Telemedia Magazine Issue 28

issue 28

SMS ROCKS

Interaction for everybody the easy way

Total Immersion TV and print media interaction 2.0

Aces High

M-gambling set to roll

Retail Therapy

What retailers want from telemedia

Checking out

Understanding today's m-payment needs

SHOW PREVIEW PAGE 23 Telemedia360 The Loft, Leeds

11 May 2011

PLUS Social media; the new OS > How Facebook can help media companies > PRS fraud costs rise

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features Family viewing

Participation TV is back, but while SMS is still to make a return in the voting arena, things have moved on, with apps and social media shaking up how PTV works, while delivering growth for PRS. Paul Skeldon reports

All the news that’s fit to sell

Monetising print media is about finding new revenue streams, but perhaps some of those lie not in clever new services, but it looking at the relative value of the content on offer. Paul Skeldon speaks to some key international media players to gauge opinion

Short but sweet

While smartphones and apps, mobile web and m-commerce gain all the headlines, good old SMS is still a huge revenue generator and is sitting at the heart of how social networks, media interaction and payments are conducted over mobile in 2011. Paul Skeldon reports

Conversational marketing

SMS is the marketing tool of choice brands and retailers as it reaches the maximum number of handsets, is quick and easy to do and offers a staggering 97% hit rate. Paul Skeldon takes a look at how Debenhams has put it to good use

A stitch in time…

Saves £38m: SMS is still the interaction and messaging medium of choice, but it is also playing a role in delivering better healthcare and saving the NHS a lot of money, says Shane Leahy, Group CEO at Oxygen8 Communications

360 23 Telemedia Show Preview

Full details of what to expect at T360 Leeds on 11 May, the leading one day boutique event that puts the media in front of the people who are going to monetise its interaction – offering an overview of the seminar programme, the workshop sessions and some details about the sponsors and exhibitors

Where the smart money is

2011 is going to be the year of mobile gambling. No, really it is. The technology has long been in place, but now that consumer demand is there, gambling operators are opening up to its possibilities, finds Sheldon Johns

Understanding mobile retailing

While mobile has been a commercial tool for many years, its big money lies in what retailers do with it – and that will impact how telemedia exploits the sector. Kevin Ertell, Vice President, Retail Strategy, ForeSee Results, assesses the mobile retail space to help point you in the right direction

Where for art thou m-commerce?

While mobile offers retailers a huge opportunity, are the mobile operators, aggregators, billers and telemedia companies able to take full advantage of it?

Bill Randall, director of WJR Digital, thinks not

What commerce needs

With UK consumers displaying a clear interest in mobile commerce, now is the time for retailers to ensure they understand the ways in which a platform can be built and the core objectives that a platform should achieve, says Rob Isaacs, Mobank

VAT and the future of PRS

Nick Dixon Commercial Director of Core Telecom takes a look at one of the lesser reported impacts of the UK’s move to 20% VAT – what it means for premium rate numbers

It’s a wrap

Monetising content through apps is becoming increasingly difficult, hampered by apps stores, operators and everyone else in the value chain. But, as Jens Lauritzson is CEO of Flexion points out, there is a new way to make money from mobile content

regulars 04 Comment Social media: the new OS? Social 06 Opinion: Media

At the heart of everything – including PRS

06 Opinion: Advertising

Smartphones are driving up m-ad spend, but are consumers listening?

Media 07 Opinion: Joanna Shields, vice president

and marketing director EMEA, Facebook, explains how Facebook is there to enhance the media, not destroy it

PRS 09 Opinion: Premium rate fraud costs UK

mobile industry up to £140m per year – and that means not just networks, but aggregators, service providers, third parties, brands and anyone else in the value chain

The Agenda 10 What the industry’s regulators and trade bodies have been up to

42 Directory The industry’s only listing of who does what

46 People Keeping tabs on the movers and shakers

telemedia issue 28

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Social media: the new OS for telemedia success?

paul skeldon

n the six months since the last issue of Telemedia magazine, the telemedia industry has shown signs of recovery. Industry trade asociation, The Association for Interactive Media and Entertainment (AIME) unveiled strong revenue figures for the premium rate sector Q3 2010, driven by an increase in growth across mobile (7%) and fixed line payment channels (9%) out payments generated by premium rate services are up with an overall increase of 4.8% to £145m for the quarter.

Cross mobile operator micro-payment service, Payforit, has also grown by 7% for the quarter, indicating ongoing consumer acceptance and trust in buying content and services via the mobile device.

At the same time, complaints to premium rate regulator, PhonepayPlus, are down to an all time low of just 1100 for the same period – a ratio of one complaint to every 112 thousand transactions. Overall complaints to PhonepayPlus are down 75% over a two year period.

So what is driving this growth? Well social media and the growing importance it has at the centre of well, everything. Mobile and social are a match made in heaven, complimenting each other like Hinge and Brackett, Sonny and Cher, like the Two Ronnies. Social media is immediate and of the moment – not to mention often location specific – and so mobile is the tool of choice for getting social. Facebook now has more people accessing it via mobile than online.

But mobile social media is starting to sit too now at the heart of everything else: from PTV voting, to media dissemination, to advertising, to m-commerce. MIG has this year integrated Facebook into its interactive TV platform. In the US, US Idol has used Facebook for voting – something we shall see a lot more of this autumn in the UK. In print media many publishers are starting to embrace Facebook and Twitter rather than seeing them as the enemy at the gates. Facebook, for instance, is also looking at how it can help print media companies monetise what happens on social media to spread the media companies’ content.

Commercially too social networks are offering not only a great way for brands to seed recommendations and advocacy but they are also actually becoming a place to sell.

Facebook (again!) is even starting to facilitate the sale of used cars. It has already cornered the market in virtual currencies and virtual gifting and is starting to edge ever closer to becoming central to commerce. Some niche online stores now only exist on Facebook.

And this is interesting because it puts social networks at the very heart of so many things that they are becoming almost like a new kind of operating system (OS). The fact that mobile sits at the heart of this social media OS revolution is all the more exciting for the telemedia sector as it finally opens up a new market for its billing and service provision technology. And this reshaping of the digital landscape is what is at the heart of the next Telemedia360 event taking place on 11 May in Leeds (www.telemedia360.com). This time out we are looking at how media companies and telemedia companies are using the new digital channels – including social media – to create a new and lucrative ecosystem for both the media companies and the telemedia industry that has traditionally sat behind it generating micro billed revenues.

Make sure you renew your annual subscription to continue receiving Telemedia Magazine AND now you will get 10 issues of Telemedia-month into the bargain! www.telemedia-news.com/signup.html

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telemedia issue 28

the small print

COMMENT

Directeur de la rédaction Paul Skeldon paul@telemediamagazine.com Art Director Victoria Wren victoria@whangdoodleland.com Contributors & Consultants Sheldon Johns, Andrew Darling, Peggy Ann Salz, Matthew Leach, Ritesh Gupta, Paul Dunone, Bruce Pharoah, Christabel Farrah, John Strand, Melvin de Vere, Victoria Hawes, Peter Welburn, Thea George Sales & Marketing info@telemediamagazine.com Production Director Annika Micheli annika@telemediamagazine.com Publisher Jarvis Todd jarvis@telemediamagazine.com To subscribe www.telemediamagazine.com

What we’ve been listening to Anarchy in the UK, The Sex Pistols San Francisco Days, Chris Isaak What we’ve been amused by Friday Nigth Dinner What we’ve been following Anarchists in the UK What we’ve been reading about The Death of Bunny Munro

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ANALYSIS

Social media – a new OS? One in three people spend more than 3 hours a week on the mobile internet and many are using it for social media consumption. While this is making PRS grow, many are likening social media to being a new kind of operating system

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Opinion Analysis

and dating, psychic and horoscopes and more. In fact, it is starting to become the central pillar of mobile life for many people.

Because of this, social media is starting to be likened to an operating system in many ways. It is something that you have to design your service – what ever it is and that includes billing – to run on social networks first and foremost, much as you

would for iOS, Android, Windows and so on.

Viewed like this, Facebook’s much rumoured plan to launch a phone doesn’t seem quite so crazy. But what does it mean? For telemedia it means that there is a huge new opportunity to reinvent the services and billing tools the industry already has and apply them to this new social OS world. That is where the next generation of growth is going to come.

As demonstrated within this issue (see page 18) SMS is one of the simplest ways to start to exploit this nascent social OS: using it to allow the maximum number of people to engage with mobile social media and to pay for doing things therein. As smartphones become ubiquitous – sometime around mid 2013 in the UK at current rates of growth – then the game changes, but SMS will buy you some time.

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early 70% of people in the UK with a mobile phone are spending more than nine hours a week online on their mobile each week, according to a benchmarking study by Skopos – with the vast majority looking to use the channel to surf mobile social networks. And this inclination towards mobile social media is largely responsible for the beginnings of some much needed growth in the telemedia sector.

Figures published this month by PhonepayPlus, the UK regulator of premium rate services (PRS), reveal that in 2010 the UK PRS market grew slightly, up by 0.8% from £810.1million in 2009 to £816.2 million in 2010.

The market report identifies social networking and the mobile internet as potential growth areas for PRS, with an increase of more than 400% in the market for virtual goods bought using PRS on social networking sites, up from £1.5million in 2009 to £8.1million in 2010.

But the role of social doesn’t end there. Mobile is becoming the key channel for using social media – Facebook in the UK sees about 60% of its usage coming now from mobiles. And mobile social media is rapidly becoming the medium of choice for participation TV, media consumption and sharing, advertising, search, recommendation, e and m-commerce, chat

Opinion Analysis

SOCIAL MEDIA

Advertising

Mobile ads are go: The adoption of smartphones has boosted traditional advertisers’ confidence in the mobile space, according to new research from the Internet Advertising Bureau and PwC

M

&

obile advertising has experienced a staggering 116% year on year growth (on a like for like basis), up from 32% growth in 2009.

Advertisers spent £83million on mobile advertising in 2010, according to the third annual IAB and PwC mobile study.

But you wouldn’t know it if you listen to the consumers. Research by ad network Adfonic has found that 40% of consumers say that mobile adverts have actively changed their purchasing decisions – which means that 60% have not had their minds swayed by mobile ads.

Adfonic has also found that, looking at the UK market as a bell weather for all others, of the 77 million mobile phone owners, 28 million are on data plans and 5 million of those actually prefer mobile as the channel to buy clothes, consumer electronics and content.

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telemedia issue 28

That means that there are 5 million people out there who actually buy through mobile as a preference. So, doing the maths, that means 40% of these guys – that’s 2 million people who will actually respond – or act on – mobile advertising.

The ad spend on mobile may be growing, but it seems that there is a long way to go convince the punters.

The key is that many companies that look at mobile advertising don’t look at it in the right way,

suggests Claire Valoti, head of online display and mobile at agency Mindshare. “Insight first: that’s my mantra on mobile advertising,” she says. “You have to understand the audience for the mobile advert and what is being advertised. One of the best is Tiffany, which realised that men buy wedding and engagement rings and that that process is a private and personal one: something that mobile is ideal for. It ran a very successful campaign on mobile – led by insight.”

It is also worth noting that many brands view mobile as an ad channel: it isn’t, it is part of all the other channels used to market products and services, believes Valoti. “people have to stop thinking in mobile and think how mobile fits with what they are trying to achieve.”

