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Important Points in Mobile Advertising

Written By soen on Friday, June 4, 2010 | 6/04/2010

When a Finnish news provider offered free news headlines via SMS, sponsored by advertising. This led to rapid experimentation in mobile advertising and mobile marketing, and the world's first conference to discuss mobile advertising was held in London in February 2001, sponsored by the Wireless Advertising Association (which later merged into the Mobile Marketing Association). 

Up until recently the only mechanism for delivering advertising messages to mobile devices was via SMS, voice out dials and WAP Push. However, now that multi-media phones, with GPRS connectivity, are reaching critical mass, the opportunities for advertising and brand extension, primarily via mobile video, are greatly increased. Current growth in non-voice services, coupled with a recent surge of activity in mobile search services, strongly suggests that mobile advertising is finally about to take off.

In a conference attended Mobile Advertisers stakeholder like :advertisers (Coca Cola), ad agencies (Oglivy, Denuo/Publicis), technology enablers (Hyperfactory, sixteen30), platform providers (Enpocket, Third Screen Media, MobiTV, AdMob), operators (Sprint, Cingular), MVNO’s (Boost, Ampd), handset software (QualComm, PacketVideo). Concluded that:
  • Mobile is a unique advertising medium with unique attributes. 
  • Big brands are interested, but it will be some time before they invest major money in the mobile part of their campaigns.
  • Education of subscribers is important. The mobile phone can do many things, but - depending on the country - most subscribers still only know how to talk. Developing certain consumer skills will make mobile advertising even more effective. 
  • Its too hard at the moment – there are too many “moving parts” that have to be coordinated – messaging platforms, video platforms, operator connectivity, handset testing, WAP development, etc.
  • Role of mobile operators is not yet clear. They own the delivery pipes, and they have a tremendous amount of customer data that can greatly increase the value of the ads. And they desperately want to remain part of the value chain so they can collect part of the revenue. 

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