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(C) 2010 All rights reserved.

About 90 million Americans have either sent or received a text message. .) In the U. which first came out in the early 3 (C) 2010 www.mobilemarketingleadership. SMS is on a serious upswing. high usage rate is found among younger Americans (80% of people below the age of 25 are regular SMS users). http://www.Mobile Campaigns The Three Main Vehicles for Mobile Campaigns Text Messaging or SMS Text messages. (Please see graph on the next page.. continues to be one of the most popular mobile marketing vehicles. According to Mobile Media Monitor findings. Graph courtesy of All rights reserved.MobileMarketingLeadership. There are forecasts indicating that it will remain to be so for many more years into the future.S.

texting codes found on product packages for a chance to win an instant prize). joining trivia contests about program content. Text messaging is to the mobile world as the email is to the Internet—just without the graphics. There are also the mobile coupons which drive buyers to retail outlets (like discount vouchers for Dunkin Donuts Lattes and EA games) and so All rights reserved. We see a growing number of people using SMS to interact with TV shows (like voting on “American Idol”. 4 (C) 2010 www. We also see people participating in on-pack promotions (e.Although the majority of text messages are transmitted person-to-person. more and more Americans are using SMS to interact with brands. and getting program alerts).. .MobileMarketingLeadership.g.

or product packaging. While MMS has a smaller reach than what SMS has. To a limited degree. Picture Messaging or MMS Multimedia Messaging Service or MMS functions very much like SMS. SMS allows for the interactivity of the internet wherever and whenever the consumer wants to engage with a brand even if they're not in front of a computer. animation. Additionally. All rights reserved. promotional MMS us more capable in terms of activating consumers. print ads. billboards. Before a brand can (legally) send marketing messages (or ads) to consumers. they must first ask permission from them. The nice thing about MMS is that it supports images. . The ROI on MMS is quite 5 (C) 2010 www. MMS is interactive in a way similar to SMS that it enables recipients to respond to messages and engage with brands. video. and that enables marketers to push rich media ads to consumers. it should be noted that marketers can't just send out promotional text messages to consumers without an opt-in (or without the consumers agreeing to it). and audio. The most common tactic for obtaining permission for push messaging from consumers is by inviting them to engage by sending a message through a short code. This is typically done with the support of other promotional media like TV or radio ads.

Mobile Internet Advertising More and more marketers are taking notice and are starting to extend branding and response campaigns with mobile internet banner ads. chief executive officer of The Kelsey Group. representing 25 percent of online users. has this to say about the trends: “The trend lines for usage. According to BIA/Kelsey. there were 54. Neal Polachek.” The BIA/Kelsy report also pointed out that: 6 (C) 2010 www. Our MLM practice will focus on mobile as a critical and key driver in the overall transformation of the advertising industry. And there are plenty of reasons why they should. . There are evidences of conversion rates of over 20 percent on well targeted MMS programs.MobileMarketingLeadership.compelling--five percent is actually considered a low response rate to an MMS campaign. revenue and application development indicate a turning point that compels us to devote more resources and deepen our coverage of this market segment. in early All rights reserved.5 million mobile Internet users in the United States.

Apps With smartphone sales on the rise.5 million mobile internet users in the US at the time.5 billion in 2010 and will grow to 21. One of the greatest benefits of mobile display advertising is that it provides a richer palette for brand advertising (albeit a smaller one). mobile application downloads are expected to exceed 4. . In an article by the Gizmag Team titled “The Rise and Rise of Mobile Application Stores” (January 18. while avoiding the need for opt-ins or consumer-initiated reply messages.mobilemarketingleadership.6 billion by 2013.MobileMarketingLeadership. 7 (C) 2010 www. the number of mobile web users will reach 95 million by 2013  there were All rights reserved. the popularity of apps has no way to go but up. representing 25% of online users  approximately 15% of iPhone applications are local. 2010).

more consumers will experiment with application downloads. “As smartphones grow in popularity and application stores become the focus for several players in the value All rights reserved.g.” said Stephanie Baghdassarian. free applications are expected to continue to account for an ever greater share.2 billion in 2010 in mobile application stores and growing to US$29 billion three years after. between game levels).Consumers are also predicted to spend US$6. Many free applications derive their revenue from advertising. This is typically done with banners as well as full page advertising (e. In 2010 alone.MobileMarketingLeadership. apps advertising revenue is expected to generate US$600 million worldwide.. research director at 8 (C) 2010 www. . growing from 82% of all downloads in 2010 to 87% of downloads by 2013. Furthermore.

