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Service Provider Strategies for Mobile Advertising: Case Studies
Analysys Mason Group, Oct 2008
Service provider strategies for mobile advertising: case studies examines the variety of approaches being taken by five leading carriers and MVNOs around the world to the mobile advertising market, with a view to evaluating which strategies are most likely to maximise the opportunities presented by the development of this new medium.
“Mobile will become an important medium for advertisers in the medium-to-long term, but most service providers are still not participating effectively in the development of this market, limiting their opportunities to build new revenue streams and to enhance the user experience through relevant and engaging advertisements and advertising-funded services,” Alexandra Rehak, Principal Analyst.
Mobile advertising has attracted much attention from companies within the traditional mobile communications value chain (service providers, platform developers, handset vendors and payment processing engines), as well as from external players, including media companies, content developers, advertising agencies and major consumer brands. Although the market is still in a nascent stage, it is certain that mobile devices, and the content and applications accessed on them, will become important media for advertisers in the medium-to-long term. The question for service providers and their partners is how they can participate effectively in the development of this market and how they can derive the maximum benefit from it, when so many other players are also hoping to extract value from mobile advertising.
Key areas covered by the case studies include:
- Positioning of the service providers with respect to mobile advertising
- Innovative strategies in approaching the market
- Types of mobile advertising offered
- Primary sales channels for mobile advertising
- Key external partnerships related to mobile advertising and the role of these partners
- Ability to provide targeted advertising
- Metrics for measurement of the success of mobile advertising (the ability to provide these and results)
- Strategies for sharing customer information (demographic, location-based and opt-in) with advertisers
- Development of advertising-funded content and mobile services offerings
- Industries that are service providers’ principal customers for mobile advertising
- Most successful mobile advertising campaigns and their characteristics
- Service providers’ greatest challenges in mobile advertising and how these are being addressed
- Service provider’s views on the importance of mobile advertising to current and future revenue streams
- Lessons learned so far from mobile advertising efforts
We analyse strengths, weaknesses, opportunities and threats for each of the service providers discussed in the report, and discuss the key benefits that service providers can achieve by taking a proactive approach to the mobile advertising market.
Who should read this report:
- Mobile service providers (MNOs and MVNOs): to understand the developing market for mobile advertising and the best ways in which service providers can address this. Learn how other service providers are working to position themselves effectively and maximise revenue from mobile advertising.
- Mobile advertising networks and mobile advertising platform providers: to learn more about the most effective ways to form partnerships with mobile service providers in order to expand the mobile advertising market and develop compelling new advertising propositions.
- Investors and consultancies: to understand the opportunities presented by mobile advertising and to assess which service providers are best positioned to take advantage of these.
- Media and content creators and producers: to learn more about service provider strategies for mobile advertising in order to develop effective partnerships and campaigns.
- Handset vendors: to gain insight into the types of mobile advertising that service providers are most likely to promote and participate in. Determine which features and partnerships vendors should develop to make mobile devices an attractive and effective delivery medium for advertising.
- Network infrastructure vendors: to understand the likely development of the mobile advertising market and the ways in which their carrier partners can facilitate mobile advertising. Learn what opportunities infrastructure vendors have to support these efforts.
- Regulators: to make sense of where mobile service providers stand, relative to other parties, in the mobile advertising value chain. Discover which aspects of mobile advertising may require additional attention or regulatory focus.
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