.

There’snothingtostopyoucallingortextingasamplefromyourcustomerstofindoutwhattheythoughtof

the campaign. Or indeed soliciting feedback via a simple form on a mobile internet site. There is no magic

formula to measure a mobile campaign and it’s up to the marketer to determine what the criteria for success

will be and work out what you will measure in order to determine that.

Top 10 for unique subscribers, UK Top 10 for page views, UK

Google Inc Hutchinson Whampoa Ltd

British Broadcasting Corporation (BBC) Google Inc

Orange Personal Communications SVC Ltd British Broadcasting Corporation (BBC)

Microsoft Corporation Yahoo! Inc

Vodafone Group Plc Microsoft Corporation

eBay Inc Vodafone Group Plc

Telefonica O2 Europe Plc Orange Personal Communications SVC Ltd

Hutchinson Whampoa Ltd eBay Inc

Yahoo! Inc Deutsche Telecom AG

Deutsche Telecom AG Facebook Inc

1

2

3

4

5

6

7

8

9

10

1

2

3

4

5

6

7

8

9

10

Top 10 for unique subscribers, US Top 10 for page views, US

Google Inc Google Inc

Yahoo! Inc Yahoo! Inc

Microsoft Corporation News Corporation

Time Warner Inc Microsoft Corporation

AT&T Inc Craigslist Inc

News Corporation The Walt Disney Company

eBay Inc Facebook Inc

Sprint Nextel AT&T Inc

Palm Inc Time Warner Inc

Landmark Communications Inc Bank of America Inc

1

2

3

4

5

6

7

8

9

10

1

2

3

4

5

6

7

8

9

10

Table 5: Text-Based Mobile Advertising, by Country: July 2007

Country Received SMS Ad Percent subscribers receiving SMS Ad

Percent responding to SMS Ad

France

Germany

Italy

Spain

United Kingdom

United States

27,743,916

15,089,753

25,567,895

24,122,581

18,648,786

36,671,828

62.3%

32.5%

56.8%

75.4%

41.4%

17.2%

7.6%

5.7%

8.0%

6.1%

9.2%

12.0%

60

Thefollowingtableshowsresponselevelstotextbasedmobileadvertising.23

SMS Marketing Response Rates, May 2007

As you can see from the table, the number of SMS ads is lowest in the US, yet they generate the highest

response rates. Conversely, Spain has the highest number of subscribers, yet the lowest response rates,

suggestingasthenoveltyfactorwearsoffinteractionlevelsdecrease.Togetmaximumresultsfromtext

based advertising (1) have your message come from a trusted name, (2) ensure ads are targeted, (3) cap

frequency of communication.

Campaign Planning

Permission Marketing

Permission is essential for running any kind of mobile marketing campaign. It is often assumed that you

needtoworkwithapre-existinglistofmobilenumbersbeforeyoucandoanykindofmobilemarketingbut

this simply isn’t the case, particularly now that we are working with richer media on mobile (mobile internet,

music tracks, application downloads etc).However, permission is critical for any campaign involving push

messaging, or any continuing relationship with the customer involving a messaging aspect.

It is always a good idea to get this checked out with your company lawyer as this area is covered by many

rules and regulations including the EU Data Privacy Act and the EU E-Commerce regulations and is a

complexarea.Ifyousticktobestpracticewhenitcomestopermissionmarketing,thenitisfarlesslikely

that you will become unstuck.

Permission works in several ways. Firstly, you can collect your customer’s data in traditional ways e.g.

by getting them to fill in forms on the internet, complete a postcard, a survey, theirmobile number on

aninternetsiteandticktherelevantboxestoexplicitlystatethattheywanttoreceivefurthermarketing

messages from you or carefully selected third parties.

Finally,whenacustomertextsin,inresponsetoanadvertorcalltoaction,forexampleiftheyhaveseena

poster or are entering a competition on the side of a drink’s can, then you, as a marketer, have permission

toreplytothatcustomerinthecontextofthatparticularcampaign.Dependingonhowyou’vestructured

yourtermsandconditions,youmayalsohaveanimpliedopt-in.Youcanmakeitexplicitandintheprocess

of replying to the customer, you can ask them if they would like to opt-out by sending STOP. Or you can get

explicitopt-inbyaskingthemtoreplyYES(orotherkeywordofyourchoice)tostatethattheywanttoreceive

further marketing messages from you.

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Spam is in the Eye of the Beholder.

So that’s the basic stuff. Now let’s look at the customer’s point of view. Very often when we receive a

message we don’t want, whether or not we’ve opted-in to receive it, we call it spam, or in the case of

messages received by post, we call it junk-mail. People very often forget whether or not they have opted in

toreceiveanything.Theycan’tremembereverylittletickboxtheyhavecheckedorunchecked.Howmany

formsdoyouroutinelyfillinontheinternetinordertogetpastaregistrationpagesoyoucangettothe

informationyouactuallywanttoaccess?Andperhaps,youhaven’treceivedanycommunicationfromthe

company in several months, and perhaps you’ve simply forgotten about them and who they are. Or maybe

those messages are no longer relevant to you and your life right now. Just because you opted-in to receive

messages about acne cream when you were 17 doesn’t mean you still want to get those when you’re 30.

Theimplicationofthisisthatifyouaregoingtousetextmessagingaspartofyourmarketingcommunication,

youneedtorememberthatthisispartofrelationshipbuilding.Atextmessageonceayearisnotgoingtobe

effective. If you get customers to sign up to third party campaigns then you need to be a little bit wary of the

kind of messages you send out. If the customer has signed up to a mailing list from ACME Inc, even if they’ve

tickedtheboxtogetthirdpartymessages,theydon’tsuddenlyexpecttogetatextmessagefromZENLtd

whothey’veneverhadarelationshipwithbefore.However,ifthereisanexistingrelationshipwithACMEInc

and the marketing message sent on behalf of ZEN Ltd comes from ACME Inc, then there is a better chance

of the message being well-received.

But permission on its own isn’t enough to make a campaign successful for any kind of outbound activity. You

need at least one other element:

Time & Location

Firstly,wehavetimeorlocationsensitivity.Youcanputatextmessagingcampaigntogetherrelativelyquickly

compared to how long it takes to put together a print mailing, or an email push. In terms of delivery, you can

be timely when you send it out as you are not relying on the postal services to deliver your letter, or relying

on someone logging into their email at the right time to take advantage of the offer.

With location, you may know the postcode or area where your customer lives, works or plays, which

meansyoucanlocalisetheoffertotheirlocalrestaurant,dry-cleaner,andrequiresexplicitagreementand

active look-up.

So if you have a time sensitive offer, say a local theatre has some tickets left for Saturday afternoon’s

performance and they know you’re local to that theatre, you can send a message on Thursday with an offer

for discounted tickets.

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Entertain

Entertainment is a category in itself on mobile with the advent of mobile games and video. But don’t forget

that this is a small screen and people using their phones probably have a limited amount of time as well as

a limited amount of battery life.

So think of entertaining someone for a few minutes, while they’re waiting at the bus stop or at a train station,

between shows on the television, a short distraction during the working day.

Whatyourcustomerfindsentertainingwillbeverysubjectivebutsomeexamplesincludebrandedgames,

a wapsite telling you about a new book that’s out (including a synopsis, author biog and some quotes), or

a funny video clip.

Interactive

Let’s not forget that the mobile phone is primarily a communications device and as such it’s a

two-way street.

Longgonearethedayswhenyoucouldsendouttextmessageswithoutareplypath,notleastbecauseyou

needtoallowcustomerstounsubscribeeasilybyreplyingSTOPtoanytextmessagetheyreceivefromyou.

Customers enjoy being asked for their feedback, and they do expect to be heard. So with anymobile

messaging communication, you have to allow customers to reply back to you and you need to reply back to

customerspromptly,sosendthattextmessagelinkbackasquicklyasyoucan!

Relevant

One of the things often forgotten about with a marketing campaign is the actual relevance to the

customers and their daily lives. There is little point sending out any direct messages to a customer,

by SMS, email or post even, unless it is relevant. E.g. don’t send football related messages to a

non-football fan.

Value Add

Overall, you need to add value to the customer. There is little point in sending out a message saying ‘come to

my shop because it’s lovely’. There needs to be a deeper reason why you have sent a message to encourage

them to visit your store. That could be offer based (discount, buy one get one free, gift with purchase) or

event based (sale on this week, product launch, drinks party).

So put yourself in your customers’ shoes and think about how they will feel on receipt of the message. If you

haven’t been able to include some time/location sensitivity, if you haven’t been able to entertain them, if

there’s no interactivity, if there’s no relevance or you haven’t added any value, then you need to rethink your

campaignuntilyoucantickatleastoneofthoseboxes.

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Running a Successful Campaign

Rules for Success

In addition to permission, there are 4 elements that differentiate mobile marketing from traditional

marketing. These are also the key success factors for its use. A minimum of two factors are necessary.

When planning your mobile marketing effort, it really is back to marketing basics and lots of common sense.

Don’t get bogged down with the technology, think through your product or service, your audience and what

youwantthemtoexperience.

There’s a simple checklist to go through which may help you with this.

Segment,Target,Position.Whatarethecustomersegmentsyouwanttoreach?Whichofthemare

yougoingtotarget for thiscampaign?Howareyougoingtopositionyourproductorservicewith

them,thusaffectingbrandandkeymessages?

Who is theaudience?Whatdo youknowabout them?Wheredo theyhangout (in thisdayand

age,youneedtogotowherecustomersareratherthan‘builditandtheywillcome’)?Whoarethey

hangingoutwith?Whataretheyreadingonandoffline?WhataretheylookingatonTV,listeningto

ontheradio,surfingontheinternet,usingontheirphone?

Whatare yourkey campaignmessages? Is it promotionally led (e.g.SpecialOffer)? Is it ongoing

communication?Isitcustomerservice(thankyoumessages,requestsforfeedback)?

Whymobilemarketing?Mobilemarketingisn’talwaystherighttoolforthejobsowheredoesmobile

fitintoyourcustomers’livesandwherewillitfitinwithyourcampaign?Checkthestatisticsofwhat

your customers are doing on their phone.

Offer plan

If you’re creating a sales promotion of any description, you need to make sure you have clarity around your

offer or competition, regardless of whether the campaign is using mobile or not.

Whatisthedefinitionofyouroffer,promotionorcompetition?

Howareyougoingtocommunicate–textmessage,MMS,Wapsite,othermedia?

Ifyouaresendinganyoutboundmessages,whenareyougoingtosendthemessage?Dothink

about what your customers might be doing at the time they receive

the message… do you really want to send an offer out to an 18 year old boy at 8am on a Saturday

morningortargetaMumwhenshe’sbusyontheschoolrun?

Whoareyougoingtosendthismessagetoandwhereareyougoingtofindthem?Aretheyyour

customersalreadyordoyouneedtoacquirethem?

What’sthecalltoaction?

Thinkalsoaboutexclusivity–iftheofferorpromotionisexclusive(perhapsformembersonly,orselected

customers only) then it can have a powerful impact, make customers feel special and therefore increase the

likelihood of a response. SMS is a powerful medium and can cut through other marketing communications

but the messages you send must be worth receiving and add value to the receiver.

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Targeting and personalisation

The good news about mobile is that it’s relatively straightforward to target, provided you know who your

customers are. This means that you can have the same campaign offer to all your customers but can

differentiate the tone and content for different target groups. So ideally this means changing the message

to suit the recipient. Think about how you might communicate the offer to a teenage music fan versus an

active member of the Caravan Club.

Mobilephonesareincrediblypersonaldevicesandthemessagingthathappensonthemisnoexceptionso

youcanaffordtobemorepersonalwithyourtextcommunicationandyoucanusealessformallanguage.

Copywriting

Youonlyhaveasmallscreensowhateveryoudoon itneeds to reflect that. If youaresendingout text

messages,youonlyhave160characterssousethemwisely!Takecareabouthowyouconstructthemessage.

Just because it’s a short message, doesn’t mean it’s easier to write. It’s very easy to make mistakes. There

aremanyexamplesofmarketingmessagesfromcompanieswhohavemadeverybasicmistakes–afilm

promotionwheretheyspeltthenameofthefilmincorrectly,afoodanddrinkofferwithoutstatingwhich

restaurantandwherethatis,adiscountcouponwithnoexpirydate,aonedaysalebutnodate.

When writing your message, write in the same tone and style as your customer but don’t try too hard

anduseincomprehensibletextspeak.Youryouthaudiencewillfeelpatronisedbyit,becauseunless

you actually work with teenagers to put that copy together, you’ll no doubt get it wrong. Anyone in an

older demographic won’t understand it anyway.

Beawareofwhatappearsonthefirstscreenassomecustomerswillneverreadbeyondthatunless

there’s a very good reason to. So, like a good press release, all your news needs to be up front and

visible at the start.

Evenwithasimple textmessagebasedcampaign, it isworth testingondifferentphones to see

wherethelinebreaksoccurandwhatappearsonthefirstscreen.

When writing for a mobile internet site, consideration also needs to be made as to the screen size

and what can easily be read in one screen. Copy should be kept short, simple and to the point.

Measurement

What response rate can you expect from a mobile campaign? The simple truth is, that like any other

marketing effort, it’s not the media you use that dictates your response rate, but how you use it. There is no

such thing as an average response rate and one of the things to keep track of internally over time, is your

own response rates so you can create your own benchmark.

There are things that you can measure:

Number of replies or entries into a competition.

Data captured and its quality and volume.

Wap page impressions.

Click throughs from messages.

Number of people who unsubscribed from your list.

Number of undelivered messages.

Upliftinsalesortraffictoyourstore,website,eventetc.

Increase in brand awareness and perception.

