Building further on my thesis research, here are a few tidbits of why the mobile medium is so perfectly suited for marketing communications.
None of the points below should be new to anyone closely following the growth and development of mobile. Nonetheless, this list is just a simple reminder of why advertisers plan spend $13-14 billion in 2011 on mobile advertising, worldwide.
There are eight main reasons why the mobile medium is perfectly suited for marketing communications:
- The growing penetration levels: in 2013 it’s expected that the total number of smartphone subscribers will reach 1.28 billion (Morgan Stanley Report, 2009)
- It is possible to target an ad on the most precise level possible
- Marketing messages can be sent/received/processed anytime and anywhere
- Interactive communication and ‘calls to action’ are viable: campaign results, data and analytics can be gathered immediately and used to improve engagement)
- The mobile channel is capable of viral marketing: the mobile device lends itself to enlarging the reach of a campaign through viral effects
- The high response rate of correctly targeted campaigns: the response rate of mobile marketing campaigns was reported at 31%, while the same figure for permission-based email marketing is from 1% to 8%, and the response rate of printed advertising is reported to be 0.15% to 0.60%
- Mobile marketing campaigns are relatively low-cost and cost-effective
** Updated – 8. Mobile seamlessly integrates with the physical world: the mobile channel can greatly improve the effectiveness of cross-media marketing campaigns. Right now QR codes and augmented reality are examples, in the future we will see more RFID tagging and NFC.
” …the special features of the mobile channel can be listed as: mobility and reachability, direct marketing, interactivity and two-way communication, branding, viral-marketing, time, and personalization.” – Heikki Karjaluoto et al. (2007), Insights into the implementation of mobile marketing campaigns.
What this looks like in real life. This picture was taken a few weeks ago on the Stockholm subway. Swedes are pretty much captivated by their smartphones.