M-marketing and M-advertising - Coralie BARBIER


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  • M-marketing and M-advertising - Coralie BARBIER

    1. 1. Mobile marketing and mobile advertising
    2. 2. Introduction <ul><li>Emerging ability to communicate with anyone, anywhere and anytime </li></ul><ul><li> Enormous potential for marketers </li></ul>
    3. 3. Outline <ul><li>What is m-marketing? </li></ul><ul><ul><li>Definition </li></ul></ul><ul><ul><li>Characteristics of m-services </li></ul></ul><ul><ul><li>An example: SMMART </li></ul></ul><ul><li>A specific area of m-marketing: m-advertising </li></ul><ul><ul><li>Definition and models </li></ul></ul><ul><ul><li>Consumer attitude toward m-marketing </li></ul></ul><ul><ul><li>Consumer’s permission </li></ul></ul>
    4. 4. Mobile marketing <ul><li>M-marketing is: </li></ul><ul><ul><li>Marketing in a mobile environement </li></ul></ul><ul><ul><li>Via mobile communication devices </li></ul></ul><ul><ul><li>Information can be delivered to mobile devices via voice application, text applications (e.g.: SMS), e-mail (e.g.: i-mode). </li></ul></ul><ul><li>An objective: « real-time marketing » </li></ul><ul><ul><li>Meet the customers needs at the customer’s point of requirement (time and place) (Oliver, Rust and Varki) </li></ul></ul>
    5. 5. Characteristics of mobile services <ul><li>Information accessibility </li></ul><ul><ul><li>Ubiquitous (anywhere, anytime) access to the brand. </li></ul></ul><ul><li>Information personalization </li></ul><ul><ul><li>Uniqueness-commerce (u-commerce): information adapted to time, customer location and customer preferences. </li></ul></ul><ul><li>Information dissemination </li></ul><ul><ul><li>Spread a message or service in a social or professional network. </li></ul></ul>
    6. 6. An example of m-marketing: SMMART <ul><li>Content-based recommendation system. </li></ul><ul><li>Bob example: </li></ul><ul><ul><li>Bob has installed SMMART onto his PDA. He enters his favorite music (including Police ) and his preferred music store. </li></ul></ul><ul><ul><li>SMMART connects to the store’s server and transmits Bob’s preferences. </li></ul></ul><ul><ul><li>The store’s server gives a list of available products currently on sale that could interest Bob. </li></ul></ul><ul><ul><li>Bob buys Every Breath You Take , a compilation from Police . </li></ul></ul><ul><ul><li>By doing this, he confirms his interest for other items of Police . Consequently, the name of Police ’s leader, Sting , is added as a keyword. </li></ul></ul>
    7. 7. An example of m-marketing: SMMART <ul><li>Bob example (2): </li></ul><ul><ul><li>Bob then decides to go to the video store. Lock Stock and Two Smoking Barrels , a movie starring Sting , is part of the items proposed by SMMART. </li></ul></ul><ul><ul><li>Bob buys it, confirming his interest for Sting , and making SMMART automatically add Guy Ritchie , the director of the movie, as a keyword. </li></ul></ul><ul><ul><li>However, Bob is not especially interested in Guy Ritchie , and doesn’t buy anymore product from him. Finally, the keywords is thus deleted from the list. </li></ul></ul>
    8. 8. An example of m-marketing: SMMART <ul><li>Advantages: </li></ul><ul><ul><li>Bob is sure to find the products he wants. </li></ul></ul><ul><ul><li>Displayed products are well adapted to Bob’s preferences. </li></ul></ul><ul><ul><li>Bob’s interests evolve, so does SMMART. </li></ul></ul><ul><li>Limits: </li></ul><ul><ul><li>Bob could not see the Cranberries’ CD. </li></ul></ul><ul><ul><li>Bob could be offered irrelevant propositions. </li></ul></ul>
    9. 9. <ul><li>SMMART is a perfect example of which opportunities m-commerce offers to marketers. </li></ul><ul><li>Another dimension of m-marketing is m-advertising. </li></ul>
