We catch up with Mike to talk about his success brokering profitable business relationships between brands and urban/hip hop artists to deliver a 360 degree entertainment experience combining social media interaction and TV (Social TV) and mobile apps.

We also get an unexpected scoop about Urban World TV, a new mobile TV channel Mike is launching in December to bring us “Pop Culture Redefined.” Look for the youth-focused channel to hit AT&T U-verse, Apple TV and Yahoo Connect TV. The channel purposely allows fans worldwide to connect, rate and rank what they see and share. As Mike puts it: Urban World TV is a “consolidation of cool content, from martial arts films from Hong Kong, to the Brazilian Carnival, to reggae in Germany.” The youth of the world appreciate urban/hip hop music and culture —and Mike’s venture will surely be a trailblazer.

Marketing first

Mike recently spoke at Apps World New York, where he joined in a discussion of how developers can/should build an app business. In his view, app developers have to keep the main thing precisely that: the main thing. This means focusing on the people first and using a deep understanding of the app audience to guide development —and nothing else. Once you know who the audience is (the main thing), then you can put together the marketing (and social) strategy that will grab mindshare and market share.

Listen to artists

Developers and brands would also do well to listen to (translated: let themselves be inspired) by the urban/hip hop artists, not just make entertainment apps. Mike shares the example of Ice Cube, who also branded and promoted a healthcare/fitness app. Games may be number one, but developers shouldn’t ignore the opportunity offered by health and finance apps, apps that are life-simplifying and will predictably command a great deal of our daily attention. There is a great fit between urban artists and fans’ daily routine. Make the effort to find it.

As Mike sees it. “In terms of how artists are using apps, it’s pretty much the wild, wild West.” There is also new territory to navigate such as the way artists can (and should) best connect with their fans and super-fans. Plug location into the equation and there are lots of ways artists can use apps and location to get more mileage out of their tours. “We can re-visit that in 2012 to see what we’ve done,” Mike says. “It’s brand new territory and there’s so much out there, and also so much more to be discovered.”

Advertise, advertise, advertise

How do developers rise above the noise and beat the discovery dilemma? “Early to bed, early to rise, work like hell and advertise— that’s what it has to be in the app world.” It may sound basic, but Mike believes attention to business basics is what will separate the winners from the also-rans. “It’s now a competitive space, [making and selling apps] is a  very serious business.”

Coupled with that, Mike says, developers and artists have to outreach using social media. Social media and mobile —it’s table stakes.

Urban World TV

Mike filled us in on his new venture: a new first-ever “urban, multi-cultural, tech-savvy channel” going live in December. Urban World TV will feature VOD (video-on-demand), streaming and allow people watching to recommend and rate the shows. As Mike explains: “Our slogan is: ‘Pop culture redefined – we connect the streets.’ There was a need for a channel that covered not just U.S. entertainment content, but the world.”

Apps World

Mike also tells us about his experience speaking and connecting at Apps World, an event he strongly recommends to brands, artists and developers trying to navigate this tough territory. In his view the event was professional as well as personal. “For me, I would say that one of the things that I did like about the event was that it was intimate.” What’s more, attendees were approachable and open to exchanging business cards and ideas. “People were very open; it was very laid back and that was a good thing.”

My personal thanks to Kate Williams and the great folks at Six Degrees, the company that organized the Apps World event,  for introducing me to Mike. If you missed Apps World in New York, then you can catch the show in London on November 29th and 30th. Six Degrees tells me that the event — which uniquely looks at multi platform apps and the ecosystem emerging to take advantage of the significant business opportunity — counts well over 3,000 registrations (!), so click below to register today!

My take:

Mike is a wealth of practical knowledge and know-how, based on his long track record in the industry. Before he started Digital Mind State (whose clients include Flowd, the music lover’s social network) Mike was the driving force behind the brand UrbanWorld Wireless, where he was responsible for planning, business developing, marketing and brokering profitable business relationships with some of the biggest company names in the mobile industry including T-Mobile, Zed, Jamba, Fox Mobile, NBC, Fun Mobility, Nokia, and Microsoft.

But it’s not just his impressive bio that gets high marks. It’s his passion for what he does, and his razor sharp ability to cut through the technology and get to what matters: the experience. He also correctly sees the need of global youth (united by an interest in urban and hip hop that transcends any physical barriers) for a global youth channel. It’s a brilliant move (and hard work!) to create a place where cool content combines with social media to deliver an entirely new kind of interaction. I look forward to connecting with Mike and watching this develop.

Another development to watch: the advance of multiplatform experiences (and the apps to help enhance and deliver them). 2012 is bound to be the year of connected experiences (such as connected TV) and a turning point for developers who are equipped to ride the wave. As my esteemed colleague Chetan Sharma pointed out in his milestone app report (back in March 2010). “Connectivity breeds apps.” Expect a  significant uptick in apps for and avalanche of devices  that entertain us, connect is and lay the groundwork for new experiences.

LISTEN TO THE INTERVIEW WITH MIKE JOHNS HERE. [18:05]

So, why is indoor navigation enabled by micro-sensor wireless networks moving up the agenda at Sprint (and elsewhere across the emerging business ecosystem)? According to Phyllis, the drivers are the services (and benefits) they deliver us and the companies that want to connect with us.

Micro-location marketing

As consumers, we can look forward to more personal and accurate navigation services that don’t just lead us to the entrance of a 30-acre mega shopping mall, for example. Instead, these advanced services will be able to guide us through the mall to the shop or doctor’s office we seek.  In addition to significantly cutting the time we spend looking for (and not finding) businesses we want, these services will help us plan our overall daily routines better.

At the other end of the spectrum, brands and retailers also stand to gain from knowing more about our mobility patterns. One scenario these sensor networks can enable: Brands could deliver us a coupon for milk exactly when we are in the dairy products aisle and seriously considering a purchase.

However, Phyllis reminds us it’s not just about offering consumers the right discount at the right time/place. It’s also about delivering enhanced customer service. Stores, she says, will be able to interact directly – and more effectively – with customers because their mobile phone is now “a mobile information desk.” People can ask questions, query about items and better navigate the space nearby. The exchange feeds into CRM systems and programs to potentially boost customer loyalty.

Population movement

Phyllis tells us that Sprint is also eying opportunities in the healthcare and public safety sectors. Knowing where crowd build-up occurs (via a finer-grain sensor network) can help security officials allocate resources to the right location, for example. The same network data can help save lives. As Phyllis puts it: “In the case of emergencies, you want to know where the first responders are, and you want to be able to provide first responders with the ability to go directly to a trouble spot and save the time of trying to figure out where in a seven-storey building someone might be located.”

In the healthcare sector Sprint is currently working on a project focussed on detecting understanding personal mobility patterns. People who experience psychotic or depressed episodes, for example, typically develop erratic or compressed mobility patterns. “We’re looking at how people could opt in to a service that would monitor them and alert a caregiver when that person’s mobility patterns change,” Phyllis explains. “We are just starting to push the boundaries on what’s possible out there.”

Major micro-navigation opportunities

Why the heightened interest in micro-navigation and micro-sensor networks? In Phyllis’ view, it’s a logical next step in location services. Macro-navigation apps and solutions (such as Google Maps and MapQuest) have done a brilliant job of getting us to our final destinations. Now companies are lining up to claim their turf in a business ecosystem that exists to navigate us directly to the door step of our final destination, delivering us advice, assistance, information, perks and coupons every step of the way.

Sensing a business opportunity, companies, app developers and advertisers are looking to extend their reach directly inside buildings (businesses, malls, hospitals, schools). However, to make it all work there needs to be a fine-grain sensor network.

We aren’t there yet, but Phyllis discusses the progress and models that will define this new market. allowing the delivery of real-time, spatial, temporal services that can be used by business and – ultimately – for social good.

My take:

Sure, indoor navigation paves the way for effective proximity marketing. But don’t just think about spatial temporal campaigns that tell you want is on offer at the aisle level in a store. Phyllis outlines exciting opportunities around public safety, emergency response and personal mobile-enabled healthcare. What are the technology hurdles and where are the growth opportunities? You can get the inside track on this by listening to the interview.

***

Editor’s note: Phyllis is also speaking this week at LocNav USA (San Diego), a mega-event that brings together the well-established Navigation USA Conference (now in its 7th year) with the highly successful Location Business Summit. MobileGroove is proud to be a media partner and has produced and posted this podcast exclusively for Helen Raff and Naomi Hands over at TheWhereBusiness (you rock!), where the organizers have launched a microsite to showcase this audio interview and cement our future collaboration. My personal thanks also to Phyllis for the invigorating interview (!), and all the great exchanges since we connected at MCN so many years ago

If you missed LocNav this week, don’t miss your chance to catch the show when in comes to Europe (Amsterdam, May 2012).

LISTEN TO THE PODCAST With PHYLLIS REUTHER [15:20]

The benefits and the business models around mobile are the topic of Empowering the Charitable Sector with Interactive Technology II (September 15, London). The all-day knowledge seminar organized by AIME (the Association for Interactive media & Entertainment) is already standing room only (!), an unexpectedly high attendance that tells us the topic strikes a chord with charities, advertising & marketing agencies, service providers, broadcasters, industry bodies and mobile operators–all the players that need to come together and work together to maximize the potential for all kinds of charities to use mobile.

The event is a follow up to the tremendously successful inaugural event that took place in May 2010. (You can read the 2010 Empowering the Charitable Sector with Interactive Charities Event overview here.)

Mobile for good

Andrew Darling –esteemed colleague, OpenMarket executive and Chair of the AIME event provides us with an update of the mobile/cross-media campaign by DEC (Disasters Emergency Committee) to help the millions of people in the horn of Africa suffering from the worst drought in human history. OpenMarket provides the platform and connectivity for the effort, which uses the company’s payments and CRM (Customer Relationship Management) solutions to improve the outreach by allowing the charity to connect with donors (and ultimately continue the interaction) using text messaging.

DEC kicked off the call for donations on June 7 with a massive media and advertising campaign that promoted the mobile channel for the first time, using ads on posters, TV and elsewhere to promote a shortcode. The cross-media effort paid dividends, allowing DEC to raise over GBP1 million in July alone.

But that is just the start of something bigger: ongoing relationships with donors via mobile.

“We added considerable value through our innovative use of our CRM and content management platform, which we call OpenMarket CMX2.  This is a platform which really handles the interactive messaging and adds some quite critical core intelligence functions, allowing a campaign manager a way of recognizing when a donor had made a GBP5 donation [using mobile] and sending a text message back to them thanking them for their donation and requesting them if they wanted to opt into the UK HMRC tax regulations around Gift Aid to forego the tax relief….Our response mechanism simply asked the donor to text back their full name and their postcode and this guaranteed that an extra 24 percent would be added to their donation.”

Andrew notes that other fundraising channels, including telephone and email, report responses to the Gift Aid opt-in are generally around the “25-30 percent range.” With mobile – and the addition of CRM — charities can “get this up to 60 percent, providing a very significant uplift in funds raised.”

Multi-channel matters

Integration with mobile is just part of the picture. Charities must also be aware of the central role social networks play — both in our behavior as donors and in charities’ campaigns as they embrace interactive technologies. With this in mind, OpenMarket has taken the wraps off of Mobile & Web Checkout, a custom mobile checkout solution that allows charities (and companies and merchants in all verticals to integrate mobile purchasing into a mobile app or website, allowing people to complete a mobile purchase using their web-enabled mobile devices.

“Charities have to understand that the cause is not longer insulated from the donors,” Andrew observes. The opportunity (even the requirement) for people to interact with the causes and organizers that matter to them most, turns up the pressure on charities to use interactive media and take donations via mobile, social and apps – to name a few.

Knowledge & networking Seminar

How do companies drive awareness of their SMS donation channels? How do they integrate with the likes of Facebook? How can mobile drive positive results for time-sensitive campaigns?

MobileGroove is proud to be a media partner with Charitable Sector with Interactive Technology II, and event that will look at what charities need to do and have in place to manage campaigns effectively, across multiple platforms – web, mobile, email, social media, apps.

Speakers include:

• Michael Newsome, Director of Individual Giving, UNICEF
• Tim Longfoot, Managing Director, Open Fundraising
• Richard Dutton, Head of Commercial, Charities Trust
• Angela Morris, Marketing and Commercial Manager, Jamie Oliver Foundation
• Marcus East, CIO, Comic Relief
• Max St John, Lead consultant, Non-profit and Public Sector, NixonMcInnes
• Adrian Cockle, Head of Online, WWF UK
• Linda Minnis, CEO, Charities TrustAndrew Jackson, Director, Cork and Leather
• Oisin Lunny, Senior Market Development Manager, OpenMarket
• Elizabeth Kessick, Head of Insight, JustGiving
• Paul Swaddle, CEO and Founder, Pocket App
• David Erasmus, Founder, Givey
• Andy Burnett, Head of Operations – Interactive and ITL, ITV
• Patrick Nash, Chief Executive, Connect Assist
• Rob Mansell, Finance Director, Retail Trust
• Iain Ainslie, IT Underwriter, ACE Europe
• Paul Whiteing, CEO, PhonepayPlus
• Erica Crump, Solicitor, Bates Wells & Braithwaite
• Damian Collins, MP. Member of Culture, Media, Sport and the Olympics Committee
• Rupert Lowery, CEO, Cardsave Online
• Iain Ainslie, IT Underwriter, ACE Europe
• Jason Cross, Marketing Director, Incentivated
• Gareth Jones, Brand Engagement Director, LBi
• Rosalie Kurton, Business Development Director, LBi

The event is already sold out, but the positive attendee response indicates a high level interest and activity in mobile giving — a topic that we will revisit in follow-up coverage here at MobileGroove and over at the official AIME website. You can follow on-the-spot coverage via Twitter, and the hashtag is #Techgiving. You can (and should!) also follow Andrew Darling (@darlingbuds).

With its industry reach, AIME is well positioned to be the bridge between charities, third sector representative organizations and technology providers, providing information on the value of interactive technology and how companies can move their charities from analog to digital and mobile. For more information, please visit AIME.

Listen to the podcast with Andrew Darling [16:00] here.

Rory Sutherland,

There are no easy answers, but there are some questions that will help produce them. Ask yourself: “Would this [marketing/approach] annoy me?”. That’s a good start. “There are just basic rules of etiquette. You use different media judiciously and the ability to do that intelligently is one mark of a mature and intelligent service brand.”

In his inimitable style Rory drives his point home with examples that are much closer to home. “You wouldn’t stay friends very long with someone who rang you up at 3 in the morning.” Likewise, you would not be positive about or responsive to marketing that is interruptive or irrelevant.

Attractive incentives

Rory also remind us that mobile – more than any other medium — attention “must be earned rather than bought.” What will encourage people to let brands into their daily lives and routines?

Rory segments incentives into three groups: court jester (funny), courtier (useful) and courtesan (sexy — meaning just really cool). “Broadly speaking, those are the things that encourage users to engage with brands.”

However, marketers should not limit their efforts to getting the value exchange right to properly entice/reward individuals for their attention. “I think in mobile you can be more specific….The message can be specific to a small group of people [and] it could be a message that’s specific to a small moment.” (Rory is referring here to the timely, ‘placely’ nature of advertising that can/must be aligned with a target moment or mood that we discussed in this earlier interview.)

Where do we go from here?