There are 5m people out there who actually buy through mobile as their prefered channel: but only 40% act on mobile ads – that’s just 2m people. The spend is there, but the consumers aren’t

ANALYSIS

Facebook is the media’s friend: Joanna Shields, vice president and marketing director EMEA, Facebook, explains how Facebook is there to enhance the media, not destroy it

M

Al-Jazera is also widely using Facebook advocates to drive viewers to its coverage of [the uprising in] Egypt.

In terms of traffic for media sites, this develops an eco-system between the media site and the Facebook page. We have worked with every major newspaper and broadcaster in Europe and are delivering some great results.

For example X-Factor was generating 1 million comments on its Facebook page per show in the UK. The series may have finished, but the X-Factor tour continues the programme’s presence and so much of the energy around that is kept going through the show’s Facebook pages – which not only generate interest in the live shows, but also start building interest for the next TV series. Facebook helps X-Factor make sure that the show never goes away, even when it’s not on air.

If any media company has highly compelling content then Facebook offers a way for people to find that, share it, comment on it and feedback about it. In that regard we are very valuable.

Social design is the key, so that a media company

creates a product that will give people social interaction at the centre of what they are doing, as exemplified by Zyngo and Groupon. These brands put social recommendation and message amplification at the core of what they offer.

And media companies are starting to use it.

Endemol and Channel 4 in the UK have created Million Pound Drop, where 10% of those watching the show now play an online version on Facebook with its own leader board, which feeds directly back to the TV show.

X-Factor used Facebook to distribute exclusive made-for-Facebook videos for pre-season and preshow publicity. So it is already starting to happen.

Can Facebook be used in a money creation sense?

Well, it’s about exploring the business models and ideas. With each Facebook user connecting to 130 other people we are obviously very keen to talk to media companies about how to exploit this. There are 30 million unique users in the UK and 15 million come back every day – that’s out of a total of about 36-40 million people who are online in the UK. I don’t think we compete with any of the media companies, more that we now work together with them to deliver the responses and interaction and viral spread of adverts. We aren’t a media company, so no, I don’t think we do compete: we compliment each other.

&

edia companies are trying to work out what effect Facebook will have on them, but no one really knows.

What Facebook brings is value for media because it is unique. When people search [online] they have a query and want to get a result.

When people search Facebook they are typically connecting with 130 friends [the average for each Facebook user worldwide] and are sharing: so they are potentially sharing your media content with 130 people for you.

The social plug ins – such as ‘like’ and ‘comments’ – allows each Facebook user to sign in as themselves and share and recommend and comment to people who care about what they think. If a friend asks another friend to recommend something, this form of referral search is of massive value to any business.

Also, referrals tend to linger much longer on a site than those that browse to it or come through search.

The Independent Newspaper has found that there is something like a 700% increase, while the Daily Mail – the most widely read media website in the world – is now getting 10% of its traffic from Facebook.

Opinion Analysis

MEDIA

telemedia issue 28

7

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ANALYSIS

Fraud killing mobile: Premium rate fraud costs UK mobile industry up to £140m per year – and that means not just networks, but aggregators, service providers, third parties, brands and anyone else in the value chain

T

Operator billing is expected to explode with the growth of App Stores, in-app payments and NFC, combined with the fact that many online retailers are considering mobile commerce as an additional sales channel. Revenue from in-app payments, for example, is predicted to grow by 600% this year. The problem of mobile payment fraud – and the associated cost to the industry – is only going to get bigger unless steps are put in place to prevent it.

Yet recent moves from the UK operators appear to be pushing the responsibility for fraud and bad debt onto the service providers, while restricting legitimate consumers from spending money.

The service providers and aggregators now have to take greater measures to restrict fraud as operators are to increase the ‘claw back’ if service

tors,” continued Teresa Cottam of Telesperience.

“Those who fail to act will see themselves increasingly targeted by fraudsters and will become evermore uncompetitive due to unsustainable revenue losses and disgruntled customers.”

Providing protection for the millions of daily mobile payments transactions would see even faster adoption of mobile commerce by the wider mobile community, the retailing sector and consumers.

Thereby creating more revenue opportunities for the entire mobile industry.

“Fraud is an issue that not only affects the operators, everyone involved in the mobile eco-system, including consumers, is affected by it,” said Chris Newell, CEO of BillingScore. “All of us within the UK mobile industry need to work together to help save

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he UK mobile industry is losing up to £140million a year on premium rate fraud, according to data from BillingScore. And, the problem of fraud is set to get worse as mobile purchasing becomes even more prevalent through the rise of in-app payments and near field communications (NFC) payments.

By not tackling this issue, the UK’s mobile operators are leaving themselves exposed to a massive risk and it is consumers and retailers that are paying the ultimate price, the company warns.

“Premium rate fraudsters in the UK are cheating the mobile industry out of more than the biggest ever Euromillions lottery win - every single year! We need to stop this money going into their back pockets, and use it instead to improve mobile networks or lower mobile bills for customers,” said Teresa Cottam, Research Director, Telesperience.

The £140million per year cost of fraud affects not only the mobile operators, but all the players in the mobile industry, from SMS wholesalers and aggregators, through to content providers and ultimately retailers and their consumers. One of the reasons that operators take such a significant cut from operator billing (around 30%) is to cover fraud and bad debt. Yet the size of the operator cut can make mobile seem like an uncompetitive payment method – reducing the industry’s opportunity to further own the consumer’s wallet.

“Everyone in the mobile industry knows that fraud, bad debt and other types of revenue loss are a major issue – yet hardly anyone talks about it,” commented Cottam. “The scale of the problem is hidden and the cost built into existing business models. The mobile sector simply cannot afford to continue haemorrhaging money in this way; nor can it keep hitting honest customers in the pocket in the form of higher charges, simply because it has failed to address the losses.”

Cottam continued, “What’s worse, a range of new risks mean that the mobile industry will become even more vulnerable to this type of revenue loss in future unless it acts now.”

Opinion Analysis

PRS

By not tackling this issue, the UK’s mobile operators are leaving themselves exposed to a massive risk and it is consumers and retailers that are paying the ultimate price providers allow customers to exceed arbitrary daily spending limits on premium rate services. This moves more risk to aggregators and service providers as well as affecting their business models. It also raises questions over whether services such as NFC-payments can ever truly replace the wallet if daily spend is to be capped by operators.

“Sticking your head in the sand and hoping the problem will go away is not a viable strategy for the opera-

the £140m that fraud is costing us each year. Then we need to work to address the billions of pounds that the fraudsters are getting away with globally each year.”

telemedia issue 28

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industry PPP

AIME

New Code of Practice The big news is of course the implementation of the new PPP code of practice that brings in a whole raft of fundamental changes to how the PRS business is regulated – hopefully offering a more fair environment for everyone on the value chain while still protecting consumers.

The biggest issue with the new code – implemented on 30 March, but not in force until 1 September – is that it requires registration. For the first time, PhonepayPlus will directly regulate every part of the PRS value-chain, ensuring that all providers share responsibility for delivering good consumer outcomes, while allowing the regulator to better target that minority of providers who cause consumer harm.

The new Code also helps support innovation in the market by allowing providers flexibility in how they comply with the Code, so that they might adapt their services to take full advantage of digital technology, including social networking and smartphone apps.

PhonepayPlus’ Chief Executive, Paul Whiteing, commented: “The result of over two years’ development, including in-depth consultation with industry and consumer stakeholders, our new Code of Practice is designed to be fit for the future. We are in a fast-moving age for communications, where we are seeing more and more innovative use of micropayments, including PRS, in the digital arena. 2010 saw an explosion in virtual goods, with the market driven by social networking sites expanding by over 400%. We are seeing more and more innovations in the PRS market, from virtual jukeboxes in bars and clubs to charity badges for phones.

AIME Initiative: Regulatory Best Practice AIME and PPP to set up a working group to share industry intelligence with a view to monitoring and managing market risks.

PPP to attend AIME GM in March to provide members with an overview of the Regulatory Process schematic and the new Guide to Investigations & Sanctions which will be published alongside the new Code - Part 4 of the Code.

Administrative charges While much of the attention has been on the new code, PPP has also reviewed the administrative charges invoiced to companies found to be in breach of the PhonepayPlus Code of Practice, Eleventh Edition, Amended April 2008 (‘Code’).

PhonepayPlus has decided to hold charges at their current levels, pending a review of administrative charges to tie-in with the Twelfth Edition of the Code of Practice, coming into force on 1 September 2011.

The administrative charges are applied to service providers and information providers (where a case has proceeded against an information provider) (‘providers’) found in breach of the Code. The charges also apply to network operators (‘networks’) that are found to be in breach of the Code.

The review of administrative charges will take place over the next few months and will include discussions with industry stakeholders on the methodology employed to calculate the charges. The administrative charges system is evidence of PhonepayPlus’ ongoing commitment to provide effective and proportionate regulation to the industry based on the ‘polluter pays’ principle.

Budgets PhonepayPlus’ also published its annual market report, Current and Emerging Trends in the UK Premium Rate Services Market, which shows growth in the PRS market, with revenues in 2010 totalling £816.2million, a 0.8% increase compared to the 2009. The Business Plan and market report are published in the week that PhonepayPlus launches its new Code of Practice for the PRS industry.

The proposed PhonepayPlus budget for levy-funded activity in 2011/12 is £3,799,743, a real terms decrease of 13.2% on 2010/11. The adjusted industry levy for 2011/12 will be 0.35%, and applies to all outpayments payable by network operators to service providers in respect of revenue generated by premium rate services.

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telemedia issue 28

AIME Forum: Interactive Broadcast AIME joined key stakeholders in the TV voting value chain for a Participation TV Leadership day and the AIME Voice Short Codes sub group finalsied business case for the use of voice short codes in Interactive Broadcast - next meeting to be held in March.

AIME Forum: Fixed Line Business case developed for higher rate drop charges for Charity use to be included in AIME’s response to Ofcom’s Simplifying Non Geographic Numbers consultation.

Following AIME’s letter to Ofcom requesting additional information on PRS Bad Debt Methodology, Ofcom informed AIME that members’ concerns are addressed in the consultation - now published.

AIME made aware that BT has issued preemptive OCCN to implement 5.2% surcharge to become effective 1 July 2011, timed to commence immediately inline with Ofcom’s advised timescales.

AIME Forum: Payforit Research AIME working group continue to work on phase 2 drop off analysis and A/B testing, consumer help guide to Payforit produced

by ImpulsePay and launched in association with AIME. AIME Forum: Participation TV (Psychic & Chat Teleshopping) Best practice guide updated to include recent Ofcom PTV Chat content standards. AIME reaching out to non-member PTV Broadcasters to encourage adoption of industry agreed operating parameter. AIME to meet with Ofcom to agree process for industry resolution of content standard issues and procedure for escalation of matters of sustained non-compliance.

MMA IAB and MMA establish standard methodology for measuring mobile web ads For the first time, standardized key metrics for measuring advertisements have been established for the mobile interactive industry. Developed in a joint effort by the Interactive Advertising Bureau (IAB) and the Mobile Marketing Association (MMA) and with the assistance of the Media Rating Council (MRC), the “Mobile Web Advertising Measurement Guidelines” provide a framework to govern how ad impressions are counted on the mobile Web. A joint task force, comprised of members of the IAB’s Mobile Advertising Committee and the MMA’s Measurement Committee, met for more than a year to develop these guidelines, which specifically cover WAP/Mobile Web advertising.

“The ‘Mobile Web Advertising Measurement Guidelines’ will help marketers accurately assess the delivery of ads within mobile websites and offer a clear way to count ad impressions, assuring them that their advertising messages are reaching mobile consumers,” said Anna Bager, Vice President and General Manager of the IAB Mobile Marketing Center of Excellence.

