Mobile Marketing: Achieving Competitive Advantage Through Wireless Technology

Chapter 3: Marketing for a Wireless World

Overview

Mobile marketing is the use of the mobile medium as a communications and entertainment channel between a brand and an end-user. This is the only personal channel enabling spontaneous, direct, interactive and/or targeted communications, any time, any place. This channel of marketing is for mobile devices, including handsets, PDAs and laptops. Communications include short message services (SMS), multimedia messaging services (MMS) combining text with simple graphics and sound, wireless application protocol (WAP) mobile Internet and WAP push services, and full multimedia third-generation (3G) services. It is highly personalized, interactive, and has an immediate impact. When used cross-media to complement other promotions, mobile marketing has been proven to generate a solid increase in sales.

The mobile market has a number of clear advantages over traditional media, including the following:

  1. Response rates generally are over 10 per cent

  2. Recall rates in our campaigns over the last four years have achieved over 70 per cent

  3. It is the cheapest form of communication with end-users

  4. It has better commission margins than traditional advertising

  5. It requires minimal external effort to initiate a pilot.

Revenue-Generating Services

Today, mobile marketing is not only the telecom specialists' arena; many traditional companies have a real opportunity to do business in this sector. The three main groups ofrevenue-generating services that can be offered over a mobile phone are:

  1. Premium services

  2. Online services

  3. Offline services.

Premium Services

These are services delivered directly to a mobile phone (logos and ring tones, Java games, permission-based content etc.).

Premium SMS is an ideal...

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