Rory’s answer may surprise you. In his view, the next ten years in mobile will see the rate of change slow and (hopefully) provide the industry (marketers, in particular) with a “period of reflection rather than a kind of endless frenetic excitement about what’s next.”

What matters is what’s important.

Rory tells us to “go all the way back to the value question” and the core of what mobile does best.

“Does mobile provide us with a way of serving people who are unaffordable to serve conventionally? Does mobile enable us to serve our existing customers better and to make them more loyal? Does mobile enable us to actually automate some interaction which will thereby improve the value exchange for both parties? What you’ll find is that mobile, for most businesses, will provide them with [ways] they can actually enhance the value they give their customers.”

My take:

The last sentence sums it up best. Mobile can enhance the value exchange. But let’s not only focus on marketing. The excitement (and opportunity) is around enhanced customer service and mobile relationship marketing (a term you’ll be hearing a lot more of!) Mobile Relationship Marketing (MRM) is everything it takes for companies everywhere and in every vertical to ensure continuous customer touch and interaction, sustained support and service, closer and more dependent connectivity, as well as greater insight and intimacy. Mobile elevates the ability of brands and marketers to do just that. No matter what the objectives are (promote products, gather feedback, reward us for purchases) mobile has earned its place at the table. As companies harness mobile to create more direct relationships with their customers, expect a heightened interest in the rules of engagement and the merits of asking people their permission and preferences.

Listen to the podcast with Rory Sutherland here. [16:52]

Editor’s note: Thanks for your positive feedback and my personal thanks to Rory Sutherland for the interview, and to Denise Birch for arranging it. Paul Skeldon, who assisted in podcast production, runs Videobaby Media – a one-stop-shop for high-quality, entry-level video and audio recording, editing and production for media companies looking to get a foot on the multimedia ladder. MobileGroove theme music courtesy of  Dan-O, who offers an awesome selection of free royalty free music for production purposes.

Related reading:

Ogilvy’s Rory Sutherland: Mobile Marketing Should Target Moments, Moods
Rory Sutherland: Best Use Of Mobile Is Customer Service & Feedback

Disclaimer: News and views across the mobile marketing ecosystem is sponsored by Optism, an MG client and supporter.

Rory Sutherland,

As Rory sees it: the proper way to measure the importance (and effectiveness) of mobile in the marketing mix is not to look at spend. The cost of developing a brilliant text-based mobile marketing campaign may be minimal, but the impact can be tremendous.

Sure, marketers should look at numbers — but the numbers that matter are the results. To drive the point home, Rory walks us through several scenarios and break-through campaigns.

A prime example Rory offers is BMW’s brilliant use of text (and picture messaging) to connect with car owners and inquire if they would like to purchase snow tires — at precisely the moment it started to snow. The campaign, which stands as a textbook example of what simple text messaging can achieve, turned approximately $60,000 spent on advertising into $45 million in revenue. In Rory’s view, the brand broke new ground with a campaign that was “timely, ‘placely’ and climatically targeted.”

In short, marketing success is not a measure of the budget you throw at it. “I think there is a terribly dangerous tendency to assume that a piece of marketing activity has an importance that is somehow  correlated to the amount of money spent on it.”

Human touch

Rory admires all approaches that do what marketing should: “produce a human reaction which leads to some form of behavior change.” On mobile – a fiercely personal device that also enables the delivery of contextual advertising –the human touch (not the technology) is key.

“We should forget that the purpose of advertising is not to produce pretty pictures, or moving images, or nice music,” Rory explains. “Those are the means. They’re not an end.”

Moreover, the fundamental objective of advertising delivered may be very different than we first assumed.

Granted marketers can promote products and increase brand awareness. But the real power of mobile may be wrapped up in all the ways it can be used to enhance customer service.

Rory offers us several entertaining examples of how (and why) mobile is central to conversations between people and businesses.

With mobile we can have real and valuable conversations with the companies we interact with. From coffee shops to hotels, the ability to interact with establishments (and their ability — even duty — to listen) enhances and improves the overall experience.

“The most intelligent use of [mobile] is closer to customer service than it is to advertising….And you don’t need a media [marketing] budget to provide good customer service, you simply do it.”

Rules of engagement

Mobile has clearly transformed the way we communicate with brands. Add social to the mix and the rules change completely.

In Rory’s view, we should not be surprised if our comments on Twitter and other information we willingly volunteer about ourselves triggers a brand response.

Rory offers uses the example of a recent stay at a quaint and charming hotel on the island of Madeira. Rory tweeted that he had arrived and the hotel ‘answered’ back to welcome him and make him aware of an event taking place. That ‘conversation’ was not opt-in, but it was a “timely, placely and relevant.”

What’s more it was “triggered” by Rory’s own actions. “If I don’t want to engage in a conversation, then I shouldn’t really be gabbing on [on Twitter] about the fact that I am visiting the hotel.”

Clearly, not all contact (and advertising) must be “consumer-instigated”, but brands must be aware of the requirement for permission and preferences.

Mobile is a real-time communications channel — and should not be abused. “It’s a channel where intrusion is actually worse — and more annoying and more disruptive -than it is in other places where advertising affects you.”

My take:

Again, an interview you shouldn’t miss. What is the state of mobile spend? We need to rethink the question. The approach may be off the mark since mobile campaigns – particularly text campaigns – might not eat up a lot of budget, but they can certainly deliver impressive results. And don’t just think advertising. Mobile can also be used to drive loyalty and improve customer relationship management.

Listen to the podcast with Rory Sutherland here. [16:52]

Next week: The series concludes with a look at what motivates people to accept marketing in the first place and what is next for the industry.

Related reading:

Ogilvy’s Rory Sutherland: Mobile Marketing Should Target Moments, Moods

Disclaimer: News and views across the mobile marketing ecosystem is sponsored by Optism, an MG client and supporter.

Mixi started out in 2004 allowing its users to post photos, share comments and links, and interact on community pages and forums based on themes ranging from recipes to rock-n-roll.

Today Mixi is a full-scale communications platform, with a growing emphasis on mobile and apps. In line with this sharp focus on apps, Mixi enables users to ‘check-in’ via GPS and select from applications around entertainment (games) and communication (tools to enhance the communications experience).

Like most platforms, Mixi is clear about the requirement to actively encourage third-party developers to make apps for its members. In August the company released an Android SDK and has since revealed plans to release an SDK for Apple iOS. (You can find more information by visiting the Mixi Developer Center .)

Mixi by the numbers

With more than 750 active users Facebook may be the leading social network in many countries, but Japan isn’t one of them. That’s a territory that is loyal to Mixi, a fast-growing social network spanning PC and mobile.

According to Tak, Mixi currently counts 24 million registered users and 3 million mobile users, a number that is on the rise.

In fact, Tak reports that “over 70 percent” of total users choose to access Mixi via mobile, reflecting the usage trends we see elsewhere in the world (namely, that social and mobile are morphing).

Little wonder that Mixi is taking steps to encourage third-party development on its platform. Granted, users can access Mixi and the services via the browser (for example, Safari), but the experience offered by a native mobile app (platform-specific) has its advantages.

As Tak puts it: “The situation with the smartphone [is that] the user wants to have high quality in the context of graphics applications which may link to the Android and iOS [platforms.] So we have decided to provide the SDK for Android and iOS [so] application developers can develop games and apps.”

Opportunity for developers

Mixi is one in a long line of companies to release an SDK and encourage developers to get involved. But the big question is: why should developers make apps for Mixi?

Tak took the challenge and offered two answers.

Size: Mixi is hands-down the number one social network in Japan with large and growing base of mobile users.

Monetization: Mixi is Japanese and benefits from the culture (accustomed to paying for goods via mobile) and the infrastructure (designed from the ground up to support and promote operator billing). The pieces come together and allow developers to charge users for apps and implement the models that encourage cross-sell, up-sell and repeat-sell.

Demographics and preferences

Who is the typical Mixi user? Tak says the typical member is young, urban and interested in communicating — non-stop. “We are really strong with the younger generation in their 20s.” In fact, “over 70 percent” of 20-somethings have a Mixi account.

A majority of Mixi users are also young women, between the ages of 20 and 24.

What apps would fly with this demographic? Tak says young women (actually, all Mixi users) would welcome fun games and new ways of communicating. Currently, Tak says, social gaming is the most popular category on Mixi, with users flocking to games around farming, for example.

Another hot area is activities around “check-ins” – particularly since GPS is available and easy for developers to use.

What is on the horizon?

Mixi is eying opportunities in commerce. It’s not a leading category — yet. But it is full of potential.

Tak tells me that Mixi is doing a test pilot now with a convenience store in Japan around coupons. Users receive coupons via Mixi delivered to their mobile phones and can then redeem them at the store. “Online-to-offline is a new category that is very promising on the Mixi platform.”

Listen to the podcast with Mixi’s Tak Miyata [9:13]

Editor’s note: MobileGroove is proud to be a media partner and support Apps World Asia, where you can catch up with Tak (and speakers from companies including Unilever, BBC Worldwide, Singtel. Amdocs, Samsung, Nokia, ShowNearby, buUuk, inMobi, Oxfam and Blackberry).

And, if you can’t make it to show, event organizer Six degrees will bring the show to YOU.  App World is coming to New York (November 1-2) and London (November 29-30). You can follow coverage and comments from the event on Twitter (@Apps_World).

Thanks to Paul Skeldon, who assisted in podcast production. Paul runs Videobaby Media – a one-stop-shop for high-quality, entry-level video and audio recording, editing and production for media companies looking to get a foot on the multimedia ladder. MobileGroove theme music courtesy of the inimitable Dan-O, who offers an awesome selection of free royalty free music for production purposes.

As Rory sees it: The real power of mobile is context. It allows brands to interact with people during  target moments (I need something now), target moods (I want something now) and target mindsets (I am considering a purchase, for example). Another reason brands need to focus on this: Google can’t.

Google may have sewn up the market when it comes to influencing our decisions when forward planning is concerned, but mobile is about immediacy.

Marketing is just the start

Rory’s message to brands: Address your audience correctly and in the correct context, and you can clinch a sale, build customer loyalty, offer enhanced services — and much more. “Communicate to people in way that is timely, but also ‘placely.’ “

But mobile doesn’t just allow brands to engage with people.

It also opens up entirely new business models, allowing companies to apply the principles of yield management to products and services we are just beginning to imagine.

Case in point: travel.

A railway company that wants to encourage people not to travel during the rush hour on a specific day might use mobile to offer people a significant discount or refund of the journey cost, if they choose a less busy time of the day to travel. Similarly, the same company could impose an extra charge, applicable to those people who insist traveling during the rush hour.

Put simply, businesses can harness mobile to “create interventions at decisive moments.” With this comes the lucrative opportunity to “actually modify behavior in real-time as it happens.”

Interview with Ogilvy’s Rory Sutherland

What is the impact of timely and ‘placely’ on mobile marketing strategies and approaches? Who are the big spenders? And why might it all be very different in mobile than any other medium?

Rory deep dives into the pivotal importance of the ‘moment’ in mobile and gives his take on the companies (verticals) that truly get mobile. Two groups of companies stand out: companies that serve people on the go, and people that serve the “time-poor and the time-pressured.”

My take:

An insightful and funny interview — and well work a listen. Rory is, of course, an expert ad man, but he is also the original advocate of Ogilvy’s 360 Degree Branding approach, which is all about focusing the optimum combination of disciplines on the brand and its needs, avoiding any bias towards a particular channel. Interestingly, Rory points out that mobile’s USP is context. It allows brands to deliver marketing that is timely, ‘placely’ — and therefore relevant to us. Smart brands that harness mobile can take advantage of opportunities linked to their business’ target moments, moods and mindsets. Engage with people at this decisive moment and the outcome is likely to be positive. The circle is likely to be even more virtuous if marketers ask people permission first, and then use this permission to inquire about preferences and ultimately deliver marketing people will genuinely appreciate.

Listen to the podcast here. [12:20]

Editor’s note: Check back for Part 2 in the three-part series next week. My personal thanks to Rory Sutherland for the interview, and to Denise Birch for arranging it. Thanks also to Paul Skeldon, who assisted in podcast production. Paul runs Videobaby Media – a one-stop-shop for high-quality, entry-level video and audio recording, editing and production for media companies looking to get a foot on the multimedia ladder.

MobileGroove theme music courtesy of the inimitable Dan-O, who offers an awesome selection of free royalty free music for production purposes.

Disclaimer: News and views across the mobile marketing ecosystem is sponsored by Optism, an MG client and supporter.

We also walk through the key themes of The Mirror Test: Is Your Business Really Breathing?, a must-read business book (authored by Jeff) that has been on USA Today, Wall Street Journal and Inc.’s best-seller lists.

The book — like Jeff, who is known for his outspoken appearances on numerous news and reality TV shows — is not afraid to ask tough questions. It challenges executives and marketers to take a hard look at their businesses, forcing them to evaluate, deconstruct and then reconstruct their business into one that is alive and thriving.

The 118

Part of achieving your objectives is being able to communicate what your business (or brand) is all about. The pitch should be 118 seconds long (8 seconds to get us hooked and 110 seconds to drive it all home).

What belongs in your 118? Jeff lays it out in his book. “Your 118 helps define what promises your brand will build or make. It connects every promise you make to those around you.” No doubt today’s new emphasis on social media in marketing makes that last connection mission-critical.

Since the book was published Jeff tells me that the 118 has become “part of the vernacular” for businesses and brands across a wide range of sectors. Surprisingly, it’s not just about making successful elevator pitches. Jeff reports that CRM execs (those that understand the pivotal role of conversations in acquiring and retaining customers) have adopted and refined the 118 to communicate core brand promises to their customers (us).

Relevancy and personalization

But even the best pitch falls flat if it lacks relevancy and value. The hard truth: “Whether you’re using postcards or posts on Facebook, it does not matter how fast your message gets there if it is irrelevant on arrival.”

How do marketers communicate the value proposition and maintain a personal touch? That’s where social media comes in — and the requirement for new media and models that do more than broadcast a brand message. “When communication is personalized, response rates go up and are faster (and cost less per lead), orders increase, and revenue and profits rise.”

But it’s the feedback channel that can clinch the deal. As Jeff puts it: “Give your audience a chance to interact and spread the word for you.” Read between the lines, and this confirms the importance of social media and underlines the vast potential of mobile to encourage interaction through a two-way conversation.

Cross-media and mobile video

The aim of all marketing messages is “not only to reach our customers but also to provide them with timely, relevant and personalized information and offers.” To this end Jeff is a believer in cross-media campaigns and approaches that allow marketers to step-and-repeat their marketing efforts.

The term comes from printing and the concept of making one good copy to make other copies. As Jeff puts it: “Step-and-repeat gives you the best opportunity to leverage what you have by ensuring that your efforts are always multiplied.”

Because I missed a deeper discussion of mobile in The Mirror Test, I asked Jeff about the role of mobile in step-and-repeat.

In his view, mobile is part of a cross-media strategy– one that ensures that marketers can reuse their marketing materials (step-and-repeat) and — more importantly — deliver their message to the channels people prefer. In his view, “a blended campaign is the best approach … but you are going to have to pick and choose what is most effective.”

An ad format to have high on the radar is mobile video.

Jeff, who also sits on the Board of Advisors of Vdopia, a company that provides both a video ad network and video ad platform. Vdopia’s is primarily focused on the Indian market, but Jeff sees growing opportunity for mobile video across all markets. This trend, also reported in Mobile Marketer, is driven by the rise in smartphone penetration and the advance of tablet devices.