“More than anything, the guidelines demonstrate the mobile industry’s commitment to its marketing partners to create a transparent and consistent business environment for buying and selling ads,” said Greg Stuart, President and CEO, MMA. “Brands and their agencies will be further encouraged to devote resources towards marketing campaigns unique to the mobile web-reaching customers at critical times in the purchase cycle, enhancing brand relationships or providing critical information through mobile marketing.”

MMA publishes expanded mobile advertising guidelines The MMA has published the fifth edition of its “Mobile Advertising Guidelines,” which are designed to provide marketers, agencies, wireless carriers, media companies and other ecosystem members with industry-standard technical specifications and best practices. The MMA also published two complementary documents for emerging opportunities in mobile marketing: Draft Guidelines for Rich Media and the Universal Mobile Ad Package.

First published in 2005, the “Mobile Advertising Guidelines” provide recommendations for the global ad units used in mobile advertising across the following mobile media channels: mobile web, messaging, applications and mobile video and TV. The fifth edition of the MMA “Mobile Advertising Guidelines” features several major additions and updates.

Inmobi joins the MMA as a global premium member InMobi, the world’s largest independent mobile advertising network, has joined the MMA as a Global Premium Member. Already recognized as a global leader in the mobile industry, InMobi brings the future of mobile marketing to the forefront as the Founding Sponsor of the first ever MMA Mobile CEO Summit. InMobi’s Founder and CEO, Naveen Tewari, will also be appointed as an honorary member to the MMA Global Board. InMobi joins Coca-Cola and Microsoft at the Global Premium Membership Level, the highest-level membership of the MMA. Consumer engagement takes centre stage at regional mobile marketing The third Annual MMA Forum Singapore 2011, focused on consumer-centric engagement. Themed “Consumers Are Mobile; Are You?”, is set to draw over 250 local and regional delegates to the Grand Hyatt in Singapore from May 3 to 5, 2011.

“The MMA is delighted to be building on the success of our last two events and we’re overwhelmed by the tremendous support received from all members of the industry. This year, the focus is on the consumer with brands and agencies coming together to address the need to put consumers first when it comes to delivering value through their campaigns,” said Rohit Dadwal, Managing Director, Mobile Marketing Association Asia Pacific Ltd.

industry INMA

MEF

INMA Circulation Growth Conference INMA is hosting its first-ever Circulation Growth Seminar, a oneday event for South Asia newspapers under the theme “Circulation 3Gs: Growth, Growth and Growth.” The seminar will be held Friday, April 15, at the Hotel Clarks Amer in Jaipur.

The seminar’s mission is to bring together best practices and strategies that will sustain the growth of newspaper circulation among newspapers in India, Pakistan, Bangladesh and Sri Lanka.

MEF elects Vodafone’s Epting as Chair EMEA The Mobile Entertainment Forum (MEF) has elected Lee Epting, Content Services Director, Vodafone Group, as the MEF EMEA Chair after being voted onto the MEF EMEA Board at Mobile World Congress in Barcelona. Epting will lead the team of MEF EMEA board members – including newly elected representatives from the mobile content, operator and advertising ecosystems (Buongiorno, MTN and InMobi) – driving the organisation forward in supporting its members across the region.

Dolby’s Head of Mobile Content Solutions, Jonathan Jowitt, and Qtel’s Director Group Innovations, Colin Yeh, have been elected as MEF EMEA Co-Vice Chairs.

INMA World Congress The 81st Annual INMA World Congress May 15-17, 2011, in New York will operate under the bold and urgent theme of Vision. Innovation. Now! INMA aims provide a vibrant platform from which to plan your newsmedia company’s audience, advertising, and brand growth strategies through 2014. The conference represents a mix of practical strategies and case study-based best practices from the world’s leading media companies.

INMA Social Media Summit A high-level, insightful and thoughtprovoking summit examining how publishers can best embrace and profit from the global social media explosion.

Following on the sellout success of the 2010 Tablet Summit by Oxford Media Minds. Oxford Media Minds is the overall brand name for the Annual Summit in Oxford of leading Newsmedia Executives. It is convened

by INMA and Innovation Media Consulting Group and supported by the Reuters Institute for the Study of Journalism at Oxford University.

The Social Media Summit will be another exclusive hands-on gathering of leading minds and practioners in the social media space.

INMA/OPA Conference The 2011 INMA/OPA Europe Conference October 19-21 in Lisbon/ Cascais will bring together a European audience to explore the best practices of European newsmedia companies as they aim to grow audience, advertising, and brand across platforms in a rebounding and profoundly changed economy.

The conference theme will be “Stay Ahead Of Your Audiences.” Preconference research and local media seminars will be held.

This marks the third year in which INMA and OPA Europe cooperate on this important European conference.

MEF releases its top ten mobile media trends for 2011 Amid ongoing global financial uncertainty, the mobile media industry in 2010 once again proved itself to be a sector marked by sustained growth and innovation. MEF’s 7th Business Confidence Index Report in association with KPMG revealed that the industry expects to grow by 23% during 2011, demonstrating the continued robustness of this valuable segment of the mobile market.

Some of MEF’s accurate predictions for 2010 included: books emerging as a popular content category for smartphones; challenges to the uncapped flat-rate data tariff model in the wake of increased mobile data usage; the rapid catch-up of Android to challenge Apple in market share; and the spread of micro-payment for content access.

MEF’s previous success in anticipating, defining and addressing key industry issues, combined with its representation of a diverse range of players from across the mobile ecosystem, place it in a strong position to forecast the top trends in mobile media for 2011: M-Commerce achieves scale: Consumers will use their mobile device on a substantial scale to engage with retailers and brands for selecting purchases and completing transactions.

Context over content: Through the increasing use of enabling services (e.g. location & GPS), context will gain significant importance in the race to offer highly personalised services to drive long-term loyalty and user engagement.

Privacy & security: The use of personal information will come under increasing scrutiny in North America and Europe by law makers and regulators as consumer concern and lack of clarity on the usage of personal data grows.

In-app billing under threat: High profile cases of unclear in-app billing and high consumer bills will lead to government involvement and intervention, threatening the ‘freemium’ model in particular.

Mobile social gaming will become the new dominant platform for casual gamers.

Bandwidth issues continue: As network operators look to build out increased capacity via LTE and 4G, the issue of network congestion will remain in the spotlight, with performance remaining a preoccupation for the entire mobile value chain. The debate over who should foot the bill for the provision of content will come to a head.

Mobile vouchers and coupons which combine social media, in-app billing and location based services will be the biggest mobile commerce revenue source for 2011.

Consumers’ expectations of value for money will push down pricing for all forms of mobile content and services, but greater overall consumption will generate increasing revenues.

Multi-platform: 2011 will see the mobile connected device become an integral element of the multi-platform experience for all forms of content and services.

‘Mobile First’ markets dominate: Mobile content and services revenue in mobile first markets (where mobile usage is higher than desktop internet adoption) will exceed revenues in developed markets.

MEF unveils Middle East strategy Mobile Entertainment Forum (MEF) held its first regional gathering yesterday evening in Doha. ‘MEF Connects Qatar’ was attended by industry executives from across the region and provided a forum to reveal MEF’s plans for accelerating the VAS industry in the Middle East.

The proposed roadmap, in collaboration with local partners, will provide the following: - regional analytics to measure actual and potential growth - trade development activities to drive exchange of information and commerce - business-focused initiatives to present best practice across the region.

As a first step towards more regional data, a bespoke report on the popularity and pricing of App Store applications in key Middle East markets compared to the United States, was made available to attendees in Arabic. The data, collated and analysed by MEF member Distimo, reveals a marked difference in the popularity of games applications: 56% of the most popular apps in the US are games compared to only 29% in the Middle East.

The telemedia industry crosses so many business borders, its interests are tied up with a range of trade bodies and associations. Here we take a look at who is doing what

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Interactive TV

Participation TV is back – well it never went away really – but while SMS is still to make a return in the voting arena, things have moved on, with apps and social media shaking up how PTV works, while delivering growth for PRS. Paul Skeldon reports

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Interactive TV

T

V always was a social pastime. From the heady days of the ‘wireless’, where the family would gather round the warm glow of the dial for the family programme, TV has filled a place in the living room and allowed mum, dad and two or four children to spend Saturday evening together enjoying some heady variety entertainment. Until of course digital TV and multiple devices fragmented the marketplace and soon everyone was in different rooms consuming TV in very different ways.

But, while we have much to hate Simon Cowell for, he has brought back the concept of the family watching TV together and now, with thanks to some clever application of modern telemedia technology, the other screens and devices, not to mention all the other tools used for entertainment that have drawn people away from the TV, are coming together to make the TV experience a shared one again – only this time it can be shared worldwide and instantly.

The PTV market has always been long on potential, but somewhat shorter on deliverables. The problems with SMS votes not being counted, but their cost being banked has only added to the fug that has surrounded something that should work as a given. In the UK, now though, PTV is generating about £45million and is growing. Rapidly.

In the UK much of the growth being seen in the premium rate sector is being attributed to interaction services, according to analysis by the premium rate regulator PPP. Similarly, industry body AIME finds that PTV interaction is also driving up the use of PRS – and it’s all thanks to people using social media.

Social media, as we discussed in the previous issue of Telemedia Magazine in November last year, is revolutionising everything we do from politics to protests, from media consumption to games and gambling – it is even one of the root causes of the whirl of political and civil unrest that large parts of the world are currently going through. And in TV it is proving to be a force for unprecedented change during 2010.

“I think we’re all waiting with baited breath for the monetisation aspect of social media to fall into place,” says Kevin Bird, Five TV. “Interactivity is moving so fast away from the traditional entry methods via fixed line and SMS to a lesser degree, it’s only a matter of time before we as broadcasters are compelled to offer social media interaction as the method of choice for votes and competitions. I know there is some very exciting development in the market, which we’re watching very closely with regard to monetising social media space interaction.”

One such development that Five TV – along with all other TV stations world wide – will be watching closely is the launch at this year’s MIPTV in Cannes

of Facebook TV voting.

Having worked with Facebook and various broadcasters over recent months, MIG (Mobile Interactive Group) has successfully integrated its Interactive Broadcast Platform (IBP) with Facebook, giving fans of some of the world’s most popular participation TV shows the ability to place real-time votes, enter polls, as well as competitions and sweepstakes, all using their Facebook Credits, the social network’s virtual currency.

Rob Weisz, Commercial Director, MIG explains: “We launched our Interactive Broadcast Platform (IBP) this January and the platform has already proven to be hugely successful for Sky’s ‘Got to Dance’, enabling viewers to participate and vote via mobile internet and apps. The integration with Facebook Credits provides a fully compliant and secure way for broadcasters and production companies to deliver interactivity into a live environment and to drive viewer engagement via new channels.

“At present we’re having strategic discussions with a number of key international broadcasters and other businesses and expect to make some significant announcements for prime time shows in the coming months.”

Fans of a participation TV show would access the show’s Facebook Page, where they can purchase votes using Facebook Credits, view the show contestants and ‘vote’ for their favourite act to stay in the show in real-time.

The IBP has been designed to integrate into existing Facebook Pages through a simple SDK. This integration enables a real-time feed of voting statistics into the broadcaster’s production environment, allowing the broadcaster to count the votes for the show, ensuring all votes are fully auditable, secure, compliant and collected within the voting window.

