Mobile Marketing Industry Overview

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Fraser J. Hay
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S: My Skype name is “Pocketmentor”

© Fraser J. Hay, 2011 2


CONTENTS

Page

4. Section 1 - The Industry
5. - Introduction
7. - What is mobile marketing
9. - History, Platforms & The Players
11. - Leading Handset Manufacturers
12. - Operating Systems
13. - The Marketplace
14. Section 2 - Mobile Marketing Planning
15. - Mobile Marketing Objectives
16. - How will you measure your success
17. - Your Publics / Target Audience
18. - What’s your message?
19. - Who are your stakeholders?
20. - Why should others engage with you?
21. - Problems, issues, challenges
24. - The Secret is in the “list”
25. - Capturing Prospect Data
26. - Content Drives Signups
27. - What is your content strategy?



Page

28. Section 3 - Marketing Tactics
29. - Pathways in Mobile Marketing
31. - Mobile Promotional Tools
33. - Tactics for engaging with prospects
34. - Creating Your Mobile Web Site
36. - Creating an SMS Campaign
38. - Common Short Codes
39 - QR Codes
41. - Coupon Sites
43. - Instant Messaging
48. - Advertising
52. - Video Sharing
53. - Online Social Networking
59. - Podcasts & Photo Sites
60. - Polls, Voting & Quiz
61. - Email
65. - Popular App Niches
66. - Apps
69. - Developing Your Own Apps
70. Section 4 - Your 30 Day Action Plan
71. - WEEK 1 & Daily Activities
75. - How to get an instant ROI



SECTION ONE – THE INDUSTRY



Welcome to the Mobile Revolution
The internet and in particular, mobile marketing is the fasted growing medium for getting your message
out to the mass market.

• Radio took 38 years to reach 50 million people
• TV took 13 years to reach 50 million people
• Internet took 4 years to reach 50 million people
• Ipod took 3 years to reach 50 million people
• Facebook added 100m people in 9 months
• Ipod & Iphone apps have been downloaded 1 Billion times in 9 months
Source: http://www.youtube.com/watch?v=sIFYPQjYhv8

“There are more than 200 million active users [40 percent] currently accessing Facebook through their
mobile devices. People that use Facebook on their mobile devices are twice as active on Facebook as
non-mobile users.” – Facebook official statistics (January, 2011).

Mobithinking.com, a leading website publishing mobile research data shares the following:

With regards to Mobile subscribers; handset data; mobile operators, did you know that…

1) There are 5.3 billion mobile subscribers (that's 77 percent of the world population). (Growth led by India & China)
2) Mobile devices sales rose in 2010, while smartphone sales showed the strongest growth, Nokia remains number
one in both smartphones and mobile phones. But there are regional variations - most owned brand of phone in
W.Europe is Nokia; in the US is Samsung; and in Japan is Sharp.
3) The top mobile network operators worldwide for subscribers and revenues is China Mobile; average revenue per
user is 3UK; monthly churn is NTT DOCOMO Japan; and proportion of revenues from data is Smart Philippines.
4) Believe it or not, but many mobile operators in developed countries could run out of profit in the next two to four
years if they do not change their business models.

With regards to Mobile Web; users; 3G coverage, did you know that…

1) Half a billion people accessed mobile Internet worldwide in 2009. Usage is expected to double within five years as
mobile overtakes the PC as the most popular way to get on the Web. (There are 277 million users just in China)
2) Many mobile Web users are mobile-only, i.e. they do not, or very rarely use a desktop, laptop or tablet to access
the Web. Mobile-only in Egypt is 70 percent, India 59 percent, even in the US it’s 25 percent of subscribers.
3) Today in US and W. Europe, 90 percent of mobile subscribers have an Internet-ready phone.
4) Almost one in five global mobile subscribers have access to fast mobile Internet (3G or better) services and the
number of 3G handsets is growing fast. (very low 3G penetration in China hasn't stopped rapid growth)
5) Widespread availability of unlimited data plans is critical to penetration of mobile media usage, it drove mobile
media in Japan, now it’s driving the US; but in W. Europe, lack of availability is holding up progress.

