AN INSIGHT INTO MOBILE ADVERTISING Presented at Asif Ali Chief Technology Officer Mobile-worx Inc.,

Introduction

WHO ARE WE? About mobile-worx A leading mobility solutions firm. Headquartered in LA. Dev. Centre in Chennai mobile-worx is a leader in delivering innovative mobile products and services to the marketplace. Pioneer in mobile advertising in India ZestADZ India’s first complete, permission based mobile advertising platform / market place Delivers mobile ads to various channels including SMS, WAP and J2ME applications. Patent pending technology Compelling “win-win” revenue model for everyone within the ecosystem Signed up first advertiser recently

About mobile-worx

A leading mobility solutions firm. Headquartered in LA. Dev. Centre in Chennai

mobile-worx is a leader in delivering innovative mobile products and services to the marketplace.

Pioneer in mobile advertising in India

ZestADZ

India’s first complete, permission based mobile advertising platform / market place

Delivers mobile ads to various channels including SMS, WAP and J2ME applications.

Patent pending technology

Compelling “win-win” revenue model for everyone within the ecosystem

Signed up first advertiser recently

MOBILE ADVERTISING: WHAT PEOPLE ARE SAYING Mobile Advertising Worth $10 Billion By 2010. About 50% of respondents in the US and UK and 39% in Italy would be interested in getting free content in return for being sent relevant advertising Verizon Wireless Chief Marketing “..mobile advertising will eventually grab as much as 30% of the approximately $100 billion US Ad spend” The future of advertising, is in cell phones and handheld devices. Global Ad Agency Giant

MYTHS ABOUT MOBILE ADVERTISING Myth The mobile advertising market exists as unsolicited messages and calls. Reality: SMS / WAP / CALLS SPAM is not considered as mobile marketing. Any SPAM is generally ineffective ; This problem is an opportunity in itself Myth: Marketers haven’t heard much of mobile advertising. Awareness is low Reality: Leading Indian and International brands use SMS SPAM and other forms of mobile advertising. Leading Indian carriers are already implementing mobile marketing solutions for their customer base.

Myth The mobile advertising market exists as unsolicited messages and calls.

Reality: SMS / WAP / CALLS SPAM is not considered as mobile marketing.

Any SPAM is generally ineffective ; This problem is an opportunity in itself

Myth: Marketers haven’t heard much of mobile advertising. Awareness is low

Reality: Leading Indian and International brands use SMS SPAM and other forms of mobile advertising.

Leading Indian carriers are already implementing mobile marketing solutions for their customer base.

MARKET MATURITY Though mobile advertising is a nascent market, at least half a billion mobile ad impressions are getting delivered world wide, every month ! The scenario in India: mobile advertising is on the top of the minds of every carrier. Is just getting started to move beyond SMS campaigns

Though mobile advertising is a nascent market, at least half a billion mobile ad impressions are getting delivered world wide, every month !

The scenario in India: mobile advertising is on the top of the minds of every carrier. Is just getting started to move beyond SMS campaigns

THE FUTURE OF MOBILE MARKETING The future of mobile marketing is permission marketing a concept pioneered by Seth Godin. Permission mobile marketing will work; but users won’t just take ads. Users are wary of mobile marketing - IAMAI The content & services ecosystem will need to evolve on an ad supported model: Think google ad sense The average subscribers should get premium services and content for free (remember hotmail?) Current mobile content revenues are under intense pressure. Real value vs. perceived value mismatch is an opportunity for mobile advertising

The future of mobile marketing is permission marketing a concept pioneered by Seth Godin.

Permission mobile marketing will work; but users won’t just take ads. Users are wary of mobile marketing - IAMAI

The content & services ecosystem will need to evolve on an ad supported model: Think google ad sense

The average subscribers should get premium services and content for free (remember hotmail?)

Current mobile content revenues are under intense pressure. Real value vs. perceived value mismatch is an opportunity for mobile advertising

THE MOBILE ADVERTISING ECOSYSTEM $$$$ $ $ $ $ Advertiser Publisher/ Mobile developers Carriers Subscribers BRAND OWNERS/ ADVERTISERS PLATFORM PROVIIDERS AGGREGATORS WIRELESS OPERATORS

Mobile advertising Advertiser perspective

WHY IS MOBILE ADVERTISING COMPELLING? Traditional Advertising On-line Advertising Wireless Advertising One-to-one advertising Different design to different audiences Interactive advertising Location based, highly targeted Highly Interactive, viral , very personal & ubiquitous Mass advertising, large reach Limited customisation No interactivity CAPABILITIES Highly targeted, Highly relevant, Permission based and ubiquitous = Value for all stakeholders – Customers, Carriers, Publishers, Advertisers PERSONALISATION - +

