Beyond SMS Ads to Customer Insights and Offers: Heres The Next Generation Mobile Marketing Ecosystem

Currently, mobile marketing makes up just a small portion of the online advertising market. Yet its potential is high—thanks to its ability to specifically target consumers with interactive marketing offers at any time. That potential appears especially high when it is considered in the context of the development of social local mobile applications (popularly known as SO-LO-MO). Large telecommunications operators are already preparing to take advantage of this opportunity, yet the competition will be fierce. Advertising networks, Internet players, specialists in mobile ad technology, and systems integrators  are all looking to build a strong position in the mobile marketing value chain in hopes of capturing a significant portion of this new revenue stream.

Telecom operators tend to view mobile marketing as a way not just to boost revenues but also to fund new digital services that will enrich their content offerings and reduce churn. What differentiates the incumbents from the rest is that they have access to invaluable, targeted customer data. Telecom operators need to partner with merchants to find innovative ways to monetize their greatest asset –  rich subscriber data.

Successful telecom operators are already embedding new capabilities into their operating models to improve cost effectiveness, monetize subscriber data and partner with merchants and brands to unlock significant new revenue streams for operators. Here are some examples:

• Offer marketers and merchants powerful insights into how to segment and target customers
• Build large databases of qualified subscribers who have opted to receive offers and rewards from these marketers.
• Mobile payment services that allow customers to buy advertised products through their mobile account without having to provide sensitive personal financial information via the mobile internet.