As Jeff sees it: the attraction of mobile video is the realistic experience it delivers. “Whatever people can experience that is most real is what people will want. That’s why video-based marketing is going to be much more important and …marketers are going to have to spend more time and more money in moving to that genre in order to be more effective.”

Experiment, you won’t die

Indeed, the advance of tools and technologies, specifically mobile, turn up the pressure on marketers to “get much more in tune [with social media marketing] and rapid response.”

According to Jeff, The precise mix is not important as long as marketers are focused on the end-game: personalization. “The only way to make things personal in an impersonal world is through the constant building of real relationships, based on direct communication and real data and conversations.…We need to consistently and fiercely be sure we are connecting in the right way — the way the customer wants to stay connected.”

Achieving a balance between broadcast and narrowcast requires marketers to have the courage to experiment — and make mistakes.

This is where mobile comes in. It’s a fresh environment where marketers are free to test concepts, push the boundaries — and win big. “It’s a great way to take chances when no one else is looking — and the majority of people aren’t looking,” Jeff says. “You can go out and play around a little [with campaigns] — find your voice and the best way to deliver the message.”

Do’s and don’ts

Mobile may be a sandbox where new ideas and approaches can flourish. But there are some do’s and don’ts that apply.

For one, use caution.

Marketers have ruined email, spamming people with messages that are impersonal, irrelevant and unwelcome. (And if you doubt the damage done, then consider the raft of reports that show people will avoid brands that deliver a negative experience.)

Jeff warns marketers against repeating the same mistakes — because there’s a lot more at stake. “Mobile will be the last frontier for a lot of us; it’s going to be the destination point.” The advance of mobile (and the spread of smartphones) make mobile the perfect medium for engagement, and spam can ruin it for everyone.

Another thorny issue is location-linked services. Again, no easy answers. But Jeff is clear about the need for restraint.

“Each individual has their own kind of rules around what they consider permissible and that’s going to have to work itself out….For instance, location marketing. Just because it’s on someone’s phone, does that mean they’ve given you permission to be able to solicit them as they walk by the store? I tell the mobile marketers [to] be very careful about how we enter to this next level of permission-based marketing and more personal marketing.”

My Take:

Think cross-media with mobile at the center. (But also mind Jeff’s key message in The Mirror Test: “the speed you need, the tools you have and the competition you face have all changed, but …the  basic principles of running a business — who you are and what you stand for — have not changed.”) Against this backdrop, marketers must define the mix of media/channels that allow them to deliver relevant and personal messages quickly and effectively, and they have to abandon the broadcast mode – forever. Jeff’s advice to marketers and managers across all industry sectors (and I second it): “Get engaged, get educated and get excited because these are great tools to empower the customer and build community.”

Listen to the podcast with Jeffrey Hayzlett here. [15:30]

Editor’s note: Thanks to Jeff and his team (Ellen Hamilton at JeffreyHayzlett.com). I also welcome Paul Skeldon, who assisted in podcast production. Paul runs Videobaby Media – a one-stop-shop for high-quality, entry-level video and audio recording, editing and production for media companies looking to get a foot on the multimedia ladder.

MobileGroove theme music courtesy of the inimitable Dan-O, who offers an awesome selection of free royalty free music for production purposes.

From alerts about course materials and exams to invitations to join mobile forums and continue class discussions, mobile is front of mind with an increasing number of institutions and educators.

BTW: A great way to keep up with this exciting progress is simply to follow #mlearncon (as I do) on Twitter. That’s where the discussion that began around the awesome conference (of the same name) organized by eLearning Guild continues.

University of Louisville embraces SMS

The University of Louisville (UofL)– a state-supported research university located in Kentucky’s largest metropolitan area with a student body that exceeds 22,000 – knows the challenge of connecting with students  - and came up with a solution using mobile.

As Elizabeth Fitzgerald, coordinator of communications for UofL’s office of admissions, pointed out in her campaign submission: “Prospective students typically aren’t accustomed to checking their email regularly. We needed a solution that would allow us to quickly and easily contact all of our incoming students.”

The institution decided that using text messages to engage with incoming freshman was the best approach.

Although its overall goal was to increase the level of student engagement by using a medium that is largely embraced by a college-age demographic, UofL did not have a any measureable objectives at the outset. The campaign was more about finding out just how text messaging might fit in with some of their more traditional outreach efforts such as direct mail and email.

What did the UofL do?

Beginning in June 2010, UofL sent text message blast (using a service called Call-Em-All) to send text message blasts to some 500 incoming freshman who had opted in to receive information on campus events, contests and more.

What was the incentive?

Kudos to UofL for encouraging opt-ins by including information about how to receive text message updates in all materials sent to incoming freshman. Additionally, UofL created subgroups for its texts message recipients based on their geographic location. These subgroups were broken out by city and region.

An example: One text message blast offered incoming freshman a week of free campus parking if they responded with a text citing the three things that they were most looking forward to during the upcoming school year. The UofL reports the flood of responses was astounding. As Elizabeth put it: “Students love to text and we found that it’s the fastest way to get a response.”

In the future, UofL plans to use text to reach out to prospective students with information on campus visits, application deadlines, and more.

My take:

University students are tech savvy, so institutions (and any other companies that want to connect with them) have to get smarter about their use of mobile in communications campaigns. Kudos to UofL for not limiting its campaign to apps or smartphones. Text is the one guaranteed way to reach the masses and opt-in is the best practice that will trigger a response.

The UofL campaign dovetails with what I hear from the Millennials (around the world) as part of the ongoing series of virtual round table podcasts I have produced in the last year cooperation with Optism. Specifically, they want to be asked first and they are eager to engage in a conversation provided if offers them value.

Which brings me to incentives and the opt-in database UofL could build as a result of this first bold experiment with mobile. Although 500 students may sound small, I join with my colleagues (Kim and Linda) is pointing out that the potential is there to grow this number significantly. UofL is off to a good start and should now turn its attention to identifying the right incentives. There are lots of possibilities – and they range from tickets to university events to advance access to services (such as placement in a favorite dorm).

And let’s not forget the option to include marketers in the conversation. Opt-in paves the way for a potentially valuable exchange for both parties. Even better if there’s a good match between the brand and the message. My fireside chat with Rory Sutherland, Ogilvy UK Vice Chairman, has left an huge impression on my thinking. Specifically, he argues that branded utilities and life-simplifying services are underrated. (Weather updates brought to you on your mobile phone by a maker of cold medicine, or 30-minute dinner recipes sponsored by a Philadelphia Cream Cheese).

So will people value advertising if it is somehow connected with services and stuff that promises us less stress/more convenience? I can imagine incoming students would answer in the affirmative!

Millennial Media SMART report milestones

Another feature in this month’s podcast was Under The Radar where we discuss reports and developments (that you may have missed) having a huge impact on the mobile space. Linda brings us a summary of reports about how universities are using mobile and Kim urges us to download the Mobile Marketer’s Mobile Outlook 2011, the must-read report published by my esteemed colleague Mickey Khan over at Mobile Marketer.

What’s am I watching? I’m excited about news and reports that show the advance of mobile marketing.

The most recent SMART (Scorecard for Mobile Advertising reach and Targeting ) report from Millennial Media confirms and quantifies this mega-trend. (By way of background, Millennial Media delivers us monthly and quarterly insights on key trends in mobile advertising based on the company’s actual campaign and network data.)

Put another way, more verticals are leveraging mobile more to drive customer engagement.

Specifically, the financial services category grew an eye-opening 802 percent year-over-year (for the period Q3 2010 vs. Q3 2009). Meantime, Retail and Restaurants jumped up 745 percent, and Telecommunications was right behind with 719 percent growth. Travel was up 411 percent, Armed Forces was up 372 percent and Entertainment up 315 percent.

The report also lists the kinds of campaigns and calls to action that are becoming more popular among marketers in these verticals. Granted, most campaigns are focused on promoting the brand. However, many are coming online that are sharply focused on driving new customer acquisitions.

Expect to see mobile used for more than marketing. Think engagement, CRM and loyalty.

Listen to this month’s podcast over at The Mobile Marketing Review.

Disclaimer: Optism is an MSG client and supporter.

One mobile operator that “gets” the strategic importance of personalization (if only to satisfy our own requirement for convenience and reduce the heavy-lifting when it comes to choosing our entertainment) is CSL, the leading mobile operator in Hong Kong with 2.6 million subscribers.

CSL strategy

CSL has made its mark with several mobile Internet offers that tailor the mobile Internet experience to subscribers. Specifically, CSL has implemented personalization solutions provided by Amdocs Interactive to present users with content choices and suggestions based on their preferences and past browsing patterns. Chief among these is the MyNet portal. Check of the flash demo here.

CSL “pre-populates” the mobile device screen with destinations and suggestions the user is likely to appreciate. It also showcases services (customer services, for example) and applications (a tab that takes people to the operator app store).

I caught up with Han Kotterman, CSL Chief Strategy Officer, to discuss the place of personalization in the carrier’s mobile Internet offer and usage trends to date.

As Han sees it: the ability to personalize the portal – and thus the user’s mobile Internet experience – combined with the capability to deliver data services over a high-speed LTE network has led to a “50- fold increase” in the use of mobile data.

“Personalization is extremely important,” Han observes. “It creates stickiness, which is what operators need to win in a market that is mature and where growth comes from additional services and products tailored to the customer, and not necessarily from more new customers.”

Mobile Internet experiences

Now that mobile operator portals and walled garden schemes have to get with the times, the pressure is on operators to focus on improving usability and making the mobile Internet simple. At CSL this means laying the groundwork to provide a good Internet experience. “This has really become the most important feature that customers would like to use.”

To this end CSL has developed a portal that does not only allow people to access to the CSL services as they were before, but also provide a “true portal to the Internet.” As a result, people have choice. “If they want to have information on their bill, they can go to that part of the portal, if they want to have more information on the content and services that CSL provides, that’s available too through the app store on that portal. And if they want to go to the Internet, they can do that too.  All this is delivered with a sense of personalization to it so that the system learns from the items the customer is interested in and will subsequently recommend [similar items] going forward as the customer returns on that portal.”

As this is key to CSL’s service strategy it has also invested in technologies such as LTE. “We believe that this fast browsing experience with a good access point to the Internet is absolute key,” Han notes.

Local is king

As Han sees it: personalization is more than part of a service; it is becoming core to differentiation. “I believe … the need for personalization has only become stronger over time, particularly now customers have very few barriers to switch.  If you look at customers’ behavior, it’s apparent that customers nowadays are more loyal to mobile phones than they are to the mobile operator….So the differentiation truly has to come from customer service. It has to come from usability of products and services and [from]  the personalization of those products and services.”

And then there is the advance of app stores by OEMS and by the Googles/apples of the world.

Interestingly, Han echoes the sentiment of several mobile operators and industry authorities who point out that the real battlefield is LOCAL. Put another way, OEMs and global players such as Google and Apple have precisely that: global focus and reach.

Mobile operators (such as CSL) have an ace in their hand (should they choose to play it): familiarity with the local culture and customer base. As Han put it: “The key for wireless operators to stand out is to provide applications and services that are localized.”

CSL has cleverly chosen to stock its music service with local Hong Kong singers and talent. “Community is part of the personalisation strategy.” And CSL is driving that home through applications (including its mobile TV offer) that showcase local content and entertainment.

My take:

In a market that is mature (such as mobile) growth will come from additional services (not so much additional customers). Personalization therefore becomes a must-have capability in the battle to delight the (existing) customer base. Combine that strategics focus with local content and community and mobile operators can succeed in delivering a mobile Internet experience that keeps people coming back. (CSL has certainly reported a significant uptick in mobile data use. Put simply, it’s not a matter of generating revenues from personalization; it’s about developing a communications package that is effective, impressive and – above all – sticky.

Listen to the podcast here.

Disclaimer: Amdocs Interactive is an MSG client and supporter.

Social and mobile

This is just one of the topics heading the agenda at Navigation Strategies USA, a two day conference organized by the Wherebusiness (January 25-26, San Jose). MSearchGroove is proud to be a media sponsor of the event and bring you this event preview looking at the hot issues affecting the navigation ecosystem.

Open source mapping & AOL

Top of the list is open source. As more apps come online – specifically, automotive apps — there is a greater need for quality navigational data. That is where  community-sourced – or open source – mapping can deliver key advantages to the LBS industry. And then there is the business that can be made when you connect hyperlocal mapping data (including location and information about local businesses) with mobile marketing and advertising.

AOL has its eye on the prize, which is why MapQuest (a wholly owned subsidiary of AOL) has sharpened on open source (OpenStreetMap – OMS).

Its goal is to become the first large mapping company to embrace open-source mapping at scale.

To this end AOL MapQuest has struck out in new directions — revamping its UI, spearheading an  aggressive expansion of Patch, the growing hyper-local news and information platform AOL acquired in 2009.

As a result OMS powers the maps behind Patch and allows people to get involved in the process, and include hiking trails, parks and bike paths to improve the overall experience (and quality of the navigation data).

Interview with Randy Meech

Clearly, AOL isn’t the only company in the space – but it is one with the clearest objectives.

I caught up with Randy Meech, AOL Head of Engineering, Local & Mapping, to discuss the value of open source, the role of mobile and get an update on the $1 million fund AOL launched in July to support the growth of open-source mapping. The fund supports projects in specific communities to help expand and enhance the geographic data available to developers, designers and other users. It’s part of AOL’s commitment to open-source technology – and Randy tells me it’s also the source of competitive advantage in a navigation and LBS space where the data is – literally – everything.

Involvement & motivation

Empowering people to participate in the creation of their own maps (and local information) is more than an ideal; it’s an ideal business model. As Randy points out: “It[is] very clear that if we can get those tools right and make it easy for people to go in and edit their local data, it’s going to be much more helpful for everything around mapping, in particular navigation.” But it’s not just about mapping, Randy believes that being a leader in supporting open source “definitely helps to get the best talent.”

Regional differences & Amazing Waze

There are distinct differences in the data and the quality between the regions. The U.K. and Germany have done well, harnessing eager communities to fill in the blanks in their local maps. “The ability to map out your town when there’s nothing there — that’s very motivational and probably helped build the community there.” The challenge in the U.S., on the other hand, is tackling the “sheer size of the geography.”

Granted, mapping can be a monumental task. But the combination of social and mobile can pay huge dividends.

A company that provides a blueprint is Waze, a company that taps into drivers to deliver real-time traffic information and maps. Randy recently saw a demo in Tel Aviv and was notably impressed. “They’ve really hit critical mass of users and that is just a fantastic experience so I expect to see a lot more stuff like that in terms of social map navigation and mobile.”

(Ditto for me. I interviewed Waze recently and concluded that the company, which harnesses our personal mobility and our position as nodes in a larger network, delivers tangible benefits combined with a super-cool user experience.)

Randy tells me we can be sure that 2011 will be the year of social and mobile.

In fact, we can expect some interesting launches from AOL that harness the power of communities. As Randy explained: “I don’t want to go too much into specifics but for people to be able — in an open source shareable way — to give data about businesses in their area is definitely going to be a big area.”

Top of the list is the intersection of social and mobile, which will create new business models and opportunities. “The data that you can leverage when people are using your navigation apps in order to make their routing more powerful for them and more useful is a definitely a big trend.”