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Production and Fulfilment

When putting a mobile campaign together the focus is often too much on the technology side and the other

componentpartscansometimesbeforgotten.Thoughtneedstogiventothetechnicalside,ofcourse–who

is going to produce and manage the campaign for you, who’s going to build the Wapsite and so on. But

thought also needs to go into who’s going to manage any customer service issues, who’s going to manage

anyprizefulfilment(andtherelatedcollatingofaddressdetailsandcustomerservicesaroundthat).Avery

largeconfectionarybrandcameunstuckafewyearsbackwithamajortexttowincampaignwhereno-one

hadthoughtthroughhowtheyweregoingtocollatewinnersdetailsandsothefulfilmenthousehadtocall

winners individually which added a huge amount of cost to the overall campaign.

Technical Project Management

Always allow contingency time and budget for any technical project because once you’ve interacted with a

campaignormobileservice,you’llprobablyfindthatsomethingorotherneedstweaking.Oryoumightfind

someglaringholeintheservicethatneedsfillingthatyousimplyhadn’texpected.

Also,keepyourtechnicalteamuptodatewithyourmarketingplans–it’simportantforthemtoknowwhen

the campaign is going live (obviously) but also the media plan so they can work out potential peaks and

troughs in activity. This is particularly important if a TV advert is being used so that the team is on-hand for

technical support at peak-time periods.

A quick planning checklist

Draw on best practice direct marketing principles

Set objectives

Set a budget

Identify your target audience/s

Are you using your own list of customers or do you need access to someone else’s list

What’s the creative concept

Outline the campaign activity and describe the different elements be they push, pull, integrated or

standalone

Thinkthroughyourproductionandfulfilmentneeds(customerservice,prizes,sales)

Testing programme

Measurement and reporting

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Outbound Campaigns

ManyfirmsuseoutboundSMSmarketingaspartoftheirmarketingeffort.Ithasbeenaroundalongtime

now and can still be effective, particularly when used around customer service. Everyone from big banks,

supermarkets,musiccompaniestocabfirmsandhairdressershaveusedit.

There are pros and cons to building your own list as well as using someone else’s. So why create your own

list?It’sanopportunitytotalktoyourowncustomerregularlyandgetthattwo-waydialoguegoing.Ithelps

you build a greater knowledge of your customers, including buying habits. There’s an opportunity for revenue

generation if that’s your thing. It’s also cheaper to retain a customer than acquire a new one and messaging

is a good way to do that. It’s cheaper to send messages via your own list than buying access to a third party

list and after all, they are your customers, you should know better what they want and therefore generate a

higher response rate. It also allows customers to get in touch with you and to give you their feedback.

If you are building your own list then there are some key points to adhere to (a lot of these are common

sense and won’t be a surprise).

Defineyourobjectives.

Is this a single brand list or is it a commercial list.

Communication–how,when,why,what?

Think customer (go back to the Rules for Success).

Cleanyourdataregularly(there’snoexcuseforthis,it’sasimpleenoughprocesstocleanyourdata

against the Telephone Preference Service).

Adhere to regional regulations, e.g. the Data Protection Act and the EU Electronic

Communication Directive.

Unsubscribingmustbeeasy–replyingSTOPtoanymessageshouldunsubscribeacustomerfrom

the list.

Customerservice–thisisatwowaystreet.Makesureyourpeoplearebriefedandthatcustomer

service processes are in place.

SMS is not always the best way to collect data so make sure you can collate date from various

places.

Eachcampaignyourunshouldbuildyourcustomer’sprofile.

Not everyone has a list to begin with so sometimes you’re going to have to look elsewhere for data. Where

there is a close connection with the list owner, its customers and your product or service, is where you’re

going to get the best results.

When putting together your outbound campaign and thinking about who you might work with (e.g. a radio

station, print media owner, a website owner) then it’s worth planning what it is you are after in some detail.

Wherever possible describe the product or service category that your campaign covers and the type of

campaign you want to run (competition, discount etc). Describe the target audience and how many people

you’d like to reach. A broadcast schedule is useful where you identify time, date and which of your target

groups you want to send a message to. And the more information you have about the kinds of customers

you want to reach, the easier it’s going to be for the list owner to help you by identifying the quality targets

as opposed to just quantity.

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When working with a list owner, it’s always wise to ask when customers opted in (recency is key) and how

they opted in, and to just double check that the list is TPS (Telephone Preference Service) compliant and that

the list owner is registered with the Information Commissioner (to comply with the data protection act). It’s

also important to think through what your reporting requirements are and of course cost and lead times.

But don’t be scared or put off by the technology. There are plenty people around to help you with that. What’s

important is that mobile marketing has entered the mainstream. We know that customers are happy to

interact via their mobile phone. Mobile marketing can now be used for messaging, brand-building and calls

to action and crosses over into many marketing areas. The rules for success are quite straightforward, it’s

about engaging with appropriate content and messages.

In the wider world of commerce, marketing and media, mobile is the new kid on the block. Even though

mobile marketing has been around for seven years or so, it’s still very new in comparison and we’re still

learning.

14 Paul Golding, author and specialist mobile consultant http://www.paulgolding.com

15Texperts.comisaservicewherebyyoucanaskanyquestionatallandtextitinto66000andyougetananswerbackwithin10minutesorso,oftenlessandit

costs£1.Ifatexpertcan’tansweryourquestion,thenthereisnochargeandifyou’renothappywiththeanswer,you’renextquestionisfree.

16 A‘long’mobilenumberisinthesameformatasanormalmobilenumber–i.e.07xxxxxxxxx.Thebenefitofusingastandardlongnumberisthatitisusually

cheapertorentexclusivelyifitislikelythatcustomersmightnotremembertotextinthekeyword,oryouwanttocollectfreeformdata.Goldennumbersare

also available which means you can rent a number which will be easier for customers to remember e.g. 07 770 770 770. Also using a long number, provided it

is a UK number rather than originating from the Channel Isles or the Isle of Man, it will be at the users standard rate and is likely to be included in a customer’s

monthlytextbundle.

17 A shortcode is a 4 or 5 digit number typically starting with a 6 or 8 e.g. 86500 which allows customers to interact with your system. These numbers are usually

sharedandkeyworddrivensoratherthanrentingthewholenumber[whichcanbeexpensive),yourentthekeywordsonthatnumber.Thebenefitsofashortcode

is that they’re easy to remember and quick to key in [which is important if you want a customer to respond to a TV advert or poster). However, if the customer does

not start their message with the keyword, their message will be lost in the system. Also, shortcodes can have a charging mechanism behind them. This means that

ifyouwanttochargeacustomertovote,forexample,youcansetthetariffatanythingfrom10pthroughto£5ontopoftheirstandardrate.Shortcodescanalso

besetatauser’sstandardratebutthiswillnotbeincludedinthecustomer’stextbundle.

18 Jaiku Mobile is a software application for mobile phones that enables you to post and browse Jaikus, add comments, and share your status and location. For

more information visit www.jaiku.com.

19 Buddyping enables you to pinpoint the location of your mates and invite them to join you if they are nearby. For more information visit www.buddyping.com

20 Symbian is an operating system used on high-end mobile phones and PDAs [personal digital assistants) e.g. Sony Ericsson P900, Nokia 6660 or most

Palm Pilots.

21 MMS–multimediamessaging.Thisincludestheabilitytoaddpictures,formattedtext,animation,videoclipsandsoundtoamessage.

22Source: M:Metrics: www.mmetrics.com

23Source: Source: www.mmetrics.com Copyright © 2007. Survey of mobile subscribers. Data based on three-month moving average for period ending 31 July,

2007, n= 12,728 French, n= 16,127 German, n= 13,696 Italian, n= 12,921 Spanish, n= 15,834 UK, n= 32,824 US.

From Hand to Eye, Mobile Marketing Co-ordinated:

Anuj Khanna, Head of Marketing,Tanla Mobile

Anuj has been in the wireless industry since 1996 working with global mobile operators, wireless

applications, messaging and billing service providers. Anuj is the Head of Marketing for Tanla Mobile,

a global leader for developing mobile applications and platforms for the Mobile Telecoms, Media and

Digital Communications sector. Anuj also heads the Mobile Media & Marketing Group as board director

for the Mobile Data Association which is the main industry organisation representing mobile operators,

wireless applications,mobilemedia and content service providers in the UK. Anuj’s expertise lies

in growing technology start ups into the most successful companies and leading players in their

respectivefieldswhichhasbeenprovenand testedby thecompanieshehasworked for including

Hutchison Telecom, Dialogue Communications, Netsize and Tanla Mobile. He is the author of four

globally published wireless industry reports. Anuj holds an MBA in Marketing from The University of

SheffieldandaBAinEconomicsfromTheUniversityofBombay.

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70

For many years radio, television and more recently the internet have provided advertisers with a means of

massconsumerreach.ButthedaysaregonewhenCoronationStreetwouldattract29millionviewers;the

channels to reach the consumer today are as fragmented as the brands trying to capture share of mind.

Increasingly mobile marketing is providing brands with a rich and compelling opportunity, one which

combines the once mass consumer reach of television with the precision and impact of one-to-one

marketing and measurability of the Internet.

Mobile marketing campaigns using SMS, and more recently MMS, have already helped to open up the eyes

of the media world to the power of the mobile channel. Interactive TV and radio, product promotions using

couponsandcompetitions,evencharitabledonations,havesuccessfullyexploitedthismedium.Butthings

are set to change as Internet style advertising, in the shape of display advertising (banner ads) and search,

and even TV-style advertising, come to mobile. Consequently, the opportunities for marketers to reach and

engagewithconsumersthroughthismediumwillexpandevenfurther.

Mobile marketing and advertising is one of the fastest growing sectors with global brands launching

interactive mobile campaigns and portals to promote products. With the increased penetration of mobile

Internet-enabled phones and major search engines partnering with mobile operators to provide paid for

advertising, this sector is creating new opportunities to transfer the Internet advertising model onto mobile

phones.

Internet and entertainment businesses such as Yahoo, Google and Microsoft are already active in the mobile

advertising and search engine market creating an environment for further growth. User generated content

sites such as MySpace are launching mobile services to add value to their online presence. Niche providers

such as Blyk are targeting the youth market with free mobile services funded entirely by advertising.

However,thereisanoteofcaution!Consumersremainunwillingtopayhighdatachargestoaccessrich

media services, and content owners don’t want their users to be constantly thinking about bandwith limits

or data charges which are a big distraction to becoming engaged in mobile content services. But market

forces and the competitive landscape are already beginning to deal with this potential stumbling block to

providecustomerswiththeperformancetheyneed,coupledwithflatratechargestheyarepreparedtopay.

The market will provide the type of charging structure which will fuel a real boom in mobile advertising, such

as Web’n’Walk from T-Mobile.

Traditional channels for marketing and advertising, like TV, radio and print, are becoming less effective

because consumers now consume information and entertainment very differently than in the past, due

largely to the digitisation of content and the increasing ease of access to the Internet. This is especially true

ofthehighlycoveted“youth”demographic-the18to34yearoldswithhighdisposableincome,highbrand

awareness, and short attention spans.

Marketers have to proceed with caution and use mobile marketing selectively, respecting consumer’s rights

toprivacytoensurethereisnoconsumerbacklashagainstunwantedmobilemarketingcampaigns–failure

to do so can destroy a brands reputation. Tanla is well-placed to both consult on and technically enable

mobile marketing and advertising services by providing specialist mobile campaign management, interactive

servicesanddelivery through itsexistingproductsuite.Wecanbuildmobileportals,deliveradvertising

campaigns,enablesearchenginemarketing,manage text competitionsandon-packpromotions, letting

content brands focus on the marketing of services while Tanla delivers the complete technical solution.

From Hand to Eye, Mobile Marketing gets Co-ordinated

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Mobile Search

As customers we are already familiar with search engines on the internet from the likes of Google, ask.

com,Yahoo,LycosandMicrosoft.Thesesearchengineshelpconsumersfindwhatthey’relookingforinthe

most comprehensive way which can lead to many thousands, if not millions, of page references to links to

websites. A sophisticated industry has grown up around these services to offer clients the ability to make

sure their websites come high up in the search engine rankings and also to manipulate for best effect the

paid for advertising and sponsorship services around them.

As we now have mobile internet capability on our phones and access to a multitude of WAP sites, mobile

search is becoming increasingly important. Each of the network operators offers some kind of search facility

to its customers and paid placements to clients, but there are issues that are still to be resolved.

Themobileinternetisnotliketheinternet–it’saverysmallscreen,browsingtimeislimited[Iwantthe

information right here right now] and data speeds may well be slow. This means that the hundreds, if not

thousands, of results you’d get on a normal internet search engine are just not going to be workable.

We have seen established search brands such as Yahoo, Google and Microsoft entering the mobile search

game,aswellasnew,mobile-specificservicesfromthelikesofTaptu,JumpTapandMedio.Nownetwork

operatorsareallowingcustomerstosearchandfindcontentandinformationoutsideoftheirportal[indeed

someoperatorsareabandoningtheirportalsaltogetherinfavourofthesearchandfindmodel].Sohow

doesitwork?

Firstly,acustomerentersasearchterm into thedialogboxonthesearchpage[veryoftenthisboxcan

be found on the front page of an operator portal, or the customer may go direct to that search engine via

theURL].Thenthesearchresult isdisplayed–typicallytheresultshereproduceapagethat includesa

sponsored link at the top, then the links to the most relevant mobile sites with another sponsored link

halfwaydownthepage.Withsomesearchengines,youmayfindthatnearthebottomofthesearchresults

page, you’ll click through to what we call transcoded content. This means that the search engine company

has foundaPCwebsiteandhasamended it [probablybystrippingoutany largegraphicsfilesandany

advertising or widgets] to display it in a mobile friendly format.

