Marketing with Mobile Technologies

One cannot leave home without the mobile phone.

This is so for the mobile phone has evolved to a necessary tool for everyday living. Its functions diversified, from its most basic function of making and receiving a call, to sending and receiving text and multimedia messages, storage and playback of pictures, music, and videos. Nowadays, the mobile phone is also capable of accessing the Internet, which gives the capability for the mobile user to browse and download content from the Internet such as electronic mail, music, videos, and photos. Also, the user now has the capability to upload self-created content onto personal pages such as social networking networks and blog sites. It is quite obvious that marketers have penetrated the mobile phone industry. There are a lot of applications geared towards utilizing the mobile industry. 

According to the book Digimarketing by Wertime and Fenwick, mobile platforms are increasingly becoming important components of digital conversations. The book listed two phases of the mobile evolution. The first phase, or Mobile 1.0, lists seven key drivers that have propelled mobile to the forefront of the Digimarketer's priorities.

• Mobile for all - Currently, mobile coverage extends to about 80% of the world's population and is expected to reach 90% by 2010. 

• Adding Functions to the Phone - Mobile phones evolved into mobile devices or simply mobiles. In addition to making and receiving voice calls, key functions of current mobile devices include:

• Short Message Service (SMS) or text messaging - two-thirds of mobile phone subscribers (1.8 billion people) are active SMS users. Some operators are already rolling out a super SMS service with instant messaging (IM), presence features (user's location, availability and mood), and multimedia capabilities. Unstructured Supplementary Service Data (USSD) is now pre-installed in all GSM devices for quicker response times of interaction.

• Multimedia Messaging Service (MMS) - expands SMS to include images, audio and video.

• Games - The mobile gaming industry will go from US$2.6 billion in 2005 to $11 billion by 2010. 

• Still-image Cameras - By 2010, 81% of all mobiles will feature cameras. Cameras built into mobiles are increasingly becoming more featured, such as auto focusing, flash, optical zoom, and image stabilization features, and multi-megapixel resolution

• Mobile Video - is growing strongly and is expected to exceed 32 million users by 2008.

• Stereo sound and music storage

• Bluetooth - allows digital devices to connect and exchange information. Mobiles can wirelessly connect with headsets, computers, stereo speakers, printers, etc.

• Global Positioning System (GPS) - Mobiles now have the capability to monitor and report a user's location.

• Building Bandwidth to 3G - Bandwidth is a critical resource such that more bandwidth means more content can be sent and received at a lesser amount of time. 

• Proprietary Phone-centric Software - Current mobile devices feature operating systems and applications designed for such operating systems. There are numerous operating systems currently in existence such as Symbian and Windows Mobile.

• Walled Garden - Handset operators keep users within a set of easy-to-access websites and applications. Upon leaving the 'walled garden', sites and applications can be infuriatingly difficult to use.

• Basic Transactions - The mobile carrier's billing system is utilized to deliver content to the user in addition to the usual charging of calls. Ringtones, call-back tones, wallpapers, etc. can be downloaded by mobile users and be billed by the mobile carrier.

• Driving Social Force - The emergence of a well-defined though culturally variable mobile etiquette is a clear sign of the mobile's social impact and its centrality in consumers' lives. Quiet places post signs banning mobile use. No mobile is becoming the No Smoking of the 21st century.

In order for the Digimarketer to successfully harness the full potential of the mobile market, 

• Recognize that the Customer is in Control of this Very Personal Device

• Use the Personal Addressability of Mobiles - this assures marketers - once they have gained the customer's trust, and have secured permission to communicate - of direct contact with a unique, recognizable individual who deserves personalized communication

• Build on Mobile's Location-Specific, Out-of-Home, Capabilities - mobile code with promotions embedded on packagings

• Identify Real-time Information that Really Matters to Consumers - through SMS alerts

• Take Advantage of User Down Time - Mobile devices have come to be used as breaks - as ways to pass time or disguise waiting. The mobile user is susceptible, turned on, tuned in, attentive, and waiting for relevant information.