To learn the other top trends and Randy’s views on social navigation, listen to the podcast here. [12:31]

Editor’s Note: Randy will be giving the keynote at Navigation Strategies USA. You can still register to hear authorities weigh in on hot topics — including the importance of open source and why it works for the LBS and navigation industries. MSearchGroove is proud to be a media sponsor of this conference — and all conferences — organized by the Wherebusiness.

Next in the series is Enterprise Strategies for Location Intelligence USA 2011 taking place on March 30-31 in  Chicago, so mark your calendars!

We also discuss Tomi’s recent response to Robert Scoble (via his blog Communities Dominate Brands) and why Tomi can be so sure Nokia will maintain it’s global lead (even though Tomi openly admits Nokia is “invisible” in the North American market). The answer lies in the numbers, and Tomi dissects the figures from analyst houses IDC and Strategy Analytics to determine Apple, RIM Blackberry and Nokia market share in the regions (North America, Europe, ROW- Rest Of World).

Nokia’s image issues

Put simply, Nokia’s sharp focus on ROW – a region that includes strong growth BRIC countries – is the winning strategy that will give it the edge on its rivals for several years to come. While Nokia has significant market share, Tomi concedes that Nokia has lost mindshare among analysts and influencers – a gap that has resulted in the perception (particularly in the developer community) that Apple’s operating system “rules.”

Tomi’s word to developers reading this post or listening to the podcast: do the math. Apple iPhone apps are cool – but Symbian has the reach in Europe and ROW.

Top 3 trends

Finally, we ask Tomi to give us his pick of trends for 2011.

They are:

1)    3D displays on mobile phones that remove the need for special goggles or expensive 3D TVs (these displays have already introduced in Japan and India, for example, and we’ll see them advance in the next year)

2)    A new focus on personal privacy sparked by concerns that apps are spying on us (Tomi nailed this one. By coincidence, this coverage hit the Wall Street Journal the same day we recorded this podcast for broadcast today.) Tomi also urges people interested in learning more on the topic to check out Tony Fish’s definitive work on the topic: My Digital Footprint

3)    Mobile education will move from novelty and necessity (supported by real proof such as this case study from Africa showing that integrating math homework with students’ mobile phones boosted math scores by 14 percent). Kudos to Nokia for supporting this program and showing the good mobile can do!

Tomi’s Holiday gift to us all

In the spirit of giving Tomi tells us a bit more about his 10^th book: The Insider’s Guide To Mobile. He also shares a few personal observations with us – and thanks us all – his readers and listeners – for allowing him to be the industry voice he is.

Download the book free of charge here.

The book is an essential read that Jeff Hasen has also critiqued in his regular column.We both agree that this is the book you should download and read over the holiday break. So we encourage you to check it out.

In closing — Tomi and I (and the whole MSG team) wish you all a Merry Christmas –

Happy Holidays –

And – in time for the Chinese New Year –

Prosperity in 2011!

LISTEN TO THE PODCAST HERE [17:38]

Over the last year Scanbuy has positioned itself at the forefront of new applications and activities to link the common 1D barcodes (UPC) to digital information and destinations. Scanbuy has also put out new releases of its ScanLife barcode scanner software for the Android, BlackBerry and iPhone operating systems – so they read 2D barcodes and 1D barcodes from packaging and traditional media.

The focus is squarely on growing the market, which is why Scanbuy has recently opened up its ScanLife platform and launched a developer program called Innovation Exchange, a place where developers, marketers, and enterprise providers can access a variety of tools which can be used to launch every part of the ScanLife mobile barcode solution.

Included in the program are SDKs for Android and iPhone OS, API’s to create a virtual code management platform and tools for printers to place unique codes on material like direct mail or packaging. A browser extension to generate codes from any URL or image is also available, which can be used even by non-developers.

Scanbuy in numbers

The advance of barcodes is real and significant. In fact, Scanbuy has also released a report that documents a whopping 700 percent increase in scans in 2010. The company believes sustained growth will come from open systems, which is why it has opened its system through the Innovation Exchange.

Granted, some rival barcode companies might debate this approach– but there’s no arguing against results. To date Scanbuy has a number of agencies on board – including Hipcricket, which was one of the first companies to implement Innovation Exchange. Offering a platform makes it easier for businesses to use mobile barcode solutions and create awareness of barcodes among consumers and across a broad number of industry sectors.

What is the impact of “openness” and where are barcodes going? I caught up with Mike to discuss the trends and developments high on his radar.

So what are Scanbuy’s latest numbers?

Mike can’t disclose them all but he did update me on his partnerships with mobile operators in the U.S. and Europe. Together with partners in Spain (Vodafone, Orange and Telefónica) Scanbuy offers its solution under a white-label. “We have a great relationship with the agency community there with over 30 signed contracts for agencies to fundamentally be re-sellers of 2D barcodes themselves as well as campaign management components of it we put out with our code management platforms.”

Scanbuy also has operations in Chile focused on “attractive, alternate uses of barcodes.” There barcodes are more tightly integrated into the everyday routines of consumer in the marketplace.

To date, Mike says there’s over “40 million handsets” in the market with Scanlife installed. “And the number’s growing in the tens of thousands a day kind of numbers.”  Pre-installed software and downloads are large components, with downloads to smartphones contributing most to the total. Overall, Latin America is “leading the way” with pre-loads. “But we also have a significant amount of business in Spain and some of the U.S. operators are still ramping up while others are ramping down their pre-load activity.”

To set the record straight Mike gave me his breakdown of the marketplace and the players. Specifically, he divides the market into two camps: open codes and proprietary codes. Where is Scanbuy? “EZ Code started off as a proprietary format of Scanlife, but several years ago, we opened it up to anybody who would like to read it or write it… We have no aspirations of taking it back to be proprietary.”

Barcode trends report

In September Scanbuy released the ScanLife Mobile Barcode Trend Report, the first in a series of reports looking at how people are engaged in mobile barcode scanning. Click here to download a copy of the report.

The report, which draws from data collected globally from June to September 2010, concluded that barcode scanning through the ScanLife Platform is up 700 percent from the start of 2010. Specifically, data was gathered from the ScanLife Reporting Server — which pulls anonymous data from both the ScanLife mobile application, and 3rd party 2D barcode applications on codes that are being published by ScanLife customers and 3rd party generators.

Among the findings:

• Users are scanning both 1D and 2D barcode formats equally showing that people are less concerned with code format, and more interested in getting information quickly
• People are scanning a wide variety of product UPC codes, not only from the consumer electronics category
• Users are diverse from all age groups, which shows a broad range of interest

Mike tells me he is not surprised by the growth – but he is surprised by the “the breadth of industries that are incorporating barcodes.” Companies and agencies are using barcodes in mobile marketing campaigns.

But – more importantly — companies are also using barcodes to drive traffic to websites and boost CRM efforts.

Shortcuts to embedded URLs

Scanbuy didn’t formally announce it, but it has also written its own plug-ins for Firefox, for IE and for Chrome, allowing the average PC user to create and share barcodes that link to embedded sites right from their browser. In practice, people highlight the section of the page that they want to pass on and click one button in the browser. The plug-in generate a barcode that will link directly to that spot, which people can then cut and paste into an email, brochure or other collateral.

Growth in 2011 – and beyond

Mobile marketing is a big part of the picture. But don’t underestimate the power of being able to simply point people to websites for more information.

And don’t miss Five From Five, a special series of the top picks from five leading innovators in the mobile barcode space. Mike will join the line-up next week with his 2011 predictions.

My take:

Barcodes are not only becoming mainstream; they are becoming the way we access content on the Web. The advance of barcodes allows marketers to mobilize media to enhance campaigns and encourage interaction (case in point: Hipcricket). However, barcode use is spreading to other industry sectors. Smart of Scanbuy to open up its platform to drive this take-up and – through its browser plug-in – make barcodes part of the communications mix used by a mass-market audience of people and publishers. The market ahs moved on and no one barcode company can service all the verticals that need solutions (and not just barcodes). This is why Scanbuy is taking a platform approach – and I suspect it won’t be the last company to adopt this strategy. So where is the competition? Watch the emergence of the free model – but without analytics companies could be in the dark about the results the really achieve.

Listen to the podcast here. [15:08]

In line with the focus on last-minute holiday shopping I join with my colleagues — Kim Dushinski and Linda Daichendt – to look at the stats that speak volumes (literally) about the shift to mobile shopping (or at least using our mobile phones to research purchases).

Indeed, a rafts of recent reports (and reporting via the team at Mobile Marketer) show that mobile devices (and the apps we download to find stores and compare prices) have irreversibly transformed retail. With the advent of mobile there’s a greater emphasis on convenience and a greater requirement for marketing that boosts engagement. (I’m speaking here about schemes that combine mobile marketing with loyalty programs and CRM.)

MMA consumer research

Consider the last Mobile Consumer Briefing research results from the Mobile Marketing Association (MMA) and Lightspeed Research showing how French, German and British consumers are using their mobile phones over the holiday period. It found that 67 percent of all mobile phone owners expect to use their mobile for their holiday shopping and making arrangements for celebrations.

If we drill down we see that over half said they expect to check their phones before leaving for the stores, over a third said they would be using their phones while travelling to the stores and 10 percent said they will even use their phone at the check out.

Meantime, several U.K. organizations — the Association of Interactive Media and Entertainment (AIME), The Internet Advertising Bureau (IAB) and Interactive Media in Retail Group (IMRG) have collaborated ona survey of 140+ marketing professionals. The research that found that more than half (59 percent) of U.K. retail brands expect their mobile revenues to increase over the next 12 months. The vast majority (94 percent) regard it as a real opportunity for their business.

But there is a gap between the number of people shopping with their phones and the number of mobile-ready retailers. In fact, the research found that just four of the top 20 most frequently visited retailer websites are presently optimized for mobile, and only eight of the top 20 have any kind of mobile application at all.

Apparently, the research was an eye-opener – which is why these organizations have come together in the last weeks to form the Mobile Commerce Joint Industry Committee (MCJIC). The Initiative is about ensuring that businesses are prepared for the changes, opportunities and challenges that accompany the explosive growth in mobile commerce.

M&S mobile website & Mobile Interactive Group

In line with the focus on mobile shopping we review U.K. retailer Marks & Spencer’s (M&S). By way of background, M&S launched its ever mobile commerce mobile Internet site in May 2010. To achieve this M&S worked with Mobile Interactive Group – which provided consultancy on the user experience, design and functionality for site.

The Mobile Interactive Group (MIG), which is a hugely successful and profitable mobile marketing company in the U.K. (and increasingly worldwide) provides end-to-end solutions from strategy through to design, technical build and execution – for brands looking to mobilize their business.

I am pleased to report that I met with MIG’s Emma Potter and Ben Cusack during my visit to London in early December. During lunch we discussed some of MIG’s key learnings, observations the company has agreed to share in a series of Thought Leadership columns here on MSearchGroove. Meantime, I encourage you to read this post, which lists the 10 main reasons (pared down from 22!) why companies need to be looking at (and implementing) mobile commerce capabilities.

M&S certainly needed little convincing. The website the companies created has earned the retailer attention and accolades, including the prestigious World Summit Award presented by the United Nations recognizing outstanding content worldwide.

My take:

High marks to M&S for choosing not to cater  just to smartphones. The choice to launch a website (and not just an app) is the way to reach everyone on their mobile phone. I was also impressed that M&S purposely made this experience a no-brainer for young women on ordinary phones. (And that was after looking at the customer base and establishing that – guess what!? Most customers are not men with gadgets, but women with shopping mission. Another aspect of the strategy that puts M&S in a class of its own is the cross-media focus. People can shop across platforms – and they can also pay for what they order or purchase using the payment details they have already input on their PCs, for example. The bottom line: M&S understands that mobile has to be integrated to be effective.

Click HERE to listen in to our podcast over at The Mobile Marketing Review.

We also found out that all three would be interested in interacting with brands provided they got something of value in return.

Today we explore what that value could be – and we drill down into how often these Millennials would be willing to receive brand messages in the first place.

Volunteering personal information:

Would these Millennials answer questions (via SMS) about their interests and hobbies in order to receive more relevant mobile advertising? As Minaketan put it: “I would definitely answer the text message, there is no problem with text message.”

Interestingly, Shagun would answer questions about her interests to receive more than advertising; she would also welcome news about happenings and events in nearby Delhi related to her interests. “That way it actually makes it easier and I’m more informed about what’s happening in the city or in the area that interests me. There are so many times I may have missed some musical or the show because I’m not aware of it. It would actually be pretty nice for them [the brand] to keep me informed about my hobbies and what’s happening around the city.”

Favorite brands:

All three Millennials know exactly the brands they want to hear from – and how.

For Shagun it’s clothes (Zara) and phones (Sony Ericsson).

Manikaran is into Blackberry, Apple (iPhone), Nike, Reebok, Adidas, Gucci and some local Indian brands around sports.

Minaketan likes Nokia, Dell and Reebok. And he also knows the name of his mobile operator (Vodafone) and enjoys interacting with the company. (This point has come up in several interviews in the series. Millennials know their operator – even though mobile operators are generally thought not to have brand appeal – and would welcome more conversations with them. Connect the dots, and mobile operators would do well to use the communications tools they offer to connect with customers and advertise their own brand and offers more proactively.)

Value exchange:

We asked the Millennials what would incentivized them to join in a conversation with brands in the first place. Interestingly, the ability to vote on or influence a product came in quite high. As Manikaran put it: “Actually, that’s a very good idea because if I can vote and I can decide what I want, then that’s the best thing. That’s actually the best deal I’m getting.”

Shagun would like to be asked her opinion. As she put it: “It is exciting that you get to share your ideas and experiences. That kind of makes you special. People actually listen to you when they’re asking you to test the product; they bother about your opinion. That’s a good thing.”

Coupons are also an incentive – but the attitude toward discounts is different from the way an American would feel about offers, for example.

Manikaran would like to see coupons and offers handed out on the basis of loyalty. In other words, the coupons and offers should not be for everyone. They should reward customers who come back – often. And don’t offer the same discounts people can see in newspapers or on TV—then there is no incentive to receive them on the mobile phone.

Permission & frequency:

All three Millennials are adamant about the requirement for opt-in – and opt-out when they want.

As Shagun put it: “I would be interested in being able to opt-in and opt-out. It’s happened with me before that I’ve liked a particular brand but then I’ve stopped liking it, and I still receive offers that I’m not interested in receiving.”

Manikaran wants what he wants – the way he wants it. “It’s very important that I have a control over which messages I want to receive. Very, very important.”

Minaketan is fine with receiving text messages he’s opted in for – but he is not willing to accept the same messages over and over again. “I’m fine with receiving messages from different brands but I would not want to read the same message from the same brand.”

Shagun and Manikaran welcome messages from their favorite brands and would be willing to accept several per day. “I’m fine with receiving as many as 5 or 6 a day,” Shagun explains. “I just don’t want to see the same thing again and again from the same brands offering the same thing.”

My take:

Our Indian Millennials want control of their mobile advertising and would be willing to volunteer information about their interests and hobbies. What would they want in return? Coupons and discounts are ok. But these Millennials are more interested in being able to vote or influence the products and services they receive. They also want to be part of the in-crowd that knows everything first (!) As Shagun put it: being asked – and more importantly – listened to makes her feel special.

Fulfil these requirements and these Millennials would accept up to five or six messages a day from their favorite brands – provided they could opt-in and had the flexibility to opt-out.