From a publisher’s point of view, this is not necessarily an ideal situation as the chances are, they have spent

a great deal of time organising the layout of the pages for the internet, including lucrative advertising deals,

and doesn’t want the likes of Google to transcode them. Time will tell how popular this service becomes with

customers and publishers alike.

Butwhatdoesthismeanformarketers?

Thebottom line is that youhave toensure that themobilesearchenginecrawlerscanfindyoursite in

thefirstplace.Soit’sbacktobasicsintermsofusingwell-formedmark-up,usingtherightDOCTYPEand

Content-Type for the mark-up language you are using and validating your mark-up. Google has quite a bit of

informationabouthowyouaddyoursitetothemobilespecificdirectory.

Google’s mobile webmaster guidelines can be found here :

http://www.google.com/support/webmasters/bin/answer.py?answer=40348.

Yahoo offers a similar approach to adding your site for free.

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But this isn’t the whole story. There’s still paid-for listings to deal with. The basic principles are the same

as for the internet. As a mobile web master, you choose your partner for search marketing [whether that’s

Google,Yahoo!,JumpTapetc]andchoosearangeofkeywordsyou’dliketouse.You’llneedtoexperiment

aroundthekeywordsyou’dliketousetoseewhichgetsthemosttrafficandwhichgetthebestconversion

rates.Next,youagreethecostperclickforyourkeywordswiththesearchprovider.

Then, when a customer reaches your site via one of the search engines, you will hopefully have full tracking

in place so that you can see which country, network operator they’re with and which handset so you can

serve them the right version of the content they have requested. This also means that you can track your

searchmarketingcampaignsinascientificmannertoworkoutwhichisthebestwaytogo.

Bear in mind that we are dealing with a small screen here so the ad formats are slightly different than web-

basedadverts.Thecreativeistypicallylimitedtojust12to18characterforthetitleandtextandjust20

characters for the URL. The length for the title is just 12 characters in Japan and 18 in all other countries.

IfyouareanexistingGoogleAdwordscustomer,thenyouhaveanoptionwithinyourdashboardtocreate

anewMobileTextAd.Here you’llbeable tocreate theadvert,edit the text, chooseyourkeywords, set

the maximum cost per click, target specific network operators and mark-up languages as well as

choosing to enable the click to call feature by providing a relevant telephone number [with full country

code remember].

The whole search side of things can be incredibly time-consuming and intricate so you may want to consider

outsourcing this part of your business to a third party specialist in this area. For more information refer to

the following article ‘A Question of Search’ by Ben Tatton-Brown.

A Question of Search: Can Web Search Supremacy Translate toMobile?

Ben Tatton-Brown, Head of Advertising Sales EMEA, Medio Systems

Ben is responsible for driving advertising and publishing sales for the Medio MobileNow Ad Network

inallEuropeanregions.With10yearssearchadvertisingandmobileexperienceinFranceandtheUK,

Ben has a long track record of success in onlineadvertising and publishing network sales. He has

worked for companiesincluding Pitch Entertainment Group and MIVA Inc. where he managed ahighly

successful sales operation and introduced search marketing to both advertiser and publisher clients.

http://www.mediosystems.com

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The dynamics of the mobile market are changing and as the amount of available downloadable content

–music,wallpapers,ringtonesandgamesonmobile–continuestogrowsotoodoestheuseofmobiledata

generally. In fact, the amount of downloadable content has grown ten-fold in the last year alone and this is

now where the majority (66%) of mobile search queries are directed.

Lookingforward,wecanreasonablyexpectthatthetensofthousandsofmobileWebsitesinexistencetodaywill

becomemillionsorevenhundredsofmillionsinthenextfewyears.Todrawaparallel,thestateofthemobileWeb

today is roughly equal to where we were with the World Wide Web in the early 1990’s. But we should consider

thatunlikethehistoryoftheInternet,overonehundredmillionexistingPC-optimisedsitescaneasilybeported

to mobile.

When the Internet really took off, it became imperative for people to be able to search the wealth of content

it offered effectively. Realising the opportunity, the three major Internet giants Google, Yahoo and Microsoft,

haveallnowtakentheirInternetexpertiseintothemobilespacebylaunchingmobilesearchandadvertising

offerings inadvanceof exponentialmobileWebgrowth.Google launchedmobileWebsearch two years

ago and has said in the past that mobile search, at least in Europe, is a priority. Google has also recently

announced plans for a new search service for mobile content. In this way, it and the other two big hitters have

recognised that the mobile Web does not have real scope to grow or to be useable until the infrastructure to

findandsievecontentisfirmlyinplace.

Mobile Search is not Web Search

Mobile search is the gateway to mobile data and therefore we cannot think of it in the same way as Web

search.Infact,thetworepresentvastlydifferentexperiencesandwhetherGoogleandothersknowitornot,

the reality is that there is much more to mobile search than meets the eye. When you consider the different

context inwhichaconsumerconductsaWebsearchcomparedwithamobilesearch,theinadequacyof

theWebsearchformatbecomesclear.Mobileusersofcoursedon’thavethebenefitofaPCmonitorora

workstationatwhichtosit.Nordotheyhavetheluxuryofstayingstill–theessenceofthemobilephoneisin

itsmobilityafterallanduserswillexpectmobilesearchtobeeverybitasmobileaswalkingdownthestreet

chattingtoafriend.Forthesereasons,mobilesearchisbestasamade-for-mobileexperiencewhichtakes

into account the physical constraints of a small screen and slower connection speeds vs. the requirement

for immediate ‘on-the-go’ style information.

All this makes ease-of-use a core challenge for mobile search. Not unreasonably, consumers may be

anticipating a service which merely replicates the online search experience on mobile, but this is not

necessarilygoingtohelpthemadaptto,orbenefitfrom,mobilecontent.Inordertoprovidethekindofuser

experiencethemobileindustryisstillwaitingfor,white-labelsearchvendorsneedtokeeptheconsumer’s

contextinmindbyofferingafast,relevant,anddirectedsearchexperience.

In the mobile domain where subscribers need answers not Google-style links, relevancy is the prime

measure of a search engine’s success. Importantly, for the savvy marketer, there is a distinct commercial

opportunityassociatedwithrelevanceandwithaviablesearchexperience.Adcontentthatisreceivedalong

with a response to a search query is actually a very polite form of advertising, not at all like the interruptive,

unavoidablestyleofadvertisingthatweexperiencewhenwatchingtelevisionorthatbombardsusaswe

move around the average cityscape.

A Question of Search: Can Web Search Supremacy Translate to Mobile?

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The last mile opportunity

The amount of marketing value that can be created through building broad adoption of mobile search is

almost without limits. In a mature advertising market, the key measure is the size of the audience. There are

alreadythreetimesmoremobilephonesgloballythantherearePCsandapproximately3.25billionmobile

phone subscribers around the world, twice as many as use the Internet. This means that the mobile phone

has the greatest potential reach on the planet.

Nearly 17 million users, about 9% of all mobile users across Europe, already access the mobile Internet.

Asthesepeoplediscovermobilesearchasthemosteffectiveandefficientmeanstolocatetheinformation

they need, so the possibility to market directly to them increases. When you combine the potential reach

ofmobilewiththeunderstandingthatitisthefirsttrulypersonalmedia,thebenefitsofatrueonetoone

marketing channel for advertising is clear.

Survey after survey has shown that people want data on their handsets but that currently the principle

barrierstothisarediscoveryofcontentandprice.Thefirstoftheseissolvedbysearch,andthesecondis

solved at least in part by advertising which means that consumers will not need to pay for all the mobile

data they use. Despite these obstacles, 15% of mobile users in the UK are consuming mobile data and in so

doing, are supporting the call for data on the handset.

Interestingly, 70% of all mobile consumers do not actually perceive mobile search ads as content, having

themselves been the initiator of the process. As such, mobile phones represent an unprecedented way

of reaching consumers during the ‘last mile’ phase of the transaction chain when they are on the move,

choosing which store or restaurant to walk into to buy what they are looking for.

Opportunitiesalsoexistforbigbrands,contentowners,WAPsitesanddirectresponsecompanies.Inthe

advertising cycle, search results will return relevant ads, click-throughs (click-to-call, e-mail, WAP sites) will

leadtosatisfiedadvertisers.Thisinturnincreasesmobileadvertisingusageandeventuallytherelevance

of each ad placement is enhanced.

Calling the shots

The current barrier to mobile search and advertising is adoption. The mobile content industry believes that

consumers are browsing and searching for content much more than they actually are, as proven recently

by concurrent surveys conductedby theMobileEntertainmentForumamong itsmembers. Thefindings

indicate that many people are not yet using mobile content. As the way that most people discover content in

the online world, search is however becoming a core competency in the mobile world and in addition, people

are using search in a way that can boost service provider revenues.

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Mobilesearchisthereforeplayingacriticaldualroleinbringingtangiblebenefitstoconsumersbyhelping

themtofindthecontenttheydesireandinenablingtherevenueopportunitiesthatareattached.

WhentheWebwasborn,TV,printandotherestablishedmediaexpectedtoextendtheirdominanceinto

theonlineworld.Fifteenyearslateralmostwithoutexception,thetoptenWebsites(e.g.Google,Yahoo!,

eBay, MySpace, YouTube) started life as Internet startups. It would be a mistake to believe that those who

have become dominant on the Web will automatically transfer this power to the mobile Internet. As a new

medium, mobile too will see new winners emerge.

As the use of mobile content grows, marketers should be aware of this dynamic, bearing in mind that search

solutions and mobile ad networks that offer a way in to the relevance-based advertising channel are likely

to offer the biggest returns.

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Music and mobile is a powerful combination, and the proof is in how much the network operators align

themselveswithmusic–TheO2Dome,theO2WirelessFestival,T-MobileStreetgigsandTransmissionwith

T-Mobile on Channel 4, Virgin and the V Festival. We have already seen the ringtone market appear from

nowhere,asanindustry,itdidn’texisttenyearsago.

The ringtone market is now levelling off as handsets become more sophisticated and becomes easier to

distribute and to share music in mp3 formats. The ringtone is not dead though, we are still personalising our

phoneswithringtones,we’reusingringbacktonestopersonalisetheexperienceforincomingcallers.

We are beginning to see some traction in full track music downloads to mobile devices. The majority of this

music being accessed on a mobile phone is being side loaded meaning that the customer is linking their

phone to theirmusiccatalogueon theircomputeror laptopviacableorBluetoothandcopying thefiles

across.Thesefilesarethenbeingusedasringtones.Strangelyenoughit’smuchmoredifficulttomanage

ringtone delivery, due to the multiple formats required on different devices and different networks, than it is

to manage full track download delivery.

There is also the mobile tagging service that is provided by Shazam Entertainment24 which Coca Cola used

for its recent mobile music campaign. When you hear a piece of music and want to know what it is, you

dial 2580 [it is a paid for service and costs around 50p] and hold your phone to the source of music. After

about15seconds,thecallwillbeterminatedandyouwillreceiveatextmessagebacktellingyouwhatthe

trackisandwhotheartistis.Thetrackwillalsobe‘tagged’withyourconsumerprofilesothatyoucango

online to the Shazam website to check your tags and download the music to your computer or mp3 player

[at a cost].

As such, music already has wide appeal and with access and usage via mobile phones rising in ubiquity, it

isalreadybecomingausefulpartofthemobilemarketingmix.Alongsidethiswe’veseenthegrowthiniPod

and mp3 player usage and the downloading and sharing of digital versions of music. In 2007 the iPhone was

launched in the US, UK and Europe, combining an iPod music player with a web browser and mobile phone.

And as we have more and more devices, putting this all together on one device makes a lot of sense.

Sowhatdoesthismeanformarketers?

Customers are accessing music quite happily on their mobile devices so very simple things like music track

giveaways as part of a sales promotion will always be popular.

Mobile sits well alongside live music events where you can actively encourage people to take photos and

short videos of the event and post them to their own blog or a group blog to share and reminisce about the

experience.Ofcoursethisisallbranded,sponsoredorwhatevertostrengthentheclientproposition.

Music and Mobile

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Youcanencouragemusiccreation,wherebycustomerscanmixtheirownringtoneormusictrack,shareit

with other people for the potential of winning a prize, or just for the joy of participation. Levi’s Europe did this

very well with their Levi’s Audio MiXer campaign [MAX]. This was in support of the newly launched Twisted

Levi’s and the team behind it at Levi’s and their agency Lateral, came up with what they thought was a

‘twisted’takeontheringtoneandthereverseoftheexistingtrendatthetime.Soinsteadofdownloading

a free ringtone, they encouraged customers, Europe-wide, to create [via mobile], upload and share their

ringtone creations, get the ringtones judged and the winner’s prize was to get their track released on vinyl.

The campaign worked on many levels. Firstly, the fact that Levi’s was attempting such a campaign combining

web and mobile across Europe to support hundreds of handsets and multiple operators was no mean feat.

It was an interactive campaign which meant that participants as a creator, downloader or both, were highly

engaged, and more inclined to ‘get’ what the whole campaign was about. Finally, they did fantastic PR

around it all, and even if the campaign hadn’t been a success in terms of volume of entries, it was a success

in terms of column inches achieved in the consumer press, reversing Levi’s decline in the youth market.

Podcasting

Podcasting is a relatively new term borne out of the name iPod which is Apple’s hugely popular music player

which we are all familiar with. A podcast is typically a homemade recording which can be anything from a

radio show to describing a walk to work to learning. However, commercial organisations are now beginning

to provide some of their programming in podcast format [BBC, Virgin Radio and Pepsi are all providing

podcasts]. You download the podcast from a website, probably in mp3 format, to listen to you on your mp3

player as and when you want to.

