E-Business Consulting, IAB Italy affiliated, participated at the last IAB Lounge, a meeting of IAB Italy created to consolidate and expand the knowledge of IAB members. IAB Lounge was held on 21 March 2012 at the Santa Teresa Gallery in Milan and saw as honor guest Nihal Mehta, CEO and founder of Local Response ENIAC Ventures, an authoritative voice in the field of mobile technologies Business Week called "M-Commerce Baron".
Nihal Mehta talked about trends in interactive digital communication, regarding in particular the relationship between social and mobile marketing. He described the past, the actual and the future scenario of mobile technologies, thanks to his practical experience regarding some really successful launches in the US, “showing that the interaction between social and mobile may be a lever for substantially reinforcing the company's business".
Nihal Metha traced a history of mobile marketing, born in 1994 with sms using promotional code to gain discounts or offers in shops. In 2002 another revolution was the introduction of WAP system using text links. This was Mobile 1.0 phase.
The real watershed was the presentation in June 2007 of a new concept of mobile phones: the iPhone. So, with the diffusion of smartphones, from 2008 to nowadays we can say we are in the Mobile 2.0 era. Mobile web (banners and interstitials) and rich media (video and downloads) are quite diffused, but still 60% of clicks are accidental, so we could say they are still not the right ad unit and we have to try something more efficient. Also Bluetooth and QR codes are not that efficient, as the first in opt-out and not that diffused, and the second one need a QR reader app to work. In this context, Nihal Metha stated mobile adv today doesn’t take advantage of mobile characteristics: real time, location and contest.
Real time, location and contest will be the base of Mobile 3.0. The new era has just begun in the U.S. and hopefully will spread all around the world in the next years. Among others, new tools for marketers are NFC technology for payment via mobile (PayPal, American Express, Google), Geo Carrier Sms and Inaudible Tones. Videos are still not that used, due to 3G speed, while Facebook will see an increase of promotions in a bilateral exchange between users and brands. On promotions are based also Rewards, which gives a particular offer, instead of a general ad, after a user win in an online game, taking advantage of that moment of happiness to stimulate a purchase. Intent, on the contrary, analyzes data broadcasted by user into social networks and more generally on the internet, to stimulate a direct response with retargeting. Retargeting won’t be just related to a platform, but marketers could benefit of cross-platform retargeting to have a unified advertising on PCs, smartphones and tablets.
So, what will be the metrics for mobile marketers? Now we are shifting from CPM (cost per impression) and CPC (cost per click) to CPA (cost per action), but in the future we could also consider CPT (cost per transaction), thanks to the development of technology in the mobile sector. In this scenario, Nihal Metha foresees a total investment of $ 6 billion in mobile marketing at the end of 2012.
E-Business Consulting has many years experience in delivering mobile campaigns and offers consultancy for companies that desire to discover and use the full potential of mobile marketing.