Tuesday, November 27, 2007

Adweek.com: Marketers Enlist Mobile Phones as Utility

November 26, 2007
By Brian Morrissey

NEW YORK Beginning next month, the cold-and-flu wary will have a new weapon in their prevention arsenal: weather alerts sent to their cell phones courtesy of Vicks.

The messages are part of an effort by parent company Procter & Gamble to develop mobile applications, rather than use the cell phone as just another venue for media buys.

Other big-name marketers, like Coca-Cola and AT&T, have launched similar efforts. In some cases that means application development takes priority over mobile media buys, with brands using their vast distribution and marketing channels to promote the utilities.

"Consumers are used to ads on the Internet, on TV and in magazines," said Carol Kruse, vp of global interactive marketing at Coke. "The mobile phone didn't start out with ads.

"That's leading Coke, P&G and others to test the increasingly popular concept of branded utility: tools advertisers can supply to help consumers perform tasks, rather than messages that interrupt. Think Nike+, the running-and-music system that enables runners to track and compare their training progress with others.

"At the end of the day, if they tap into why you own the phone, brands can figure out how they can help you deal with your life," said John Hadl, CEO of Brand in Hand, a mobile marketing consultancy, which advises P&G on mobile strategy. "What can brands do for us that also ties in to the brand benefit?"

The move to create applications comes as surveys show consumers express wariness that their cell phones will turn into another source of ad overload. A Harris Interactive survey in the spring found various forms of mobile ad messages, from search result placements to banner ads, were rated "unacceptable" by more than 70 percent of respondents. Seeing a video clip from a nearby store was found "acceptable" by only 16 percent.

"Placing ads on mobile sites is just a media placement compared to finding the applications consumers want [in order] to interact with the brand on the go," said Doug Levy, CEO of imc2, an independent digital agency.

Coke is making few mobile ad buys with providers like Third Screen Media, AdMob and other mobile ad networks. Instead, it is placing a big bet that it can provide utilities to consumers. Its first test case is The Yard, a Sprite-themed mobile social network it launched in June here and in China. It is in the process of rolling out the platform in Europe and other regions.

"The industry is still trying to figure out how to do that in a way that's acceptable to consumers," Kruse said. "We're really focusing on providing fun and engaging experiences for consumers."

The challenge for such applications is getting them to actually add value consumers can't get elsewhere, according to Hadl. Just mimicking an existing utility won't cut it. For makeup brand CoverGirl, for instance, P&G created a "ColorMatch" application that recommends shades based on complexion and clothing and accessories colors. Women would not have their computer with them at the store, making the mobile phone an ideal choice, he said.

In a more recent campaign, AT&T tapped the phone as a handy tracking tool for fans at last month's Ironman World Championship triathlon in Hawaii. A mobile campaign gave spectators the chance to receive text message alerts when athletes passed one of 11 checkpoints. For a race that takes competitors anywhere from eight to 20 hours to finish, the service was a perfect fit, said Robert Tas, CEO of Active Athlete Media, which developed the program for AT&T. The athlete tracker attracted more than 15,000 sign-ups and 100,000 brand impressions. "It added value," said Tas. "It wasn't crap. It really made the experience better."

The move to provide branded utilities on mobile devices and elsewhere is unlikely to eliminate media budgets. After all, consumers need to know about the tools before they can use them. MediaVest is buying mobile ads through Third Screen Media. Former AT&T agency GSD&M Idea City promoted the Ironman athlete tracker via Active Athlete's network of endurance athletics sites. Sprite is leaning on the millions of bottles it sells per year (and its Facebook fan page) to raise awareness for The Yard.

Brands need to think of what they're getting out of applications, said Scott Symonds, executive media director at AKQA, an independent digital agency. Unless an application lines up with a brand promise, it won't do much good, he warned. AKQA used this litmus test earlier in the fall with a mobile campaign that suggested wine-and-cheese pairings to supermarket shoppers on behalf of Visa Signature. The campaign was designed to appeal to the Signature brand's target consumer: the well-to-do who enjoy travel, dining and leisure activities. "Ideally we can do some twist or implementation that gives the utility a flavor or voice unique to our client brand," Symonds said.