• Don't Contribute to SMS Spam

• Consider the Full Range of Mobile Options - such as text and win, voting and quizzes, mobile content, mobile games and applications, Customer Relationship Management, Direct response ads, Text-to-buy services, M-coupons (SMSed barcodes and coupons which can be redeemed on sight in-store), Bluetooth/Infrared, and Mobile Search.

• Integrate with other Marketing - must be a part of the whole marketing mix - a component of an integrated media strategy.

• Work with Other Players in the Space

• Don't Assume that Content that Works on Another Channel will work on Mobile
  

In the next ten years, a shift to the next phase, Mobile 2.0 is seen. 

• Full-function Utilization by All - Global customers get access to the multiple features of their mobiles

• Breaking Free from the Phone - The mobile interface will give up its reliance on the traditional phone interface through a voice-driven user interface for mobiles

• 3G and Beyond as the Norm - improvement of technologies to increase bandwidth and its capabilities

• Web-centric Compatible Software - Proprietary mobile web- browsers. Digimarketers need to integrate marketing across all digital media

• Fully Networked Devices

• Mobile Wallet

• Privacy/Identity Issues - requirement of a real restraint on the part of Digimarketers, with a respect for privacy and care not to be intrusive

Currently, mobile platforms are scattered all over the Internet. The author shall describe two of such, namely MobiTV and Smart Sandbox.

MOBITV redefines television by putting live television in the palm of one's hand through the mobile phone and personal computer. In the United States, MOBITV can be accessed directly through major carriers such AT&T and Sprint. The application is deployed over two hundred handsets and is currently utilized by over three million audiences who watch television on their mobile phones. According to the company,

• According to Informa, there will be 125 million mobile television users by 2010.

• Forrester Research expects interactive spending to account for 18% of marketing budgets in 2012.

• Forrester Research also forecasts buying in the 'emerging channels' category (mobile, in-game advertising, social networks) will grow from US$ 1 billion to US$ 10.6 billion by 2012, when it will make up 17% of all spending
  

The company increasingly is utilized for television and radio marketing by carriers in order to attract new customers. It has also become a way to differentiate and bring customers in with compelling television and music content from well-known brands and networks. Currently, MOBITV has users who are highly mobile, connected individuals of which 67% are male and 33% are female, all of which are technophiles, trend setters and vocal consumers. 

SMART SANDBOX is the Philippines' first web-to-wap portal that seamlessly bridges the gap between the personal computer and mobile Internet connectivity. In order to achieve its challenge of signing up one hundred thousand (100,000) people for Sandbox, the company employed two phases for its digital campaign. The first phase utilized the Internet through the Sandbox website. The second phase involved a mobile site, a wapsite. During these two phases, different forms of media channels were involved in the promotion of the site. Video streams were uploaded to Youtube endorsing the Smart Sandbox website. Free mobile content such as Eraserheads downloads were also provided upon sign-up. Company-provided messaging was executed through email blasts to Yehey.com and screen savers at Netopia Internet Cafes. Both the Internet and wapsite provided content such news, free and paid downloadable mobile content, on-the-go social networking, and photo and video uploads. Millions of visits per month with hundreds of thousands of sign-ups per day spell success for the SMART SANDBOX, due to its intensive use of multiple digital channels.

The two examples signify a strong market potential of the mobile industry. Both platforms opened new possibilities in using mobile technology and how it can be realized as a tool for communication and entertainment. Marketers should utilize the proper digital media channels, given the fact that consumers nowadays are more active and participating in creating content, be it on the Internet or mobile. Consumers are willing to try out new technologies, as evident on both platforms, and are willing to maintain such technologies provided that marketers can continuously provide much needed content at the most convenient and affordable manner.


Source: 

Wertime, K., & Fenwick, I. (2008). Digimarketing - The Essential Guide to New Media & Digital Marketing. Singapore: Saik Wah Press Pte. Ltd.