Companies are springing up to offer advertising on podcasts as well as many websites devoted to helping

you choose and download relevant content to your mp3 player. And as mobile phones become mp3 players

with a larger hard drive capacity, we are seeing podcasts available for your mobile and downloadable over

theairaswellasbeing‘sideloadable’.Thuspodcastingbecomespartofthemobilemarketingmix.

Moblogs

Thetopfivehandsetsgloballyallhavecamerasasstandard,soitwillcomeasnosurprisethattherehas

been a rise in digital photography. Have you ever been to a gig and spotted the people in the audience

with their phones in the air taking a picture or a video clip that they can share with their friends and family

lateron?

The cameraphone is now the entry level camera for digital photography. On the back of that, we have seen an

increase in the use of moblogs [mobile blogs] or photo and video sharing sites. We’re all familiar with YouTube

and Google Video for sharing and viewing video clips. For still images we have Moblog.co.uk and Flickr amongst

others. You can add your photos to these sites via email or on the internet and via your mobile phone using

MMS. In addition to this, we also have nifty services such as Shozu to make the blogging process easier which

givetheabilitytopublishyourphotowithoneclickassoonasyouhavetakenit.That’sveryfastpublishing!All

you have to do is download the Shozu software to your phone for free, tell it which blogging sites you use [e.g.

flickr,MoblogUKorBlogger]andthenthenexttimeyoutakeaphotograph,itwillaskyouifyouwanttopublishit

straight away.

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Music artists are also using moblogging to great effect by including moblogs in their sites and publishing

backstage photos and photos of the band on tour. In addition, fans can be encouraged to send in their

pictures of them with the band, at the gig, at the festival etc thus creating a dialogue. Band members are

given phones with the software pre-installed so they can publish with one click which makes the process that

much simpler for them. In this way, it could also be a good promotion for a handset manufacturer.

RSS

This acronym stands for Really Simple Syndication and is the technology behind how many people are

reading blogs. It is often quite cumbersome and time consuming to enter in the URL of a site you want to go

to and wait for it to load. So a very simple technique has been invented for you to keep track of many sites

that you regularly visit. You simply add in the websites you’d like to keep track off in something like Bloglines

[www.bloglines.com]andthenyouneedonlyclickononepage[forexampleyourhomepageinbloglinesor

otherblogreader]toseealltheblogsyoureadonthelefthandsidewithanumbernexttoeachtoidentify

how many new entries there have been on that blog since last time you looked. Then you can check out

the article in short format in that page and click through to the blog if you’d like to read more about that

particular item.

RSS is also a mobile friendly technology and we’re beginning to see mobile RSS readers, like Subli.mobi so

that you can read a blog, or indeed any website with an RSS feed, from your mobile phone too.

In reading content through an RSS reader, it is often transcoded which can be contentious. As a publisher,

itmightmeanthatyourmuchneededadvertsarestrippedout–asdescribedearlierinthemobilesearch

section. You cannot control how your content looks and feels.

Services are emerging, such as Mippin, where as a publisher, you can both offer a mobile RSS feed and also

control the look and feel of your content to some degree without losing advertising revenue, and hopefully

gaining additional readers and eyeballs because the content is more accessible.

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Bluetooth/infra red

Bluetooth / infrared are wireless technologies that allow mobile phones, computers and other devices to

talk to one another over short distances. Many mobiles already have one or both of these technologies pre-

installed,allowingeasyfilesharingbetweendevices,e.g.backingupyourphonebooktoyourcomputer,or

use a Bluetooth headset for hands free calling. It also means you can share pictures, video clips and music

tracks from one phone to another without incurring networking charges, as it does not use the network’s

radio spectrum.

Bluetooth can also be used to send out commercial messages, creating new ways for brands to include

mobileinthemarketingmixandadvertisetoconsumersviatheirphones.Thecontentisfreetoreceiveand

can be an effective way for marketers to engage with the technically savvy 16-30 age group, whether the aim

is to drive sales, launch a product or service, or acquire / retain customer loyalty.

Messagescanbesenttopassersbyatexhibitions,shoppingcentresandconcerts,andcanincludetext,

images, games or video clips. E.g. if Bluetooth is activated on your phone you could be walking past a

restaurant and receive a message highlighting a 2-for-1 meal deal, be near a travel agents and be sent

detailsonthelatestflightbargains,orattendaconcertandgetartisttracksandscreensaversuniqueto

the event.

An alternative method of using Bluetooth commercially is to allow customers to interact with a poster or

screen. E.g. a Bluetooth enabled poster advertises the latest movie blockbuster. Passers by see the call to

action, activate Bluetooth on their phone and receive a WAP link taking them to a mobile internet site where

theycanreadaboutthefilm,watchaclip,findnearestcinemawhereit’splaying,andreceiveapieceof

movie-related free content such as a game or ringtone.

There are also interesting art projects which are being created around Bluetooth. At a recent event at the

Festival Hall, the audience were encouraged to take pictures from their mobile phones and sent them via

Bluetooth so they appear on screens around the foyer thus showing their photography skills to the world.

Cheap to run, no operator costs, engaging for customers and a good use of the technology. Projects like

these are very sponsorable. There are no issues around spam or data protection as no mobile numbers are

captured.Theonlyquestioniswhohastherightstothephotographsinthefuture!

24 http://www.shazamentertainment.com

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Business Models in Mobile

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So how does free mobile content and media pay for itself?

Historically, free or low cost mainstream media such as TV, magazines, newspapers and radio have been paid

forbyacombinationofadvertising,licencefees(inthecaseoftheBBCspecifically)andpaid-forservices.

There is a cover charge for magazines and newspapers, some services have monthly subscriptions, as in Sky

TV, and we now have pay-per-view and pay per download video and TV as well.

But the ‘free’ nature of the internet has changed consumer perceptions. The economics behind making a

TV programme, videogame, piece of music or web service are largely hidden from the consumer and they

expectittobe‘free’.Sohowdoyoudoit?

Ad-funded Content

Recent Jupiter research from Q4 2006 tells us that:

Mobile advertising is set to reach £2 billion in the UK by 2010.

Almost half of the 16 to 25 year olds vs 32% of the over 25s were happy to accept adverts in return

for free content.

30% of those then said they would be likely to respond to marketing messages.

Agoodexampleofad-fundedcontentinactionisBlyk,thenewvirtualmobilenetworkoperatoraimedat16

to 24 year olds. Customers sign up to the service and receive free SMS and calls (within a set limit) and this

ispaidforbyadvertiserssendingthosecustomersadvertisementsrelevanttotheircustomerprofile.The

customerprofilegoesbeyondthebasicdemographicinformationandalsoincludesusagemetricsandalso

the content those customers create.

For this approach to work, you must match your advertiser very closely with the end customer as well as

the service you are offering. In Blyk’s case, it’s a focussed youth segment and the advertisers working with

them have products and services very much aimed at that audience. The way that content is created is in

keepingwiththemediaexpectationsofthattargetcustomergroupandisbasedonengagementratherthan

bland branding messages.

If there is no congruence between the advertising brand and the media entity then the campaign is unlikely

to work, e.g. a message about Persil washing whiter school uniforms is not going to be of much interest to an

18 year old interested in clubbing and spending time on dontstayin.com and bebo.com.

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Mobile Advertising

Using a service like Admob wapsite owners can generate income from offering pay per click advertising from

their sites without having to search for the advertisers themselves.

If you’re an advertiser, you can target your audience and the device you want [really important if you want your

customerstodownloadsomethingandyouknowwhichhandsetsitworksbeston].Youhavetheflexibility

to select which kinds of sites your ad will run on. There are advanced reporting and analytics available and

if you don’t have a mobile site, there are companies that will help you create one very quickly and easily.

You can use simple hyperlinks or graphical banner ads. And because of the sophisticated reporting and

analytics, you are able to work out which treatments are working well.

Five Tips to increase the Click Through Rates of your mobile adverts

Changeadtextfrequently

KeepyourcampaignfreshandgetthehighestROIbyfrequentlychangingadtext.Customersare

more likely to click on ads that they haven’t seen before. [People get bored, so it’s important to

come up with regular new content].

Use relevant links

Be sure that the click through URL takes your audience to a relevant landing page and that the

productyouarepromotingiseasytofind.[TherightlandingpagesarecrucialonweborWAP.But

get it wrong on WAP and it’s even worse as you don’t have the space to play around with navigation

onaphoneforsomeonetobotherfindingtherightpage].

Customise your advert

Includetheuser’sphonemodelintothetextofyourad,makingitmorerelevantand

dynamic.Youcandosobyinsertingthe%phn%tagintothetextofyourad.Forexample,“Share

picturesonyour%phn%”wouldbecome“SharepicturesonyourRAZR”toauserviewingthat

ad from a RAZR. [This is particularly important for mobile content providers, and probably not so

relevant to non-mobile brands].

Be timely

Referencehotproducts,sales,eventsandholidays.Besuretoupdateyourtextoncetimesensitive

events are over. [e.g. don’t advertise England football mobile content on a non-football site the day

afterEnglandloseabigmatch]!

Experimentoften

Trynewadtextandtargeting.ExperimentwiththeRunofNetworkofferingtoattractmoreglobal

traffic.Continuallytryingnewthingswillhelpyoutodeterminewhatworksbestforyourbusiness,

as well as to ensure your ads are fresh.

1.

2.

3.

4.

5.

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Sponsored SMS

Somelistownersareofferingclientstheabilitytoaddashortmessageattheendofatextmessagetheyare

sendingoutalreadytotheircustomers.Anexampleofthisisthedirectoryenquiriesservice118118.

However,atextmessageisalreadyveryshortandtypicallyyou’llget40charactersorlesstoplaywith.This

isnotalotofspace.Bewaryofthetargeting–howtargetedisthislistorthiscommunication?Canyoutiein

with a message that’s already going out or does your message bear no relationship to the original message

you’responsoring?Inthecaseof118118,thereislittleornolinkbetweenthesponsorandthe118118

message. Also have a think about the customer and how they would feel about receiving a sponsored

message.Inthe118118example,whenyouhavepaidgoodmoneytoreceivetheanswertoyourdirectory

enquiry,howwouldyoufeelaboutreceivinganadvertisingmessageaswell?Andhowwouldthatimpacton

their feelings about the advertiser.

Selling your List

There are many database owners that will sell their data to any willing buyer. It can be a murky business.

Rates for your data will vary from less than 1p per name to about 12p. But you’ll be very lucky to get to the

upper end of that range. Branded lists [Kiss, FHM, MTV] fare better when it comes to pricing and can attract

cpm rates of £250. But the chances are you’re not EMAP or MTV.

If you are thinking of selling your list, there are lots of data protection hoops to jump through - and rightly so.

It’s unlikely that you’ll be able to sell your list and just hand it over to a third party. The chances are, if you’ve

structured your terms and conditions properly you’ll have permission to send messages on behalf of third

parties, but that the data can’t leave your hands.

For this to work, there needs to be a close association with the brands of the list owner and the brand

advertiser which isn’t easy to achieve. Third party lists have been so badly abused in the past that they are

suffering from the law of diminishing returns.

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Sponsored Content

Create useful/entertaining/must-have mobile media such as an application, game, mobile TV loop, news,

gossip, messaging etc. Then get access to a loyal customer base and get a big brand sponsor in to fund

it - The Sun, News of the World and The Times did just this for the 2006 World Cup. The application was

called your ‘World Cup Companion’ and meant that you could keep up with all the scores and news around

the World Cup as it happened. It was promoted in the newspapers in print and online, the sponsors’ logos,

Betfair and Three, appeared in all the media promotion so the whole was greater than the sum of its parts

in terms of media coverage.

Off The Page Promotion

This could be a revenue share deal or a bounty deal [where the content company pays the publisher for each

customeracquired-payperacquisition].Agoodexampleofthiswasthepromotionthat82ASKdidwith

IPC’s Pick Me Up magazine. The promotion was co-branded, and was reinforced throughout the magazine in

the following weeks and generated a high response rate.

Subscription Model

This is where you offer customers either an all you can eat package or a limited weekly use package for a

fixedfeeperweekorpermonth.TheseservicesarestilladvertisedontelevisionandwereabigpartofCrazy

Frog’s success - the adverts shown at the time didn’t just advertise Crazy Frog - to get the Frog ringtone,

you had to subscribe to a weekly or monthly service. This type of service has got itself a bad name with

unscrupulous providers not being clear about costs and how to opt-out. That said, if you get it right, it’s a

veryprofitablewaytorunabusiness–LoveFilm,BCAbookclubandmanyothersfinditaverysuccessful

model. But for it to work, you need a trusted brand image, squeaky clean operations, great customer service

and strong customer focus.

User Generated Content

This is a neat model - get your customers to create their own content. Give them the ability to market, buy

and download each others content, and reward the creators with a percentage of sales and only payout when

theyreachacertainamount[say£25].ExamplesofthisareSeeMeTv,PeekabooTV[NSFW],LookAtMeTV.

Wholesale

Syndicate your content to a network operator, media owner or content aggregator/s. There is a protracted

value chain - not least the chunk of money that the network operator takes for premium SMS payments - and

this means limited margin. So what you’re aiming for is multiple niche deals rather than one big deal, going

for global makes sense, if you can. Some revenue may well be better than no revenue at all and if you do

start selling content, it all adds to your sponsorship story and credibility for creating things that customers

actually want.

Don’texpectmiraclesthough,therearethousandsofcontentprovidersoutthereandthechancesofyou

hitting the jackpot will be slim.

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Retail

Go direct to consumer and build your brand and trust, and put effort into your own marketing and

distribution.

Thefive‘P’sofmobilemarketingareimportanthere.

Product: what is it, is it easy to use/understand/download.

Place:wherewillcustomersfindit?Onsomedodgybackofbeyondwebsiteoryourownamazing

site.

