Mobile El Dorado

2009-08-11

Mobile telephone became inseparable companion in our life. According to market trends we can assume that this casual relationship soon will convert into marriage sacred by law and tradition. The main reason is that there is significant yet unexplored potential in mobile phones. Article published on business portal CorpNews.pl explains which fields are the most attractive for telephony.

According to GUS there are 44 427 000 active SIM cards in Poland, and penetration of mobile market is now 116,5%. Mobile phone is only channel beside Internet which generates for mobile advertising constant growth of revenues. Rapid development of mobile technologies convert this mobile phones in tools for multimedia entertainment and payments.

Advertising
 
Research and Markets (R&M) report indicates that world expenses on mobile advertising will increase in current year 59%. Juniper Research predicts that mobile ad will receive 1,5 billion people. Until 2013 along with internet activity mobile marketing will gain 19% share in global marketing expenses (PricewaterhouseCoopers). Mobile phone attracts advertiser by its universality, effectiveness and ability to attaint adequate target. Large-scale actions like great lottery Orange with 150 BMW to win are no surprise.

Internet
 
Even though we use mobile Internet occasionally, we become more and more convinced to it. Mobile internet market is growing 30-40% a year and in Poland use it 1 million people. Factors which influents on growth of this values are fall of connection costs, larger number of public hot spots and WiFi phones and release of frequencies by analogue TV that is withdrawing for its digital version. Although potential of growth is promising, still mobile internet is used by only few percent of mobile telephone users. Much more important are for them SMS messages. Regular uses it 87% German, 82% French or 81% British. In Poland use of SMS declared 93,7%, MMS 41,3% (WAP/Internetu - 3,5%). For 18,8% SMS are even more important than calls (INDICATOR 2009, UKE).
 
Multimedia
 
Portio Research estimates that mobile entertainment market will grow twice until 2013 and reach 47 billion USD worth  (24 billion USD in 2008). This category includes music (dominant element worth almost 12 billion dol. in 2008), games (10 billion dol. worth, in Poland 5-8 mln PLN according to Gazeta Prawna), mobile video services, chats and other applications. Thematically mentioning requires also mobile erotic (2,2 billion worth according to Juniper Research) and esoteric. Along with popularity of easy in production applications based on Java, increases significance of mobile as center of multimedia entertainment. Funny application on iPhone - iFart (in Poland is available version created by Mobiteam called Pierd) which gives indecent sounds, was downloaded by several thousands of users all over the world. It’s example how much potential there is in entertaining posssibilities of mobile phone. Mobile added services in Poland (wider category than mobile entertainment and advertising) is estimated to be worth 930 mln PLN (in 2009 it is going to be 1,1 billion PLN according to PMR).
 
Payments
 
Gartner analysis predicts that in this year number of people who regularly uses mobile payment systems will reach 33 millions globally. In next three years time this number is going to triple. Potential of this market explains concern in its development from all major players not only on mobile market. All major cellular operators in Poland, payment systems and national institution commits in tests of this services. By mobile phone we can pay for cinema ticket, public transport or for parking. It the matter of time when mobile phone will become our second wallet and we start to transfer our money and apply formal documents (mobile safe electronic signature offers Plus).
 
Income  
 

Telephone could be source of income, way to increase profit for example social internet project or idea for generating additional income from print magazine. One need just attract users in appropriate way for sending Premium SMS. Generated SMS traffic its profit for operator and after giving him his shares also for content provider. Example of appropriate use of mobile source of income is Facebook, leader of world internet community portals. Web giant made it easy to manage profile from mobile phone level and offered for example possibility to add in this way pictures and videos and  read out using SMS messages from friends. In familiar way run Mobiteam projects for Epuls.pl portal which allows users to send  SMS greetings their moms participate in mobile contest on Children’s Day or to download on mobile phone sport games prepared especially for World Cup in football.
 
Marek Radochonski, Chief Commercial Officer, Mobiteam Sp. z o.o.:

Mobile phone on every step proves that it has still a lot to prove. To tell the truth we have started to economically extract mobile phones recently. Along with technology development mobile phone become multimedia center of entertainment, payments and knowledge. After it goes money. For advertising agencies, producers and multimedia content distributors, bank, operators, media and casual companies. I suppose that future of mobile telecommunication is integration with other communication channels, especially Internet, which will replace many services  offered by operators (for example voice connections).

CorpNews.pl, 10/08/2009, "Mobilne eldorado"

Partners in Business

Mobiteam is a partner for:

  • Companies representing all media distribution channels,
  • Mobile operators,
  • Content aggregators,
  • Wireless application providers,
  • TV producers,
  • Mobile solutions brokers.

References