The US way to play

Things are very different in the US interactive TV market, where interactive TV services have long been monetised through sponsorship and so have been free to the consumer – something we are likely to see more of in the UK and other European countries now that rules on product placement in programmes are being relaxed.

In the US there has been a lot of traction with getting users to opt in to hear more about a product as part of the voting call to action, which has created a raft of opportunities for broadcasters, programme makers and brands.

The US market has also pioneered online voting around US Idol, sponsored by AT&T, so that US viewers of the show get three channels to vote: SMS, phone and online. This is now being tied up with Facebook – along the lines of what MIG is proposing (see main article) – so that in the US you have a neat tie up between TV, brand and social media as part of the PTV format.

The US market also demonstrates how you can get interactive TV to work – and for telemedia to play a role – in markets that don’t have a well developed mobile microbilling market.

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Interactive TV Having worked in the media industry for some years now, MIG has an in depth understanding of broadcast requirements. IBP’s unique architecture means the platform has been built to facilitate the largest interactive formats in the world. The platform is available across a range of smartphone apps stores; mobile web and traditional web; can accommodate various price points to suit different broadcaster

Social voting changes the face of how PTV works, as well as giving PRS a much needed shot in the arm. Most of the voting is based around credits and you need PRS to pay for this virtual currency requirements and is available as a fully managed service or through an SDK. This social voting changes the face of how PTV works, as well as giving PRS a much needed shot in the arm. Most of the voting is based around credits and those virtual currency units need to be paid for somehow: one mechanism is to use premium rate and PSMS as the way in. While the industry has been waiting for PSMS voting to return, it looks like the game has changed and that PRS and PSMS still have a role to play, but a less time-critical one.

Keeping it old school

It is possible that there may also be a re-introduction of mobile voting around some TV shows in the near future, championed by AIME and its telemedia industry members. The thing is to look at how to best use it to make it a useful tool to the consumer and one that doesn’t lead to the kind of problems uncovered in the past.

“The key is to look at how it works with the voting window,” says AIME chairman and CEO of Harvest Media, Ed Boddington. “Perhaps the role PSMS plays in the voting process is where you can keep the voting window open for a very long time, such as week to week.”

In Bod’s view, the role SMS has to play is a careful one. As the main article stresses, PSMS can still be used as a billing mechanism, but perhaps it is best suited to things that are non-time critical: so using it to buy credits for other forms of voting or for other forms of chat interaction, rather than having to be counted against the clock.

But while PSMS garners all this attention for not being back on the screen, 2010 has also seen the increased adoption by some of the smaller niche TV channels of new interactive payment channels such as voice short codes which enable simple and transparent participation and which may be adopted by the larger TV companies in due course.

“AIME is really championing voice short codes (VSCs),” says Bod. “They offer transparency and allow votes from anywhere on mobile at a price that can be stated easily and clearly. They deliver proper mobile voting.”

And it’s starting to happen. VSC supplier Orca Digital, for example, has recorded a 30% increase across Q3 2010 for this service and year-on-year growth (Q3 2010 against Q3 2009) of 345%. This trend is set to continue throughout 2011.

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“It is the way forward for PRS,” says Ed Boddington, chairman of AIME and CEO of interactive media specialists Harvest. “If you can integrate it and monetise it then you will re-stimulate the micropayments market. Social media needs to be enhanced and telemedia can help deliver this through letting people pay to vote and interact. The industry needs to look now at how to do that and how to monetise it.”

App, app and away There is also likely to be a growth in new voting channels such as mobile apps where viewers can purchase credits via premium rate SMS and other payment channels and use them to vote for contestants from within a show based mobile application.

Apps offer a neat and branded way for TV companies to offer a range of interactive services on mobile around their key TV shows and, as platform maker Never.no puts it “win the battle for control of the second screen”.

TV companies, rather than seeing the mobile as a competitor to its scheduling is using it to generate a richer experience for both its consumers and its advertisers through apps. Branded apps have the advantage of being locally stored on the user’s phone, so that they can come back to them each week. They also offer a nice branded opportunity for adding more property for advertisers – witness Dominoes Pizza’s foray into this last year around Britains Got Talent.

The old argument that they are not as good as mobile web is now over: most apps are web-enabled and so can be updated readily when online. This makes them ideal for offering extra content around TV shows, as well as now building in the social and social voting elements.

Rob Weisz, Commercial Director, Mobile Interactive Group (MIG) and explains: “Our IBP has helped drive the re-introduction of mobile voting into the media, broadcast and entertainment industry. For example, the platform enables viewers to purchase credits and vote for contestants via a show based app for programmes such as Sky’s ‘Got to Dance’ and ITV’s ‘Dancing on Ice’ engaging viewers and encouraging interactivity.

“At present a number of major broadcasters are looking to take the platform as participation in TV shows is predicted to achieve impressive growth internationally throughout the coming months.”

Never.no, meanwhile, has taken social media apps-based TV interaction to a whole other level. Its Synchronized Companion App monitors changes in broadcast programming or live production and then uses the changes to trigger delivery of specified content to the second screen. In essence, it lets the social media channel control to some degree the programme output, all through branded smartphone apps that

Interactive TV offer consumers a neat interface to interact with the show.

“Today’s viewers, wherever they happen to be physically located, use social media to gather around a ‘virtual water cooler’ when they watch a big event,” says Lars Lauritzsen, never.no CEO.” Now, based on our IS platform, the new never.no Synchronized Companion App enables broadcasters to take advantage of this phenomenon by developing their own branded apps for smartphones, laptops, or other devices.”

Take the tablets ‘Other devices’ is increasingly becoming a mantra for the media industry and brands as iPads, Galaxy Tabs and more start to create a market niche for themselves. Tablets offer some unique opportunities to TV channels and programme makers to create not just a way of showing their programmes, but creating and extending brand around them. But where does PRS and interactivity fit in?

To many in the industry the tablet is just another form factor that needs to be accommodated, rather than something that offers anything unique that mobile doesn’t.

“The strategy for the industry is to get experience in as many channels as possible and in as many business models as possible: tablets are just part of that,” says Bod. “We need to get m-web, apps, SMS and phone all working together as ways into PTV whatever the device and we need to get broadcasters on board with this too.”

In many ways, it is news TV that will drive the way tablets are used. Sky News has rolled out a phenomenally good iPad app that really makes full use of the device’s characteristics, as well as bringing in the best of what it as a news content creator has to offer to stunning effect.

Similarly, Sky has also upped the ante with its Sky TV iPad app, which is sort of like a glorified version of the EPG, but with so much more functionality that in some ways it has combined the best of what it offers content wise with turning the device into a Sky+ controller.

But until someone can deliver tablet apps that offer immediate social sharing and voting at the tap of an icon on screen – much like Flipboard does in the static world of iPad apps – they tablets will be a peripheral player in the PTV market.

To be fair, TV is only now just getting used to how to use mobile and smartphones, tablets are not really a key market for the industry. Well, not yet anyway. Give it six months and the landscape will have changed again as the true impact of tablets is revealed.

The broadcaster’s view

Jeremy Darroch, BskyB’s CEO, explains the strategy behind his TV company’s approach to mobile and tablets.

Sky is already the UK’s leading media provider on mobile devices, with five of our apps in Apple’s all-time top 100. We stream our channels to 3G phones and offer on-demand content and linear channels through our online TV service, Sky Player.

We see access to content across multiple devices becoming increasingly important to consumers. Almost three million people watched video content on their mobile phone in December - up by 57% year on year. With the explosion in sales of smartphones and tablets, this trend is only going to accelerate.

As always, we’re guided by customer needs – current or emerging – and we want them to get the TV they love wherever they happen to be. So later this year, we’ll launch Sky Anywhere, a new service allowing customers to access our content on multiple devices inside and outside the home. You could use it to download the latest hit shows to watch on holiday or keep the kids entertained while you’re stuck in traffic.

To further position Sky for the trend towards mobility, we’ve acquired the UK’s leading public Wi Fi operator, The Cloud. So customers will have reliable and high-quality access to our content at thousands of locations around the country.

All of this will be simple to use and a great way to add value for customers.

Much of this activity is about adding mobility to what we do already. But here too we can bring together content and innovation to create something entirely new. Let’s take Sky News as an example.

Currently, you can watch Sky News on the iPad. But essentially it lets you simply carry around the existing channel, without making the most of the iPad’s functionality. So we’ve gone back to the drawing board to create something that fully exploits the opportunities offered by tablets.

The new Sky News app for iPad will be the first interactive live video news service. We see it as the third platform alongside TV and online, with a brand new content management system and a dedicated editorial team.

Unlike most other news apps, it will be constantly updated, giving access to the latest news when it happens. Users will be able to take control of the service and explore the stories they’re interested in through a combination of interactive video and graphics. And, just like Sky+, it can even rewind if you miss the start of a live report or interview.

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Print media

Monetising print media is about finding new revenue streams, but perhaps some of those lie not in clever new services, but in looking at the relative value of the content on offer. Paul Skeldon speaks to some key international media players and finds a whole new take on monetising print media

therefore be monetised, believes Arthur Sulzberger Jr, chairman and publisher, The New York Times.

The FT does it by occupying a niche and serving a mainly corporate customer base, but Sulzberger believes it can work in any print media title, so long as you are showing that what you have is better and more analytical than social media ‘news’.

A point echoed by Claire Enders, CEO and founder of Enders Analytics, a print media analyst. “People read newspapers for data and details,” she says. “Facebook t’s a cold hard fact that, in the UK in in January does what TV has done for years: just carries the news 2011, consumers watched 25 minutes of TV and information regardless of the market.” news a day, read five minutes of online news, 35 Sulzberger agrees, but stresses that there was a very minutes of newspaper news and five minutes of clear role for how social media fits into the newspaper Facebook news. That is just over one hour a day world. “New York Times is a content and distribution consuming news: people do a surprisingly small company: what we have to do is find ways to connect amount of news consumption right now – and that is our journalism with readers and our readers with our why they won’t pay for it – so the news media world journalism and social media can play a vital part in this. needs to find new ways to monetise what it does.

The real benefit that print media companies can offer But it isn’t a substitute for the media itself.”

How the modern media works with social media is is quality and that, through whatever channel, can exemplified by Steve Brill, who wonders how Watergate deliver revenues. Quality journalism is vital in this day and age as the only real way to sort the rumour, propa- would have played out today. “Typically, modern jourganda and truth from each other in a social media-dom- nalism students think that Bob Woodward would have found out that the money was missing through Twitter inated world – and to get to ask the people that matter the really important questions and make them answer – or Wikileaks, the story would have been posted online requires skilled professionals, contacts, local knowledge that day and everyone else would Google it to see the money was missing, Nixon was a crook and the whole and chutzpah. In short, it requires skilled journalists. thing would be done in a day,” he says. “Woodward And that is what people will pay for. himself, though, believes that it wouldn’t have worked “The value of a journal is its journalism,” says John as you still need to spend the time checking that things Ridding, CEO of the FT. “The FT has led the way in you find on Google are correct, but you see how young monetising [print media] content online, but this is consumers don’t necessarily treat media like we oldies because the content it has is key – it’s independent, do.” intelligent and generated by people who know their And this is the whole nub of the role journalism has subject on the ground. I wouldn’t want to go to Twitter in the modern world: not to rehash what comes in or Demand Media’s How To… sites to find out what is uncorroborated on Twitter, but to take that, investigate happening, say, in Libya today.” it, check it, verify it and explain it. “Journalists and ediThe editors are there also to decide what is truth tors are there to shape, contextualise and check it all. and what is important – as well as what the relative importance of stories are to specific readerships, believes That is what people pay for,” believes Ridding – that is how a media company adds value and what it can then Steven Brill, co-founder, Press+. “The editors have sell. to decide what to use, where and how. That is what But social media has another role to play, believes elevates it to quality journalism.”