Price: you may need to play around with pricing models.

Promotion:howareyougoingtopromote?You’llneedtolookatthewholemarketingmix,online,

offline,mobile.

Partnerships: getting revenue share deals with publishers will be really helpful so you share the risk

and don’t have to pay out advertising costs up front.

Don’t Have a Business Model

Hopeyou’llbethenextbigthinginmobileandsomeonewillbuyyouforloadsamoney...itcouldhappen!

There are plenty of internet business out there who didn’t have a business model when they started up.

However, like the online world, the successes will be very few and the failures will be many.

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Social Networking Will Drive the NextWaveofMobileCommerce:

Jeff SpirerVice President Mobile Internet, Tanla Mobile Inc

Jeff Spirer has over twenty years in managing high technology sales, marketing, and business

development. Most recently, Jeff managed US business development for mobile e-commerce provider

Bango, working with major entertainment companies, key strategic partners, and mobile developers

to build a US presence for Bango. Prior to that, Jeff co-founded startups such as Newsnet, which

developed applications for Microsoft’s TabletPC, and Navitel, which developed software for advanced

telephones and was successfully sold to OpenTV. Jeff also worked in key sales and marketing roles for

Intel, Sun Microsystems, and Home Shopping Network’s Internet division.

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The telephone is the most social device people use. This has been true since the invention of the phone,

and it continues today. Over the last two decades, we have seen the phone become mobile, and more

recentlyseenitsuseexpandfromjustvoicetovoicewithmessaginganddata.Whathasn’tchangedisthat

the phone is the most social device we use. What will change is that the phone will also become a primary

commerce vehicle through its ever-presence, data connections and its social usage.

Whenmobile commerce first emerged, it was tied to operator sales of limited types of digital content

provided by businesses, both large and emergingmobile-specific companies. Asmobile web browsers

became available, these businesses added off-portal (off-deck) offerings, but the content being made

available didn’t change as off-portal sites opened up. Phone users were offered through on-portal and off-

portalamixofringtones,wallpapers,andoccasionallyvideos,fullsongs,andspecializedinformation.With

this limited content and the limited methods of discovery available to drive users to mobile storefronts, sales

have usually been generated by purchase of a new phone and strong fan support rather than serendipitous

shopping. All this is changing with the advent of social networking via the mobile phone.

SocialnetworkinghasbecomeafixtureonmerchandisingsitesonthePCinternet.Amazon,Netflix,and

many other shopping sites provide user feedback and recommendation tools. Social networking develops

around these tools, with users sharing information with online friends. In addition, sites developed

specifically for social networking are now offering ways to make recommendations, tell a friend about

products, and even keep them informed on every online purchase. Shopping is about sharing, and social

networking sites enable sharing.

Social networking is already popular on the phone, but the tools have been crude. Teens in particular use

textmessagingtostayintouchwithgroupsoffriendsandsharetheirdailyactivities.Morerecently,rich

mobile sites have emerged to go beyond the limitations of SMS, using graphics, scripts, and databases to

bringabettersocialnetworkingexperiencetothephone.CompaniessuchasIntercastingandTinyPictures

make it easy for people to connect inside the mobile internet, allowing sharing of information. These social

networks provide new commerce opportunities that can bring new business to merchants, and in turn, bring

more usage and revenue to the social networks.

With the rapid growth of the mobile internet, and the consequent surge in social networking sites on the

phone,thenextwaveofgrowthinm-commerceisbeingdrivenbysocialnetworking.Userscaneasilyshare

their recommendations and recent purchases with friends, make suggestions to someone in a store, or just

let someone know about what they just bought, be it digital content or physical goods. The link between

thephoneandshoppinghassomanyavenues–voice,sms,andmobileweb–thatitbecomesthenatural

way to share.

Brands can leverage social networking for both promotion and sales, in both sites developed for social

networking, or using social networking elements within their site. Within a social networking site, advertising

canhelpgeneratebrandawareness,“tellafriend”and“thisiswhatIbought”widgetscanspreadproduct

demand. Within a retail or entertainment mobile site, social networking elements, such as those provided

by mPulse, can add the ability to share information and opinions about products and services. Using the

nextgenerationofsocialnetworkinghelpseveryoneworkingtobuildmobilecommerce.

Social Networking Will Drive the Next Wave of Mobile Commerce

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Tanla’s offerings are enablers for social networking sites that want to offer commerce solutions to their

users. Here are some of the ways it can happen:

• WAP push a product recommendation to a friend

• Provide billing for digital content downloads

• Provide billing for physical purchase

• Offer subscriptions to mobile shopping sites

• Serveinterstitialandbanner/textadsonsocialnetworksites.

Tanla’s suite of mobile offerings will enable social networking and m-commerce sites, bricks and mortar

storesandonlineshoppingsitestoridethenextwaveofgrowthinmobilecommerceandmobileshopping.

Mobile TV -AreWeNearlyThereYet?

Steve Flaherty,Mobile Consultant,Keitai Culture

A qualified engineerwith 16 years experience in high technologymarketing, Steve Flaherty is now

developing an independent mobile data & wireless consultancy Keitai Culture, specialising in creating

and delivering mobile innovation.

Prior to founding Keitai Culture, Steve held a number of key positions within the high-technology

industry. These included business consultant at Cable & Wireless, UK general manager for Taiwan’s

Behaviour Technology Corporation and head of Mobile Data & Wireless for both Rare Technology and

Red Hot Chilli.

Over the last seven years Steve has specialised in mobile data & wireless consultancy, leading his

first serious project for Apple in 1996. This involved technical problem solving regarding wireless

communications for the Newton. Since then he has lead mobile related projects for Orange, C&W,

BT, BA, Zurich Bank, IBM, LG Electronics, KPMG and many others. These projects have ranged from

strategic market reviews on emerging technologies, to strategy and vision creation and have often

involved implementation of his own recommendations.

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Our relationship with TV is changing, we have PVRs and TV on demand across terrestrial, satellite and

broadband networks, we can watch it on our laptops and even route our home TV across our broadband

to our mobiles. This greater access to TV and video on demand seems to have allowed us to become more

efficientinourviewinghabitsaswewatchlessTVnowthanwedid4yearsago.AnothernewformofTVis

being introduced into this melee with the hope of getting us to spend more money on our favourite pastime,

the much vaunted, mobile TV.

Mobile operators seem to be shaping up for large investments in mobile TV, in spectrum, networks,

applicationsandinTVprogrammingbutdowereallywantit,arewereadyforTVonourmobiles?Getting

people to watch and pay for mobile TV is going to be a big challenge for mobile operators. In the main

people still view their mobile phones as communication rather than entertainment devices. The mobile

TVexperiencewillthereforehavetobecompellingifpeoplearegoingtogiveashareoftheirincreasingly

precious wallet to pay for it. Most TV is not that compelling and when it is it can be recorded or is increasingly

available on demand or time shifted. We can then enjoy it on that crisp HD TV we will all one day have.

Early mobile TV services seem to be getting little traction. Virgin Mobile has just announced the demise

of its mobile TV service less than a year after launch. Even after a £2.5million advertising campaign the

service could only recruit 10,000 viewers. The lack of Handset options may have been a little off putting

totheconsumerasVirginMobileonlyreleasedone“Tellyphone”thesomewhatclunkyLobster.Thiswas

compounded by the lack of channel choice as the DMB (digital multimedia broadcast) technology used was

an upgrade to the DAB radio network and therefore lacked the bandwidth required for multi-channel TV.

Let’s look at some of the problems that mobile TV must overcome if it is to succeed. Firstly, there are in general

two types of mobile TV, TV that is streamed across a mobile operator’s network and TV that is broadcast from

a high antenna network such as used for traditional interactive digital TV (IDTV), although it is worth noting that

due to the small aerial on a mobile phone that mobile TV networks will need to be denser than IDTV networks.

UndertherightcircumstancesbroadcastTVgivesasignificantlybetterreceptiontotheuserthanstreamed

TV which has those familiar variable bit rate and buffering problems of internet streaming services. This is

further compounded by the fact that the consumers 3G phone has often roamed onto a 2.5G network that

does not support the typically over 100Kbps transmission speed causing the service to either freeze or not

launch at all. This lack of premium service delivery guarantee is an early headache for consumers and mobile

operators alike.

Due to the inherent problems with streaming most operators are looking in the long term at broadcast

technologies.InEuropetheEUhasnowofficiallysanctionedtheDVB-H(digitalvideobroadcast–handheld)

broadcast standard. DVB-H requires spectrum to operate in, the more spectrum the more channels can

be broadcast. Problematically many other new technologies are also looking for scarce spectrum capacity,

these includeWiMAX,HD-TV and even3G as operatorsmay look to upgrade their existing capacity. As

regulators in theEUare takingahandsoffapproach todefiningwhatavailablespectrum is tobeused

for, it will surely fall to the highest bidder and therefore the technology with the best potential return on

investment capital. It may be worth mentioning at this stage that the mobile standard for WiMAX will soon be

ratifiedandhandheldWiMAXdeviceswillbeabletoreceivestreamedIPTVcreatingapotentiallydisruptive

market entrant.

In the UK spectrum is so scarce for DVB-H that it will not be until 2012 when the analogue broadcast service

is switched off in London that any spectrum becomes available that is unless the MoD decides to move old

military radar into different spectrum.

Mobile TV – Are We Nearly There Yet?

97

Thenextproblemtoovercomeiscontentlicensingandrightsissues.Broadcastersdonotingeneralhaveall

themobilerightstotheirplay-out.ForexampletheBBCdoesnotholdthemobilerightstothepremiership

and therefore would have to block out Match of The Day on a Saturday night. Mobile TV at this stage does

not create enough revenue to justify broadcasters buying all the mobile rights to all their TV programmes

therefore leading to the scenario that for large chunks of the day the mobile TV screen will be blank if

standard linear channels are broadcast. This in turn leads to a user adoption and customer retention

problem for mobile TV, which will in turn reduce the business case for paying more for content licensing.

Mobile operators or MVNOs that are part of a quad/triple play may be able handle some of these issues

better than standalone operators. If the mobile operator has a broadcaster as a sister company then a

more holistic approach can be taken towards multi-platform TV. Mobile TV can then be used not as a killer

application to drive mobile operator revenues but as a customer acquisition and retention tool. This would

be done by offering mobile TV at a reduced price bundled in with other TV packages and on the same bill.

Broadcasterscouldthenleveragetheirspendoncontentlicensingtoextenditintomobile.

Mobile operators that are not involved in a triple/quad play need to watch out that they do not end up

disintermediated from the mobile TV value chain. We have already seen that Virgin Mobile was able to

launch mobile TV with the associated mobile operator retaining none of the revenues.

Most of all operators should be looking at how to catalyse the early market before the business case

forshort termimplementationevaporates.Mobileoperatorshavetheadvantageofbeingfirst tomarket

with streamed mobile TV. They should look more to recent video phenomenon such as You Tube and the

user generated content craze. The generation that will be the consumers of mobile TV are sitting in their

bedrooms chatting on the internet, listening to music and keeping their Facebook up to date. I doubt they will

allocate 20% of their monthly top-up to watch the News at Ten and Coronation Street on their mobiles.

OfcoursethereisalwaysthesurefirehitoferoticmobileTV.Thiscontentgenrehasleadearlyuseradoption

of mobile video as well as many other media channels. Three UK and Three Italia already run relatively

successful adult mobile TV services, which at the very least is getting young men used to consuming TV

on their phones.

64

The Mobile Web, Beyond Best Practices:

Daniel Appelquist,Senior Technology Strategist,Vodafone

DanielAppelquistisanAmericanexpatriate,livinginLondonandworkingforVodafoneGroupResearch

& Development. As a Senior Technology Strategist and Program Manager, he focuses on Web and

mobile Web topics. He represents Vodafone in the W3C and in the Mobile Web Initiative which he

helped create, and within which he chairs the Mobile Web Best Practices Working Group. He has also

been involved with the development of dotMobi, the mobile top level domain.

Before joiningVodafone,Danielwasapioneer inthefieldofWebcontentandtheuseofXML,first

working with publishers in the mid 90s to put content (notably, the journal Nature) online using SGML

and later developing XML-based content management systems at TheStreet.com. He is a published

author, a speaker on technology topics, evangelist and sometime dot-com CTO.

99

100

TheWebisgoingthroughanupheaval.Oncegivenupfordead,theWebisexperiencingaperiodofintense

innovation and change like never before. This upheaval is taking many forms, but one of the most profound

is the convergence between Web and Mobile. This convergence is leading to a clash of civilisations, as the

established Web culture and paradigm collides with the established Mobile industry paradigm.

WAP. IMode. Chtml. Xhtml. Walled gardens. Off and on-deck content. dotMobi. Small-screen browsing. The

fieldofWebmobilityislitteredwithbuzzwordsthatmeandifferentthingsindifferentcontexts.

Keeping it Real

InJanuary2007,SteveJobssaidofthecurrentstateoftheMobileWeb:“It’sbadouttheretoday,”andofthe

capabilitiesoftheAppleiPhone,“it’sarealrevolutiontobringrealWebbrowsingtoaphone.”Infact,both

NokiaandOperahadalreadybroughtso-called“realWeb”browsingtothemobileplatform.

Butwhatis“real”aboutthe“realWeb?”Infact,theword“real”isacode-wordforthe“PC”Web–Websites

thataredesignedforandtestedexclusivelyonPCWebbrowserswithnothoughtgiventomobilebrowsers.

