For Better or for Worse, Mobile is on the Move
The word on everyone’s lips these days is “mobile,” or perhaps you’d prefer “wireless.” Either way, mobile technology is on the move (pun intended), and as reliance on wireless devices for communication and Internet access increases, it is rapidly becoming a hotspot for advertisers.
We’ve been seeing TV programs in the US like American Idol integrate text-message voting for some time now, and various brands are slowly launching text-based promotions on products for prizes and coupons–McDonalds being one of the latest. There have been repeated reports of ad campaigns making their way to cell phones to sponsor wireless sites and mobile video services. In response, advertisers have been focusing on tailoring their messages for the small screens.
However, the US is still in its relative infancy regarding the wireless craze. According to digitimes.com, China’s Ministry of Information Industry published statistics that revealed that 32.7% of the country’ population subscribed to mobile communications at the end of June.
That’s 426.37 million people, nearly one-and-a-half times the population of the US. About thirty-five billion text messages were also sent in China during that month, averaging 2.75 short messages per phone number a day. Business 2.0 Magazine also points out that Americans are ten times as wealthy as Ecuadorians, and yet the South Americans send four times as many text messages. The trend is nearly pervasive on a global scale — the US texts less. Increased text usage means better access for marketers, especially with text-based campaigns.
The good news is that studies reveal Americans are relatively open to mobile marketing if they find that it is relevant or if it will provide coupons or free services. Americans may not rely as heavily on SMS as those in other countries, which is surprising considering in a walk down a busy city street you will find at least a handful of people engaged mid-text, but our cell phones have developed into extensions of our persons. We are undertaking increasingly more activities through these devices, from communication to research and even into bill-paying. Ultimately, just as any online company not jumping onto the user-generated or social networking bandwagon is left out in the cold, those who resist going mobile will eventually suffer as well.
As consumers, overexposure and even exploitation are certainly imminent. Uninitiated American consumers might not see it yet, but it is coming. Already, European airlines are planning to introduce in-flight mobile phone services at some point next year. Air France will be the first to use the satellite-based technology, while Virgin Atlantic is planning to introduce an in-flight text service to answer passenger questions.
As a result, those outdated “No Smoking” signs on planes will be replaced by “No Mobile” signs that remain lit until the plane reaches a certain altitude to ensure that the phones do not interfere with mobile networks on the ground. While that may be bad news for those who whine about people texting or yacking on their cell phones ad nauseum, and that mobile presence may certainly make flights a little noisier, it is great news for marketers. By becoming so attached to their devices, the mobile generation increases advertiser access whether on land or in the air.
As convenient as it may be for advertisers and consumers alike, making contact with outsiders via mobile inevitably makes for vulnerability. As we reported on August 4th, millions of text message spams are already in circulation. The most frustrating aspect of those unwanted texts, irritation aside, is that mobile users actually end up paying for them. It can also be pretty disappointing to get some of those marketing messages. How many of us have been excited to get a text on a slow day only to see that that it’s our network announcing yet another offer?
Well, maybe most people get enough texts regularly not to get their hopes up, but you get the picture. It also wouldn’t be too surprising if we eventually start seeing ad-sponsored phone calls and texts, not only from businesses, but from family and friends as well.
Many advertising executives will tell you that their eyes are on the wireless spectrum, though many are being careful to establish themselves fully in the online world before going mobile. Others, though, are throwing caution to the wind and taking the medium by storm. Undoubtedly, mobile is a hot topic and it will be interesting to see exactly where advertisers go when they can set up shop in your pocket.
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Reader Comments.
Mobile marketing is great if it is used properly:
-100% consumer opt-in- NO SPAM!!!
-Relevant to the consumer (ie: see NO SPAM)
Companies must use sound fundamental marketing practices and have a reason to send a text message. Ie: if a customer opts-in to receive a message abbout a store promotion and responds by using a special code or loyalty card tat is great- relevant, trackable and an ROI can be determined.
Unfortunately there is still too much garbage surrounding the “sizzle” of mobile and not the best practices. There is a reason the service providor of the American Idol text sevice went BK. They were too interested in the sizzle and hype of Hollywood and not in creating a sound business model and utilizng a medium that adds real value to consumers’ lives and longer term interets.
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