Enders. “It works the other way around as well – social But social media, whether you like it or not, is playmedia adds to the excitement and authenticity of stories ing a role in how consumers are getting what they see that are being reported by the quality press. People who as ‘news’. The trick is in how to leverage this and still read the papers and see the social feeds will be able maintain quality journalism that has value and can

All the news that’s fit to

I

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Print media to work out for themselves what is right and what is wrong, we mustn’t underestimate that.”

“Media companies have to understand and value their content for this reason and charge for it,” she said. “You can’t give away good quality content that has had so much work done on it as it has inherent value and consumers need to understand that.”

But how will they pay? There is some evidence that subs models are coming back into favour and with Apple and Google both announcing that they will allow the taking of subs through their respective apps store payment channels, it looks like media apps with subs elements built in are the way the industry is going to monetise the quality content it generates.

The New York Times is poised to introduce a subs model that it has been working on for a year – though Sulzberger remain tight lipped about it as its April launch approaches – but it is the FT that has seen success from day one in this field.

“All the evidence suggests that people will pay,” says Ridding. “But it works on the FT because we have niche content, aimed at an affluent readership and we offer a metered approach to selling content: some is free, then you pay and the more you use the more you pay, though the less it is per piece of content. Already we get 5 to 10% of readers paying $5 per calendar month. Its not a silver bullet by any means, but it works.”

But Enders has a broader view of the market, and disagrees. “[charging online] has no positive effect on circulation or readership at all,” she said. “In fact at the Times, circulation of paper based newsmedia has shrunk and readership online has not grown to replace it. In fact, across other newspapers in the UK, paid subs make up about 1% of users. It works in business-tobusiness (b2b) and specialist publications such as the New Scientist, but in consumer press it isn’t working and it won’t work – in fact revenues from the web in consumer titles is shrinking.”

Tablet computers are offering both an answer to this problem and offering another threat, however. Tablets and smartphones offer a new way to consume news on the move – unlike on a fixed PC – and so offer potential for new revenue streams.

“But you have to have a pay wall around tablets and apps,” stresses Press+’s Brill. “There is opportunity to charge here and to charge subscriptions, but you have to take it from the start and you have to do it well.”

“This is why media companies have to rethink digital and not offer online, tablet and mobile news for free,” said Sulzberger. “Although no one really knows how many new readers these new channels may monetise and how much of it will come from cannibalising existing channels.”

Enders believes that tablets do offer something to print media. “Readers who engage with the printed word are adopting tablets very rapidly and so there is an

Learning from books

Unlikely as it may seem, the traditionally stuffy book publishing world is emerging as one of the most engaged in new technology and one of the pioneers of how to use digital technology, devices and new consumer habits and moves to make money from its products.

Don’t take my word for it, listen to what an author has to say on the matter.

Chris Cleave is a New York Times number 1 best selling author and he is very much an advocate of what digital media brings to the world of book publishing. He is all for digital book reading, as well as embracing all the social media that goes around it – something that turns the book into something based around ‘content’ but offering so much more than just the written word as we have come to love books for the past 500 years.

“For me the new digital world of publishing is here and it has changed what I do in two ways,” he says. “Firstly people now want to see the process behind writing the book and what I do, so I produce video and photos of me doing the research and giving them updates. Then post publication they effectively come on the book tour with me. Secondly, it has opened up the world of book clubs through the social media angle – now people can discuss the book all over the world and engage with me about it. It has been very rewarding.”

Book clubs are an exciting nexus of digital book publishing, e-book readers, mobility and social networking. The book is now a multiplatform piece of content, suggests John Makinson, Chairman and CEO of Penguin Group. And adding in the ability for readers to interact with the content, with each other and with the author offers some interesting new ways to engage people in books and some monetisable opportunities, he believes.

“At the end of the day everything is just content. And a paper book is just one way of distributing that content,” said Cleave. “I personally don’t mind people sharing my books for free electronically – the more people that read it the better – but I understand that we need to make money from this, so I see a world where you can freely share the basic content, but if you pay you get all the rich add ons.”

This, agrees Richard Palk, general manager of digital reading at Sony, is the key.

“I used to work in the music business and that was hit hard by file sharing. What the industry should have done is allowed for free sharing of the basic content – the track – but charged for the add ons. That is a much more customer friendly strategy than taking your customers to court and threatening them with huge fines or jail.” opportunity. But these same users are also avid fans of converged media – so they want words, videos, pictures and more, all on the one device: and that is an expensive and difficult set of demands for media companies to try and meet.”

There is also the issue that much of this is being controlled by Apple currently and soon Google as well, since the apps to deliver the content to these tablets sit on their platforms. The 30% cut that the two companies are taking was a continual bugbear throughout the two day conference, but New York Times’ Sulzberger is unfazed – liken it to the charge levied by newsstands in the old days to sell his papers. It’s just the cost of distribution, he said.

But the real issue that that consumers already place a dwindling value on news and, to create revenue from it, means making it more compelling. Something that Enders has doubts can be achieved with new devices or anything else.

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SMS

Short D but sweet While smartphones and apps, mobile web and m-commerce gain all the headlines, good old SMS is still a huge revenue generator and is sitting at the heart of how social networks, media interaction and payments are conducted over mobile in 2011. Paul Skeldon reports

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espite the rising importance of advanced mobile applications like mobile social networking, SMS messaging and voice calls will continue to be among the most commonly used forms of communications by the mobile consumer of the future – as it offers a quick, simple, easy and revenue generating channel to reach the maximum number of mobile users in any given market, is well understood by users and allow brands to enter the mobile marketing market with a relatively pain and risk free tool.

An independent survey of 31 leading global operators commissioned by MobileSquared for messaging company Airwide Solutions, asked the operators to choose what they thought would be the top five most popular forms of communication in 2015. While 94% of operators believe that social networking will be the most popular form of communication by 2015, 87% and 81% of operators believe messaging and voice (respectively) will continue to play an important role in communications, predicting that they will remain in the top three most heavily used forms of communication in 2015.

The fact that SMS and voice are still very much revenue generators for the foreseeable future should make pleasant reading for the telemedia industry. But once again – as is becoming the theme of this issue – social networking on mobile is driving how mobile messaging (and then ultimately marketing) is growing. Social media is seeing PRS revenues grow in the UK and premium rate text is being used as the channel for everything from up dating Facebook to paying for social media-based TV interaction and voting. So what are the opportunities?

According to the MobileSquared research, 65% of operators believing that entertainment-based applications and services would act as a catalyst for messaging growth. Following entertainment, 48% of respondents selected healthcare while 36% cited education and finance.

Social media analysts GP Bullhound believes that part of the charm of short messages is that information overload – and information dissemination overload – are drawing more people towards short messages such as Twitter.

Corporately, GP Bullhound suggests that by 2012 there will be so much corporate messaging and B2C email that companies could do worse than to treat all messaging like SMS, by imposing a character limit on both outgoing and incoming communications.

This need for more short messaging may not necessarily just result in SMS growing, but the concept of short mes-

SMS sages is what is driving the continued interest in short messaging on mobile for everything from marketing to brand communication to social networking to TV and media interaction.

In emerging markets, innovation in messaging is most likely to be driven by mobile financial services, mobile health and mobile education-based initiatives. It is in these regions, such as Africa and the Middle East, where mobile phones are being used not only as communications tools but also as catalysts for social change.

In addition, operators believe that in developed markets alternative forms of messaging will primarily be driven by enterprise services and machine-to-machine (M2M) messaging. 76% of operators feel enterprise services will be either important or extremely important, while 64% think the same is true for M2M messaging.

“The survey has shown that while the mobile subscriber of the future is changing, its core mode of communication (text and voice) is likely to remain the same,” says Jay Seaton, Chief Marketing Officer at Airwide Solutions. “Traditional forms of messaging will not be replaced. In fact, services such as SMS are becoming an integral part of social networking, and they will also underpin future innovation, particularly in areas such as mobile entertainment, mobile financial services, mobile healthcare and mobile education.”

This move towards mobile social networking powered by text has seen messaging stalwart mBlox launch the industry’s first secure text product for enterprises in both consumer goods and services and compliance-heavy industries. The mBlox product enables firms in areas such as retail, financial services, and healthcare to send secure text messages that appear in a user’s regular SMS in-box on their mobile device.

Firms can set controls for time-defined expiration of text messages and can also use their own encryption controls to tailor privacy and security of transmission.

The secure text product has been optimized for enterprises that manage private information, including the secure distribution of PIN numbers and virtual credit/ debit cards; patient health information, and consumer purchase data for the delivery of rebates, store discounts, or cash value via mobile devices.

The secure text product is the first in a suite of products to emanate from the recently-launched mBlox mobile app enabling services designed to provide leading brands with unprecedented levels of one-on-one communication and analytics capabilities. The secure text product leverages powerful geolocation features for mobile purchases, and provides two-way, end-to-end encrypted messaging (up to 2048 bits), with proof of delivery and read receipts.

Enterprises can send secure messages via a mobile carrier network, or via the SMS data channel; establish a secure inbox on a user’s device, and can exceed the standard 160-character limit for text messages with-

Telefónica embraces SMS based social media updates

SMS is increasingly sitting at the heart of social messaging and instant messaging (IM) and to service that Myriad Group, a global leader in mobile technology, has launched Myriad Updates, a new text-based social networking service that makes mobile social networking, IM and email accessible to mass-market phone users.

Myriad’s Xumii platform is the first of its kind to enable operators to offer social networking services over USSD and SMS, creating new opportunities to reach an untapped market of more than 4 billion consumers worldwide.

Myriad Updates uses the Xumii platform that powers services for Telefónica and other major operators. This enables deployment in just a matter of weeks, allowing operators the opportunity to monetize data services in a new way that is complementary to existing data offerings, and is open to all subscribers.

Using short codes through any mobile phone, subscribers who have no access to data can now connect to their favorite social networks, and stay in touch with their friends on Facebook, MySpace, Twitter and Flickr via Myriad Updates. The Xumii platform aggregates the most popular social networks into one single, operatorbranded environment and enables subscribers to stay connected to these social networks without a data subscription and no need to download or install an application.

As mobile ownership is approximately three times higher than PC ownership in many developing countries, according to On Device Research and mobile social networking is on the rise with an expected 1 billion users by 2012, if eMarketer is to be belived, operators can now monetize this market with Myriad Updates by opening up social networking capabilities to all mobile subscribers.

“Hot on the heels of our partnership with Telefónica, Myriad will continue to react quickly to rising market demand to further expand the addressable market for operators. Through Myriad Updates, operators can enable mobile users with no access to data services, to connect with each other and the world around them for the first time,” commented Simon Wilkinson, Myriad CEO. As part of Myriad’s recent Telefónica partnership to provide mobile social networking services to Telefónica’s Movistar and Vivo brands, Myriad Xumii services will be made available to Telefónica’s 140 million subscribers across 13 countries in Latin America. out dividing the message. The product incorporates a sophisticated SMS push wake-up feature that delivers a message even if a device application is offline.

Built using the industry’s first secure, cloud-based app enabling services, the mBlox secure text product leverages mBlox’s network expertise and fosters a new kind of consumer relationship for enterprises and brands.

These app enabling services offer richer, more personal and relevant one-to-one interactions between large brands and users of smartphones and tablet computers than previously available.