Now, with regards to Mobile marketing, advertising and messaging, did you know that…

(You’ll have to wait, till you turn the page :/-)



1) SMS is still king of mobile messaging with more than 6.1 trillion messages sent in 2010. (IM and MMS, SMS is
predicted to exceed 10 trillion in 2013.)
2) Estimates for expenditure on mobile advertising and marketing worldwide ranged from US$1.4 billion to $7.5 billion
in 2009, all analysts forecast rapid growth. Google now makes US$1 billion in annual mobile ad revenues
3) To what types of mobile marketing do people respond best? In the UK and France opt-in SMS gets the best
results, in Germany mobile Web ads get the best results.

With regards to Consumer mobile behaviour, did you know that…

1) A recent comparison survey between Japan, US and Europe, show that the Japanese are still much more
advanced in mobile behaviour, with 55.4 percent and 53.3 percent using apps, compared to 36.4 percent and 34.4
percent in the US and 28.8 percent and 28.0 percent in Europe.
2) Most popular activities on the mobile Web are mobile search, reading news and sports information, downloading
music and videos, and email and instant messages. In the future, money transfer; location-based services; m-health
and m-payment will be key drivers.

With regards to Mobile apps, app stores, pricing and failure rates, Did you know that…

1) Over 300,000 mobile apps have been developed in three years. Apps have been downloaded 10.9 billion times.
But demand for download mobile apps is expected to peak in 2013.
2) The most used mobile apps in the US are games; news; maps; social networking and music. Facebook, Google
Maps and The Weather Channel (TWC) rule.The average download price of a mobile app is falling rapidly on all
vendor app stores, except Android. And 1 in 4 mobile apps once downloaded are never used again.

With regards to Mobile financial services (MFS) and mobile payment, Did you know that…

1) 1 billion people will access financial services by mobile by 2015. The MFS market will be dominated by Asia, driven
by mobile operator-led initiatives in developing nations to bank the unbanked. Remittance/transfers by mobile is
growing three times faster than m-banking.
2) 50 percent of the world's mobile subscribers could be paying by mobile (m-payments) by 2014.
• Japan sets the precedent for m-payment - 10 percent of Japanese mobile subscribers paid by mobile in Dec 2010.
• M-commerce is predicted to reach US$119 billion in 2015, Japan remains king. Top m-commerce retailers globally
include: Taobao, Amazon and eBay. On eBay alone consumers bought and sold over US$2 billion worth of
merchandise via mobile in 2010. M-ticketing will be used by more than 1 in 10 mobile subscribers in 2014.

“In the last twelve months, customers around the world have ordered more than US $1 billion of products from
Amazon using a mobile device," – Jeff Bezos, founder and CEO of Amazon.com (July 2010).

Ladies, and Gentlemen, Buckle up and start your engines…

…For you just don’t know how big this is going to get..

Fraser J. Hay
Fraser J. Hay



What is Mobile Marketing?

The Mobile Marketing Association defines “Mobile Marketing” as:

“ Mobile Marketing is a set of practices that enables organizations to communicate and engage with
their audience in an interactive and relevant manner through any mobile device or network “

Integrating Traditional Marketing

Traditional marketing can now be leveraged with a mobile enhancement either in the delivery of, or the call to
action, in the message. More and more marketers are combining traditional methods of marketing with mobile.

Packaging Radio
Outdoor
TV

Point
Events of Sale

Online
Print

The real power of Mobile Marketing is that Mobile Marketers must respect the user’s right to control which
mobile messages they receive. This can simply be obtained by using an “opt-in” mechanism or landing page,
where the user chooses to opt-in to receiving the marketing communication from the marketer. This can be
achieved in a number of ways, as we shall see including: Email, SMS, Web Forms, Voice Request and more.



