Ad Funded Mobile Content and Services

What is it?The distribution mechanism is usually via MMS or SMS
Mobile content is defined as interaction on mobileand WAP push, where a text message is sent with a
outside of peer to peer activities, mainly voice anddownload link. This is usually triggered by a request to
SMS. Content includes pictures, audio, video anda shortcode (five or six digit number) from the
applications all of which require storage or installationmobile user.
on the mobile handset.The means of promotion of this content are varied,
The growth in mobile content has developed frombut are usually through tie-in's to media campaigns
the ring tone and picture background markets of thesuch as television, press or billboard advertising. On
early millennium, through to a more complex range ofthe mobile side, the operator portals are currently
content including video, games and applications.regarded as the main point for distribution, however
A combination of better handsets, improved dataas more direct to consumer channels develop they
speeds and data pricing means that the level ofwill offer viable means of distributing advertising-led
content downloads are predicted to increasecontent. With this development there are an
significantly.increasing number of ad-funded content providers
With a many recent scandals connected to Premiumconnecting brands to both content and consumers.
Rate Messaging, there is a significant public distrustFrom an advertisers point of view the ability of
with this billing method for content. This presents andmobile targeted, location and time-sensitive content
opportunity to brands who are able to fund contentcould make it an attractive proposition.
and delivery it to the mobile user for free.So far, content funded advertising has been slow to
Conversely, whilst direct marketing to mobile throughtake off and meet the predicted levels, however a
is increasing, many users and some brands see thisnumber of recent campaigns have shown the
as intrusive. Ad-funded content offers brands apossibilities.
different relationship with the mobile user by givingOne mobile advertising portal surveyed it's user base
the benefit of free entertainment or information.of 16-25 year olds which showed that nearly 50%
A report by the Mobile Entertainment Forum (MEF)would accept ads in return for content.
believed that ad-funded mobile entertainment inA few examples
games and video to generate revenue ofOrange have trialled ad funded content with brands
£145m in the UK by 2012such as Coke and Saab advertising in downloadable
How does it work?games (see J2ME applications).
As brands are looking for new ways to promote toMySpace in the US have been testing similar
their markets, mobile content advertising offers themadvertising funded content.
a new channel with which to do this. Within video orThe 2007 Big Brother switched its mobile video from
gaming content, this is typically through a pre-roll orpremium rate payment to advertising funded
splash screen advertising. However there is a movereported a four-fold increase in the downloads.
towards brands to move beyond a simpleThe mobile network, 3, launched an ad funded video
sponsorship model by developing their own content.service in summer 2007 gaining over 1 million
This is done by working with mobile contentsubscribers in the first 6 months.
developers and creators.