After taking the virtual round table podcast series to Brazil, the U.S. and now India, it’s fascinating how universal the attitudes toward mobile marketing are. Advertising that comes from favorite brands is content, and interaction with favorite brands can be part of a daily routine – provided they ask first.

Listen to the podcast here. [14:08]

We’ll break now for the holidays and be back in the New Year when we kick off with new countries and regions. Thanks for the positive feedback and please contact me directly if there are countries or questions you want me to include.

Disclaimer: Optism is an MSG client and supporter. To identify these millennials I tapped the resources of the Global Youth Lab, an innovative primary research program managed by Alcatel-Lucent. Its ongoing and global research looks to understand how users (teens to adults) around the world experience marketing across all the screens they use (mobile phones, televisions, computers). I developed the questions, conducted the interview and look forward to working with the researchers as I organize virtual roundtables around the world.

The virtual round table of podcast interviews with millennials continues with a look at the Indian market for mobile advertising. With 525 million mobile subscriptions and rising, India is the world’s second largest mobile market after China. Since the majority of Indians don’t have access to a PC, so mobile is the only screen for content, advertising and communications of all kinds.

India is a market poised for exciting growth in mobile marketing, as this insider mobile marketing guide from our friends at mobiThinking shows. India was also the showcase for the World Brand Congress, a prestigious event that brings together the marketing leaders and industry thinkers behind some of the world’s most successful and sought-after brands.

Optism, the Alcatel-Lucent permission-based mobile marketing solution, was recognized for its role. Optism’s Thomas Labarthe received the 2010 award for Brand Leadership.

Staying with India, we kick off another in our ongoing series of global virtual round tables with millennials. In this first of our two-part series we learn what three digital youths – Minaketan Parida (24), Shagun Talwar (20) and Manikaran Singh (20) really think about their mobile phones and mobile advertising.

Personal mobility

The millennials are (predictably) passionate about their mobile lifestyles. While Shagun may use her mobile to connect with friends and family, and receive alerts about her next dance class, the guys in the group are more focused on utility than communication. Minaketan, for example, surfs the Web on his phone as a hobby and pastime.And Manikaren “loves” his phone, a Blackberry Bold that allows him to connect using email, BB messenger or text.

Mobile advertising attitudes

Shagun thinks of mobile advertising as a source of information. She learns about her favorite clothes brands and therefore thinks mobile advertising is a “good thing.” But there are limits. For example, Shagun complains that she receives property ads, useless advertising that she finds irritating. “I’m not closed to receiving advertising on SMS on my phone. But when I receive SMS after SMS that are of no use to me, then it gets really annoying.” She would prefer a tool of some kind that would allow her to “opt to receive” advertisements aligned with her interests.

Manikaren has a similar gripe. He wants an app or some method that would allow him to receive ads about what interests him most. Cars, for example, are top of his list. He doesn’t want life insurance ads – but he gets them just the same. As he puts it: “I’m 20 years old and I’m getting life insurance [ads] and that’s no use! The people who are calling us don’t even know who we are and they’re sending us messages.” Now that’s an observation that should send a clear message to brands everywhere: know your customer – especially on mobile. Notably, Manikaren is a big fan of Vodafone advertising – so a clear confirmation that mobile operators can use mobile to speak with their customers. It’s such a natural fit that you have to wonder why so few mobile operators use it effectively.

Minaketan would accept advertising – but he has definite ideas about the modus operandi brands and operators should adopt. As he puts it: “Advertising should be in our control and not under the control of the service providers and other vendors.” He is the most adamant about the need for an app that would allow people to interact with brands on their terms. His vision: an app that allows people to connect with brands they like and search the news and offers connected with the advertiser.

Interestingly, I probed the idea of an advertising permission and preferences app with the group and found that they want a way to opt in and control the ads they see (aligned with their interests, for example), but the mechanism doesn’t have to be an app at all. A text message – or a dialogue that starts with a text message would achieve the same objectives.

In fact, Shagun said that SMS would “work just fine” for her. In her view, it would be like using an app – because she could answer back with her interests (check of categories in a list and text them back to the operator, for example) – but it would be easier because she wouldn’t have to go back and check the app or update it. It would be up to the operator or advertiser to keep in touch.

Next week: we explore the conditions under which these millennials are willing to receive advertising and the incentives they find most exciting. No surprise that brand information and cool stuff only the in-crowd can know is an incentive that would move all three to receive mobile advertising on their phones.

My take:

Our Indian Millennials are open to receiving mobile advertising on their mobile phones provided they have some level of control over the type of advertising they get and how often they get it. An interesting twist: we started out talking about the need for an app on the phone that would allow people to set up profiles for the kinds of advertising they get. However, after we explored this in some more detail, it also turned out that an SMS conversation would also be a great way to gather information on interests and ensure the individual is always in control of their advertising. Connect the dots, and these millennials want a say in their advertising and would welcome a permission-based mobile marketing approach that puts them in control.

Listen to the podcast. [14:41]

Editor’s note: Thanks again for your positive feedback on this series and all the RTs! You can follow us on Twitter — @msearchgroove or @Optism.

Disclaimer: Optism is an MSG client and supporter. To identify these millennials I tapped the resources of the Global Youth Lab, an innovative primary research program managed by Alcatel-Lucent. Its ongoing and global research looks to understand how users (teens to adults) around the world experience marketing across all the screens they use (mobile phones, televisions, computers). I developed the questions, conducted the interview and look forward to working with the researchers as I organize virtual roundtables around the world.

As Michael sees it: brands and advertisers can achieve their highest objectives (brand awareness, acquisition, loyalty – the works) if they maintain a relationship with the individual based on trust and an understanding that consumers co-create value with the brand. (More from Michael in this must-read post via the Optism blog.)

“People are co-creating content and they are co-creating brand engagements.” Through social media and word-of-mouth consumers are even taking the initiative, “influencing the conversations we have with them, impacting the perceptions of brands and even facilitating retention and customer care entirely on their own.”

Customer journey starts with trust

The central role of the individual and the fact that the customer (alone) owns the customer pushes marketers to acknowledge that the consumer is in complete control.

And, Michael stresses, the customer needs to be in control. “They must be in control of the time, mode, method and the content of the [brand] engagement.”

Put another way, people have to decide when they want to connect with brands and how – which is why opt-in and asking permission first is critical.

As Michael puts it:  “The consumer is intimately engaged in the entire marketing process. We as marketers need to realize that the consumer doesn’t buy from us; they buy what they need for what is called the customer journey.”

Every step of the way, people decide how they interact and marketers must start by making the rules of engagement clear and transparent. A good example is allowing people who have opted-in to receive mobile marketing messages on their phone to opt-out by simply texting STOP to a short code.

Mobile is the “connective tissue”

Michael and I also explored the role of mobile in the marketing mix. With the increased focus on mobile commerce and advance of approaches that blur the boundaries between in-store retail and on-mobile shopping, mobile is no longer just a lynchpin in a cross-media strategy.

In Michael’s view mobile is becoming the “connective tissue” that brings the digital and physical worlds together.

The two are merging to create a third space he calls the Web 4.0 world of digital engagement.

But it’s more than a new dimension; it’s also a new paradigm where consumers own their data – and monetize it.

In this new world marketers need to work with consumers to deliver the service that will delight the customer: targeted and really relevant marketing.

MMA Forum highlights

Michael also walks us through all the format and content changes sure to make next week’s North American MMA Forum event in Los Angeles an even bigger success than the New York event last June that attracted over 600 attendees.

For one, the event opening keynote is Jamie Foxx, Academy Award-winning actor and Grammy Award-winning singer. His topic is Next Generation Business Strategies for the Entertainment Industry and Business Opportunities Enabled by the Mobile Channel.

To cover a lot of ground in an efficient manner the MMA has also changed the  format of the conference, introducing  a pre-conference line-up of practical, targeted workshops where marketers can learn how to do marketing via SMS, mobile Web and apps.

The conference is also divided into sessions that deep-dive into precisely how mobile is applied and implemented across a variety of verticals including retail, financial services and health care.

MSearchGroove is a media partner for this high-caliber event. And you can still register by clicking on the banner below.

My take:

Marketing has been based on old economic business models and the idea that the consumer consumes. Michael reminds us that this model is broken. Supply exceeds demand and people are deciding how they want to interact with brands.

The good news: they enjoy interacting and their involvement can create real value for the brands they promote or praise (they can also achieve the opposite effect, which is why brands are so keen to monitor social media conversations).

The even better news: brands can inspire people to join in by asking their permission. Brands can also – with people’s permission, of course – use these insights to create more targeted messages and –ultimately – make advertising a service. Marketing to one is not an ideal; it’s becoming the ideal business model.

Listen to the podcast here. [13:08]

Disclaimer: Optism is an MSG client and supporter.

In fact, evidence is mounting that personalization is going to be table stakes for a wide and growing range of content companies, brands and service providers. Personally, I have been convinced of the business value of personalization (and recommendation) since 2005, when I wrote the definitive industry report on the topic. (Since then other analyst firms and industry players  have picked up on the pivotal role of  personalization in business models and approaches sharply aimed at connecting the dots in our digital behavior, catapulting what was a niche topic into the mainstream.

When personalization was in the chasm, it was all about making finding, buying and enjoying what we want a no-brainer. Today the avalanche of content (and apps) , the advance of connected devices (beyond mobile) and the realization that bubbling up more content is the last thing we need (what we really need is better filters) has moved personalization into the bowling alley.

Blame game

Personalization (with clear opt-in or delivered via anonymized datasets that belong to mobile operators) is a central topic at the majority conferences I have attended. App developers blame a lack of it for their inability to sell apps and get discovered by their target audience; marketers muse that better personalization (through opt-in) would boost the effectiveness of campaigns and allow them to cultivate brand advocates (people who love the brand because it delivers them what they want); and service providers discuss how they can/must harness personalization to become a valued guide (rather than a mere gatekeeper) as the mobile Web becomes a beautiful (and dangerous) place for us all.

Cross-media

Predictably, personalization – in all its forms and across all media – was the hot topic at a string of recent advertising industry events.

In September, for example Facebook COO Sheryl Sandberg made a strong case for personalization in the online space. In her view, personalized content (and marketing) will be the norm in the next three- to five years. As she put it: “People don’t want something targeted to the whole world—they want something that reflects what they want to see and know.”

Little wonder that the weeks ahead will see more companies enter the market with solutions that personalize online information, advertising, experiences – the works.

The challenges (and opportunities) for mobile companies is even greater. (Although the personal relationship we already have with our mobile phones makes this the perfect medium for the delivery of personalized stuff.) But it’s not easy.

With the explosion in growth in the open mobile Internet, service providers are hard pressed to stay relevant, add value and maximize revenue (all at the same time). To get their view on the challenges and options, I have an exciting line-up of  briefings and audio interviews in the pipeline.

First up is CSL, a leading Hong Kong mobile operator whose MyNet mobile service I had the pleasure of reviewing as a member of the judging panel for the prestigious Meffys award. (The CSL case study was among finalists for the award.) By way of background, the service delivers people content (recommendations) based on pages the user has visited recently. It also arranges app store icons for easy access and use, a display that is personalized based on what people would likely appreciate.

Amdocs interview

My take: There are many ways to achieve personalization. The next weeks and months will see a variety of columns and contributions on MSG that expertly identify the options, opportunities and challenges ahead. One key element is to take full advantage of the data gathered while subscribers are browsing on or off portal, looking at content or making purchases by building an intelligent subscriber profile. But this has to be done non-intrusively.

This message comes through loud and clear in this brief interview with Mike Lurye, an Amdocs Interactive executive whom I have interviewed several times on MSG about personalization, app stores and the role of the operator in the scheme of things. His views are more pertinent today than ever as more mobile (digital) industry executives wake up to the core importance of personalization in all they do.

Listen to the podcast here. [4:58]

Disclaimer: MSG has reported on personalization companies, including Amdocs Interactive, since its launch. This month Amdocs Interactive formally joins the roster of MSG clients and supporters. MSG has also published a series of Thought Leadership columns/contributions from Xiam, a Qualcomm company and company focused on personalization and recommendation.

These are some of the questions explored (and answered) in the recent release Mobile Marketing Playbook published by 360i, a U.S.-based digital marketing agency serving a global customer base of large brands and Fortune 500 companies. The guide — an 87-page mobile marketing how-to — helps brands develop creative and effective (integrated) mobile marketing strategies that drive business objectives.

More importantly, the Playbook brings together industry data, case studies, contributed articles and examples of mobile campaigns and best practices to demystify the rapidly evolving mobile landscape for marketers and identify the range of opportunities to engage consumers in the mobile environment through advertising, search, social and commerce.

Text marketing rules (!)

A special attraction is the section on SMS marketing, which makes four simple, yet significant recommendations to marketers everywhere:

1. Stay relevant
2. Ask permission
3. Offer something of value
4. Use it for time sensitive events (people will appreciate the reminder)

The Playbook also:

• Outlines four key questions every marketer should answer before embarking on a mobile plan to ensure success
• Offers recommendations for the best ways to use mobile paid search and search engine optimization
• Provides an overview of mobile advertising and offers frameworks for evaluating when to include each in plans and how to measure success
• Reveals best practices for social marketing via mobile devices and shares examples of campaigns that employ some of today’s most leading-edge tactics
• Examines the many ways marketers can use mobile apps in their programs and provides a methodology for mobile app and website development
• Delivers insights into the rapidly evolving world of mobile commerce and shares strategies for how best to use mobile coupons, mobile payments and barcodes to give marketers new ideas for driving consumer purchases on the go

To download the Mobile Marketing Playbook, please visit http://www.360i.com/mplaybook.

Interview with David Berkowitz

To get the inside track on the mobile marketing options and opportunities I caught up with David Berkowitz, 360i’s Director of Emerging Media & Client Strategy, and a mobile authority who understands (better than most) how brands can best connect and engage with people.

In his view, the mobile marketing value proposition must be clear and relevant. Location, personalization and links back to social media can help to some extent, but the best way to deliver people what they want and appreciate is to ask them first. Put another way, brands should ask before they deliver messages. And they have to live up to their part of the bargain. “You also want to make sure that they stay with you for the long haul, so there can’t be any bait-and-switch here given how personal the mobile [exchange] is.”

Can mobile operators play a role in this conversation? Only if they bring value to it.

That value can have many forms: reach (particularly if that inventory covers a country rather than a single network), a loyal and opted-in customer base, accurate location information – and the list goes on.

David expects the next months will be marked by partnerships and collaborations that illustrate precisely how mobile operators can best play in mobile marketing. For the moment, he points out that the relationship between U.K. mobile operator O2 and Placecast is a good example of how this relationship can evolve. By way of background, O2 has partnered with location services platform Placecast to enable brands to automatically deliver targeted SMS and MMS to more than 1 million opted-in O2 customers based on their exact whereabouts.

SMS MARKETING: Get this right, and you have a lot going for you. “I can’t think of any kind of marketing channel … that is designed so perfectly to be integrated with anything else and really everything else.” Unlike banner advertising, for example, SMS is not limited by form factors – and it does spark a genuine conversation (what advertising and marketing is all about). “SMS really can work anywhere – it could be a part of every kind of marketing that one is doing.”