“Games remain the No.MobileMarketingLeadership. social networking.” Applications of Mobile Marketing 9 (C) 2010 www. utilities and productivity tools continue to grow and attract increasing amounts of money. . 1 application. and mobile All rights reserved.Gartner.

consumers can also opt-in to receive ongoing Smoothie King All rights reserved. Additionally. SMS messages contained a link to coupons that increased traffic at their retail locations. An example of a text-to-win campaign is the Text SKWIN to 55022 promo by Smoothie 10 (C) 2010 www. text-towin promos provide a very convenient way to manage a competition or prize draw and popular with consumers.mobilemarketingleadership.) http://www. The promo gave consumers the chance to win one of 20 Swimsuit Getaways by texting "skwin" to 55022.) Voting and participation TV – Text voting for TV programs (such as American Idol) are incredibly popular and provides for an additional revenue stream for the broadcaster and/or the production company. For marketers. Smoothie King did this in over 500 stores. (Image courtesy of Dot Tel Ads. (Image courtesy of 2du.Text-to-win – Text-to-win promos are very popular with consumers because they are very easy to understand and participate in.MobileMarketingLeadership. . Through the promo.

sound and 11 (C) 2010 www. etc. Typically. score keeping. A quiz can either be a simple text message or an application which offers a deeper level of interactivity using graphics.mobilemarketingleadership.) http://www. and they can work very well even on mobile phones. .Quizzes – Quizzes are very popular among marketers as a tactic to engage their customers. (Image courtesy of Fresh Mobile All rights reserved. a quiz is initiated by consumers by texting a key word to a shortcode.MobileMarketingLeadership.

) Definition of Mobile Marketing The Mobile Marketing Association (MMA) defines Mobile Marketing as: “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 All rights reserved. .” 12 (C) 2010 www.MobileMarketingLeadership.Mobile content/mobile media – The mobile content industry is already huge and has rapidly increased (not to mention greatly evolved) over the last few years. (Image courtesy of Xellular.

mobilemarketingleadership. acquire. the MMA pointed out that “the crux of the new definition lies in two parts of its taxonomy”.MobileMarketingLeadership. and all the many faces and facets of marketing. institutions. and they are as follows: 1. relationship management. http://www. industry players. customer services. social marketing.In a press release. standards. direct response. . CRM. [and] be present at time of consumers expressed 13 (C) 2010 www. promotions. All rights reserved.” To “engage” means to “start relationships. processes. stimulate social interaction with organization and community members. advertising and media.” Furthermore. The “set of practices” includes “activities. generate activity. engagement can be initiated by the consumer (“Pull” in form of a click or response) or by the marketer (“Push”).

com All rights reserved. Junta42's report also pointed out that: 14 (C) 2010 www. The findings (from January. for 2010.MobileMarketingLeadership. approximately six out of 10 marketers surveyed plan to increase their spending on content initiatives. 2010) came from a survey of 259 marketing professionals.According to Junta42. .

MobileMarketingLeadership. 59% of marketers surveyed plan to increase content marketing spending in 2010.(Graphs courtesy of All rights reserved. compared with 56% in 2009 and 42% in 2008.mobilemarketingleadership. . Content Marketing Spending comprises 33% of the total marketing budget (up 11% from 2008)  Smaller companies spend more than 2x that of larger companies on content marketing  Marketers are increasing their focus on mobile content solutions  Only 7% of marketers are spending less on content in 2010 According to the 15 (C) 2010 www.) http://www.

Nearly three quarters of those surveyed are leveraging content through social media and a majority are tapping into blogs and e-newsletters. http://www. .It also found that marketers are leveraging new media content products more than All rights 16 (C) 2010 www.MobileMarketingLeadership.

It’s not just about pushing content or a message one-way.Customer Relationship Management (CRM) – The mobile phone is a twoway communications tool. It’s also provides an effective way for handling customer service issues like notifying someone to confirm that their order has been delivered. . This makes it one of the best channels to use when building relationships with All rights reserved. or that they’re overdrawn at the bank.) 17 (C) 2010 www. (Image courtesy of Blackberry Cool. it also means that customers can call or text the marketers back.

It can be used for paying for stuff – mobile content.Interactive Voice Response (IVR) – IVR is an old technology which can be traced back to landlines. This is the engine behind those (sometimes irritating) ‘press 1 for yes and 2 for no’ systems.MobileMarketingLeadership. phone All rights reserved. but it also has potential for some great creativity. 18 (C) 2010 www. .

2D Barcodes .MobileMarketingLeadership. Geo-Targeting – Geo-Targeting is the method of determining the physical location of a website visitor and delivering content to that visitor based on his or her location.Several technologies exist in the world of 2D Barcodes. . 2D barcodes and 2D barcode reading software allows users to take a picture a 2D barcode with their mobile phone camera and be taken to a mobile webpage without typing in a single character. Device detection enables the web site to detect the device being used to request content and serve the most appropriate version. Device Detection – Device detection capabilities are embedded into the programming code of a web site. A sample of a QR code is shown below. Some of the better known are the QR Code and the Semacode. 19 (C) 2010 All rights reserved.

com All rights reserved. 20 (C) 2010 www.MobileMarketingLeadership. if not all.Mobile search – Most. Google Mobile Search offers Local Search that enables users to find local businesses and will then display a map (Google Maps) or phone number with the option of click-to-call on the appropriately-enabled handset. search providers have mobile versions of their search engines and they are now becoming more sophisticated. .

MobileMarketingLeadership.http://www. .com 21 (C) 2010 All rights reserved.

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