Next Generation Communications - Mobile advertising Archives

Alcatel-Lucent's Optism Solution Scoring Big Wins for Operators and Brands through Targeted, Permission-Based Mobile Advertising

2012-03-02T14:59:10Z

By Beecher Tuttle

The most successful advertisers and brands are always those that evolve alongside technology and adapt their campaigns based on recent consumer trends. Just as advertisers once changed their focus from print to digital platforms, marketing groups are now concentrating their efforts on the mobile market.

The inherent difficulty in mobile marketing is that it has almost become synonymous with spamming, where advertisers blanket mobile phone users with promotions, deals and company news that they simple don't care about. If only advertisers could partner with mobile operators and develop a base of consumers who are interested in connecting and interacting with their brand.

With the Optism Mobile Advertising Solution from Alcatel-Lucent, they can.

Optism provides an innovative business model that enables operators and their brand partners to engage with interested consumers through a permission-based system where users "opt-in" to receive ads and promotions. This way, advertisers can engage directly with users who love their products and services via SMS and MMS messages, thus creating value for brands, agencies, consumers and mobile network operators.

While somewhat new on the scene, Optism has already contributed to several wins, particularly in the developing world where mobile phone usage far exceeds PC ownership.

Egyptian operator Mobinil recently undertook an Optism campaign and garnered response rates as high as 54 percent. The company's "Mobile Ads" service was so successful it ended up winning the "Best Value-Added Services" at the Telecoms World event in Dubai last October.

"Since the introduction of our mobile advertising service, we have been able to further increase our relevance to end-users, brands and advertising agencies," said Ahmed Saber, Head of Mobile Advertising at Mobinil. "Leveraging the Optism solution, we are in a unique position to provide brands and advertising agencies access to — and a better understanding of — their potential customer base."

Ghana's Tigo has also found success with Optism, booking response rates of as high as 45 percent. In one campaign with Universal Motors, a total 30 percent of users responded to a Volkswagen Touareg ad, 90 percent of whom asked for more information on the vehicle.

Auto Parts Ltd, a distributor of Nissan automobiles in Ghana, mirrored the success of Universal Motors. "The mobile campaign we ran with Tigo Ads brought us to a wider audience than any other form of digital advertising in Ghana," said Haadi Bawah, marketing manager at Auto Parts. "The response rates to the Nissan Patrol campaign were extremely positive, and we gained insight into consumers’ needs that we can use to shape future campaigns."

In addition to its work with mobile operators and brands, Alcatel-Lucent has been spearheading a mobile advertising initiative dubbed the Mobile Marketing Association (MMA), whose goal is to raise awareness around permission-based mobile marketing. The MMA is made up of a number of mobile service providers – including Vodafone Group, Telefonica, 02, Turkcell and Maxis – which are pushing this new initiative.

Opt-In Mobile Marketing Strategy: 6 Tips for Success

2012-02-27T15:14:50Z

By Susan J. Campbell

As consumers, we are constantly on the go with a mobile device of some kind in our hand providing directions, connection with a colleague or access to the data we need to close the big deal. The same device guides our social lives as we’ve come to rely on smart devices to manage our activities, content and connections. For brands, this provides the perfect opportunity to develop an Opt-In Mobile Marketing Strategy.

A recent blog by Mihai Vlad of Alcatel-Lucent’s Optism unit entitled, Thinking Human: Six Steps for Building a Successful Opt-In Mobile Marketing Strategy, highlights the opportunity that exists with the proliferation of the mobile phone as the must-have device. By developing an Opt-In Mobile Marketing Strategy, mobile operators, marketers and their brands can ask permission before engaging with consumers. In doing so, it provides unprecedented access to the consumer’s attention and the opportunity to build trust.

Simply implementing an Opt-In Mobile Marketing Strategy is not the guaranteed road to success, however. Companies must have a clear plan in place that gains attention, builds trust and drives engagement. Here, we’ll take a look at what Optism believes are six important steps for building the right Opt-In Mobile Marketing Strategy.

Be Transparent – if you aren’t clear on what you expect from the consumer and what you will provide if they opt-in, they will likely click right through to the next offering. Be upfront and honest and don’t forget to be clear that they can opt out at any time. Once you have their attention, focus on what they like – ask questions and do something with the answers.

Leave the Bribes to the Politicians – remember that an incentive is not the same thing as a bribe. It’s OK to offer value to opt-in, but that value needs to be delivered on a consistent basis. Provide information on great deals, offer coupons and notice of special events. If you offer a great prize or content entry for joining, your opt-out numbers will soar. Go for long-term value and search out those consumers that are truly interested in your service or product.

Leave the Jargon to the Lawyers – if I can’t understand your offer in the first few words, you’ve already wasted my time. Use clear language in your Opt-In Mobile Marketing Strategy by using the same approach you would when talking with friends. Avoid the use of marketing speak and clever turns of a phrase – mobile users want quick and to the point or they’re on to the next thing.

K.I.S.S. – you know you’re supposed to keep it simple stupid, but you forgot in the quest for impressing your audience. You don’t need to collect everything you need in one exchange – consumers will push back if you try. Think of your Opt-In Mobile Marketing Strategy like dating – you can’t propose marriage on the first date if you hope for date number two.