Another big challenge for mobile campaigns at this point, according to execs, is how to measure success. Comparing the value placed on interaction rates online to mobile is "apples to oranges," Hadl said. "They're both fruit, but one you bite into and the other you peel." P&G agency MediaVest, part of Publicis Groupe, has hired Dynamic Logic, a campaign effectiveness research firm, to conduct a study of the effectiveness of the Vicks effort in driving purchase intent.

The mobile medium is still maturing and doesn't provide many rich experiences, said Benjamin Palmer, CEO of The Barbarian Group, an independent digital shop. "There just isn't too much of a mobile marketing medium right now other than alerts," he said, something he expects will evolve with the popularity of the iPhone and as other handset makers come out with units that mimic its features."

Right now mobile is in a utility-focused place," said Symonds. "If we can provide brand utility and it's still keeping with what the client's theme is, we'll trade a little messaging for utility."

Mobiles 'prove' women are better multitaskers

By Staff Writers
27 November 2007 07:00AM

A global online survey has revealed something that our mothers could have told us for free: women are better at multitasking than men..

Nearly eight out 10 respondents to a survey by Nokia consider themselves multitaskers, and 50 percent describe themselves as 'productive' and 31 percent as 'busy'.

However, 60 percent of men and women agreed that women are better at multitasking. Just six percent of women believe that men are better.

An overwhelming 80 percent of respondents believe that having a mobile phone enables them to achieve a positive work/life balance.

While 63 percent believe they would be less productive without their mobile phone, 74 percent believe it makes them better at multitasking.

"People are using their mobile phones more than ever," said Dom Fried-Booth, insights director of devices at Nokia."

And with all the features available on mobile phones today, including calendars, email and SMS, people are using them for more than just making calls.

"This helps some people to be more productive for work and others to run the family household more smoothly. Whatever the case, mobile phones are clearly helping people get what they want out of life."

According to the survey, the majority of men and women in Denmark and Norway can do several things at once, while the most 'relaxed' were the Finns at 74 percent.

Nearly two-thirds of respondents claimed to be able to perform two or three activities while talking on their mobile, including internet browsing and shopping.

Three quarters of women said that they prepare food while using their mobile phone, and half put on makeup.

Although the majority of respondents claimed to do more than one thing at a time while on their mobile phone, 48 per cent indicated that the call was their main focus.

The 'most fun' activity while on the phone was 'being in bed', although no more specifics were given.

The survey also revealed that multitasking while using a mobile phone can have awkward repercussions.

Some 47 percent of respondents admitted to sending a romantic or controversial text message to the wrong person, 56 percent of whom were women.

Monday, November 12, 2007

Blyk: 16-24 year olds are used to getting stuff for free

The attached article which appears in issue twelve of Contagious, is a very interesting discussion about mobile marketing to 16-24 year olds. The article is centred around Blyk - a mobile network targeted to this demographic and which is completely funded by advertising.

Blyk's early research shows that 60% of 16-24 year olds will change network, if they can talk and text more for the same amount of money with someone else. At time of writing, Blyk provides users with 217 free texts and 43 free minutes to any UK network.

Blyk provides advertisers with a means of having 'conversations' between brands and Blyk 'members', with a "question and respose interaction, with changing outcomes, over the course of a week or more". Trials have produced response rates of more than 80%.

Link to the article:
http://www.thirdscreen.com.au/documents/16-24_YEAR-OLDS_ARE_USED_TOGETTING_STUFF_FOR_FREE.pdf

Wednesday, October 31, 2007

Sir Martin Sorrell discusses mobile strategy

----- Below is a very interesting article from one of the gurus of the advertising industry

October 29, 2007



THE Sydney-based agency STW Communications Group is being checked out once again as a potential takeover target by the world's second-largest communications business, WPP Group.


WPP's chief executive, Sir Martin Sorrell, who is visiting Australia, said yesterday he would look over STW, which gave a modest outlook when it reported its results for the first half of the financial year in August.



Sir Martin is officially here to launch a mobile advertising strategy, but he told Sky Business News of his interest in the communications company co-founded by John Singleton.


Speaking generally on the global communications industry, Sir Martin attributed his company's recent lacklustre performance on the industry pressures facing western Europe.


Sir Martin also said he was "very puzzled" that operators had not seized the opportunity of mobile phone advertising. "If the operator doesn't do that, Google will steal their clothes.


"An example is China Mobile. China Mobile has 340 million subscribers, and within a year there will be well over 400 million."