After WAP and 10 years of talk, mobile has finally taken off and it’s here to stay!
For over a decade since the early 2000s there has been widespread talk of mobile technology taking over the world. Yet even up to 2008 there was nothing to confirm this would ever happen, which is why, when it did finally take off, much of the mobile marketing industry seemed to miss it. Whilst there have long been SMS campaigns, there has been nothing significant to move the industry forward. So why then and what was the catalyst? Despite SMS being around for a while, it wasn’t until Smartphones appeared in the market that people really start taking mobile marketing seriously. Giving mobile users the ability to quickly get online using reliable technology and a web experience much like at home, was the key to revolutionising the market and opening the door for marketers.
According to new research from the IAB and PwC, the UK mobile advertising market grew 116% to £83 million in 2010. Such phenomenal growth in a year underlines how important mobile has become to the marketing industry. Much like other digital channels mobile can be used in many different ways depending on how marketers are trying to generate response. Much like direct email marketing which is perceived to be intrusive for consumers, mobile technology must follow best practice marketing principles to maintain consumer confidence. Below are some outline examples of how the major brands are using mobile technology for marketing purposes in the UK:
Mobile Ads – While various different ad formats have long been around on the web, the evolution of mobile technology means that there is much scope for brands to connect with their core target market. Ads on apps are very common as is the introduction of ads as part of videos. Although there is a short engagement period, there is a greater opportunity to engage with consumers and the use of mobile-only promotions has done much to help with the success of mobile ads.
Mobile websites – One of the earliest investments by the big brands was to develop mobile websites designed to provide a much better user experience. By using web analytics tools companies were able to see how consumers arrived at their website and thus gave a good indication of the potential return from investing in a mobile site. Many brands also found that visitors spent more time on the mobile website which offered much greater scope for client engagement.
Mobile Apps – The explosion of mobile apps has been the single most significant channel to evolve from the explosion of mobile marketing. Mobile apps are custom designed to support any number of marketing initiatives whether it be for playing games, obtaining travel information or buying products. In 2010 there were approximately 860 million application downloads in the UK with around 105 million counting as paid downloads. In total over £280 million was generated from paid mobile apps.
Mobile Coupons – First there were discount voucher websites where most were redeemed as part of an online checkout process or by printing off a voucher, but now with Smartphones, consumers can redeem barcode vouchers or present promotion codes on their screen. Restaurants have benefited greatly from mobile voucher codes and are now in fierce battles marketing price led offers and promotions.
What next?
While it is clear mobile marketing has finely made it and is definitely here to stay, many are already looking for the next big thing. Based on mobile being able to locate people’s exact whereabouts, it is fairly safe to assume that location based products and services still have a long way to go and will take us forward to the next digital age.
The industry is supported and regulated by the Direct Marketing Association (DMA), where you can find lots of useful information about best practice.