One-to-one advertising

Different design to different audiences

Interactive advertising

Location based, highly targeted

Highly Interactive, viral , very

personal & ubiquitous

Mass advertising, large reach

Limited customisation

No interactivity

WHY IS MOBILE ADVERTISING COMPELLING 2? LARGEST REACH: 2bn users world wide; 160mn in India Location sensitive . Ads can be targeted down to city / locality level using location technologies Premium mobile services based on an AD supported model will benefit the users; drive adoption of mobile advertising; help increase ARPUs for operators and help publishers to monetize their services better with more profits Campaigns can be launched based on keywords, user profile data with the best targeting possible e.g.: Deliver this Pantaloons AD to all “high end” phones to Hutch users in Chennai, who are talking about “clothes” Campaigns can be contextually sensitive, viral and interactive !

LARGEST REACH: 2bn users world wide; 160mn in India

Location sensitive . Ads can be targeted down to city / locality level using location technologies

Premium mobile services based on an AD supported model will benefit the users; drive adoption of mobile advertising; help increase ARPUs for operators and help publishers to monetize their services better with more profits

Campaigns can be launched based on keywords, user profile data with the best targeting possible e.g.: Deliver this Pantaloons AD to all “high end” phones to Hutch users in Chennai, who are talking about “clothes”

Campaigns can be contextually sensitive, viral and interactive !

Mobile Advertising Publisher / Mobile developer Perspective

OPPORTUNITIES FOR MOBILE CONTENT DEVELOPERS Mobile content revenues are more than web content revenues $25bn from web content $31bn from mobile content ! India a $1bn+ content market (07 est.). AD market is nascent but growing Mobile advertising is the best way to monetize mobile content due to skewed revenue sharing ratio in Asia !

Mobile content revenues are more than web content revenues

$25bn from web content

$31bn from mobile content !

India a $1bn+ content market (07 est.). AD market is nascent but growing

Mobile advertising is the best way to monetize mobile content due to skewed revenue sharing ratio in Asia !

ADVERTISING OPTIONS Unused characters in SMS Opt-in SMS / WAP Services Idle screen Mobile TV / Mobile Radio / Mobcasts Callback Tones / IVR ADS Mobile search Content Decks Mobile Web Rich mobile applications Mobile Games

Unused characters in SMS

Opt-in SMS / WAP Services

Idle screen

Mobile TV / Mobile Radio / Mobcasts

Callback Tones / IVR ADS

Mobile search

Content Decks

Mobile Web

Rich mobile applications

Mobile Games

APPLICATION TECHNOLOGIES THAT CAN EMBED ADS SMS WAP Rich client technologies (BREW, Java and Flash Lite) ZestADZ supports delivery of ADS over SMS, WAP and J2ME Flash and BREW to be supported soon Automated tools to embed advertisements into your binaries (coming for J2ME soon)

SMS

WAP

Rich client technologies (BREW, Java and Flash Lite)

ZestADZ supports delivery of ADS over SMS,

WAP and J2ME

Flash and BREW to be supported soon

Automated tools to embed advertisements into your binaries (coming for J2ME soon)

ADVERTISING MEDIA ON MOBILE Original Game Inserted Banner Ad Can contain audio, video, banners or text Audio AD will preview Mobile advertisements can be Text Flash movies Banners Audio Video

Mobile advertisements can be

Text

Flash movies

Banners

Audio

Video

STRATEGY FOR MOBILE DEVELOPERS Sign up with an mobile AD partner Most basic mobile content or apps have a 6 months max shelf life. Do think of publishing these apps or content for FREE, with the support of an mobile AD partner Do try at least one very successful mobile app, a try. Launch it off deck, for no charge with ADS embedded within it Publish them on your own, external (off deck) and Carrier Channels Publicize your content; SEO also helps

Sign up with an mobile AD partner

Most basic mobile content or apps have a 6 months max shelf life. Do think of publishing these apps or content for FREE, with the support of an mobile AD partner

Do try at least one very successful mobile app, a try. Launch it off deck, for no charge with ADS embedded within it

Publish them on your own, external (off deck) and Carrier Channels

Publicize your content; SEO also helps

SUMMARY Carriers - better revenues, increased data traffic Mobile developers – better revenues with a higher revenue share than in the traditional model Advertisers – a more powerful, highly targeted, personal medium to sell their products and services. Mobile advertising may benefit the subscribers the most as they will get AD-supported, free or low cost premium mobile services and content

Carriers - better revenues, increased data traffic

Mobile developers – better revenues with a higher revenue share than in the traditional model

Advertisers – a more powerful, highly targeted, personal medium to sell their products and services.

Mobile advertising may benefit the subscribers the most as they will get AD-supported, free or low cost premium mobile services and content

[email_address] Mobile-Worx, Inc. Asif Ali 91 9840089876