BusinessWeek takes a closer look at marketing on cell phones.
I’m not sure what’s hype and what’s reality, but the head of Verizon is pretty optimistic:
John Stratton, chief marketing officer at Verizon Wireless, the leading U.S. wireless service provider after Cingular, recently told advertising execs he believes mobile advertising will eventually grab 25% to 30% of the approximately $100 billion spent on branding in the U.S. each year. Considering that U.S. wireless operators generate about $100 billion in service revenue annually, the industry is eyeing one of its biggest revenue opportunities in decades.
But the article goes on to cite some stats that don’t seem to share Stratton’s optimism:
The trick is finding the right incentives. A Jupiter Research survey of 2,200 consumers in May showed that 20% say they might be induced to receive promotions if it comes with free airtime, ringtones, games, or a free new cell phone. Discovery Channel has a different approach. It sends users trivia questions related to coming episodes of I Shouldn’t Be Alive.
But 80% of mobile users are adamant about not wanting any ads at all. And it’s that majority that will determine whether mobile marketing really lives.
I’m just not a big fan of cell phones. I have one, but I try to use it as little as possible. Am I in the minority? Are you watching video on your cell phone?