PERMISSION: It’s critical. “You have to take so much more care than you [otherwise] would precisely because of the visibility of it [SMS]. It’s even far more visible than email and other kinds of permission-based and interruptive marketing in that regard. So you really need to get consent from consumers.”

ATTENTION: There is a value in just listening. “We’ve seen this with social media as well which is just conversational by nature, and often what people want is just to be heard. Some people consider it their form of social currency just to be looped in with a brand.” As David sees it, listening is a “level deeper in engagement.”

NEXT PLAYBOOK: What are the trends highest on David’s radar? Which topics will find their way into the next Mobile Marketing Playbook? It’s a little early to go into specifics, but David definitely wants to take a more global view of mobile marketing and sharpen the focus on personalization (as a means to deliver relevant mobile advertising messages and offers). Augmented Reality (AR) has become a buzzword, David says, and needs to prove its real effectiveness. Also look for more on mobile shopping. Mobile commerce and mobile CRM.

My personal thanks to David for being a part of my ongoing series on mobile marketing. I admire his insights about the intersection of mobile and social and captured some of these observations in a lively interview on behalf of my video partner bnetTV. Please click the above image to listen in.

My take:

Text messaging continues to be the universal and ubiquitous mechanism in the marketing mix. It fits the bill if the brand wants to start (and continue) a conversation with people. And (as the Mobile Marketing Playbook points out) plain text messaging can bring tremendous value to all exchanges between companies and consumers. To be effective (and accepted) these interactions must adhere to the same rules: Stay relevant, ask permission and offer value.

Listen to the podcast with 360i’s David Berkowitz here. [16:05]

Disclaimer: Optism is an MSG client and supporter.

One, companies across the emerging mobile marketing ecosystem (brands, agencies, operators, enables – everyone) must structure their strategy around the consumer. It sounds simple – but Stephanie says it requires companies to get away from cool apps and a technology-centric approach and deliver messages to people that are valuable.

What do people appreciate? In a word: relevancy.

Relevancy and context

As Stephanie puts it: people want relevant advertising and messages. Part of this is about delivering the right message at the right time (and under the right circumstances). In fact, Stephanie believes new self-service options and the ability of companies to target according to location will also pave the way for more small brands and businesses to deliver relevant advertising (hence value) to consumers on their mobile phones.

Interestingly, Stephanie’s views on the importance of relevancy dovetail with my own views on context. The pivotal role of context in mobile was also recently picked up by Gartner in its findings and recommendations.

Specifically, Gartner believes that context will be a defining principle of mobile business for the next decade. It will play a key role in many areas of mobile business, especially advertising and marketing.

Verizon milestones

Verizon Wireless, the leading U.S. mobile operator with some 92.1 million users, was a first-mover in mobile advertising, embracing the full range of media and creatives from text and MMS, to barcodes and apps.

An example is Daily Scoop, a free app (advertising supported) that subscribers can download to their mobile phone. The app lets people receive interesting and valuable information and offers from restaurants and retailers in their area. A big part of this is exclusive discounts on products and services – delivered when and where they are most useful to the user. This is a tailored offer (translated: relevant) and local content and context is assured because users start their interaction with the app by inputting their zip code.

Stephanie tells me the app has been a run-away success with a conversion rate on the ads of between 7 and 10 percent.

Likewise, SpendSmart, an app that lets people browse, view, and save coupons on-the-go using their mobile phone shows that mobile marketing is fast becoming the definitive first step in the retail journey.

Taking this a step further, Verizon has also moved full-steam into barcodes (QR codes).

To this end he operator has teamed up with Scanbuy to promote a wide variety of apps available using the Android powered DROID devices.

In one campaign (also detailed in this case study) people who saw the QR codes (part of an integrated marketing campaign that included print ads, in-store displays, direct mail, websites, and even iPad ads) were directed to use ScanLife, the Scanbuy barcode scanning app, that was either preloaded in their device or could be downloaded by texting SCAN to 43588 for “Instant Gratification.”

In just over three months, the campaign saw over 150,000 scans, making it the most successful ScanLife campaigns in North America. The technology has opened up a world of immediate access for DROID customers directly from a wide variety of material.

MobileSQUARED Media partner

Today’s event – and all the events in this series are organized by Camerjam, a U.K.-based mobile events company headed up by my esteemed colleague James Cameron.  Keep in mind that this is an ongoing and global series that kicked off in Europe and then moved to Asia and (today) to North America. Next on the list is South Africa – so keep checking the event website. You can also view a comprehensive list of all industry events here on MSG. The calendar lists 100+ industry events, and we’ll have details on the next MobileSQUARED Roadshow soon.

Listen to the podcast with Verizon’s Stephanie Bauer Marshall here. [9:40]

Editor’s note: My personal thanks to Stephanie for this insightful interview. She has promised to come back with some great case studies, so keep checking back or follow us on Twitter (@msearchgroove & @peggyanne).

Specifically, the research revealed a significant gap between the number of consumers wanting to interact with retailers on their mobile phones and the number of retailers really embracing the mobile channel.  In fact, just four out of the top 20 retailer websites consumers visit most frequently are actually optimized for mobile. Connect the dots, and many retailers could be missing out on additional revenues from serving consumers lining up to interact with their shops and offers on mobile. But that gap is closing as the majority of the 140 respondents surveyed expect mobile to be core to their strategy within the next 12 months.

So what are the options and opportunities as mobile takes on a new role and super-charges our shopping experience? What is the impact of consumer behavior and the new willingness of people to buy digital and physical goods and services with their mobile phones? I caught up with Alex Moir, General Manager Europe, OpenMarket, a company providing messaging, payment, messaging services mobile retail and commerce clients worldwide.

In addition to some practical advice, Alex also walks us through Coca-Cola’s Gimme Credit promotion, a mobile marketing campaign that ran throughout the summer months of 2009 and 2010. The campaign, managed by the mobile marketing agency Sponge, awarded consumers with 25 pence of phone credit for texting in unique code (which appeared on the bottles and cans) to an SMS short code.

Interview with OpenMarket’s Alex Moir

TRANSACTIONS: The recent U.K. research – and many other reports that have been released over the last weeks – share a similar message: We’re not in Kansas anymore. As Alex puts it: “M-commerce is not just about transactions; it’s about putting the mobile at the center of the [retail experience].” That means using mobile for dynamic location-based messaging for merchandise promotions, mobile couponing, advertising and loyalty programs. “And that’s really quite a shift from the way retailers have embraced mobile in the last few years.”

MORE THAN APPS: Apps may be where the action is; but there’s “a lot of very powerful things that people can do in mobile today that don’t require large amounts of investment or a hugely complex strategy.” While Alex agreed that apps are and will remain an important part of the mix, the reach and appeal is limited by factors such as smartphone penetration and the interest of consumers to download and interact with apps on a regular basis. Against this backdrop, simple text messaging is “the only medium that addresses all of your customers. So let’s make sure that we’re covering the basics before we move on to the more exciting things.”

CRM: Sure, retailers should/must get the marketing message across to their opted-in base, but continuing the conversation, as part of ongoing CRM, is what can really engage people. Beyond CRM, retailers also have to make it simple for consumers to interact with them, and worth their while to come back. As Alex sees it: “This is where the loyalty aspect of CRM, so loyalty and offers around couponing and crediting, comes in. “The questions retailers have to ask themselves (and answer with their mobile strategy) is: what’s in it for the customer and why should they want to continue to interact with you rather than your competitors?” Crediting is another way to give something back, some monetary value as a means of incentivizing the users to interact with you.” It’s also a powerful sales promotion tool, as the U.K. marketing first Gimme Credit case study shows. (Ten of thousands of consumers engaged with the promotion in 2009 and the 2010 volumes are more than double.)

SOPHISTICATED SMS: More brands are using text messaging to intensify the engagement with consumers and add value by integrating location, for example. “We’ve done a trial with a major beer brand that wanted to promote to consumers by associating their beer with curry, and they wanted to use location-based services to respond to a text message with the three nearest curry houses where [consumers] they could then redeem their 2 for 1 coupon [they received on their mobile phone].”

MEGA-TRENDS: The industry is moving past transactions and digital content sales. And the Apple model may have the credit card purchase and payment model sewn up, but the unbanked – and people who simply don’t have credit cards – are ripe for methods to buy digital and physical goods that involve other payment methods. “People simply don’t have another means of payment so being able to get onto the mobile bill is going to be absolutely key for many of these retailers.”

My take:

No one denies that mobile is taking the center spot in the conversation between people and brands. Now that interaction is moving beyond brand awareness to commerce, turning up the pressure on retailers to understand and implement mobile — fast. The research commissioned by the Association for Interactive Media and Entertainment (AIME), the Internet Advertising Bureau (IAB) and the Interactive Media in Retail Group (IMRG), reveals a gap between consumer willingness to interact with retailers on mobile and the level of readiness among retailers to respond. However, evidence is mounting that next year is going to be the pivotal year for mobile commerce (and more!). If we just take the U.K., the research tells us the vast majority (65 percent) of retail brands expect to have a transactional mobile site or application within the 12 months. Alex from OpenMarket further confirms this mobile megatrend, and stresses that mobile marketing and transaction is only part of the picture. Mobile CRM, loyalty and listening to consumers before, during and after the in-store experience is critical. Mobile is quickly capturing the imagination of retailers (particularly in the U.S. where consumer electronics retailer BestBuy is leading the charge to change). Connect the dots, and integrating mobile into the in-store experience is going to be a big disruption in the mobile retail space.

Listen to the podcast with Alex Moir here.[13:10]

Disclaimer: Amdocs Interactive, the mobile personalization company belonging to Amdocs, is an MSG client and supporter.

We kicked off with a hard look at the recent Arby’s campaign to promote its Roastburger sandwich. I also used the opportunity to discuss some insights from the panel on consumer insights I moderated during the recent Mobile Marketing Association’s Forum in London. This post, a complement to the podcast you can listen to over at The Mobile Marketing Review, provides some additional detail about the campaign and a summary (with video) of the panel discussion. (Press release & podcast)

Arby’s data points

By way of background, my role in the podcast was to judge the effectiveness of the cross-media campaign that ran in the U.S. to promote/launch the Arby’s Roastburger sandwich. The campaign kicked off with a high-profile pitch to viewers of Jimmy Kimmel Live (a popular late-night talk show in North America) to text the word ROASTBURGER to the short code 27297. This triggered an exchange that rewarded consumers with a free sandwich with the purchase of any drink. More importantly, is allowed the brand (in a national campaign) to request and receive customer data through an opt-in process that was clearly explained via text message.

Thus, the objective was two-fold. One, place mobile at the center of a cross-media campaign – that included TV, radio, print and outdoor signage – making it crystal clear that consumers can interact with the brand (and receive the sandwich offer) via their mobile phones.  Two, collect customer data through the opt-in process to build a local-focused opt-in database allowing Arby’s to reconnect (and remarket) to customers. (In fact, Arby’s did just this and later tapped the opt-in database to successfully launch and promote its fruit tea drink in a second national campaign.)

So what are the results?

Arby’s created 172 local databases and that allowed Arby’s to handle the SMS response traffic from its TV and mobile promotions. Of consumers who started a text interaction through in-store signage, more than 89 percent opted to join their local database. In the case the TV spots, more than 90 percent opted in to join the database. This is impressive considering there are many marketing campaigns that report much lower response rates. Overall, the campaign gets high marks in my book. (Little wonder that this campaign is also a finalist for an MMA (Mobile Marketing Association) award.)

Kim road tested this campaign and you can read her take here.  As she points out: the Arby’s offer of a free sandwich with a drink is perhaps not as impactful as a free breakfast from Denny’s. However, while Denny’s may have had a bargain offer, it also missed the opportunity to use mobile effectively to kick off a conversation with consumers who lined up outside its restaurants to take advantage of this offer.

Immediately following the Denny’s spot that debuted during the Super Bowl MSG’s Jeff Hasen was struck by the missed opportunities to use mobile. he wrote this opinionated column over at Mobile Marketer to point out how brands could, should and must place mobile at the center of their communication with consumers going forward. It’s a valuable read for brands and marketers as we move closer to the holiday season. (Lots of chances to use mobile to reach the customer and even clinch the in-store sale.)

To drive his point home he quotes from a recent survey commissioned by his company, Hipcricket. It that found that while 37 percent of consumers would be interested in participating in mobile customer loyalty programs, a whopping 83 percent have never had their favorite brand reach out to them via mobile.

Marketing in emerging markets

No doubt that number would have been even higher for regions such as Africa, where the opportunity for brands to connect with people on their mobile phones is more than a huge opportunity. It’s a business imperative. (The mobile is the only screen – period.)

I brought this up during The Mobile Marketing Review debut podcast, and today – thanks to Robert Haslam over at MiLiberty (!) – I can post a video here of the panel I moderated.

Peggy Anne Salz – Mobile Consumer Insights Panel from UnashamedGeek on Vimeo.

A highlight for me was the importance of consumer insights and how companies (including EA and mobile social network Buzzcity) are able to piece together our preferences from a variety of sources including the content we consume and the opt-in questions about ourselves we are more than happy to answer.

This new analytics capability changes the rules, shuffles the value chain and makes space for new companies (such as EA) at the table. It will be exciting to see how the availability of this data impacts marketing approaches and the business ecosystem that develops marketing strategy in the first place.

Of course, a great way to get consumer insights (and customer data) is to ask people for it.

According to Jonathan McKay, Creative Director, Praekelt, people in emerging markets are eager to be addressed by brands on their mobile phones. For the vast majority, this is the first time they have communicated directly with brands.

The good news: addressing people and listening to what they say (via text message marketing, for example) is seen to be a value. And, since advertising has to be a value exchange, kicking off a conversation using mobile is a huge and important first step.

The not so good news: in theory, the lack of a mature mobile infrastructure allows less scrupulous marketers to potentially take advantage of the openness of consumers to connect and so disregard the requirement for opt-in. As Jonathan put it: It’s about “sustainable and sustained engagement” with consumers.

Brands cannot abuse trust and they cannot rely on bribery (coupons, offers, discounts etc) to drive positive results for their campaigns. They must offer something of value and, in emerging markets (and perhaps everywhere) this means addressing people and listening when they want to share their experiences and their opinions about the brand.

The program has a heavy and welcome emphasis on what developers and companies in the Android ecosystem need to turn their ideas into revenues. This objective is a perfect fit with the spread of speakers Droidcon organizers have brought together to advise developers on what it takes to earn a living and monetize apps.

The line-up includes execs from Device Anywhere, inMobi, Google, comScore, Sony-Ericsson, Qualcomm, Orange, Rummble, Mippin, Alcatel-Lucent and Motorola, as well as VCs and companies specialized in design and usability.

MSG Media Partner

In a nutshell, this event in results-oriented and has purposely brought together the full range of companies developers need to connect with to build and market their Android apps. Kudos to Dominic Travers, Kevin McDonagh and the organizers/enthusiasts behind this milestone event. MSearchGroove is proud to be a media partner!

You can still register here – only GBP188.00 to attend!

Tracks cover topics from growing the value of the network (business ecosystem), to creating an excellent user experience, to what it takes to earn a living and monetize apps. There are also sessions on understanding smartphone traffic and – very important (!) understanding what women – a huge and often ignored user segment – really want from Android.

So it’s all about turning good ideas into great apps, and the nuts and bolts of what is really involved to achieve this business executive.

