CTIA Wireless announced three key principles of mobile marketing. The principles are a guide for mobile operators preparing to capitalize on mobile marketing opportunities.
Industry reports indicate that spending on mobile advertising is expected to grow from approximately $1.5 billion in 2006 to over $13.9 billion in 2011. The anywhere/anytime factor of the mobile handset is inherently direct and personal, and gives mobile marketing an advantage over traditional marketing mediums. Mobile advertising campaigns will typically directly complement digital campaigns for TV and the Internet, expanding their reach and effectiveness.
Both operators and media companies see the new revenue streams beyond the 'customer pays' model. A positive subscriber mobile marketing experience is based on permissive attributes such as personal needs and interests, privacy preferences, and situational context.
"Providing customers with control over their individual profiles and services is critical to customer satisfaction with mobile services," said Peter Mottishaw, senior analyst at OSS Observer. "Customer expectations of online self-service have increased dramatically with the experience of Internet services. The introduction of mobile marketing increases the
importance of delivering on these expectations. Mobile advertising has great potential for service providers, but must be relevant and targeted for customers to accept it. Service providers can only achieve this by enabling full personalization and control of the advertising experience."
To ensure that operators maximize subscribers' engagement with mobile marketing, Redknee has set out three key principles of mobile marketing based on experience:
1. Know Your Subscriber
Key to successful mobile marketing is ensuring that subscribers are permissively approached in the right way (relevance) and at the right time (context). Operators now have the opportunity to utilize analytics and business intelligence available about their subscribers, such as service history and personal preference, to allow behavioral and micro-segmentation for mobile marketing.
2. Be Relevant
In addition to being approached at the right place and at the right time, subscribers are more receptive when they receive personalized information based on their immediate circumstances (location, presence). A subscriber's physical proximity (at work, at home, at travel, at leisure) allows for customized and compelling marketing outreach that captures their attention, interest, desire and action.
3. Interactive Loyalty
Operators have significant value to offer both subscribers and third party merchants by intelligently brokering them together. The operator's ability to easily segment subscriber groups based on their preferences and interests allows third-parties to more efficiently target and promote services and offerings. Advertisers benefit from targeted marketing due to lower campaign cost and a higher relevancy ratio, thereby increasing sales.