Mobile advertising comes in for a lot of criticism in some quarters. Banner ads on mobile don’t work, so the argument goes; they are too intrusive and people d
|Scooped by Karl Michaud|
The MobileMarketing article, Fair Exchange? - David Murphy - deflates the exuberance for mobile marketing, cautioning that to be successful the customer must buy into the value proposition. Murphy notes, “that global spending on mobile advertising had more than doubled in 2013, hitting $17.96bn . . . mobile will account for virtually all – 94 per cent – of that growth <UK 2014>.” Despite significant growth in mobile marketing, unlike many authors’ articles that rave about it, Murphy cautions his readers by analyzing why three companies: Ovivo Mobile, Blyk, and Textmedia.biz failed miserably. These companies tried to reward customers with either free minutes or money for watching ads. In all three cases many customers did not feel the value exchange was sufficient. Murphy states if “. . . the thing has a chance of going viral, and then you get the sort of numbers that start to attract the interest of brand advertisers.”
Muphy writes about one example - Samba Mobile – which “claims to be enjoying success. . . . <but he> can’t help thinking, however, that anyone in the business of offering free airtime in return for looking at ads faces an uphill struggle to achieve critical mass. . . . the amount of promotional material you have to consume to get a decent reward seems excessive.”
In Marketing: An Introduction, Gary Armstrong cautions that, “. . . companies must use mobile marketing responsibly or risk angering already ad-weary consumers.” (p. 541) While the growth in mobile marketing will likely continue to trend upwards, like all “new” methods, it will take time to figure out how best to use mobile marketing to be successful. Clearly, it is not as simple as offering minutes or money for people’s time – legitimate value propositions, like in all other marketing plans are required for success.