Mobile payment » mobilegroove

In brief: Building on the tremendous positive response to a recent talk on app marketing I catch up with Mike Lurye, Director of Product Marketing at Amdocs Interactive, to connect the dots in the models that will enable a developer/retailer ecosystem, pave the way for a Long Tail of app

This week the Carnival of the Mobilists – the weekly line-up of the best blogs and bloggers on all things mobile – comes to us via Andy Favell over at MobiThinking, a valuable resource with a good selection of mobile advertising stats, reports and white papers. Between Andy's outreach for old and new Mobilists to submit posts –and my eager tweets (@COTMobilists) encouraging more people to get involved – the COM attracted a whopping 40+ submissions(!). Thanks to Andy for his extra attention to collecting and ranking posts leaving us with the 10+ posts that made the grade.

In brief: This summary – which includes excerpts from an exclusive interview Marc Overton, Orange VP of Wholesale, Business Development & Partnerships – examines the mobile operator's mobile advertising strategy; outlines Monkey, the first of a slew of services specifically based on the Blyk model; and wraps up with insights from Alan Moore - an authority on social media marketing and founder of the Engagement Communication Consultancy SMLXL – who points out that content/services subsidized by advertising may have to be more than free to fly. On the heels of the extremely popular posts on Blyk and MSG's exclusive interview with Pekka Ala-Pietila, CEO and Co-founder of Blyk, the timing is perfect to deep-dive into Orange UK's mobile advertising aspirations now that it has formally folded Blyk's MVNO activities into its wider strategy. The first service that draws from Blyk's mobile advertising model – an approach built from the ground up to encourage a dialogue between brands and people that want to her their message by delivering people relevant advertising in tune with their preferences and profiles – is Orange Monkey. The first Pay As You Go (PAYG) package for the U.K. market offers free music to customers when they top up their mobile. (Although PaidContent suggests the service is not about free music since the tunes you get to listen to (not own) when you top up add up to about 600 minutes each month. This translates into GBP2.14 ($3.53) for customers regularly paying GBP30 ($49.23) in phone credits. But that may just be picking nits since people are getting music at no extra cost.) More about Monkey: it provides exclusive music, pre-release tracks and other content from Universal Music's catalogue and relies on British broadcaster Channel 4 to get the word out to the target demographic (16-34 year-olds with mass market phones) via the Channel 4 portfolio including 4Music, billed the most watched music channel in the U.K. A clever twist and nod to the power of multi-channel promotion: The 4Music team will be the editorial voice of the official Monkey website which will carry news, artist features, playlists, exclusive content and competitions. (Check out the Orange site for more details and a video demo of the service.) The promotion is about building buzz, loyalty and community. So, where does/will Blyk's mobile advertising approach come in? The focus on engagement and social networks is baked into the offer. As well as free music, Monkey offers customers free texts, allows for playlists to be shared on social networks, and it "delivers great offers from relevant brands direct to their mobile." Prior to the Monkey launch I was pre-briefed by Marc Overton, Orange VP of Wholesale, Business Development & Partnerships, who walked me through the concept and – more importantly – where brands and Blyk fit in the scheme of things.

SMARTPHONES ACCOUNTED FOR ALMOST THREE TIMES more usage than their relative market share, according to AdMob's April 2009 Mobile Metrics Report.The report compared usage of mobile websites to usage of HTML sites on mobile devices and found the relative usage of both to be highest on Apple and Android devices. The iPhone's OS had 8 percent of the smartphone market, yet generated 43 percent of mobile web requests and 65 percent of HTML usage. Ad requests from applications are said to have contributed to this heavy usage. Source The bottom line: As illustrated numerous times within this section, the data dominance and superior browsing experience allowed by smartphones is undeniable. Making mobile Web user experience smooth, easy, and compelling - as these handsets often do - is shown to consistently drive mobile data traffic. That many consumers probably can't tell and don't care about the difference between mobile websites and HTML sites is also testament to technical developments. *** GARTNER SAYS THE NUMBER OF MOBILE PAYMENT users will increase by 70 percent this year. Its report claims that 73.4 million users of mpayment in 2009 would represent a leap of 70.4 percent from 2008. By 2012, it says mobile payment will reach more than 190 million, more than 3 percent of total mobile users worldwide, attaining a level at which it will be considered "mainstream." Gartner defines a mobile payment as paying for a product or service using mobile technology such as a short message service (SMS), Wireless Application Protocol (WAP), Unstructured Supplementary Service Data (USSD), and Near Field Communication (NFC). It includes transactions that use cash, bank accounts or debit and credit cards, as well as non-carrier stored value accounts, such as travel cards, gift cards or PayPal. It does not include transactions that use mobile operators' billing systems, such as purchase of mobile content or telebanking by mobile to the service center via an interactive voice response (IVR) system. Source The bottom line: Although the definition of mobile payment is ambiguous here, these figures demonstrate that the mass market is slowly growing confident in using their mobile to pay for and transfer money. Much effort has been made to foster consumer confidence in the micropayment mobile payment space, and the adoption of mobile banking technologies still varies drastically from region to region. There are regulatory and security challenges to overcome, particularly with the emergence of NFC technologies, but these figures give strong reason for hope. *** SPEECH APPLICATIONS ARE TO TRIPLE by 2014 according to a new Datamonitor report. The report claims that as we get used to using mobile computing devices in 'hands-busy', 'eyes-busy' environments, speech recognition technologies are expected to gain considerable traction. The global market for advanced