“Our multi-year investment in and build-out of efficient, cloud-based networking services is yielding nextgeneration products,” said Andrew Dark, CEO of mBlox.

“The secure text offering delivers a highly-differentiated solution, providing customers with a robust, secure mobile information delivery enabler for sectors working with mobile payments and other forms of secure data.

The delivery of the secure text can be as transparent to the user as any other SMS they would receive on their

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SMS mobile device. Through our ongoing investment in the security of our systems, we can deliver maximum value to large brands through our highly reliable and secure mobile transaction network.”

The company has also announced the launch of the industry’s first secure, cloud-based, mobile app enabling services that provide brands with the opportunity to interact with mobile consumers and social networking group members.

Leveraging mBlox’s global mobile network, and the power of on-demand cloud-based tools, the new services provide an extensive set of enablers that foster a new kind of consumer relationship for enterprises and brands. The services offer richer, more personal and relevant one-to-one interactions between large brands and users of smartphones and tablet computers than previously available.

Using both Wi-Fi and cellular networks, these groundbreaking services provide new opportunities for mobile communication, interaction and commerce with con-

The use of this functionality to provide closed loop marketing on a mass one-toone basis turns the marketer’s utopian dream into a reality –and it will lead to further enablement of mobile commerce sumers on a one-to-one basis – regardless of whether that individual is travelling abroad and connected to different international mobile operator. This connection independence is mirrored by the OS independence to which the services apply – Android, iOS, Windows and Symbian - providing coverage for the largest population of devices.

Powered by mBlox’s proprietary technology, these initial secure message delivery, location, payment and campaign management services leverage mBlox’s smart cloud network and bring a new degree of economy and innovation to brands’ interactions with consumers. mBlox will initially target global Fortune 500 companies with its new product suite, and is currently in discussions with numerous marquee brands, as well as their app development teams and developer partners.

Initial projects with these marquee brands include secure distribution of PIN numbers and virtual credit/debit cards, video and other large data download management, secure and broader payments, and the targeting of consumers based upon location, regardless of connection type and

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mobile network.

Powerful analytics provide meaningful information that can, for example, determine a mobile subscriber’s geographic location when they viewed a video clip, and for what length of time - all in real-time.

“We are now bringing our transaction network expertise to the next generation of the mobile app economy in a way that delivers ‘smart apps for smart devices,’” said Andrew Dark, CEO of mBlox. “The mobile industry is in the midst of an explosion of innovation and our new mobile app enabling services provide the kind of reporting, location, and rich media features for app development and consumer interaction that is unprecedented.

The use of this functionality to provide closed loop marketing on a mass one-to-one basis turns the marketer’s utopian dream into a reality. This will lead to further enablement of mobile commerce, which is clearly destined to outperform web commerce.”

SMS

SMS is the marketing tool of choice brands and retailers as it reaches the maximum number of handsets, is quick and easy to do and offers a staggering 97% opening rate. Paul Skeldon takes a look at how Debenhams has put it to good use in starting a conversation with its customers

U

Conversational marketing technology

K retail department store Debenhams has become one of the major retailers to embrace text as a means of marketing through mobile to its customers, with the launch of a SMS mobile marketing campaign that runs on the same platform and in conjunction with its email marketing and designed to extend the retailer’s cross-channel marketing capabilities.

Following a major campaign encouraging shoppers to opt-in to receive its mobile marketing messages, Debenhams has since alerted customers to the Debenhams’ Sale and to many special offers and promotions. For example, a personalised, unique voucher discount code within one major SMS promotion can be redeemed in store or online.

The service is based on technology provided by Neolane, which offers, in its words “conversational marketing technology”. The Neolane platform tracks each customer’s response behaviour to campaigns in any channel – via email click-throughs and text voucher redemptions for example – and drives event-triggered follow-up conversations where appropriate.

This cross-channel, ‘single customer view’ data is analysed by the Neolane software to define what stimulates an individual’s interest, enabling future communications from Debenhams to be ever better targeted, personalised and relevant.

“Centralising all our enterprise-wide customer marketing on Neolane, whether mobile or email, we can conduct channel-coordinated, consistent and customer relevant communications generating high response rates and sales,” says Rob Unsworth, head of trading finance and commercial insight at Debenhams. “We defined our mobile marketing requirement, enabled and tested the Neolane mobile component in just four weeks, enabling us to launch our first campaigns in October 2010 – perfect timing for the Christmas season.”

“Debenhams is an excellent example of a retailer taking advantage of the fantastic opportunities of mobile marketing, whilst maintaining an integrated cross-channel approach,” adds Etienne Viellard, Neolane’s senior director of marketing in Europe. “Neolane enables marketers to ensure both brand and content consistency in communications whilst orchestrating cross-channel interactions via email, direct mail, web, mobile and the call centre to stimulate reactivity, sales and loyalty.”

For all campaigns, Neolane’s clear analyses and reporting allows Debenhams to prove which campaign ideas and customer journeys are delivering the best results, helping the retailer’s marketers to optimise return on marketing investment.

The key though, as ever, is not to overwhelm customers with too much SMS or to do it too frequently. It is also important to also bear in mind that mobile text based marketing campaigns run the risk of becoming a victim of their own success.

The more brands and companies that start to getting on SMS bandwagon, the more text there will be flying around hitting customers’ phones. This could become very annoying. Currently, SMS marketing is still in its infancy so those brands that are doing it can afford to let people opt in and be very picky about what they let consumers do.

Once most brands have access to SMS marketing technology, keeping it ‘special’ becomes every more difficult.

There is also the risk – often talked about, but still not realised – that fraudsters or the unscrupulous will get hold of mainstream SMS marketing technology and abuse it – spoiling it for everyone.

These two challenges aside, marketing SMS is clearly something that retailers and brands in particular can put to good use, generating revenues for telemedia and start to develop new, simple ways to get the mainstream phone users of the world interacting – which can only be a good thing.

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SMS

A stitch in time, saves... £38million SMS is still the interaction and messaging medium of choice, but it is also playing a role in delivering better healthcare and saving the NHS a lot of money, says Shane Leahy, Group CEO at Oxygen8 Communications

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tices, opticians, physiotherapists all suffer from the same issue of making the most of their billable time.

What’s most exciting of all is that taking up such solutions is extremely affordable – particularly when contrasted with the huge losses that are being incurred with every missed appointment. Where the knock-on effect of a no-show is a lot of extra administration, not to mention the waste of a consultant’s valuable time, adding up to a loss each time of £110, the most it will cost the healthcare provider to manage and issue a text reminder is a few pence per person.

Finding spare capital is particularly tough in the current climate, but use of a text service qualifies as operational expenditure, which is much very year, missed easier to get approved, especially in the face of hospital appointments huge potential savings and the positive implicacost the UK’s National tions for reducing waiting lists and improving Health Service (NHS) patient care, all of which are key Government £790million, including targets. £18million in Scotland Health service providers don’t even have to alone. Breaking this down, each ‘no manage the system themselves; it can be proshow’ is costing the health service an vided as a remotely-hosted, complete solution, average of £110 in wasted time. At a requiring no investment in special hardware or time when savage cuts are ravaging software. The service uses the administrators’ the NHS, writing off such losses is existing calendar and patient contact systems, unthinkable, particularly when cheap and the recipient’s own mobile phone. and easy solutions exist to wipe out The potential applications extend beyond missed this costly problem. appointments, too. Automated text contact could also be Forgetting an appointment is all too easy, yet for used to bring greater consistency and reliability to staff healthcare providers it is too expensive and impractical scheduling – for example, for last-minute deployment of to devote administrative time to reminding and chasing agency staff in response to an unforeseen absence, or a patients. A far easier way to eliminate missed appointments is to automatically issue reminders via an SMS to sudden peak in workload. Scheduling and co-ordination of community visits could be similarly managed. the patient’s mobile phone. This has numerous, signifiToday, such processes rely heavily on voice messages cant advantages. and voice calls, without the benefit of diary integration.

The worst culprits for missing appointments, GPs’ own findings show, are 16-34 year-olds – the text genera- The result is a lot of chasing, and the costly penalty of tion. While they might ignore a voice call, or fail to open lost time.

With an integrated SMS solution, contact is made an email, research confirms that the majority of people, swiftly, and appointments confirmed or changed in a particularly in this age group, will open and read a text timely fashion. Best of all, virtually no manual intervenmessage – and promptly, too. tion is needed, eliminating administration costs almost The reminder itself is enough to ensure that most honour their appointments. Where this isn’t possible, the entirely.

The outcome is a win-win all round – consultants’ healthcare provider has a chance to reschedule – to give the current appointment to someone else, thereby reduc- time is more fruitfully spent and can be reimbursed accordingly, waiting lists are significantly reduced ing waiting lists, while issuing a new date and time to as more appointment slots are filled, patient care is the original patient. improved, and a huge and potentially costly administraDedicated mobile healthcare applications exist now tive burden is lifted. to automate as much of this process as possible, by Missed appointments and costly ‘dead’ time is an integrating routine text reminders with existing hospital/ surgery/clinic diary and calendar systems. There is even issue for healthcare providers the world over. Under more pressure than most at the moment, the UK has an the potential for the system to automatically offer and book alternative dates and times, and to contact patients opportunity to lead in harnessing a commonplace, mainstream technology to transform fundamental patient on the waiting list to offer them the last-minute canceladministration in a way that’s easy, natural and costs litlations. tle more than a sticking plaster.

It isn’t just doctors’ surgeries or hospital departments Physicians, this is a real chance to heal yourselves. that stand to benefit from such facilities – dental prac-

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Trading Day, Seminars & Networking

11 May 2011 The Loft, Leeds www.telemedia360.com

Sponsored by

T360 Show Preview Navigating the digital landscape

PRS in the UK is in recovery mode, with the sector recording some modest growth in 2010 and with more to follow in the coming year. The growth has been driven largely by media interaction, where PRS calls to vote are starting to make a huge impact, along with social media on mobile seeing a rise in people using PSMS based services.

But it is the growth in the purchase of virtual goods that really tickles my telemedia taste buds. Up 400% on the same period the previous year, it has become a market worth in the UK alone £8.1million in 2010.

Virtual goods include virtual currency to spend in games on social networking sites, ‘virtual gifts’ such as virtual birthday cakes and, more recently, virtual charity badges with a donation going towards the consumer’s good cause of choice.

According to figures from Analysis Mason, 8.5% of consumers have bought a virtual gift or object related to a social networking site using a phone-paid mechanism, while 19.4% of 25-34 year olds and 16.5% of 18-24 year olds have bought a virtual gift using PRS in the past six months. The average micropayment per transaction for virtual goods is £2.41.

This is all great news for the telemedia industry as it shows that, while more traditional areas of revenue generation are plateauing or even tailing off, social media is starting to offer some real openings for new business.

Another element of this that is encouraging is that consumers are once again trusting phone-bill based micro-payment tools. Complaints to PPP fell to unprecedented levels in 2010, with just 3% of people saying that lack of trust in phone paid services stopped them using them.

While the general economy may be in turmoil – I would cry “up the workers” at this point, but I don’t want to get hurt as the health service won’t be able to look after me – the PRS sector is again bucking the trend. The old adage that these services always do well in a recession as people seek some cheap comfort and joy was ringing a tad hollow.

But social networking, smartphones and a general embracing of a new way of interacting with each other and brands, has seen consumers resurrect the PRS sector and offer some rays of hope.