Theconceptofa“real”WebalsoimpliesastaticWeb.Infact,theWebisanevolvingmedium.In1994,

the “real”Web consisted ofWeb sites built forNetscapeNavigatorwhich usually assumeda640x480

screensizeIn1999,the“real”WebwasWebsitesbuiltforInternetExplorerwithascreensizeof800x600

usuallyassumed.By theendof2004,peopleweredesigning forbothFirefoxand InternetExplorerand

assuming1024x768.SotheconceptofastaticrealWebisanon-starter.OtheraspectsofWebdesignand

development have evolved as well, both in terms of product features and technologies in use to implement

them. Each of these has required a mind-set shift.

The shift to the Mobile is no different. In the case of mobile, many would argue that as the devices and

browsershavematured to thepointwhere theycanshowusers“real” (i.ePC)Webcontent, there isno

longeraneedforaconceptofthemobileWeborformobile-specificuserexperience.Buttheywouldbe

wrong. What is happening now with the launch of advanced devices and advanced browsing technology is

thatsmartcontentdevelopersarefindingwaystoengageuserswiththesetechnologiesdirectly.Theyare

developingmobile-specificservicesanduserexperiencesthattakeadvantageoftheadvancedfeaturesof

these browsers rather than using them as a bad way to show PC-bound content.

EventheiPhonebenefitsfrommobile-specificuserexperienceandmobile-centricdesign.Applethemselves

released a developer guidelines document along with the iPhone which underscores this message. The

Mobile is different. However, the tent of the Web is big enough to encompas this difference. To put it another

way, it’s the Web, but not as we know it.

The Mobile Web, Beyond Best Practices

101

User Choice

Irananeventcalled“Mobile2.0”(yes,anotherbuzzword–sorry)inNovemberof2006.Inanattemptto

definetheterm,IcameupwithanO’Reilly-esquechecklistofattributesof“mobile2.0”services.Youcan

readthefullarticle,butoneitemonthischecklistwas“Operatorchooses->Userchooses.”Inotherwords,

in the emerging world of services on the mobile Web, the user is choosing the services, as opposed to the

walled garden way where the operator is choosing for them. This shift is roughly analogous to what we have

seen in the past with the migration from dial-up walled garden portals such as AOL and Compuserve to the

open Web model.

Developing services for the mobile Web, however, does not necessarily mean giving up all the advantages

ofthemobileplatform.Forexample,useofSMStextmessagingcanbepowerfullycombinedwithuseofthe

browserbysendinguserstextalertswithlinksthatbringthemintomobileWebsessions.Therearemany

options available for integrating direct mobile operator billing as well.

Designing Services for the One Web

ButhowdoyoucreatecompellingproductsandservicesforusersonthisnewplatformofthemobileWeb?

Part of the answer is to adopt a multi-channel approach to design and delivery. The cornerstone of this

approach is that Web sites can and should adapt themselves to suit the user’s device and browser.

The success of the Web as a platform is partially due to its consistency of use. Web users can be fairly

certain that Web sites can be accessed from whatever browser on whatever machine they happen to be

on. Designing for One Web means designing services that support this paradigm of consistent access, but

extendingacrossmultipledevicesandmultipledeviceformfactorsaswell.ThismeansthataWebsitemight

appearorbehavedifferentlyondifferentdevices–becauseitadaptstothatdevice’sspecificfeaturesand

capabilities.

Forexample,anairlineWebsitewhenaccessedfromPCbrowsermightallowtheusertosearchfares,look

up their air miles, see what a business class seat looks like, etc… The same Web site when viewed from a

mobile device might also allow access to the same information, because use of the Web from mobile devices

tendstobemore“taskoriented,”thesitemightprovideupfrontaccesstooften-useditemsformobileusers,

suchas“confirmmyflight,”or“onlinecheckin.”Becausethemobiledevicehascomparativelylessscreen

real-estate,the“informationarchitecture”oftheservicesprovidedmightalsobedifferent.

Web-capable mobile devices also feature different input modalities than the PC-based Web. For most

devices currently on the market as of this writing, that means use of a four-way rocker switch, not a mouse.

Touch-screen devices are also playing an increasing role, however a touch screen, even though it is more

versatile than four-way navigation from a Web perspective, is also not equivalent to a mouse. Neither of

thesemodalitiessupport,forexample,theconceptofa“mouse-over”(wherebysomefunctionality,suchas

a pop-up, is activated by the user allowing their mouse pointer to hover over graphic or some other area of

the screen). Part of the adaptation process is taking into account these differences in modality and creating

userexperiencethatfitsthemodality.

102

Creating Services that Flow Seamlessly Across Devices

Useof the“OneWeb” thinkingcanenableyoutomoreeasilydesignservices thatengageusersacross

multipledigitalchannels.Butdon’tbeafraidtousemobile-specificmediumssuchasSMStextmessagingto

engageuserswhenyouknowthey’remobile.Sendingatextmessagetoausercanpullthemintoamobile

Websession(as,forexample,whenthattextisanotificationofsomethingtheuserneedstoknow,suchas

“yourflighthasbeencancelled.Wouldyouliketorebook?”)

Somepremier“Web2.0”contentbrandsarejumpingintothemobileWebfeetfirstbydevelopingofferings

that enable their mobile users to use the same applications they’re used to interacting with on the PC-

boundWeb. FlickR, Facebook and Google are some particularly good examples. The concept of these

mobile services by and large is a cut-down user interface which provides basic access to functionality

from most mobile browsers. Some services, such as SoonR, are taking full advantage of the capabilities of

advancedmobilebrowserstobuildtrulyinteractiveapplicationsinsidethem.Theseso-called“mobileAjax”

applicationsareonthecuttingedgeofthemobileWeb.Currently,theyaredifficulttobuildandrequirea

lotofcustomizationfordifferentbrowsers.ThismirrorstheriseofAjaxapplicationsinthePC-boundWeb,

and just as with the PC Web, a number of commercial and open source efforts are under way to lower the

complexityandbarriertoentryforrichmobileAjaxapplications.

Testing Testing Testing

The most important aspect of developing any mobile service is testing. Testing that your service works

across a range of devices can be the difference between mobile Web nirvana and mobile Web purgatory.

This also means understanding what devices you are targeting up front so you can be sure to test your

serviceonthedevicesthatmatter.Forexample,foraservicetargetedtowardstheyouthmarket,youwould

test on devices that are popular in that market, and not care too much about, say, the Blackberry. For

services targeted towards mobile professionals, however, Blackberry should be top on your list.

WhatDoestheFutureHold?

The Web is evolving and bringing Mobile browsers and usage paradigms into its global tent. This means

someoftheestablished“truths”aboutmobiledevelopmentareflyingouttheproverbialwindow,however

someestablished“truths”aboutWebdevelopmentareflyingout thesamewindow.The result isanew

manifestation of the Web and a new way to engage with people, what Alan Moore has called the “seventh

massmedium.”Ascontentandapplicationdevelopersbegintobuildever-morecompellingservicesforthis

medium,andas innovativetechnologiescontinuetocometomarket, it’s likely thatwithinfiveyearsthe

majority of Web usage will be from mobile devices.

Will this be a world of mobile-optimized Web applications and services or are we all going to be using these

devicestopanandzoomaroundonWebsitesthatweredesignedfordesktopPCs?Ithinkthelatterscenario

isaratherdystopianvisionofthefutureoftheWeb;avisionwecanavoidbydesigningforoneWebacross

arangeofdevicesandtherebytreatingmobileusersasfirstclasscitizensoftheWeb.

67

6466

105

Limited Use of Mobile Content Provides Advertisers With An Opportunity to Go It Alone:

Jessica Sandin,Head of Mobile & Senior Consultant,Fathom Partners

Jessica headsupFathom’smobilework,havingmanyyears’experience in themobilecontentand

applications business. She is a highly regarded commentator on all aspects of the mobile data services

sector and frequently speaks at industry events. Jessica is also co-vice chairman of the European board

of the Mobile Entertainment Forum.

Jessica joined Fathom from Informa Telecoms & Media, where she was principal analyst and portfolio

head for mobile content and applications, responsible for a range of business intelligence products.

She started her career as a journalist in 1995, with U.S. TV trade magazine Broadcasting & Cable.

When moving to London, she joined Baskerville, working on their high-end TV and telecoms newsletters

as journalist and editor. She was involved in launching industry publication Mobile Media (formerly

Mobile Internet) in 2000, subsequently taking over responsibility for all publications, and later all

premium products, in the mobile data applications and services area at Informa.

106

Two topics have made a come-back in the mobile space over the past year: mobile advertising and mobile

internet. The mobile industry’s enthusiasm for both seems almost limit-less. It’s bordering on the hype we

sawaroundbothintheearlydaysofWAP,butnowtechnologyismoredevelopedandtheexpectationsare

therefore a bit more realistic. The two topics also reinforce each other, but here, the advertising industry

needs to tread a bit carefully. Mobile is not the internet any more than the internet is TV (even if there’s TV on

the internet, that’s not the same as TV on a TV set). Mobile, therefore, should be looked at as an advertising

medium in its own right.

Ifadvertiserschoose to regard itsimplyasan internetextension, they’remissinga trick.Mobilecanbe

muchmore–andit’sdifferent.It’spersonal,inherentlyinteractive,alwayswithyouandusedinadifferent

waytothefixedinternet.Infact,theareasthatareheavilyusedonmobiletodayhavelittletodowiththe

internet at all.

Advertisers looking to get serious face-time with mobile consumers in 2008 would do well to consider

sponsored messaging or solutions allowing ads on the idle screen or at call set-up. Most consumers use

thesefeaturesdaily–muchfeweraccessanyformofcontentservices.AccordingtoM:metrics,whichtracks

mobile content usage, 86% of UK mobile users sent an SMS in 1Q07, but only 19% did any form of browsing

on their phones.

The lack of mobile internet inventory we’re hearing about is, then, not all due to industry fragmentation.

Many hurdles to mobile internet advertising remain, including the lack of standards and measurement,

but the lack of a substantial audience is quite fundamental. After all, advertisers are looking to buy time

with consumers. To get people to spend time with content and services on mobile, you have to provide

themwith somethingworthwhile. You need to give consumers a compelling user experience and great

contentandservicesthattheycanfindquicklyandeasily.Sofar,mobilehastoooftenfailedtodeliveron

these fronts.

Encouragingly, we are seeing increased penetration of 3G and advanced devices that enable a better

mobile data user-experience. The prospect of ad-funded content should also encourage the creation of

more compelling content as well as better discovery mechanisms.

After all, if your content is ad-funded, your revenues come with frequent usage that generates more ad-

views. It’s not enough to make users pay once to download something. But, crucially, without an audience

accessing content to begin with, it’s hard to bring advertisers on board. For advertisers, the availability of

data-ready devices in consumers’ hands provides an opportunity that could also help the mobile content

industryasawhole.Advertiserscouldplayakeyroleinpushingusersontothemobileinternet–andthey

could create a closer relationship with those users in the process.

Limited Use of Mobile Content Provides Advertisers With An Opportunity To Go It Alone

107

Bringinganaudienceontothemobileinternetwillbeaboutfindingtherightentrypointforeachindividual.

Onceyou’vefoundaserviceyoureallylikeusing,you’llrealisethere’smoreoutthereandstartexploring

others. In such a scenario, driving discovery is crucial. This is where advertisers’ cross-media spend could

become a driver. Cross-media campaigns which prominently integrate shortcodes that provide a WAP push

to advertisers’ own, branded sites or downloadable applications could bring users to the mobile internet.

And unlike mobile companies that are looking to generate revenues from mobile users, advertisers can bring

users in with rewards of free content or coupons.

Ifbrandsplaytheircardsrightandprovideacompellingcontentorserviceexperience,theycouldalsohold

onto the relationship with the consumer. It won’t be suitable for all brands, but worthwhile considering for

some. These forms of sponsored content can help users discover other mobile internet services as well

–andoncetheyhave,there’llbemoreadvertisinginventoryacrossthemobileweb.

Conclusion:

Gerry Drew,ChiefOperationsOfficer,Tanla Mobile, UK

Gerry is responsible for driving business through the Marketing, Media and Enterprise sectors. Prior

to joining Tanla, Gerry held several positions at Opera Telecom. He was Director General for Spain

and Portugal, before taking the role of Senior Vice President for the Americas in charge of interactive

broadcast projects through Latin America, The Caribbean and North America. Before Opera, Gerry was

Commercial Director for O2 where he managed several teams, including the mobile interactive services

groupresponsiblefordeliveringhighprofilebroadcastpropositionsforTVshowssuchas‘BigBrother’,

‘I’m a Celebrity, Get Me Out of Here’, and ‘Pop Idol’.

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110

Introducingmobileintothemarketingandadvertisingmixrepresentsthesinglelargestevolutioninthepast

decade of marketing for brands and content owners alike. Whether the aim is to drive revenues, cross sell

products or acquire customers, the true power and potential of mobile is soon to be realised.

This brave new world will not be without its challenges. Those adopting mobile marketing will need to arm

themselveswiththerighttools,teamsandfindpartnerswhotrulyunderstandthesector.Thepowerand

influencethatmobilemarketingcanbringtoabrandisun-paralleledwhenexecutedintherightway,there

aremanygreatexamplesofthis.Similarlythereareexampleswherebrandshavebeenadverselyaffected

when campaigns are poorly managed. Remember, “The quality and history of your relationship with the

customeristheonlysourceofcompetitiveadvantagethatultimatelycannotbecopied”.

As a trusted service provider, Tanla Mobile works proactively with industry regulators, industry bodies, mo-

bile networks and clients to create an environment for the promotion, content and overall operation of

mobile services, that is safe and transparent for the consumer to use. We play a key role in providing our

clients with advice to ensure mobile services are compliant with the latest regulatory codes of practice. It

is our business to protect yours.