    10. 10. Mobile advertising <ul><li>Advertising in mobile commerce environment. </li></ul><ul><li>Two models: </li></ul><ul><ul><li>Pull model: marketer sends information requested by the consumer. </li></ul></ul><ul><ul><li>Push model: marketer takes the initiative to send messages to the consumer. </li></ul></ul>Opt-in Opt-out Opt-in Push approach Pull approach Mobile Advertising
    11. 11. Mobile advertising <ul><li>Location-based advertising (LBA): </li></ul><ul><ul><li>Information is sent via mobile devices when the consumer is physically near from the places where the advertiser’s products are located. </li></ul></ul><ul><ul><li>E.g.: Starbucks </li></ul></ul><ul><li>Context-aware advertising: </li></ul><ul><ul><li>Uses personal information of its user and location information to deliver personalized ads. </li></ul></ul><ul><ul><li>E.g.: Ad-me </li></ul></ul>
    12. 12. Consumers attitude toward m-advertising <ul><li>Globally, m-advertising provides personalized ads, at the right place and at the right moment . </li></ul><ul><li>However, some inconvenients are still to deplore: </li></ul><ul><ul><li>Violation of privacy </li></ul></ul><ul><ul><li>Irrelevancy of certain ads </li></ul></ul><ul><ul><li>Number of ads sent </li></ul></ul><ul><ul><li>Consumer may have to pay </li></ul></ul><ul><li>Example: consequences for mobile phone operators </li></ul><ul><ul><li>Spam effect: </li></ul></ul><ul><ul><ul><li>Negative impact on brand image </li></ul></ul></ul><ul><ul><ul><li>For consumers, it’s all spam </li></ul></ul></ul>
    13. 13. Consumers attitude toward m-advertising <ul><li>How to improve m-advertising? </li></ul><ul><ul><li>Reduce the geographical area covered by mobile advertising application. </li></ul></ul><ul><ul><li>Carefully select recipients. </li></ul></ul><ul><ul><li>Take in charge the financial costs. </li></ul></ul><ul><ul><li>Do not ask customers for information they are reluctant to provide. </li></ul></ul><ul><ul><li>Make the customer to opt-in (cf. next slide). </li></ul></ul>
    14. 14. Getting consumers’ permission <ul><li>Permission: ability of the consumer to specify whether or not he is interested in an information before receiving it. </li></ul><ul><li>Conscious factors influencing consumers permission: </li></ul><ul><ul><li>Relevance of ads </li></ul></ul><ul><ul><li>Control over opt-in </li></ul></ul><ul><ul><li>Brand familiarity </li></ul></ul>
    15. 15. Conclusion <ul><li>New technologies offer the opportunity to reach customers anywhere and at anytime. </li></ul><ul><li>As a consequence, marketers must adapt to this new environement, through the development of m-marketing and m-advertising. </li></ul><ul><li>However, even if mobile applications provide several advantages to the customers, some improvements must be done. </li></ul>
    16. 16. References <ul><li>Mort Sullivan G., Drennan J. “M-Marketing: new directions in B2C e-business” http://smib.vuw.ac.nz:8081/WWW/ANZMAC2001/anzmac/AUTHORS/pdfs/Mort.pdf </li></ul><ul><li>Bruner G.C., Kumar A., “Attitude toward location-based advertising”, Journal of interactive advertising , Spring 2007 </li></ul><ul><li>http ://jiad.org/vol7/no2/bruner/Attitude%20toward%20location-based%20advertising.pdf </li></ul><ul><li>Kurkovsky S., Harihar K., “Using ubiquitous computing in interactive mobile marketing”, Personal and ubiquitous marketing , vol 10 n°4, may 2006 </li></ul><ul><li>http ://www.springerlink.com/content/b604k454p02521r4/fulltext.pdf </li></ul><ul><li>Bamba F., Barnes S.J., “Evaluating consumer permission in SMS advertising” </li></ul><ul><li>http://project.hkkk.fi/ helsinkimobility / papers /Mobile%20Enterprise_2_2.pdf </li></ul><ul><li>Catone J., “Companies betting on location based mobile ads”, Feb. 2008 </li></ul><ul><li>www.readwriteweb.com/archives/location_based_mobile_ads.php </li></ul>
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