Interview with Novoda

To give us a practical perspective on this event and the challenges and opportunities ahead for developers is my guest today is Kevin McDonagh, the director of Novoda, a software consultancy specializing in the Android platform. Kevin is also an organizer of Droidcon and London Android User group called Londroid.

MAKING MONEY ON APPS: Granted Tomi Ahonen was correct when he told us in an earlier interview that it’s easier to win the lottery than it is to make piles of cash on apps. However, some companies (including Novoda) are making a solid living developing apps. Kevin offers some valuable advice and urges developers to take the rules of retail seriously. Know your customer, delight your customer and accept the fact that you are going to have to spend money and effort to market your apps.

CONNECTED COUNTS: Kevin shares his observations on the advantages of developing for the Android platform. Chief among these is the virtual machine which enables apps to be “handed off” across devices and platforms. Data sharing, which is also enabled through open source and the platform architecture, lays the groundwork for some exciting and connected apps that effectively construct experience environments, rather than single experiences. An app that start on your phone and makes the rounds in your home to your TV or electric clock? Kevin says it’s not far-fetched; it’s quite real and – potentially – quite lucrative.

PARTNERSHIPS: Does the platform with the most developers win? Probably. So how does a company come into the fortunate position of attracting so many developers in the first place? Kevin, a professional and practitioner, has some valuable insights to share. In his view, the key to success is forming the partnerships early on – and with companies at far corners of the ecosystem. In many cases these are companies that might currently be competitors. But that is going to change.

My take: Moving forward, as devices and platforms do indeed interact/interconnect and share apps and data, companies will need partnerships with every company that contributes to the creation of the experience. From developers, to chip makers, to appliance manufacturers – everyone will have to be in on the action. The only way to get there from here is to forge those partnerships now and open as much data as possible to the developers and the players who are architecting our collective future.

Listen to the podcast here. [12:05]

Each month I will join with co-hosts Kim Dushinski and Linda Daichendt (together we are the Mobile Mavens) to review and rate real-life mobile marketing and advertising campaigns and offer a no-holds-barred analysis of how well the campaigns achieved their objectives and – more importantly- served the interests of all stakeholders, particularly consumers.

Arby’s campaign & Adobe consumer report

The Mobile Marketing Review series airs monthly and openly discusses how a selection of mobile marketing campaigns really stacks up. Providing short, digestible and insightful analysis and commentary, the first podcast reviews a recent cross-media marketing campaign by U.S. fast-food restaurant Arby’s to promote its new Roastburger sandwich. (The campaign was developed and powered by Hipcricket, a mobile marketing and advertising company, and is also a finalist for the MMA (Mobile Marketing Association) award.

Another feature of the podcast, titled Under the Radar, is a thought-provoking segment of the show where each of the Mobile Mavens presents her pick of the news, companies and developments likely to have a big impact on mobile. We kick off with a look at the key takeaways in a recent report from Adobe titled Adobe Mobile Experience Survey: What Users Want from Media, Finance, Travel & Shopping.

Listen to the podcast here.

The first podcast in the series goes live today, and will be accessible via The Mobile Marketing Review website homepage.

The Mobile Mavens will also post their individual analysis and additional information and tips mentioned in the show. The podcast will also be available for download via a dedicated iTunes channel.

Editor’s note: Brands, agencies & marketers: Please submit your mobile campaigns for our consideration. Just go to The Mobile Marketing Review, click submit and fill out the form.

To this end I have joined together with Kim Dushinski – President of the marketing firm Mobile Marketing Profits and author of the best-selling book The Mobile Marketing Handbook: A Step-by-Step Guide to Creating Dynamic Mobile Marketing Campaigns – and Linda Daichendt – a marketer, mobile authority and industry advocate who also owns and manages Strategic Growth Concepts. (She made her first appearance on MSG a few weeks back as part of the ongoing permission-based marketing podcast series (sponsored by Optism) and her interview, which focuses on the benefits of mobile marketing to promote small business, continues to be a main attraction.)

Together we are determined to share our experience, educate the industry and help communicate best practice. In this spirit we have taken the name Mobile Mavens and have launched The Mobile Marketing Review, a monthly podcast series that debuts Tuesday (October 26th ).

On our new website (dedicated to the news and views around our new series) we offer companies the opportunity to submit their mobile marketing and advertising campaigns (via this form) for our consideration.

Each month we will use our podcast as a platform to review a selection of mobile campaigns we receive and give our expert analysis on how well the campaigns achieved their objectives (and served the interests of the most important stakeholders: people).

We kick off the first podcast in the series with an in-depth look at a recent mobile/cross-media campaign to promote Arby’s Roastburger sandwich. The campaign, which was developed by Hipcricket, is also a finalist in the Mobile Marketing Association (MMA) Awards North America product launch category.

Moving forward, we are eager to receive campaigns from small businesses, local brands and emerging markets.

I am pleased to announce that Jonathan McKay, a speaker at the recent MMA Forum in London, Creative Director at Praekelt (and my personal pick for marketing industry rock star when it comes to really understanding the African market), has agreed to submit his next brand campaign to the Mobile Mavens for inclusion in a future podcast.

Allow me to take this opportunity to encourage brands and agencies everywhere to submit your mobile marketing campaign via this form. It’s your chance to know how your campaign really stacks up and (hopefully) learn ways to keep delivering your customers (and consumers!) positive results.

Meantime, check out the web/mobile destination and companion to the show and follow Kim, Linda and myself on Twitter (@MobileMktgRview).

What brands top their list? Our guests Dawn Gutowski, Michael Ayoola and Sandra Perez share an eclectic list of brand names ranging from Land Rover to Godiva chocolate to Infusium 23 hair care products.

The point: these millennials are open to hearing from a lot of brands and actually regret they aren’t receiving more information from the brands they have made a part of their daily lifestyle.

And it’s not just about cool consumer brands.

Michael would welcome more interaction with Amazon and Sandra wouldn’t mind telling Everlast more about her interests – especially if her input could some how impact product development.

Put another way, these millennials are interested in being heard more by the brands they love most.

Listening in, talking back

As Dawn put it: A mobile dialogue with her favorite brands would give her confidence that they were really listening. “I know on Facebook you can comment [on companies], but it seems like they wouldn’t read it anyway because it’s thousands of people commenting. I think it would be cool to have people that could interact back because then they hear what I have to say …and then maybe they can tailor their products to more what I want.

In Michael’s view, this interaction would effectively reward fans for being brand advocates. It should be done in a way that allows “people who really care about the product to actually have direct contact.”

And what would motivate him to engage in a conversation with his favorite brand?

In a word: information.

“I always love being in the know, especially knowing before everybody else does.  My friends call me ‘Mr Exclusive’ because I’m always trying to learn what’s coming out before the mainstream or before anybody knows about it. So I would definitely love to be part of a [mobile advertising] service like that.” What’s more, Michael would prefer text messages on his phone because he would always have them when he needed them most. “Then if a person asks me what’s the newest Sony TV coming out, I’ll just be able to tell them because I just got a text message on my phone.  I think it’s very convenient.”

Make me popular

All three digital natives what to receive mobile advertising – and they want to be able to turn it off when they want.

Ironically, these millennials would only turn off spam. Sandra, for example, would gladly accept as many as three messages per day from the brands she loves. Those messages could range from asking her input on a product or a service to rewarding her loyalty with an exclusive offer.

Dawn doesn’t mind a message per day per brand. In fact, she would be excited to get them (!).

As she puts it: “I like it when my phone is busy. I like getting text messages and stuff on my phone. So I’d be excited….It’s kind of like opening a present.”

My take:

Once again we come to the end of a no-holds barred conversation with digital natives that underlines the importance of empowerment. They want messages from the brands they like – and they want a mechanism to ensure that these messages are relevant and related to what they think is important. Put another way, these millennials want brands to ask them first – and they are fine with volunteering information that will ensure they receive more personalized advertising. Another point to note: a sincere interest in providing input to brands and being sure it counts. All three millennials think it is cool to be part of an in-crowd that has a direct channel to the brand – to provide ideas, feedback and also be the first to know about new products or services.

Listen to the podcast here. [15:20]

Editor’s note: We take a break next week for the Mobile Marketing Forum in London – which I will be attending, so please connect with me directly (peggy@msearchgroove.com), if you want to meet up there.

Next on our virtual tour of the world is India.

To identify these millennials – and all digital youth in this series -  I tapped the resources of the Market Advantage Youth Lab, an innovative primary research program managed by Alcatel-Lucent. Its ongoing and global research looks to understand how users (teens to adults) around the world experience marketing across all the screens they use (mobile phones, televisions, computers). I developed the questions, conducted the interviews and look forward to working with the researchers as I organize virtual roundtables around the world.

Disclaimer: Optism is an MSG client and supporter.

We build on the popularity of the first virtual round table (with Brazilian youth) and bring together three American millennials to find the answers to these questions: Dawn Gutowski, Michael Ayoola and Sandra Perez. The answer from this crowd is a resounding ‘yes’ to all of the above.

Their fierce requirements for permission (first!) and the opportunity to customize (personalize) their advertising also run through the podcast like a leit motif.

Text is best

The round table interviews also come on the heels of a new report about the mobile advertising opportunity in the U.S. market from ChaCha, mobile search and advertising company that accepts and answers text message search queries.

The company, which polled some 1,500 teens and young adults in the U.S., found that texting is the best medium for advertisers to reach teens and young adults. The majority of respondents (68 percent) said they prefer text. Ten percent opted for mobile voice calls and 9 percent chose Facebook.

Cat Enagonio, VP of marketing and client care at ChaCha, was quoted in Mobile Marketer as saying: “Teens are very hard to reach with ad messages since they tend to multitask and pay only a little bit of attention to lots of media….SMS text advertising does a better job of grabbing their attention than any other kind of advertising.”

The ChaCha findings dovetail with findings from other reports. A recent Pew Internet study focusing on teens and their use of mobile phones, showed that half of teens send 50 or more text messages a day, or 1,500 texts per month.

U.S. virtual round table

PERSONALIZATION MAKES PERFECT: It depends. But all three millennials indicated that getting what they want the way they want it tops the list. Sandra: “If I approve of …Godiva sending me a text message, since I actually really like chocolate, then I’m going to read it and ’say oh yes, I’d like to hear more from you guys.’

Dawn would also like to get messages from brands she is interested in. And, to ensure it all goes according to her wishes, she would appreciate a mechanism hat allow her to choose. “I think that personalization would be good. If you could personalize what kind of advertising you get or go to your favorite brands and have them send you stuff, that would be better.” Michael also likes getting what he wants the way he wants it. “I honestly do not mind mobile advertising as long as it’s not overdone…just as long as everything is balanced. I also agree [that] if we can personalize the advertisements, that would make it almost perfect.

PERSONAL DEVICES: Are youth naked without their mobile phones. Well, let’s say they know something is missing. As Michael put it: “I will say I don’t consider it a body part but I will say I consider it as a very good assistant. I have a Motorola Droid and so I use it almost as a computer…Just yesterday I left my phone away from me for an hour, I already had at least 10 text messages and like 30 missed calls, so I always need to have my phone with me.” Dawn and Sandra are particularly imaginative. Dawn uses her phone for “just about everything.” From an alarm clock to a tip calculator in restaurants, Dawn can’t be without her phone. Sandra uses Pandora to play music over her phone when she’s in the shower. And she is an avid fan of her barcode scanner to check prices and learn more about products.

MOBILE CLUES: The millennials said they would volunteer information about their preferences and hobbies in order to receive advertising that is more in sync with what really interests them. As Dawn puts it: “I think if they’re asking you about your interests and hobbies, it’s not a big deal. It’s not like they’re asking me my Social Security number, so I don’t think it’s a problem.” After all, the value she gets back in exchange (advertising that she is more likely to appreciate) is worth it. In fact, Sandra wonders why her mobile operator doesn’t do more to make sure she sees the ads and brands they she would appreciate.

* * *

My take

It’s not a scientific study; it’s a critical reality check. If you want to give millennials the advertising they will accept and appreciate, then ask them first. Another key takeaway: Millennials in this podcast expressed a strong requirement for personalization. Connect the dots, and companies that deliver the ads are well advised to provide a mechanism that will allow these millennials to choose the advertising delivered to their phones.

In Part 2 we ask these millennials about the brands they like and the marketing messages they would welcome. Would they like to receive exclusive news and information direct from the brand or have a bigger say in the products and services brands offer? Find out next week!

Listen to the podcast here. [12:23]

Editor’s note: To identify these millennials I tapped the resources of the Market Advantage Youth Lab, an innovative primary research program managed by Alcatel-Lucent. Its ongoing and global research looks to understand how users (teens to adults) around the world experience marketing across all the screens they use (mobile phones, televisions, computers). I developed the questions, conducted the interview and look forward to working with the researchers as I organize virtual roundtables around the world.

Disclaimer: Optism is an MSG client and supporter.

Tough questions that require brave answers.

I caught up with Freddie Laker – social media marketing authority, Asia trend-watcher and Director of Digital Strategy at SapientNitro an interactive marketing, creative design & technology services consultancy – to explore his views and insights in the run up to Social Media World Forum Asia (September 22-23, Singapore).

This event, organized by Six Degrees, brings together major global brands (Facebook, Unilever, Proctor & Gamble, BMW, OgilvyOne, Freemantle Asia) to discuss how they are using social media in their marketing and public relations strategies. Freddie will use the event to debut his take on top trends in a path-breaking presentation called Social Media 2013 that maps out the future of social media and marketing in Asia.

In many ways, the presentation will build on the insights Freddie collected in his first presentation (below), Social Media 2012. It counts almost 14,000 views and describes a future in which it isn’t just about social media. It’s digital, it’s interactive and it’s everywhere (!)

Asia will see a similar transformation.

However, the addition of mobile will have profound consequences.

Register while you still can to attend this high-calibre event — and quote that you’re a reader of MSearchGroove to receive a 15 percent discount.

My take

I won’t say that Freddie has all the answers, but he has identified the key variables brands and agencies should plug into their social media marketing algorithms. Among these: current mobile penetration, the requirement of people in rural areas for low-tech, high-value services, and the percentage of Asians who are engaging in social shopping (and valuing the advice/suggestions of their social networks over anyone else) — into the equation. Indeed, understanding these local developments is mandatory if brands want to remain relevant to their advocates.

Listen to the podcast here. [12:23]

Editor’s note: A personal thanks to Freddie for an invigorating exchange. I am honored that Freddie is not only on my wavelength; he has agreed to return to MSG after the event with an exclusive column outlining his vision of how social media and marketing will likely evolve across Asia’s rural regions. Stay tuned!

The report and its insights will be a big part of the presentation James Lamberti, InMobi’s VP of Research and Marketing, makes to attendees at the mobileSQUARED Roadshow (September 29, London), a one-day, interactive session covering mobile marketing essentials and strategy. A key part of the event gives delegates the opportunity to plan a mobile media campaign and buy appropriate mobile media. Each campaign will be matched against real mobile metrics to give attendees first-hand experience of how different types of mobile media work.

MSG community receives a 25% discount – email jo@mobilesquared.co.uk to receive yours!

MSG is proud to be a media partner for the event, which is organized by Camerjam, a U.K.-based mobile events startup headed by my esteemed friend and colleague James Cameron. Today we have also issued a press release about our collaboration via RealWire, the destination if you want your release to have reach and impact.