The ease of use and the ‘always connected’ nature of the mobile device has made it the preferred medium

foradiverserangeofproductsandservices,fromdeliveringentertainmenttoenablingfinancialtransac-

tions. Not only is the number of subscribers growing worldwide but even their usage has evolved rapidly

from voice-calls to SMS and now to downloading full-length audio / video tracks and increasingly browsing

the internet. It has quickly become an integral part of daily life, it is our phone book, gaming device, music

player, it is the link between the ‘real’ world and the ‘virtual’ world.

Mobile marketing gives brands and retailers the capability to personally connect to consumers by interact-

ing with them wherever they are. As such, provided there is permission, mobile technology allows a level of

intimacy and interactivity not previously achievable. People have their mobile phones with them wherever

theyare–atwork,athome,atplay,lettingyoubuildastrongone-to-onerelationshipwitheachconsumer.

However, it is essential you always think ‘customer’ and put yourself in your customer’s shows when running

anymobilemarketingcampaign.Whoisyouraudience?Whatareyourkeycampaignmessages?Where

doesmobilefitintoyouroverallcampaign?Withmobilemarketingthecriticalsuccessfactoristhecontext.

Contextofthemessage,it’senvironmentandtherecipientsreadinesstoreceive.

With huge amounts of effort going into the development of mobile content, it isn’t at all surprising that de-

velopers and service providers are turning their attention to mobile advertising to fund their efforts and build

profits.Wearenowatthestagewhereconditionsarealmostinplaceforadvertisingtodeliverthelevelsof

revenue needed to allow mobile advertising to hit critical mass. There is a huge active mobile user base,

hungryforthenextwaveofcontentdevelopments.Therearealargeamountofgoodqualityphonesinuse

with decent cameras to allow broad user participation, and above all there is high capacity storage and fast

data speeds available across the board.

It is important that mobile advertising developments keep pace with the objectives of mass market brands

andthepreferencesofusersinordertofullylaunchthenextmobilerevolution.Theindustryneedstostrike

a balance between the right amount of advertising to pay for content and services, coupled with lower data

charges.

A Brave New Future for Mobile

111

Theoutlookisextremelypositive,withtheindustryawashwithactualandplannedad-fundedcontentor

supportedservicesfromthelikesofOrangeandT-Mobile.3UKforexamplereportedsome6millionclips

have been viewed by over 600,000 customers of its ad-funded service since April 2007. Advertisers making

use of this channel include a range of household names whose ads bracketed video streams on subjects

such as breaking news, weather and horoscopes.

We are fast approaching the tipping point for mobile advertising, service providers such as Tanla are

providing the capability and the global consumer brands are beginning to spend. The link between the two

are the consumers, who seem ready to accept the presence of ads across mobile content and services as

long as they are accompanied by compelling viewing and reasonable pricing.

112

The Tanla Mobile Marketing and Advertising Guide has been edited by Helen Keegan, a marketing

communicationsprofessionalwithmorethan15yearsexperienceinretailandmarketingmanagementand

consultancy for Selfridges, Episode, Inter-Continental Hotels, Hewlett Packard, First Group and TNT. Helen

has specialised in mobile marketing, in particular how to initiate and leverage customer relationships by

using the mobile phone, for more than 7 years. Helen was at the birth of the mobile marketing industry

in2000asheadofcustomerexperienceatZagMe,thelocationbasedmobilemarketingpioneer.Shewas

instrumental in recruiting more than 85,000 customers at Lakeside and Bluewater shopping malls and

ran more than 1,500 SMS marketing campaigns for over 150 leading retail clients, agencies and brands

including Esprit, Nike, TopShop, HMV and Waterstones.

Today, Helen runs her own mobile marketing and media consultancy, BeepMarketing, developing mobile

strategies, creating mobile media and implementing mobile marketing campaigns for many blue-chip

and agency clients including Scottish Courage, UIP, Sony Ericsson, Emap, Samsung, Direct Line, ENO

and Danone. She also runs Swedish Beers, a (roughly) quarterly mobile networking event in London and

Barcelona and is also a founder member of Women in Mobile Data, a global association for women working

in mobile, promoting mobile content and media for niche markets. Helen speaks regularly on the hot topic

of mobile marketing and media at seminars, conferences and networking events.

Helen also runs mobile marketing courses at the Institute of Direct Marketing, Academy Internet,

e-consultancy and New Media Knowledge and is a guest lecturer in marketing at the Universities of

Westminster, Newcastle and Hertfordshire. She writes a popular blog on mobile marketing and media and

contributes to group blogs on the same topic. And when she’s not doing that, she becomes Raindrop and

leads a brownie pack in South West London.

www.beepmarketing.com

www.technokitten.com

www.swedishbeers.co.uk

113

Emoticons

:-( Sad face can’t cu 2nite :-(

:-) Smiley face can’t wait 2 cu 2nite :-)

:@) Pig don’t b a :@)

;-) Winkingface ;-)

:-o Surprisedface seeng’shair?:-o

:-D Laughing face gr8 joke :-D

:-l Confusedface Whatdoumean?:-l

8-) Smiley face wearing glasses I need 2 get new specs 2 day 8-)

%*) Drunk I’m drunk %*)

>:< Furious im >:< with u

8-{) Smiley wearing glasses and a tache nvr said I was cool 8-{)

>:) Little devil u >:)

+ And/plus U + me 2getha 4eva

& And (more formal) & me

1 One any1coming?

2 to, too me 2

2day today c u 2day

2moro tomorrow c u 2moro

2nite tonight can’t w8 4 2nite

4 For, four Call me 4 more info

4wd Forward Can u fwd me that email

aka alsoknownas akabigguy!

atb all the best atb luv g

b be 2b or not 2b

b4 before cu b4 then

bcnu be seeing you bcnu now

Bfn Bye for now bfn

brb be right back ill brb 2 u

bwd backward u r bwd

c see can u c me

cu see you cu b4

doin doing howrudoin?

f2t freetotalk ruf2t?

fwd forward fwdthistxt2gpls

gr8 great gr8 2 cu

kewl cool u r so kewl

l8 late im l8

l8r later c u l8r

lol laughing out loud I was lol :-D

luv love luv a coffee

med immediate not med

mob mobile fone me on mob

msg message send me a msg

ne1 anyone havuseenne12day?

no1 no-one no1 I know

Appendix

114

oic Oh, I see oic wot u mean

pcm pleasecallme pcmnow!

pls please now pls

ppl people hi ppl

r Are Whereru?

ru areyou? ruok?

sk8 skate getursk8son!

sum1 someone sum1 wants 2 tlk 2 u

thx thanks thx4coming

tix Tickets Whererthetix?

txt Textmessage Sendmeatxt

u you I luv u

ur you are/your ur l8

w8 wait cant w8 4 2nite

w/ with ru w/ us

w/o without I’ll go w/o u this time

wan2 want to I wan2 cu

wiv with I wan2 b wiv u

wknd weekend cu @ wknd

wld would wld u

wot what wotrutalknabout?

x kiss saveurxxs

xoxoxox hugsandkisses xoxoxoxox

yr you’re/your yr cute/ yr turn

Glossary of Terms

Term Definition

2G Second Generation mobile networks, such as GSM

2.5G An interim stage between 2G and 3G, using network technologies such as GPRS on GSM infrastructure. This is

what is currently used by the UK networks to enable services such as Vodafone Live and T’Mobile’s t-zones.

2.5G is a stepping stone between 2G and 3G wireless technologies. 2.5G provides some of the benefits of 3G

(e.g. it is packet-switched) and can use some of the existing 2G infrastructure in GSM and CDMA networks.

While the terms “2G” and “3G” are officially defined, “2.5G” is not. It was invented for marketing

purposes only.

3G Third Generation, also known as UMTS. The future international standard for mobile phones, allowing faster and

more interactive mobile communications, enabling multimedia applications and advanced roaming features.

4G Fourth-GenerationCommunicationsSystem(4G),isatermusedtodescribethenextstepinwireless

communications. A 4G system will be able to provide a comprehensive IP solution where voice, data and

streamedmultimediacanbegiventousersonan“Anytime,Anywhere”basis,andathigherdataratesthan

previous generations.

Airtime Airtime refers to the time tracked by your service/network provider to determine your billing costs. It includes

making/receivingcalls,retrievingVoicemail,text/picturemessaging,emailandfaxing.

ATM Asynchronous transfer mode. A very high-speed transmission technology. ATM is a high band width, low-delay,

connection-oriented switching and multiplexing technique. There are efforts underway to develop wireless

ATM networks.

Bandwidth A relative range of frequencies that can carry a signal without distortion on a transmission medium.

Bluetooth Voice and data connections between devices (e.g. PDAs, mobile phones, computers, cash registers and

others) through short range, two-way digital radio. This enables devices to share information and synchronise

data usually within 30 feet but can be greater with commercial systems.

BPS Bits per second. The unit of measurement for the rate at which data is transmitted.

Byte The unit for measuring electronic data and computer storage

Cache A temporary storage area where frequently accessed data can be stored for rapid access.

CDMA Code division multiple access. Using military technology originally developed by the Allies in WWII, it spreads

transmisions over all available frequencies. Conversations are assigned a code which is used to reassemble it

upon arrival. This allows multiple calls to be carried over one channel.

CDPD Cellulardigitalpacketdata.Technologythatallowsdatafilestobebrokenintoanumberof‘packets’andsent

alongidlechannelsofexistingcellularvoicenetworks.

cHTML CompactHypertextMark-UpLanguage.AsubsetoftheHTMLlanguagebutexcludessomeimages,tables,

multiple fonts and background colour.

CLID Callerlineidentification–thisenablesthereceivertoknowwhohassenttheoriginalmessage–especially

important in mobile marketing and IVR systems to enable 2-way communication.

Compression

Reducing the size of data to be stored or transmitted in order to save transmission time, capacity,

or storage space.

Contract See Pay Monthly.

Cradle A stand or bracket designed to hold a phone or handheld computer in place on your desktop,

or mounted to your dashboard. It may incorporate recharging or data transfer functions.

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116

Term Definition

Digital Modulation

A method of encoding information for transmission. Information is turned into a series of digital

bits - the 0s and 1s of computer binary language. Digital transmission offers a cleaner signal

and is less immune to the problems of analogue modulation such as fading and static.

Encryption The transformation of data, for the purpose of privacy, into an unreadable format until

reformatted with a decryption key.

EMS Enhanced messaging service.

EPOC An operating system for handheld computers and mobile phones with Web access. It’s

an open operating system developed by Psion, and now licensed by Symbian. EPOC’s main

competitor is Windows CE.

Extranet AnIntranet-likesecurenetwork,whichacompanyextendstoconductbusinesswithits

customers and/or its suppliers.

GPRS General Packet Radio Service (GPRS) is a Mobile Data Service available to users of Global

System for Mobile Communications (GSM) and IS-136 mobile phones. GPRS can be used for

services such as Wireless Application Protocol (WAP) access, Short Message Service (SMS),

Multimedia Messaging Service (MMS), and for Internet communication services such as email

and World Wide Web access. 2G cellular systems combined with GPRS is often described as

“2.5G”,that is,atechnologybetweenthesecond(2G)andthird(3G)generationsofmobile

telephony.

GPS Global positioning system. A satellite-based system for determining your location within

10 to 100 metres, depending on the accuracy of the equipment. Originally used for military

and scientific applications, GPS receivers are nowwidely available in everything from cars

to wristwatches.

GSM Global system for mobile communication. The standard digital cellular system in Europe,

Asia, and other parts of the world. It is a variation on TDMA, with a data transfer rate

of 9.6Kbps.

HDML Handhelddevicemarkuplanguage.AmodificationofstandardHTML,developedbyUnwired

Planet,foruseonsmallscreensofmobilephones,PDAs,andpagers.HDMLisatext-based

markuplanguage,whichusesHyperTextTransferProtocol(HTTP)andiscompatiblewith

Web servers.

HTML HyperTextmarkuplanguage.AnauthoringsoftwarelanguageusedontheWeb.HTMLis

used to create Web pages and hyperlinks.

HTTP HyperTexttransferprotocol.TheprotocolusedbytheWebserverandtheclientbrowserto

communicate and move documents around the Internet.

i-mode™ “Information-mode”isthewirelesstechnologydevelopedbyNTTDoCoMoofJapan,roviding

access to Internet-based services via mobile phones.

IMEI International Mobile Equipment Identity. A unique serial number used on digital

mobile phones.

IMSI International mobile station identifier. A number assigned to a mobile station by the

wireless carrier uniquely identifying the mobile station nationally and internationally.

See also MIN, TMSI

Infrared Abandoftheelectromagneticspectrumusedforairwavecommunicationsandsomefiber-

optic transmission systems. Infrared is commonly used for short-range (up to 20 feet)

through-the-air data transmission.

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Term Definition

Interconnection

Theroutingoftelecommunicationstrafficbetweenthenetworksofdifferentcommunicationscompanies.

Interconnect fees

Fees that are payable to the network operator for carrying another network’s SMS

Internet Phone

A phone capable of accessing the Internet (via WAP).

Intranet Aninternalnetwork,whichisprivateoremploysafirewalltosecureitfromoutsideaccess,thatsupports

Internet technology. The Intranet is used for inter-company communications and can be accessed only by

authorized users.

IP Internet protocol. See TCP/IP.

IrDA Allows mobile phones, PDAs, and other devices to connect to each other for various purposes.

Infrared is a wireless technology that uses a beam of invisible light to transmit information.

IVR Interactive voice response. This uses a well-established telephone technology whereby the users typically

interact by pressing the keypad (1 for yes, 2 for no) in a call centre environment. Can also be used effectively

for marketing, billing on premium rate, TV interaction and games.

Java (J2ME) Java 2 Micro Edition. A feature that allows the device to run specially-written applications. J2ME applications

canprovidespecificfunctionssuchasatipcalulator,theycanbegames,ortheycanbecustom-written

corporate applications.