With the help of Mobile Marketing, Traditional Channels are transforming to become:-

Interactive
Packaging Interactive
Radio
Interactive
Outdoor Interactive
Advertising TV
Increased Sales
Interactive opportunities
Events

Interactive Interactive
Print Engagement

There are now many simple, but very effective strategies that marketers can now deploy as part of a
mobile marketing campaign.

But first, let’s have a quick review of the history, the platforms and the players ….



The History, The Platforms, The Players…
According to wikipedia.org -

1G (or 1-G) refers to the first-generation of wireless telephone technology, mobile
telecommunications. These are the analog telecommunications standards that
were introduced in the 1980s and continued until being replaced by 2G digital
telecommunications. The main difference between two succeeding mobile
telephone systems, 1G and 2G, is that the radio signals that 1G networks use are
analog, while 2G networks are digital.

2G (or 2-G) is short for second-generation wireless telephone technology. Second
generation 2G cellular telecom networks were commercially launched on the GSM
standard in Finland by Radiolinja (now part of Elisa Oyj) in 1991. Three primary
benefits of 2G networks over their predecessors were that phone conversations
were digitally encrypted; 2G systems were significantly more efficient on the
spectrum allowing for far greater mobile phone penetration levels; and 2G
introduced data services for mobile, starting with SMS text messages.

3G or 3rd Generation, Application services include wide-area wireless voice telephone, mobile Internet access,
video calls and mobile TV, all in a mobile environment. Compared to the older 2G and 2.5G standards, a 3G
system must provide peak data rates of at least 200 kbit/s according to the IMT-2000 specification. Recent 3G
releases, often denoted 3.5G and 3.75G, also provide mobile broadband access of several Mbit/s to laptop
computers and smartphones.

A new generation of cellular standards has appeared approximately every tenth year since 1G systems were
introduced in 1981/1982. Each generation is characterized by new frequency bands, higher data rates and non
backwards compatible transmission technology.

4G is the fourth generation of cellular wireless standards. It is a successor
to 3G and 2G families of standards. Speed requirements for 4G service
set the peak download speed at 100 Mbit/s for high mobility
communication (such as from trains and cars) and 1 Gbit/s for low mobility
communication (such as pedestrians and stationary users).

A 4G system is expected to provide a comprehensive and secure all-IP
based mobile broadband solution to laptop computer wireless modems,
smartphones, and other mobile devices. Facilities such as ultra-
broadband Internet access, IP telephony, gaming services, and streamed
multimedia may be provided to users.

Pre-4G technologies such as mobile WiMAX and first-release 3G Long term evolution (LTE) have been on the
market since 2006 and 2009 respectively, and are often branded as 4G. The current versions of these
technologies did not fulfill the original ITU-R requirements of data rates approximately up to 1 Gbit/s for 4G
systems. Marketing materials use 4G as a description for Mobile-WiMAX and LTE in their current forms.



Standard

Global System for Mobile Communications, or GSM (originally from Groupe Spécial Mobile), is the world's
most popular standard for mobile telephone systems. The GSM Association estimates that 80% of the global
mobile market uses the standard. GSM is used by over 1.5 billion people across more than 212 countries and
territories. This ubiquity means that subscribers can use their phones throughout the world, enabled by
international roaming arrangements between mobile network operators. GSM differs from its predecessor
technologies in that both signaling and speech channels are digital, and thus GSM is considered a second
generation (2G) mobile phone system. This also facilitates the wide-spread implementation of data
communication applications into the system.

The GSM standard has been an advantage to both consumers, who may benefit from the ability to roam and
switch carriers without replacing phones, and also to network operators, who can choose equipment from many
GSM equipment vendors.GSM also pioneered low-cost implementation of the short message service (SMS),
also called text messaging, which has since been supported on other mobile phone standards as well. The
standard includes a worldwide emergency telephone number feature (112).

