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  1. 1. Vodacom Mobile Advertising Some advice from an early mover CMO Forum, Mobile World Congress, Barcelona 11 February 2008 Rick Joubert, Executive Head, Vodacom
  2. 2. Principle 1 <ul><li>Focus & Invest </li></ul><ul><li>New business NOT new product </li></ul><ul><li>Get top management buy-in/support </li></ul><ul><li>Get insider to lead it initially but staff with media/advertising people </li></ul><ul><li>Leverage Mobile Advertising news “story” and invest heavily in MA launch </li></ul>
  3. 3. Principle 2 <ul><li>Take DIRECT responsibility for revenue </li></ul><ul><li>Sales Houses focused on Mobile ONLY </li></ul><ul><li>Ensure production ecosystem in place (mobi sites, content development) – remove barriers to entry </li></ul><ul><li>“ Educate” brand managers directly in early stages // do not assume advertising agencies will do so </li></ul><ul><li>Target “leader brands” as early as possible </li></ul>
  4. 4. Principle 3 <ul><li>Align value chain incentives to traditional media incentives </li></ul><ul><li>Ensure Advertising & Media Agencies are not dis-intermediated i.e. Mobile Media margin % should be no worse than traditional media </li></ul><ul><li>Measure ROI against expectations as often as possible (working with agencies) </li></ul><ul><li>Integrate into existing media/advertising industry value chain </li></ul>
  5. 5. Principle 4 <ul><li>Create end-user value </li></ul><ul><li>Encourage inclusion of strong end-user value creation in campaigns as often as possible </li></ul><ul><li>Customer value built in to advertising channel </li></ul><ul><li>Free Please Call Me messages </li></ul><ul><li>Free ad sponsored content </li></ul><ul><li>Free on-net web SMS </li></ul><ul><li>Free on-portal browsing </li></ul><ul><li>+AdMe: Incentives for opt-in (push) </li></ul><ul><li>The GRID (free mobile LBS blogging / IM service) </li></ul>
  6. 6. Principle 5 <ul><li>Create ubiquitous mobile media </li></ul><ul><li>Mobile Internet and rich media enable only a fraction of “eye ball” aggregation (at the moment) </li></ul><ul><li>Look for opportunities to integrate advertising in broader mobile use areas (Text & voice) </li></ul><ul><li>Media business mindset, NOT Telco product extension </li></ul>
  7. 7. Thank You