LAN Local area network. A data communications network, typically within a building or campus, to

link computers and peripheral devices under some form of standard control.

Megabyte A measurement of electronic data or computer memory. One megabyte is usually thought of as

1,000 kilobytes (although technically it is 1,024 kilobytes).

Megapixel Onemillionpixels.Pixelsarethetinycoloureddotsthatcreatedigitalpictures.Thegreaterthenumberof

pixelsinaphoto,thehighertheresolution(quality)oftheimage.Referstothequalityofacamera..thehigher

the MP the higher the potential resolution of the pictures taken.

MIN Mobileidentificationnumber.Anumberassignedbythewirelesscarriertoacustomer’sphone.TheMINis

meant to be changeable, since the phone could change hands or a customer could move to another city. See

also ESN, IMSI, TMSI.

OS Operating system. A software program, which manages the basic operations of a computer system.

Theseoperationsincludememoryapportionment,theorderandmethodofhandlingtasks,flowofinformation

into and out of the main processor and to peripherals, etc.

Packet Abundleofdataorganizedinaspecificwayfortransmission.Thethreeprincipalelementsofapacketinclude

theheader,thetext,andthetrailer(errordetectionandcorrectionbits).

Packet Switching

Sending data in packets through a network to a remote location. The data sent is assembled

into individual packets of data.

Palm OS The operating system originally designed for the Palm series of PDAs. Palm has since been purchased by 3Com,

but they still develop and license the OS. Unlike some operating systems used by other handhelds, the Palm

OS is built to function on a particular type of device.

PAYG (Pay as you Go)

All networks offer PAYG (or pre-pay) phones, where there is no contract or monthly line rental, and you ‘top up’

your phone by purchasing credit vouchers in order to make calls. The biggest advantage is it is impossible to

run up a huge phone bill as you can only make calls once you have already paid for them. The disadvantages

are you tend to pay more for the initial phone, there are various restrictions on use compared to contract phones

andcallsaregenerallymoreexpensivethanonanormalcontracttariff.

118

Term Definition

Pay monthly

Pay monthly (or contract) is a payment scheme whereby a 12 or 18 month

contract is agreed between the customer and a network. A monthly line rental is paid

foratariffwhichnormallyincludesfreetalktimeminutesandtextmessages.Whensigninguptoa

pay monthly tariff, handsets are generally given to the customer at low cost or free.

PCS Personal Communications Services An all-digital set of cellular services operating in the

1850-1990 MHz bands. PCS technologies include CDMA, TDMA, AND GSM.

PDA Personal Digital Assistant. A small handheld device commonly used as a mobile computer or

personal organizer. Many PDAs incorporate small keyboards, while others use touchscreens

with handwriting recognition. Some of these devices have Internet capabilities, either through

a built-in or add-on modem.

Picture and video messaging

The ability to send a photo or video clip from a compatible mobile phone to another mobile

phone or email address. The service is sometimes known as MMS, which stands for

Multimedia Messaging Service.

PIM Personal information manager. Also known as a ‘contact manager,’ is a form of software

that logs personal and business information, such as contacts, appointments, lists, notes,

occasions, etc.

Pocket PC Formerly Windows CE. An upgraded version of Windows CE that offers greater stability and

a new interface. Features include mobile Internet capabilities, an e-book reader, and

handwriting recognition.

Portability Mobile Number Portability (MNP) is the ability to retain a mobile number when moving or

porting from one mobile carrier to another. This process is also sometimes called migrating or

transferring. To begin the process, contact your current Service Provider (the company your

contract is with) and ask for a Porting Authorisation Code (PAC). The PAC is your authority

to request a transfer and will allow the Network you wish to move to, to request your number

be transferred to them. However the PAC is only valid for 30 calendar days so you must

action your request promptly.

Portal Provides access to WAP services and content.

POS Point of sale terminal. A type of computer terminal used to collect and store retail sales

data. Wireless POS terminals are often used for remote and temporary locations.

PredictiveTextInput

Atechnologywhichallowsyoutoentertextbypressingonlyonekeyperletter.Thephone

will automatically compare all of the possible letter combinations against a built-in dictionary

ofwords.ThecurrentPredictiveTextInputimplementationsareT9,iTAPandeZiText.

Protocol A set of rules used by computers to communicate.

SIM Subscriber Identity Module. A smart card inserted into a phone containing your phone book

and network details.

Smart Card A credit card-sized card with a microprocessor and memory.

Smart Phone

A phone with a microprocessor, memory, screen and a built-in modem. The smart phone

combines the some of the capabilities of a PC on a handset.

SMS Short Message Service. Text-only communication between phones. Also called a

textmessage.

119

Term Definition

Symbian Symbian is a mobile operating system (OS) targeted at mobile phones that offers a high-level of integration with

communication and personal information management (PIM) functionality. Symbian OS combines middleware

withwirelesscommunicationsthroughanintegratedmailboxandtheintegrationofJavaandPIMfunctionality

(agenda and contacts). The Symbian OS is open for third-party development by independent software vendors,

enterprise IT departments, network operators and Symbian OS licensees.

Synchronisation

Also known as ‘replication,’ it is the process of uploading and downloading information from two or more

databases, so that each is identical.

T9 SeePredictiveTextInput

TCP/IP Transmission control protocol/Internet protocol. The standard set of protocols used by the Internet for

transferring information between computers, handsets, and other devices.

TDMA Time Division Multiple Access. Divides cellular channels into three time slots, increasing data capacity. This

lets multiple users or conversations to be carried on the same channel.

UMTS Universal Mobile Telephone System, also called 3G.

URL Uniform Resource Locator. The address of a WAP site or Web site.

Wallpaper Graphic/picture/image spread across the background of your mobile phone/computer screen.

WAN Wide area network. A network that uses local telephone company lines to connect geographically dispersed

sites. See LAN.

WAP WirelessApplicationProtocol.Anopen,globalspecificationthatallowsmobileuserswithenabledmobile

devices to easily receive and interact with Internet information and services.

Windows CE

A version of Windows designed to run on PDAs or other small devices. CE was renamed Pocket PC with the

version 3.0 release.

WISP Wireless Internet Service Provider, also called a portal.

WML Wireless Mark-up Language. A programming language for WAP.

XHTML A reworking of HTML 4.0 designed to work as a application of XML. It allows anyone to create sets of markup

tags for new purposes.

XML Extensible Markup Language. A standard for creating expandable information formats that allow both the

format and the data to be shared. XML is similar to HTML in that both use tags to describe the contents of a

document. However, while HTML only describes how the data should be displayed or used, XML describes the

type of data. This allows anyone who can interpret those tags to use the data they contain.

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Events and networking

160 Characters: http://www.160characters.org

Industry Association. Monthly knowledge and networking events run in conjunction with NOC Online in

London.

Chinwag: http://www.chinwag.com

UK digital media marketing email newsgroups.

E-Consultancy: http://www.e-consultancy.com

Interactive media resource.

Mobile Data Association http://www.mda-mobiledata.orgorhttp://www.text.it

Latestfiguresofmobileusageandnews.

Mobile Entertainment Magazine: http://mobile-ent.biz

Organise regular meet-ups. Further information can be found on their website.

Mobile Marketing Association: http://www.mmaglobal.co.uk

Global industry association that aims to stimulate the growth of mobile marketing and associated

technologies.

M:Metrics: http://www.mmetrics.com

A research house specialising in mobile statistics. Free data is published on a quarterly basis.

Mobile Mondays: http://mobilemonday.org.uk

London part of the global Mobile Mondays network covering all aspects of the mobile industry including

marketing and media. Events held in cities globally. See the website for links to other chapters.

Ofcom: http://www.ofcom.org.uk

Mobileownershipfigures.

PhonepayPlus: http://www.phonepayplus.org.uk

Industry-funded regulatory body for all premium rate charged telecommunications services.

Swedish Beers: http://www.swedishbeers.co.uk

A quarterly networking event for anyone interested in what’s happening in mobile held in London

and Barcelona.

W2Forum http://www.w2forum.com

Statistics, news, reports, forum, conferences and events.

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Further reading

“NextGenerationWirelessApplications”,PaulGolding

“MobileMarketing:TheMobileRevolution”,MattHaig

“Roam,Makingsenseofthemobileinternet”,BrunoGiussani

“SmartMobs:TheNextSocialRevolution”,HowardRheingold

Magazines (print) covering mobile topics

New Media Age: http://www.nma.co.uk

Mobile Entertainment: http://www.mobile-ent.biz

Revolution: http://www.brandrepublic.com/revolution

Stream: http://www.streammag.com

Blogs

Mobhappy: http://www.mobhappy.com

A blog about mobile technology and business

Mobile Marketing Magazine: http://www.mobilemarketingmagazine.co.uk

Reporting the news in the mobile marketing sector

Musings of a Mobile Marketer: http://www.technokitten.com

A blog about mobile marketing and media and a bit about day to day life working in mobile

Rudy’s m-trends: http://www.m-trends.org

AblogwithaSpanishflavour(inEnglish)aboutmobiletrends

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Tanla Mobile would like to thank all the people who contributed to this guide.

Ben Tatton-Brown, Head of Advertising Sales, EMEA, Medio Systems

Blue Brand Communications, Blue Integrated Ltd

Daniel Appelquist, Senior Technology Strategist, Vodafone

Gillian Kennedy, Managing Director, Emerging Media Platforms Ltd

Helen Keegan, Found and Managing Director, Beep Marketing

Jessica Sandin, Head of Mobile & Senior Consultant, Fathom Partners

Mike Short, Vice President R&D, O2 Europe

Paul Doran, Switch Communications

Paul Goode, m:metrics

Russell Buckley, Managing Director Europe, Admob

Tomi Ahonen, Author & Consultant

Steve Flaherty, Mobile Consultant, Keitai Culture

Tanla Mobile: Anuj Khanna, Brian Brady, Gautam Sabharwal, Gerry Drew, Jeff Spirer,

Lee McElhinney, Subba Rao and D. Uday Kumar Reddy.

Acknowledgements

78

125

160 Characters www.160characters.org

Buddyping www.buddyping.com

Dreamblog www.dreamblog.co.uk

GP Bullhound www.gpbullhound.com

GSM Association www.gsmworld.com

Economist www.economist.com

Informa Telecoms and Media www.informa.com

Jaiku www.jaiku.com

Juniper Research www.juniperresearch.com

Marketing Week www.marketingweek.co.uk

M:Metrics www.mmetrics.com

Mobile Data Assocation www.themda.org

MORI www.ipsos-mori.com

Ofcom www.ofcom.org.uk

Shazam www.shazamentertainment.com

Siemens www.siemens.com

Strategy Analytics www.strategyanalytics.net

Texperts www.texperts.com

Wikipedia www.wikipedia.org

Sources & References

ADVERT TO COME

Direct Marketing Campaigns. On-pack Promotions. Interactive Competitions. Text Marketing. CRM. Direct Response. Participation TV. Mobile Voting.

Mobile Search Advertising. Mobile Payments.

UK: E: sales@tanlamobile.com T: +44 (0) 20 7494 5600US: E: sales-usa@tanlamobile.com T: +1 (0) 212 786 7539India: E: sales-india@tanlamobile.com T: +91 (40) 4009 9999

Mobile Campaigns

Mobile Marketing

Mobile Portals

Mobile Advertising

InteractiveMobile Marketing Solutions

www.tanlamobile.com

Tanla A5 ads.indd 2 30/11/07 09:49:56

Photographs: © Getty Images

Design & Layout: Blue Brand Communications team, Blue Integrated Ltd

Published by: Tanla Mobile, 39 Charing Cross Road, London WC2H 0AR

© Tanla Mobile 2008. All rights reserved. No part of this document may be reproduced or transmitted in any form or by any means, electronic, mechanical, including photocopying, recording or by any storage or

retrieval system without prior written permission from Tanla Mobile.

Notice of Liability: While care has been taken to ensure the accuracy of the information contained in this guide, it is provided on the understanding that no responsibility is attached to Tanla Mobile or the author, and we shall not be

liable for any consequential loss or damages which arises out of, or in connection to, information contained in this guide.

This guide contains broad outlines and recommendations only.

Consult with your regional regulatory authorities and take appropriate legal advice before commencing a mobile marketing or advertising campaign.

About Tanla Mobile

Tanla Mobile is a leading innovator of next-generation mobile application solutions, m-commerce and interactive services. Tanla Mobile specialises in developing mobile applications and platforms for the Mobile Telecoms, Media and Digital Communications sector. Tanla Mobile works in partnership with global mobile operators across Asia, Europe and North America to deliver and bill mobile content over SMS, WAP, MMS and Video.

With direct connections and commercial revenue sharing agreements with global mobile operators including 3 (Hutchison 3G), O2, Orange, T-Mobile, Vodafone, Virgin Mobile and several Indian network operators, clients use its carrier-grade technology platform and application development expertise for immediate deployment of interactive mobile services. Its product suite includes Mobile Payments Solutions, Campaign Management, Content Management, 3G Video Management and Interactive TV Management applications, all of which are supported by powerful online reporting and CRM tools.

Based at Hyderabad, Tanla is currently in process of expanding its global operations having already established offices in London, New York and Singapore.

Tanla Mobile is a wholly owned subsidiary of Tanla Solutions Ltd, www.tanlasolutions.com, an established Telecom Infrastructure Solutions provider with strong coverage in the Asia Pacific region. Through its relationship with Tanla Solutions, Tanla Mobile has immediate access to a large team of highly-skilled software engineers and analysts providing application development and technical support from their 300-seat facility in India. This offshore development capability results in a fast time to market with new technologies, and significant cost and time savings for clients.

For further information visit www.tanlamobile.com

Contact Us

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US

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INDIA

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