Editor's note: This provocative guest column from Andy Bovingdon, Bango VP Product Marketing, takes a hard look at the critical questions publishers, developers and advertisers need to ask themselves as they architect truly effective mobile strategies. Should the Apple iPad, just now coming to Europe, be considered a mobile device (and therefore take a central role in mobile strategy)? Or do other factors beyond technology play a deciding role?
In the run up to launch of the iconic iPad device it's no wonder that the topic has come up in several recent mobile marketing meetings with clients and colleagues alike. The emotional bond – even obsession – with this device is understandable. But the need for hard-nosed business realism (particularly if you are a publisher or marketer aiming to delight your particular customer base or target demographic) is much greater.
ARPU FIGURES DON’T GIVE AN ACCURATE PICTURE OF INDIVIDUAL SPENDING, says a new report from Wireless Intelligence, because of the proliferation of multiple connections per user. For instance, in North America, the reported penetration rate is 92 percent, but when you take out multiple connections with the same user, the real rate is just 71 percent. Consequently, spending per user is $64 per month, rather than the reported $51. In Western Europe, the per user figure is €33 per month, while the per connection rate is €23.
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The bottom line: The ARPU metric has been under fire for some time, not least because it only looks at revenues, and says nothing about profitability. Consumers having multiple connections is a trend that will proliferate, as more users get 3G dongles, e-book readers and other types of connected devices. This trend could accelerate the move towards another key metric in the industry.
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MOBILE MAPPING GROWING, BUT PC SITES STILL RULE, according to ABI Research. The firm says that internet mapping sites will get 440 million monthly visitors next year. ABI has also noted that while big names like Google, Mapquest, Sohu and Baidu currently dominate the mapping space, more and more players, such as navigation vendors like TomTom and NAVTEQ, and even mobile companies like Nokia, are launching their own navigation sites.
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The bottom line: Expect mobile use to fuel the next stage of growth in mapping services, as more and more devices get GPS functionality, making maps so much easier to use, and mobile mapping applications improve. PC mapping isn’t going anywhere, but mapping on the mobile makes much more sense in many scenarios. This calls into question the need for standalone GPS units – which is why GPS vendors are pushing hard into the mobile space.
September 18, 2009
Tags: Baidu, Best Buy, BMW, Coke, Google, GPS, Lufthansa, Mapquest, mobile analytics, Mobile mapping, Mobile Marketing, Mobile Marketing, NAVTEQ, Nike, Nokia, P&G, Sohu, TomTom
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