Entrepreneurs.my in collaboration with Rice Comms of Singapore bring to you ‘The Entrepreneur Speaks’ series, where we will be interviewing successful entrepreneurs and chief executives for the fast growing companies in ASEAN. This week, we have, Kerstin Trikalitis who is the CEO of Out There Media, the international leader in Mobile Advertising. She is one of the most influential figures in the global mobile advertising sector and has previously held leading management positions in international companies.1. Mobile advertising is growing rapidly as a preferred advertising medium for companies to reach out to consumers in today’s modern market situation. However, young businesses and startups tend to think that mobile advertising is expensive. What are your opinions on that?
As I have mentioned before, the challenge of the industry in Asia Pacific today is education about mobile advertising. While mobile is fast gaining traction in the region, there are a number of marketers who are still hesitant in adopting mobile as a viable channel in their marketing strategy.
We are working with the industry to help brands and marketers better understand and appreciate the benefits of going mobile. We will first need to debunk the myth that mobile is expensive, by highlighting that the ROI of mobile advertising transcends the cost to run a campaign on mobile.
We identify that some of our customers are able to have up to 70% savings when they go mobile, and bigger brands in general see a significant cost saving that is higher than 50% on mobile. That is something we need to highlight to young businesses and startups as the rate of savings that mobile can offer will benefit them in the long term.
2. Can startups or young businesses with limited capital really afford mobile advertising? If so, what platforms or channels would you propose that they can use.
A mobile campaign is in fact the most cost-effective advertising technique in comparison to traditional modes of advertising, and startups and young businesses should definitely consider the benefits that they can gain when they advertise on the mobile platform.
Through the mobile channel, startups and young businesses will be able to take more control over the ads that they would like to distribute and the time that the ads are being delivered to their customers. They will also be able to target a larger pool of audience yet still being able to ensure high relevancy for their ad messages.
Of course, ultimately, it depends on the marketing objectives for these startups and young businesses when they are considering spending on mobile advertising. At the end of the day, any marketing effort would need a level of investment and should tailor fit to resources and bandwidth.
In emerging markets where feature phones are more popular, these small businesses can tap on SMS advertising in reaching out to their customers.
Advertisers can also adopt the SoLoMo model, where they integrated the social and mobile aspect of their campaign and use the mobile channel to drive traffic to their social media outlets. This will help maximize their communication outreach to their customers and give them traction and boost brand visibility among their target audience.
3. For major brands and companies, it is arguable that mobile advertising has become a norm for them with their huge budget and reach. However, that would also give consumers so much ‘Noise’ of advertisements flashed across their mobile devices – How does one brand or business differentiate their mobile advertising messages from the rest?
In the digital age where there is a lot of ‘noise’ on mobile, brands should not just use mobile advertising to generate one-way communication with their customers, but see it as an opportunity to engage and build a relationship with the potential customers as well.
At the end of the day, the differentiating factor for a brand’s mobile ad from the other ads available in the market is the value proposition that it offers the target audience. By offering the audience something that will be of interest to them, you are likely to generate hits from the message.
One example we can take is from the Nestle Cheerios SMS campaign which Out There Media helped execute in January 2011. The campaign was run to drive awareness on Nestlé Multi Grain Cheerios and the ‘Dear Nestlé’ community. The SMS ad saw a response rate of 37.5%, with a conversion rate of 42% from the response that we have received.
The important thing is to have something to offer which will entice consumers to react or respond to the marketing message. In this case, Nestle had offered the first 1000 sign-ups for the Dear Nestle membership a free sample of Cheerios when they click on the link which was included in the text message.
As mentioned, brands should also engage and build a relationship with the potential customers. Nestle kept in touch by reaching out to them one week later with an SMS reminder, which resulted in 34% increase in total registrations in all. This differentiates the brand and the campaign in its ability to keep their customers hooked to achieve the campaign objectives.
To be continued next week for Part 3 – Strategies to Create an Effective Mobile Marketing Campaign!
### Special Thanks to Kerstin Trikalitis, the CEO of Out There Media Pte. Ltd. for sharing her thoughts on the mobile industry ###
About The Entrepreneur;
Kerstin Trikalitis is the CEO of Out There Media, the international leader in Mobile Advertising. She is one of the most influential figures in the global mobile advertising sector, being responsible for the company’s growth across markets in Europe and Asia. Kerstin has over 12 years of experience in the mobile industry, where she has previously held leading management positions in international companies.
About the Company: Out There Media Pte. Ltd.
Out There Media is the global leader in Mobile Advertising. The company is headquartered in Vienna and has subsidiaries in Dusseldorf, Singapore, New York, Moscow, Kiev, Athens and Sofia. Today Out There Media has partnership agreements with 40 mobile carriers across Europe and Asia, reaching approximately 500 million subscribers via its multi-channel mobile advertising marketplace, Mobucks™. Mobucks is a cross-carrier, cross-advertiser marketplace that matches demand and supply for advertising over mobile telephones. Out There Media enables carriers to monetize their inventory, advertisers to engage with their audiences in a targeted and effective manner, and consumers to enhance and improve their everyday lives. The company’s website can be found at www.out-there-media.com.
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