Wednesday, May 28, 2008

Entry_12 20500687

Advertisers to Consumers:
We’ll Text You
Cell phone Messages Find a Mobile Niche; Customers Ask for It

Prologue
Are you aware of mobile advertising? Is it too broad to identify? Then, think about text-message advertising that we daily receive through our cell phone. This article captured my mind since feel more familiar with text-message advertising. This is an effective way of advertisement over many other types of ads such as web banner ads and e-mail ads.


Summary
This article is about mobile advertising specifically using text-message. Emily Steel analyzes how effective this text-message advertising is and current trends associated with mobile advertising. Steel mentions that companies spend on mobile-message advertising now about 88% of the total $1.7 billion spent on mobile ads. According to Matt Jones, a director of mobile strategy for Gannett, the text message approaches to customers to develop interaction between companies and customers. Through this analysis, I could draw a simple conclusion which text message is such an effective tool to create personal relationship as if this is one part of customer relationship management (CRM) by companies.

My Analysis & Opinion & Suggestion
Based on Steel’s ideas about mobile advertising, I, as a business student, I want to add SWOT analysis from my view point of mobile marketing.

Strength: 1) compared to other sources of mobile advertising, text-message advertisement carries newness of advertising, 2) it is easy to approach to almost every potential customers who has cell phones, 3) text-message ads are easier to measure the result than mobile web ads, 4) it is personal though it is sent as a group text-message.
Weakness: mobile advertising has a challenge toward limited spaces for advertising in which only 160 characters are available to deliver ads.
Opportunity: find a mobile niche effective way to deliver mobile ads. Focusing on simplicity, clarity, attention getting, and interesting, text-message advertising creates higher opportunity to be the number one.
Threat: perhaps it delivers too much unnecessary information and it is also too commercialized. It becomes annoying if its target is wrong so delivering unnecessary ads and avoidable contents.

Suggestion
I think companies should consider individual’s personal interest more thoroughly. For me, I am interested in cosmetic brands and its new products as well as special sales. My reaction to text-message ads such as coming-up sports games, I get annoyed by this ad and I will also complain about the way of sending the ad through text-message. As Steel introduces Yahoo with 4INFO, one of the most-active players in text-message advertising, 4INFo provides the technology for Yahoo to publish its content, such as news updates, horoscopes, sports scores and weather forecasts, via text message. I think partnership is another key factor to achieve the goal of penetrating mobile advertising. In addition, as I mentioned in SWOT analysis, opportunity should content customers’ interest the most, which are anything that pulls customers’ mind out. Therefore, identifying customers’ interests, wants, and needs is crucial to determine accurate target segments and manage efficient customer relationship.

Annotation
Emily Steel, Advertisers to Consumers: We’ll Text You, The Wall Street Journal, May 27, 2008 http://online.wsj.com/public/article/SB121185056833021519.html?mod=2_1567_leftbox


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