Mobile Advertising

In 2004, Mobile carriers came out hot and heavy against mobile advertisers that attempted to spam their customer bases. Now three years on, we take a look at how advertising to mobile markets has developed.

The main reason against mobile advertising was the intrusive nature of potential advertising spamming. Two companies who have acceptance are AvantGo and Vindigo have been delivering advertisements within their mobile content for the last seven or eight years with millions of mobile consumers subscribing without hesitation. The key is that the advertising is attached to something of value - not just an orphan ad.

Apart from the spam factor, it seems many consumers are concerned about privacy— such as services delivering location-specific advertising.

Both Informa Telecoms & Media and Harris Interactive have recently found that 63% of mobile phone users do not want advertisements.

Add some additional value and control in the mix, and the numbers look a whole lot better. Consumers are more receptive to mobile advertising bundled with free TV shows, games, music and other relevant services.

• Harris Interactive found that 26 percent of current mobile phone subscribers would watch cell phone ads in exchange for free applications.
• Yankee Group study showed 42 percent of mobile customers are accepting of mobile advertising, if it's relevant or for opt-in coupons or free services.
  

Both AvantGo and Vindigo deliver a free service to consumers in exchange for their advertising.

Examples of mobile media mixes that have worked include:

• Television Shows - American Idol and Big Brother shows - users text in votes via SMS shortcode. They can also opt to receive wallpaper, newsletters and invitation to provide feedback on show ideas.
• Contests - Frito-Lay and Absolut have both used shortcodes on outdoor billboards, inviting users to text in for contest entries, cool gear or mobile coupons.
• Product Launches - Sybase 365 and Adreact provided Dunkin' Donuts with a mobile launch campaign including: outdoor billboards, radio advertisements, 1500 promotional leaflets dropped among students and advertising posters displayed at stores.
• Coupons - a viable alternate to the clip and cash in print coupons.

It's a matter of educating the mobile user that they retain control, and helping them over the barrier to accepting in mobile media, what they already participate in other media such as print, TV and Internet.

Media Mix

The key to mobile ad acceptance is in the media mix and obstrusiveness. Just as Internet advertisers found that banners with a nuisance factor lower click through, so too with ads on mobile websites and services.

• Mobile-web banner advertising is growing with companies placing ads within existing content.
• Sprint Nextel and Verizon Wireless add banners to the top and bottom of content found on their services.
• Yahoo plans to place listings on the "go2 Directory" local-search website, accessible by all major carriers.
• Automotive manufacturers have got the mix right, providing mobile "showrooms" that give users the ability to research new cars no matter where they are. They provide users with auto specifications, new model images, dealer information, pricing and the ability to request more information.

Dunkin Donuts Product Launch Media Mix

The Dunkin' Donuts product launch was a good example.

Various mediums invited donut lovers to enter an SMS prize drawing, receiving in return a free coffee voucher, sent back to the consumer's handset for redemption at Dunkin' Donuts.

Mobile users also received options for getting store addresses and statistics regarding Dunkin' Donuts via their mobiles, or to inquire about employment opportunities.

Any customer who redeemed the SMS coupon and purchased a donut was automatically entered into a drawing to win a free Piaggio scooter.

This campaigned helped to weave information services into the contest and coupon parts of the campaign, helping the users see how such services could benefit them.

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