Are you Ready for This – even with the best intentions integrated into your strategy, consumers will still surprise you by acting outside of your expectations. Be ready for anything, even if your focus groups portray a particular picture. The ability to make changes quickly when things don’t go according to plan will set you apart from your competitors and put you in a better place strategically for gaining insight and increasing your ROI.

Keep it Local – remember that permission-based mobile marketing is about reaching out to an individual and engaging at a personal level. No universal rules exist that apply to all people in all cultures all the time. Learn local customs, preferences and habits if you hope to make a direct connection with that consumer.

You truly only have a limited amount of time to successfully engage the consumer in your Opt-In Mobile Marketing Strategy, so you have to get it right the first time. What the six tips show is that being honest, open, straightforward and consistent is the way to engage customers. In the online world the phrase, “you do not get a second chance to make a first impression,” is critical to understand when designing and launching a new service. That said, following the six tips should put you well on your way to success.

Permission-Based Mobile Marketing Strategies Hold Value for Advertisers, Operators and Consumers

2012-01-03T00:05:25Z

By Beecher Tuttle

The influx of smartphones, tablets and next-generation networks has created a number of new ways for brands and marketing agencies to reach consumers. Unfortunately, many of today's mobile marketing techniques fail to engage consumers, who often find the advertisements to be bothersome, intrusive and unrelated to their interests.

One innovative and effective way to bridge this gap is a strategy called permission-based mobile marketing, a targeted advertising technique that changes the marketing paradigm by creating a dialogue with consumers, rather than an invasive, one-sided monologue.

The basic premise of permission-based mobile marketing is rather simple: users opt-in and give their consent for brands to send them targeted, preference-based marketing materials for products and services that they are interested in. If executed properly, a permission-based mobile marketing strategy can create value for brands, agencies, consumers and mobile network operators.

A recent white paper, Building Permission Based Mobile Marketing, authored by the Mobile Marketing Association and its Task Force members, including Alcatel-Lucent, Vodafone and other major players in the telecom space, details permission-based mobile marketing, how it works and the benefits that it can bring to all parties involved.

The strength of the marketing technique relies on the fact that mobile devices are now near-ubiquitous. In addition, the mobile platform is currently made up of multiple, flexible channels including messaging, browsing, apps and proximity channels. Needless to say, the mobile platform offers advertisers an expansive field to play with.

Taking advantage of mobile channels is easier said than done, however, because consumers get turned off when they receive marketing materials from brands that they don't care about. This is where permission-based mobile marketing can succeed.

Targeted advertising dramatically increases response rates and creates an engaged audience, says MMA, and also gives consumers reason to share their demographic information and other data that can help encourage commerce.

Consumers have plenty of reasons to opt-in to marketing campaigns, including a more personalized and deeper connection to the brands that they love, a two-way dialogue in the format of their choosing and, most importantly, access to special deals, alerts and discounts.

In fact, a recent Alcatel-Lucent survey found that 63 percent of mobile youth indicated that they would be more willing to purchase products or services from preferred brands using a permission-based mobile marketing service. More than three-quarters of respondents said that it's important for mobile ads to be based on their interests, while more than 80 percent said it's "very/extremely" important for brands to ask permission before sending them advertisements.

In addition to benefiting consumers, permission-based mobile marketing provides a number of opportunities for brands and agencies, the most obvious of which is a significant reduction in advertising spending that is wasted on consumers who have no interest in their products and services. The strategy also increases consumer engagement and real-time interaction, which, in turn, boosts ROI numbers.

Additional benefits include quick response rates – with 90 percent of SMS text messages read within three minutes of receipt – and the ability to create long-term relationships.

Finally, permission-based mobile marketing can be a major aid to network service providers, who can leverage the strategy to improve customer satisfaction numbers and open up new revenue streams by partnering with advertisers and content creators.

MMA Task Force member Alcatel-Lucent is one of the leading supporters of permission-based mobile marketing, and has designed its Optimism solution to help provide the aforementioned benefits to all parties in the commerce value chain. The Optimism Mobile Advertising Solution, which helps advertisers and operators connect with a 100 percent opted-in audience, has proven to be extremely effective in multiple global campaigns.

As an example, Egyptian mobile network operator Mobinil has seen their response rates on mobile ad services climb to as high as 54 percent on the back of the Optimism solution.

"Since the introduction of our mobile advertising service, we have been able to further increase our relevance to end-users, brands and advertising agencies. Leveraging the Optism solution, we are in a unique position to provide brands and advertising agencies access to — and a better understanding of — their potential customer base," Ahmed Saber, Head of Mobile Advertising at Mobinil, noted in a recent case study.

Alcatel-Lucent will continue to work with the MMA to push permission-based marketing to the next level and enable advertisers and operators to make the most efficient use of their budgets.

“We’re very excited that the MMA recognizes the importance of permission-based marketing and that Alcatel-Lucent has the opportunity to help shape the efforts of the taskforce as we evangelize and educate the industry on best practices,” said Lisa Ciangiulli, Director of Marketing, Alcatel-Lucent Mobile Commerce Solutions.

Check out the complete white paper to read Alcatel-Lucent's four-stage process for launching a permission-based mobile marketing campaign and some recent success stories.