Common Features

Mobile phones are designed to work on cellular networks and contain a standard set of services that allow
phones of different types and in different countries to communicate with each other. However, they can also
support other features added by various manufacturers over the years:

• roaming which permits the same phone to be used in multiple countries, providing that the operators of
both countries have a roaming agreement.
• send and receive data and faxes (if a computer is attached), access WAP services, and provide full
Internet access using technologies such as GPRS.
• applications like a clock, alarm, calendar and calculator and a few games.
• Sending and receiving pictures and videos through MMS, and for short distances with e.g. Bluetooth.
• GPS receivers integrated or connected (i.e. using Bluetooth) to cell phones, primarily to aid in
dispatching emergency responders and road tow truck services. This feature is generally referred to as
E911.
• Push to talk, available on some mobile phones, is a feature that allows the user to be heard only while
the talk button is held, similar to a walkie-talkie.
• features aimed toward personalisation, such as user defined and downloadable ring tones and logos,
and interchangeable covers, which have helped in the uptake by the teenage market. Mobile phone
content advertising has become massively popular but has also drawn a great deal of criticism. Usually
one can choose between a ring tone, a vibrating alert, or a combination of both.

As a result of all these features packed into a tiny device, mobile phones have recently gained reputations for
their poor ergonomics. Their small size, plethora of features and modes, and attempts at stylish design may
make them difficult and confusing to use.



Leading Handset Manufacturers

Apple brings it's market-leading BlackBerry handsets have HTC are behind some of the most
technology and style to the forefront revolutionised the market offering users popular handsets on the market today.
with their range of iPhones which have a phone with unparalleled access to HTC specialise in touchscreen,
taken the market by storm. email, organizers and much more. smartphone and PDA mobiles.

Google’s powerful Android mobile Nokia is the world’s largest mobile Samsung mobile phones are
phones have quickly become some of phone manufacturer, renowned for its synonymous with quality, with millions
the most sought after around. range of bestselling mobile phones of its function-rich, stylish handsets
sold worldwide.

LG offer handsets with high-end Sony Ericsson is rightly famed for its Motorola mobile phones are owned by
cameras and made from quality highly successful function-rich millions worldwide, with sales of the
materials to offer a most luxurious Cybershot, Xperia and Walkman handsets spurred by their excellent
mobile communication experience. handsets. functions and simple user interfaces.



Operating Systems

Since the launch of both Apple's iOS and Google's Android, the smartphone
market has exploded in popularity and in May 2010, accounted for more
than 17.3% of all mobile phones sold. This has led to greater consumer
awareness of the various mobile operating systems, with telecoms and
manufacturers regularly advertising the advantages of their OS. As of
January 2011, Google holds 33.3% of the smartphone market worldwide,
demonstrating amazing growth for Android which held only 4.7% a year
earlier. Nokia, Apple, RIM, and Microsoft hold 31%, 16.2%, 14.6%, and
3.1% respectively.

The more popular operating systems are listed below:

Android
Linux-based open source mobile platform from Google. The new kid on the block, that’s
gathering pace in popularity and now going head to head with the Apple iPhone.

BlackBerry OS

Powering all of the BlackBerry mobile phones this operating system is often thought to be the
best for email applications. (That’s if you’ve got small, slim, slender mini fingers for using the
keypad)

Windows Phone 7 (Windows Mobile)

Microsoft's SmartPhone operating system. Designed for business users with a host of
speciality applications. The latest version, Windows Phone 7, was released in Barcelona,
Februrary 2010.

iPhone OS 4

Specifically developed for the Apple iPhone. Aimed more at individual consumers rather
than business users so some business functions lacking.

Symbian 3

Developed by Nokia and also available on handsets from other manufacturers.

Maemo 5

Nokia's latest operating system based on Linux.

Bada 2.0

Developed by Samsung and unlike Apple iPhones it supports ADOBE FLASH 9.0.
Samsung sold 1 million Bada based handsets in its first 4 weeks on sale in June 2010.



According to Canalys….



SECTION TWO – MARKETING PLANNING

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