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Insiders Discuss Wireless Advertising Issues
Wireless marketing and mobile technology was late January's focus in San Francisco at The Institute for International Research's mTargeting conference, held at the Hyatt Regency in Embarcadero Center. Experts from such industry players as 2ROAM, Air2Web, Barpoint.com, New York Times Digital, SkyGo, and Razorfish presented insights into the wants and needs of mobile device users. From January 21 to 23, 2001, attendees heard case studies of mobile marketing in action, wireless content strategies, and issues with enabling mobile commerce. Differences in user habits and wireless networks from the United States to Europe to Asia were a big concern.
At Sunday's pre-conference workshop titled, "User Friendly Mobile Commerce: Keys to Successful Implementation," Joy Maguire, vice president of Wireless and Mobile Solutions—North America for Razorfish, discussed how context drives the success of mobile campaigns. Maguire outlined her "context of mobility" that inspires users to transition to m-commerce. When designing wireless advertising programs, marketers must consider six instigators of buying behavior: forgetfulness ("Oops, I forgot to buy."), outside inspiration, time, place, playful buying, and buying in place. Wireless advertising campaigns will succeed when one or more of these buying patterns are realized and leveraged.
"Phones are still phones first," she reminded attendees, emphasizing that "wireless is not the Web." The biggest mistake of wireless marketers lies in trying to translate Web content to the little screen. Mobile devices are most often used for finding, rather than browsing. Consequently, navigational and content needs differ greatly. She predicted marketers might have to wait for device advancements before users fully "adapt to the delivery channel." Currently, text entry is difficult, airtime is costly, and displays are small and low-resolution.
During a breakfast interview, Jeff Hansen, senior vice president of marketing for 2ROAM, warned that marketers won't be able to "get away with non-contextual advertising on wireless" devices. Unlike the Web, mobile users have less tolerance for unrelated commercial plays. Partnering with other sites "may make wireless advertising more contextually relevant," Hansen said. "Opting in" will be the definitive buzzword for this year, especially in light of the many privacy initiatives under consideration, both in the industry and in Congress.
"One challenge is to get away from banner ad thinking," observed Hansen, noting that "pure Internet players aren't necessarily the best marketers," either in the wireline or wireless arena. Two thirds of 2ROAM's wireless advertising clients are brick-and-mortar concerns. Hansen alluded to recent wireless campaigns that achieved 5 to 7 percent click-through rates, easily bypassing current averages in Web advertising.
Hansen sees "the best bets for wireless" as travel and leisure and "info-tainment" properties, but regardless of content, "device integration will play a big part in user acceptance."
During another session, Nisa Lewites, director of Corporate Development & Wireless for New York Times Digital, spoke about "Using One-to-One Strategies to Target Consumers," by providing an overview of how personalization works best.
The New York Times is in a unique position with regard to wireless content publishing and advertising, since it serves both end users (readers, subscribers) and clients (print and Web site media buyers). Many media buyers are looking at the media company as a test case for determining if wireless advertising indeed has a future. NYTimes.com has signed several content distribution deals with big name wireless service providers, allowing the newspaper to distribute its content to the widest possible number of users. Until the walls come down between different wireless networks, content providers must rely heavily on developing similar portal partnerships to obtain visibility for their offerings, said Lewites.
In "Creative Standards and Models for Wireless Advertising," Perry Allison, vice president of Strategic Alliances for SkyGo, outlined the results of a four-month study on wireless marketing. The effectiveness of mobile campaigns hinged on different advertisers' approaches to coupons, branding and reward programs. Allison defined successful wireless advertising as "relevant, timely, entertaining and thought-provoking." She said she believes wireless advertising will be accepted as content when it meets these criteria. Adding to her credibility is SkyGo's client list, which includes such brand name advertisers as Visa, Procter & Gamble, NextCard, Kinkos, HP Online, CompUSA, KFC and Subway.
mTargeting was IIR's first entry into the wireless advertising conference space. Two follow-up events are scheduled for March and April respectively. MTargeting Teens will be held March 7, 2001 at the Regal UN Plaza and mTargeting—The Mobile Generation (18- to 29-year-olds) will be held April 2 and 3, 2001 at the Metropolitan Pavillon, both in New York City. For more information, visit The Institute for International Research on the Web at www.iir-ny.com.
by Kim M. Bayne, Contributing Writer
Digitrends.net
Tuesday, February 13, 2001
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