This is why the timing of Telemedia360 in Leeds on 11 May couldn’t be better. Featuring a line up of media, service provider and operator speakers, the sessions all look at how the digital ‘media’ landscape is shifting and how media companies, brands, telcos and service providers need to think in new and agile ways about how to engage consumers and offer them the kinds of services that they will pay for.

Some of it centres on new things and new ways of thinking, but a lot will really just involve putting well understood practices onto a new platform: the social media platform.

To learn more about getting involved sign up at www.telemedia360.com

Supported by

trading Sponsors

networking Sponsors

SEMINAR Sponsors

Official Publications DELEGATE Sponsors

For the latest information about the event and how to sign up

www.telemedia360.com

telemedia issue 28

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Trading Day, Seminars & Networking

11 May 2011 The Loft, Leeds www.telemedia360.com

Sponsored by

Conference In conjunction with our overall event sponsors Core Telecom, our in depth, panel led conference is designed to provide the ideal learning environment for mobile and interaction professionals from the media, brand, marketing, advertising and retail sectors.

It uses experts and specialists – led by an expert team of moderators – to get to the very bottom of how the changing digital landscape of new devices, new user behaviours and social media are there to generate revenues from all the eyeballs and earlobes focussed on interacting with you

9.00 – 9.15

Opening Keynote: Telemedia’s role in the new interactive landscape With TV interaction turning to social media and apps, and with publishers embracing online and digital publishing with alacrity, our panel sets the scene for the day exploring how the telemedia industry can lead the chase for eyeballs and earlobes.

9.15 – 9.25

Mobile users and the digital society A statistical overview of the digital society and what opportunities lie out there for brands, media companies and the telemedia sector.

9.30 – 10.15

The new digitized media landscape New devices, new operating systems, apps stores, m-web and social media: today we operate in a very different media world. Our panels and presenters explain how Telemedia services can continue

to add huge value to media, brands, broadcasters and retailers • What services are the best fit for what devices • Mixing interaction and monetisation • Working with the new platforms players – getting Facebook, Twitter and the myriad of app stores working for your content • What value social media • M-web, apps or both – what works best for media • Increasing importance of loyalty and CRM

10.15 – 11.00

Engaging and interacting in a multi screen digital world Whether you are a media company, broadcaster, retailer or a brand, the new landscape for media delivery also affects how you market your services and how consumers interact with you. Our panel and presenters show you best of breed solutions to win in these battles • How social media, apps and new channels are affecting the interaction paradigm

WORKSHOP SESSION PPP 12th Code workshop

PhonepayPlus’ new Code & Registration – Are you in?

On 1 September 2011, a new Code of Practice and industry-wide Registration Scheme will come into force for premium rate services (PRS).

• The new Code contains rules that apply across the whole PRS value-chain.

Information/content providers will be responsible for consumer protection for the first time.

• The Registration Scheme is mandatory for ALL providers in the PRS value-chain.

You will not be able to do business in the UK market unless you are registered.

PhonepayPlus’ session at Telemedia 360 in Leeds on 11 May will ensure you’re clear on what the new Code and Registration Scheme mean for you.

SEMINAR Sponsor

• It’s a wifi world – so you need to change your business models • What solutions are there for broadcasters, media companies, brands and marketers to generate incremental new revenues?

• The role of telemedia in this new landscape • Where does fixed line fit?

11.00 – 11.30

networking with tea and coffee

11.30 – 12.15

Traditional Telemedia service update While the media landscape may be crowded with new devices and business models, consumers still love the same services – they just want them delivered in different ways. Our panel and presenters take a look at how the telemedia basics are shaping up • Latest developments, products and services in Psychic, horoscope, life coaching, chat and dating • Issues affecting the market, including regulatory updates • Creating effective services for brand and media clients • The impact of new devices, new delivery channels and new media • Exploiting SMS, MMS, Video and social networking • Monetising through add ons

12.15 – 13.00

CASE STUDY Where traditional services meet new media and brands FMCG brands are using Horoscopes/ Psychic for PR, CRM, editorial content and incremental revenue. We find out how brands, including Asda, are using bingo, dating, horoscopes rather than the traditional “in print” models.

For the latest information about the event and how to sign up

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www.telemedia360.com

telemedia issue 28

Trading Day, Seminars & Networking

11 May 2011 The Loft, Leeds www.telemedia360.com

Sponsored by

13.00 – 14.00 lunch

14.00 – 14.45

M-Commerce – so more than just retail Mobile is the ideal sales tool, offering a channel and billing – as well as today total broadband web connectivity. So what are the main games in town for m-commerce?

• What is being bought on mobile – real, virtual or both?

• What can we teach tangible goods retailers about mobile commerce?

• Turning mobile marketing into mobile commerce • Drop charges, telemedia billing and the new world of retail

14.45 – 15.30

Billing & payments – the options to consider SPONSORED BY OPENMARKET

16.00 – 16.45

Telemedia CRM & DATA – the marketing department’s dream come true Both fixed line and mobile services generate extraordinary amounts of detailed data about the consumers’ behavior interacting with your brand. But how do you harness and monetize this data from marketing and commercial perspectives?

• Creating data and using it as a marketing tool • CRM best practice & Data Protection Act main points to watch • Comparative studies of how well CRM generates repeat calls and up sell across media types • CRM, data and Age Verification – protecting consumers and your business • The role of delivery through SMS, MMS, Apps and M-web • Collecting and re-using data through

new channels – how do apps, m-web, social media and wifi change the data game?

16.45 – 17.30

Telemedia and Live events With the Olympics just around the corner and sports clubs all getting on the mobile bandwagon, we wrap up the Leeds show with a lively debate about how best to put all that we have learned today into practice around live events.

• Opportunities for telemedia in live events • Opportunities for media, brands and retailers around live events • Cementing the two with mobile, kiosks and more • Challenges of making it work • From marketing on page to ticket on phone – the complete journey for the modern event • Case studies and demos from around the world.

TIME TO TALK Making all interactive and m-commerce services work relies of collecting money and extending that to allow for payment through device in stores and online. But the billing and payment landscape has changed radically in the past two years.

• In-app billing The try then buy app model is a staple in the games industry, and ripe for media subs. We offer a masterclass in working with Android and Ovi on technical and regulatory intergration of in-app billing with case studies Presentation by OpenMarket The panelists will then discuss: • The rise of Apple, Boku, Zong and the others • The role operator billing might yet fulfill • How 90% payout transactional SMS billing is becoming reality • What NFC and other mobile payment tools bring to the party • Refunding to phones and accounts – a new opportunity?

PANEL

15.30 – 16.00

COMPANIES REPRESENTED ON OUR PANELS INCLUDE

Skopos Future Publishing Telegraph Media Group Net-M AIME Mobile Interactive Group Admoda Russellgrant.com Flirtomatic Sprint Media IPC Magazines 2Ergo Core Telecom txtNation OpenMarket Velti MLaw

network with tea and buns *Correct at time of going to press, subject to change on the day – for most up to date information, see www.telemedia360.com or the show guide at the event

For the latest information about the event and how to sign up

www.telemedia360.com

telemedia issue 28

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Trading Day, Seminars & Networking

11 May 2011 The Loft, Leeds www.telemedia360.com

Sponsored by

Networking T360 – SUPPORTING THE FIGHT AGAINST CANCER Each year it seems another person in our industry and even more recently a close family member is struck down in their prime by this terrible disease. Once again, T360 and now T18 will be supporting our three nominated cancer charities and hoping to raise some desperately needed funds to support their valuable work. L4C are the UK’s leading specialist in running silent auctions and we’re looking forward to them helping us raise money for our three nominated charities whilst you pick up some very special items during dinner.

• HER BREAST FRIENDS • BREAST CANCER CARE • CANCER RESEARCH UK This year we will donate 50% of all T18 profits and 100% of all SILENT AUCTION profits to these very worthy causes so please support these events wherever possible – many thanks.

10th May T360 GOLF & SPA DAY - Oulton Hall One of the great benefits of moving T360 to the wonderful month of May is that we’re guaranteed some fantastic summer weather! What better way to prepare for 24hrs of grueling networking than by enjoying a very friendly round of golf and a relaxing spa day at one of the region’s best country retreats

SPA - For the non golfers & spectators Spectators and early networkers are welcome to join us for the day and enjoy full use of the leisure club facilities whilst the golfers are hunting for their balls.

The Oulton Club is a truly world-class leisure facility, so whether you’re in need of some time-out to unwind, or fancy some high-octane activities to get the adrenaline pumping, you’ll find all you need and more.

OPENING RECEPTION Norman Bar sponsored by Core Telecom T360 has reputation for supporting the “social sell” and so we’re delighted to be hosting the opening party at one of the city’s most renowned night spots!

Hospitality lounge the Loft sponsored by Oxygen8 Oxygen8 have a reputation for providing first class hospitality at these industry events. Make sure you visit their deluxe suite on the show floor and keep an eye out for the “treats” they’ll be serving up throughout the day!

EVENING DRINKS the Loft sponsored by 24 Seven We close the formal part of the day with a drinks party in The Loft Bar. This is a great opportunity to for attendees to meet all our speakers and sponsors in an informal setting whilst preparing for a great night out in Leeds.

DINNER & SILENT AUCTION – WITH “LOTS 4 CHARITY” T360 feeds minds and bodies throughout the day and well into the night. The T360 Dinner brings together 150 of our delegates, promoters, sponsors and panellists to enjoy the very finest cuisine from the subcontinent. Still only in its first year, A.M. Kitchen & Bar has already built a reputation for delivering amazing food in a sophisticated setting.

For the latest information about the event and how to sign up

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www.telemedia360.com

telemedia issue 28

TRODAT TELECOM

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info@trodat.com

Golf & Spa Day

10 May 2011 Oulton Hall, Leeds www.telemedia360.com

Golf & Spa Day One of the great benefits of moving T360 to the wonderful month of May is that we’re guaranteed some fantastic summer weather!

What better way to prepare for 24hrs of business networking than by enjoying a very friendly round of golf and a relaxing spa day at one of the regions best country retreats?

Once again T360 and now T18 will be supporting our three nominated cancer charities and hoping to raise some valuable desperately needed funds to support their valuable work.

• HER BREAST FRIENDS • BREAST CANCER CARE • CANCER RESEARCH UK This year we will donate 50% of all T18 profits to these very worthwhile causes so please sign up and sponsor wherever possible.

Trading Day, Seminars & Networking 11 May 2011, The Loft, LEEDS Sponsored by

For more information visit

www.telemedia360.com telemedia issue 28

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mGambling

2011 is going to be the year of mobile gambling. No. Really it is. The technology has long been in place, but now that consumer demand is there, gambling operators are opening up to its possibilities, finds Sheldon Johns

A

fter many false dawns, mobile gambling is starting to become a major force to be reckoned with – and gambling operators are starting to see how this highly personal device is a channel in its own right, as well as

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kind of glue to hold all other channels – online and bricks and mortar – together. Similarly, affiliates, brands and media companies are also starting to see how mobile gambling is not only an accepted part of the mobile consumers’ daily life, but also something that can be grown.

Why the sea change? Typically the industry cites the fact that more and more people in the US and Europe are starting to use sports book betting on smartphones as the key driver for the uptake of mainstream mobile gambling. While this is in part true, it is likely that it coincides with the rise of familiarity with smartphones, location based services and social media on mobile among a growing

mGambling

Where the

smart

money is number of consumers. It is also being spurred on by the adoption of wifi in the home and workplace as a cheap (or usually free) means of connecting even non-smart feature phones to the web.