The roadshow brings together an exciting line-up of mobile marketing professionals and practitioners including: Adam Smith, Futures Director, Group M; Anna Rafferty, Managing Director, Penguin Digital; Hein Wils, Project Leader AR tours, Stedelijk Museum Amsterdam; Mikko Mattinen, Head of Online & Mobile, Veikkaus (Finnish Lottery); Miguel Tatay, Head of Mobile, ITN; Sarah Evans, Head of Mobile Internet & Portals, O2; Kate Karagholi, Director of Member Marketing, RCI; Ludovic Levy, Group Marketing Director, Orange Advertising Network & Chairman, Mobile Advertising Committee, IAB Europe; Mike Godwin, UK Managing Director, Movenpick; Steffen Krabenhøft, Mobile Director, Mediacom; and Fee Beyer, Product & Innovation, Deutsche Telekom.

InMobi July research report

InMobi’s report – the first in a series — highlights some surprising worldwide trends. Notably, Apple’s may have been able to capture a significant percentage of market share and mindshare in developed markets such as North America, but it will face much stiffer competition from Nokia and Android globally. Translated: In developing markets Apple’s walled garden model and high price points will cost it audience and appeal.

Meantime, Nokia – a company that has new leadership and a laundry list of product and marketing issues – appears to be the reigning (and sleeping) market giant. InMobi reports Nokia accounts for almost half (47 percent) of mobile ad impressions globally.

InMobi also ranked regional mobile markets based on a variety of factors that impact demand for advertising (including billing practices, publishers and inventory, operator data plans and the importance of the mobile channel relative to the other screens. The result: Europe is the healthiest market for mobile advertising – period.

Consumer sentiment

I caught up with James to deep-dive into the published results and discuss the first (yet unreleased) findings of the company’s ambitious consumer sentiment research. Naturally, the “scoops” had to be removed from the podcast recording (below), but I have the green light to share a few of the survey results here. (BTW: Researchers, analysts and thought leaders are encouraged to participate in the crowd-sourced qualitative research by contacting James and his team at research@inmobi.com. )

CALL TO ACTION: A welcome confirmation that an effective call to action is one that is inextricably linked with what we do most with our phones in the first place. “Therefore, a click-to-call action has the broadest appeal.”

MOBILE ADVERTSING ATTITUDES: How comfortable are consumers with advertising on their mobile phone? James reports that some 63 percent have said they are “very” or “somewhat” comfortable with receiving ads on their phone.” Since the research is work-in-progress, James expects that number will likely increase.

VALUE: What do consumers value in their advertising? James expected consumers to stress free content and discounts. However, requirement for personalization and relevancy tops the list.

Podcast with James Lamberti

ANDROID: It’s and never will be Apple vs. iPhone. Android is “set up to dominate in a way that will probably impact Nokia far more than iPhone.” But we shouldn’t lose sight of HTML5. Like many in the industry (including Tim Berners-Lee, who addressed the topic of apps vs. mobile Web at Nokia World), James is bullish about the outlook for the standard. “If it really takes off it could have a really transformative impact on the industry.”

PET PEEVES: The year of mobile advertising (!) Europe is the healthiest market and mobile advertising worldwide has arrived – so we can stop asking he question. “What we can talk about is the timing of the ad dollars… but it’s a foregone conclusion that  where the consumers are, the ad dollars and advertising will go.” James is also tired of comparisons between mobile and the PC that conclude they are both just screens. This is why his presentation at mobileSQUARED will emphasize why and how mobile is unique.

EUROPE: Europe is the place to watch the future of mobile advertising unfold. “For the first time perhaps in the history of media, the U.S. market is not necessarily going to be the innovator when it comes to mobile.” Instead other regions, including Europe, will steal the lead because they have an evolved consumer use of mobile phones.

Listen to the podcast here. [11:07]

Editor’s note: MSG proudly showcases premiere industry events and conferences worldwide. In addition to media sponsorships, MSG produces interviews and podcasts free of charge for select event partners to boost promotion and create buzz. Let’s explore ways we can collaborate to make your event stand out.

Dan — who will be speaking tomorrow at the Location Business Summit USA in San Jose, organized by the wherebusiness .com – gives us the scoop on some company stats, including the number of hyperlocal ads it has served, the number of publishers on board and the overall reach of the WHERE network.

Listen in to the podcast below for the numbers and the trends that WHERE shares with MSG (first!).

LOCAL ADS SERVED

A number that speaks volumes (literally) is the number of hyperlocal ads that WHERE served in the first week of July alone. Dan reports that the network served 30,000 ads in the course of one day in the area of the East Side of New York City (!) Dan is also bullish about the importance of being able to target on the zip code level. I tend to agree. After all, the ability to target on the zip code level allows local businesses and content owners to reach their local audience in ways that mobile apps (alone) can’t.

COMMERCE & CONTEXT

The raft of excellent reporting and case studies over at Mobile Commerce Daily document the trend to mobile shopping, commerce and integration between mobile and the POS (point of sales).

“We look at the activity post click-thru, and we found in the month of August that 11 percent of the click respondents clicked on a click-to-call on the landing page for the local merchant,” Dan says. “So, we believe that we’re truly in a place where we can help understand the context and the intent of the consumer and help drive them into a merchant location.”

LOCAL SEARCH

What’s next for WHERE? Discovery. The next step in the “evolution” is “how do we create a better engine for both the consumer and the merchant to discover each other.” In his view, WHERE has to become the company that “helps you discover other content, other places around you and leverage that ability to help merchants get in front of potential consumers.”

MY TAKE: WHERE has more than the right numbers to provide hyperlocal reach; it also has the correct strategy in place to potentially play a centerpiece role in mobile commerce. This is one to watch…

LISTEN TO THE PODCAST HERE. [8:15]

* * *

You can catch up with Dan at The Location Business Summit (September 14-15) in San Jose, California. Alternatively, you can always email Dan at dan@where.com and follow him on Twitter (@dangilmartin). Dan will be back soon to share a new product announcement and some additional stats that reveal the real state of hyperlocal mobile search and advertising.

In brief:

Asia is fast becoming a major focus for social media giants. Indonesia and Japan have risen to become the second and the third largest Tweeting countries; Facebook has opened offices in Asia and forged a partnership with Malaysian based MOL; and a recent milestone report from Nielsen confirms that social media usage has seen unprecedented growth in Asia Pacific in the past year and is now “one of the most critical trends” – period.

Against this backdrop, the region is a perfect test bed for mobile social marketing approaches (what I call the combination of mobile, social media and marketing). Little wonder that major global brands have quietly and cleverly harnessed social media to raise brand awareness and – ultimately – generate sales.

A textbook example of this is Toys “R” Us, one of the companies presenting at Social Media World Forum Asia (September 22-23, Singapore). It has placed social media at the center of a retail strategy sharply aimed at results. Specifically, the company integrates social media with other efforts (loyalty programs and barcode schemes, for example) to make and maintain contact with customers before, during and after their in-store visit.

PODCAST WITH ARGHA SENN

I caught up with Argha Sen, head of marketing and CRM of Toys “R” Us, where he is responsible for managing company programs across 8 countries in the region. He also directs the company’s multi-country loyalty program. We discussed the details of his strategy, the results of his barcode/iPhone launch in Taiwan, and the topics he will discuss during the conference.

The podcast with Argha – chock-filled with fascinating observations and figures – is one of my personal favorites, which is why I couldn’t edit it down beyond 15:45 minutes. I urge you to listen in and hear his pragmatic views on social media, personal mobility and how this all comes together in a shopping experience aimed to blur the boundaries between physical retail (in-store shopping) and virtual interaction (scan a barcode to engage via social media). Very progressive and extremely impressive! I greatly look forward to a follow-up interview when Argha can return to discuss some hard numbers and real results.

Among the highlights:

LOYALTY & RETAIL: As Argha sees it, the number one priority of all his programs is to drive people into the stores to buy toys. The linchpin of this advanced CRM (Customer Relationship Management) strategy is the Star Card program, the Toys “R” Us loyalty program that runs across six markets in Asia and counts some 2.3 million members. This program drives “about 50-60, sometimes even 70 percent of sales,” which is why it is crucial to make sure all social media efforts support it. How? Integration. As Argha puts it: “Ultimately, they are connected to each other….The Facebook page takes you to our YouTube channel, or the Facebook page takes you to our store or takes you to our website; the website takes you to our Facebook page and all of them drive you to the store.”

MOBILE: Mobile penetration in Hong Kong (where Argha is based) rates among the highest in the world, so mobile is a big part of the company’s strategy. “There are three things that a consumer in Hong Kong does not leave home without: one is the Hong Kong ID card, which you need to carry around with you all the time; the second is what we call the Octopus card, which is really a transport card that allows you to get onto the subway, the bus, the ferries; and the third thing that a Hong Kong person is never without is his or her mobile phone…. So, that obviously presents huge, huge marketing opportunities provided of course that it is done the right way.”

BARCODES: Unlike the U.S., barcode scanning in Asia is about information first and price comparison second. Apps such as Red Laser have not gained traction – yet. Instead, barcodes are the way to “link the customer to videos and other kinds of elements that we can’t always display in the store.” Barcodes also fill the information gap. “You can’t always get all that information from the store staff, so one of the things we are moving towards is [displaying] a QR code next to the product. The customer simply scans that and it takes him or her to a website or to a landing page or to a video explaining the features of the product.” The barcodes were also featured in the company’s summer catalog, allowing customers to scan the printed page and land at the website (where they can also see the video). “We see a lot of opportunities for us to continuously experiment with the QR codes and build this in-store engagement, and take the customer to information and offers that we normally can’t give in the store.”

POINTS & PAYMENTS: Argha is also interested in exploring CRM and developing more holistic programs incorporating coupons and loyalty cards that can be completely executed on the mobile. “Ultimately, there may even be a situation where the customer also pays with their mobile, like they do in Japan or in Korea.” Until then Argha shares his insights around a new service (available in Taiwan) that allows people with smartphones and to swipe a barcode and collect points. “In the future, instead of swiping the [loyalty] card, the customer will swipe the mobile phone and we’ve already launched this in all our stores in Taiwan. There you can actually scan your iPhone. We give you a barcode, the Star Card is digitized and turned into a barcode, and that barcode is stored in the customer’s iPhone. The cashier simply scans the customer’s iPhone instead of scanning the card, and that links to the database and that gives the customer the points and the rewards and the coupons and all of that.”

MY TAKE:

Toys “R” Us understands the fit between mobile, the fiercely personal devices we carry with us at all times, and CRM, the programs and approaches that treat us as a valued customer and individual. Argha tells me the complete CRM program will be executed over the mobile phone in the next two years. But it’s not just about the mobile; it’s about linking CRM with social media (YouTube videos and the company Facebook page) at the all-important point of purchase. Connect the dots, and the power of mobile in retail is proportionate to the level of integration at the POS (point of sales). Barcodes, coupons, mobile payments – these are all elements of an exceptional shopping experience, but it’s the integration that makes them truly effective. I’ll have more on this in Real Goods, Real Commerce & Real Results: The positive future for mobile operator billing platforms, a soon-to-be released white paper MSG has produced on behalf of Tego Interactive.

In the meantime, allow me to leave you with Argha’s key message to his peers: “Instead of treating this as a completely separate channel and a separate thing that only the marketing guys are involved in, we tend to integrate this with all our other marketing channels and all our other business channels. Now, if we do things here which are not integrated with the business, however cool they are and however award winning they might be, they really have no place here. We’re not here to win awards, we’re not here to get plaudits for our social media work, we are here to run a toy business and to get the customer to the store and to get them to buy toys.”

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The overwhelming positive response to this series (particularly to last week’s podcast offering small businesses some practical advice) indicates a growing interest among all the companies in teh ecosystem in understanding the mechanics of mobile marketing. Yes, we know that mobile marketing must be a conversation, but how do brands and mobile operators start one? And – more importantly – what should they do to keep the exchange going?

Authorities and stakeholders I have interviewed to date provide some important insights into the incentives and rewards that can wring more value out of this two-way conversation. In addition, this recent column from Lisa Ciangiulli, aptly titled Keeping the conversation going in permission mobile marketing, is chock-full with practical advice and learnings.

But, when I saw this well-written post from Josip Pertusa, explaining why and how brands should market to millennials, I just had to reach out. Fortunately, Josip, true to the stereotype, lives an extremely connected lifestyle. He responded within minutes to my tweet and then we jumped on Skype to set up the podcast for first thing in the morning his time. (Josip is based in Canada.) My personal thanks to Josip for his flexibility – and for a frank discussion about how millennials really feel about their mobile phones.

We know that millennials live their lives on their mobile phones, but Josip’s description of this relationship says much more. For him – and for his peers – the mobile phone is “an extension of ourselves” and “almost a best friend.”

Based on the nature of this relationship, marketing has to be personal and permission-based. Interestingly, companies that have moved their focus from mobile to social – thinking they could cover more ground with a Facebook page and a Like button – may be short-sighted. Josip made it clear in the interview that millennials want to be treated as individuals. While they may interact with companies in social networks, the conversations they conduct directly with the brands on their mobile phones are much more meaningful.

Among the highlights:

SOCIAL MEDIA FATIGUE: In Josip’s view, there is an “over-emphasis” on social networks. “Agencies, marketers, advertisers and brands that focus on social [sites] are taking a traditional approach” that is still all about reaching large numbers of people. At the end of the day, a presence on a site is still about reaching everyone, everywhere. “Because so many people are flocking to social media and social networks, the [brand] strategies often assume that people will flock to that brand and flock to that message, and that doesn’t seem to be the case.”

MOBILE ME: Mobile is a core part of a millennial’s existence. “Millennials absolutely cherish their mobile phones.” It never leaves their side – and companies must keep this in mind when they deliver their marketing campaigns.

MARKETING HOW-TO: The device is personal – and the marketing message must also be meant for the person who receives it. No one else. As Josip puts it: “It has to be exclusive to our ears in a way, it has to give us a reason to be listening…They want to [feel] that they’ve got the inside deal. The message is sent to them.”

OPT-IN: Absolutely mandatory. “It’s extremely important to the relationship. And there’s so much strength in that [relationship] for both sides. We are opting-in to the message; we are willingly saying that we want to receive your messages. With that being said, we, in turn, would like to receive messages that are actually relevant to us.”

THREE THINGS YOU HAVE TO DO: Josip gives brands advice and offers a three-point list what companies need to get right to get millennials’ attention. Listen in to the podcast and take notes. A clue: it’s all about getting personal – at every level.

MY TAKE:

Starting the conversation is just half the battle. Millennials know they are in control, and they can and will stop interacting when they sense the message is random or the brand doesn’t care. I leave you with a phrase that should be hanging in every boardroom everywhere (inspired by my discussion with Josip): If it’s meant for millennials, it has to be personal.

Editor’s note: But don’t take my word for it – check back in the next weeks when MSG features a series of virtual round tables recorded with real youth in Brazil and the U.S. How should brands treat digital natives? We don’t guess; we ask them!

* * *

As an insight specialist on Millennials, Josip Petrusa explores how Millennials engage and react with social media, mobile communications and marketing. As a blogger on http://itsjosipnotjoseph.com/, he analyzes what it is to be a Millennial and provides us all a better understanding of how we should interact with Gen Y. You can contact him via email (josip@itsjosipnotjoseph.com) and follow him on Twitter @josippetrusa.

LISTEN TO THE PODCAST HERE [11:50]

Disclaimer: Optism is an MSG client and supporter.