The rise of tablets and connected TVs is also changing the landscape for ‘mobile’ gambling at an unprecedented pace, as well as the beginnings of an easing across Europe – including Italy and France – and some US states (namely New Jersey and California) of remote gambling laws that are now seeing even greater interest from both gambling operators and consumers in mobile based games.

While this is all good news for gambling operators, it presents a challenge to telemedia companies

The growth of mGambling coincides with the rise of smartphones and the acceptance of location-based services and social media by the masses and mobile network operators as wifi means that the traditional billing and business models that would have been applied to monetising mobile gambling don’t necessarily play very well any more.

It all started going right for mobile gambling when iPhone users started doing sports betting on their devices while watching sports – typically at home

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mGambling – in the US. It has spread to the UK and now there is more than a critical mass of phone jockeys betting on everything sporting, typically using mobile websites (since Apple and Google have all but banned gambling apps – more of which anon).

But this plethora of mobile sports book users has encouraged the gambling industry to look with renewed attention at mobile, while other entertainment brands are also seeking a slice of the pie. And what a pie it is. According to Juniper Research, the scale of annual wagers on mobile gambling exceed $48billion by 2015. It is likely to reach $26billion by 2012, the analyst predicts.

Bingo-ing mad While sportsbooks are clearly driving much of the initial uptake, Juniper’s report suggests that a more

FremantleMedia moves into mobile slots

FremantleMedia, one of the largest creators and producers of entertainment brands in the world, is adding it backing to 2011 finally being the year of mobile gambling, with the company’s head of gambling, Simon Murphy, heading up a new division within FremantleMedia Enterprises (FME) to develop gambling offerings for landbased, online and mobile slots based around its famous TV formats such as Family Fortunes, the Price is Right and X-Factor.

According to Murphy mobile is now a significant opportunity for gambling companies and for brands. “Higher capability handsets such as iPhone and Android, with greater graphics capabilities, make it much more accessible,” he says. “Tablets also bridge the gap between online and mobile, getting consumers accustomed to mobile gambling.

In Murphy’s view, mobile, online and land-based gambling services should all work together and offer a clear branded experience, but mobile has the opportunity to also operate as a channel to discover games, set up accounts, play games and collect winnings seamlessly. “I can see real value in offering all of this from the handset, and we are working closely with handset makers, games developers and gambling operators to make this happen,” he says.

However, Murphy warns that operator billing is not a favoured billing channel for getting money into, or indeed out of, mobile or online gambling offerings.

“Tariffs can be a problem and the cut taken by aggregators and operators has to be borne somewhere in the value chain. Mobile wallets and pre-registered cards are a much better option and will enable the punter to easily do everything they can do online from the handset.”

Already an industry leader in brand licensing, FremantleMedia has proven success of publishing and distributing games to operators such as, Rank Interactive, Ladbrokes, Betfair and Paddy Power.

The gambling division was initially launched as part of FremantleMedia Ventures by Head of Ventures, Paul Kanareck in 2008 as an internal start up and immediately gained traction. The success of the business to date has encouraged FremantleMedia to scale its investment in the gambling sector.

Murphy will be responsible for the company’s online, land-based and mobile gambling initiatives. With more than eight years’ gambling experience holding key roles with IGT WagerWorks and Million 2-1, a mobile gaming specialist acquired

by IGT, he will be tasked with building FME’s brand presence and distribution of multi-channel gambling related content.

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snacking based approach to mobile gambling on smartphones will see users start to pick up on all sorts of other gambling services. Mark Gibson from interactive platform maker and mobile gambling platform operator, Mkodo.com agrees. “Sportsbook apps have seen phenomenal growth – about 400% in a year – and is a very powerful offering, but we will soon also start to see more use of casino games and, in particular, some huge plays in mobile bingo.”

Gibson believes that mobile bingo will be a very important mobile gambling channel very soon, since it ticks so many mobile user boxes. “It is snackable, dynamic and has a social element to it to,” he explains. “Online bingo does some huge numbers with people playing 12 hours a week and frequently returning.”

It seems on paper, however, that bingo is not a natural fit with mobile. It needs dynamic updates, very rich graphics, audio, video and often social interaction too – all on a small screen. But it does have a massive online user base and, if these issues are dealt with smartly, then potentially a big market for mobile bingo services.

Casino gaming meanwhile has never been that big on mobile – a fact largely responsible for the idea that mobile gambling keeps failing to launch – but that is set to change. “Slots are already huge on mobile,” says Gibson. “They are ideal: they are low stakes, snackable and offer a fast user experience. They can also be delivered reasonably effectively over m-web.”

Blackjack and Roulette are also starting to gain ground on mobile too, for the same reasons as slots.

The arrival of HTML5 and CSS coding will soon see mobile websites that run roulette and blackjack games that are fast and easy to play remotely – rather than locally on the phone, as delivered by apps – and so these kind of casino games have a promising future ahead of them.

Poker, however, is a real gamble, if you’ll pardon the pun. Poker is very popular online and on TV – and in tie ups between the two – but presents a huge challenge on mobile: interaction. Most poker services work because they let people play remotely against each other. These sessions can also be quite long and involved and achieving this through mobile is hard to do and can be expensive.

This throws up the main problem with all things mobile – especially when done ‘out and about’ – the networks. Dropped calls used to be annoying, but dropped data can, in the run of a poker game be very catastrophic, not to mention costly. For this reason poker may not be one of the games that takes mobile gambling onwards and upwards.

Lotteries, like bingo, offer huge potential for the mobile gambling marketplace. In the US, where sports book betting on smartphones is leading the

mGambling charge, lotteries are also starting to generate great interest. “The advantage is that they work on both smartphones and with lower tech phones through SMS,” says Chetan Sharma Consulting. On smartphones the rich graphics and web connection allow for rich lottery formats, scratch cards and ‘LottoSpin’ services – as developed by Spin3 – that offer instant win scenarios.

Moreover, however, lotteries can also be made to work using just SMS, so that the vast majority of mobile users [60% of the market, although this is shrinking rapidly – Ed] can also start to play. Along with ease of use, simple SMS also comes with a built in billing mechanism to boot, which makes it all the more attractive.

Apps-olutely not It seems odd to be talking about SMS as a gambling channel when most of the attention in the mobile gambling market is squarely focused on what smartphones can deliver, but there is a very good reason why it offers so much potential: it isn’t an app.

Everyone is crazy about apps, but really they are a very limited way of getting content and services to market: they are highly ephemeral and they are very hard to find if you aren’t looking for them. They are also, in the gambling context, banned from Google, Apple and BlackBerry’s apps stores.

Apps are attractive as they run natively on the handset so they can be richer and more graphics laden and offer a great experience in terms of game play for certain games. But for betting and peer-topeer gambling they still need to be connected to the web.

But the downsides are huge. Even if you could distribute them through the major apps stores – and hopefully you soon will be able to thanks to some pioneering work by the Mobile Gambling Forum – how on earth do people keep finding them?

“And,” says Gibson, “even if people are playing on your gambling apps, how can you keep track of them and make sure they are still playing on your gambling apps in six months time and not on your competitors?”

There are also the development costs of creating apps for mobile gambling – which you can distribute without an apps store through websites and affiliates – as you have to create for many different operating systems.

The build once, use on multiple devices philosophy behind the creation of HTML5 games is much more enticing commercially.

Tablets and beyond While apps are a bone of contention, new devices keep entering the market, which also demand

Money in, money out

One of the key elements of gambling, whether it is online, on the high street or on mobile is getting the money in – and occasionally out – of the system. Online, gambling operators tend to offer as many payment channels as possible, maximising cash in flow. But on mobile it isn’t that simple.

That’s not to say that there aren’t a wealth (ho ho) of payment tools that can be used with mobile; there are a bewildering array. But how you use them depends on what you are trying to do.

Currently, most mGambling services offer all or some of the following: card payments; online accounts; premium SMS; WAP billing and Payforit; and vouchers.

Each has it advantages depending on the type of gaming product being offered and each has its drawbacks.

Typically the micro-billing end of the payments scale – the PSMS, WAP billing and Payforit – is used in customer acquisition to give the user some initial stake money and some free play. The idea, then is that they upgrade their usage and start an account ‘online’ with a card to ease the in and out flow of money.

But these essentially operator run billing tools only pass on some 60% of the revenue to the gambling company, the operator keeping the rest. While this is OK on the acquisitions side of the business – think of it as a loss leader – it is not sustainable across the whole mGambling cycle for long term use. Margins on Blackjack on mobile are about 3%, sports books a little better on 10% – neither can survive long term with 40% of revenues going to someone else. Hence why it is almost uniform in gambling circles to convert these newbies to some form of online card payment model.

The growth in m-wallets and the plethora of mobile payment schemes that are coming up through the ranks right now – many backed by some serious names in banking – are all set to take away the billing part of the equation from the networks and telemedia companies unless something is done to change the payout rates soon. attention from the gambling and telemedia communities. But they are a curious beast: they are both online and mobile devices and start to blur the line between what it actually means to offer mobile gambling.

The line is already hazy with so many people now using their mobile device to gamble not while out and about, but while at home using their wifi network: mobile gambling, like all other mobile services, is a second screen activity, usually undertaken at home while doing something else like watching TV. Tablets make this distinction even less clear. They allow users to second screen gamble, but they also allow them to do other clever stuff that would normally be found with pure online gambling, such as running several screens at once as typically done in sports book betting.

The iPad is already considered the fourth most important device in mGambling circles, believes Gibson, but it does make the apps debate even more urgent. In the end, however, tablets will open up gambling on ‘mobile’ to an even wider audience and change what it means to run mobile gambling services. It is all part of mGambling’s time arriving in 2011.

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M-Commerce

Understanding

mobile retailing While mobile has been a commercial tool for many years, its big money lies in what retailers do with it – and that will impact how telemedia exploits the sector. Kevin Ertell, Vice President, Retail Strategy, ForeSee Results, assesses the mobile retail space to help point you in the right direction

T

he evolution of mobile technology has given rise to the empowered consumer: at the touch of a button, almost anywhere, consumers can research products, companies, and even make purchases. How does this trend impact a retailer’s bottom line? What can retailers do to retain mobile shoppers as customers across all channels?

As part of a study of nearly 10,000 visitors to the biggest e-retail websites in the United Kingdom (determined by traffic, according to IMRG), ForeSee Results used a scientific, predictive methodology to examine the impact of mobile shopping trends on retailers’ future business. ForeSee Results’ methodology is able to show how customers’ satisfaction with various interactions with a company (including mobile shopping and applications) impacts their purchase intent, loyalty, and recommendations across all channels.

We found that the use of mobile phones to access companies’ websites, mobile websites and applications for shopping purposes is increasing dramatically in both the U.K. and the U.S., indicating that any retailer who is not wholeheartedly embrac-

ing the mobile trend is leaving money on the table for competitors.

Shoppers are using mobile phones to access websites and apps more than ever before. 32% of respondents have used their phone to access a retailer website, and an additional 32% indicated they plan to access retailer websites or mobile apps by phone in the future.

Mobile purchase behaviour is exploding. A total of 8% of web shoppers reported having made a purchase from their phones this Christmas season, compared to only 2% at this time last year. This 8% figure lags the U.S., but only by a little; 11% of American shoppers have bought something on their mobile phone.

Shoppers use their phones for a variety of tasks. The majority of shoppers who used their phones for retail purposes did so to compare price information (47%).

Shoppers also used their phones to compare different products (34%), to look up product specifications (20%), and to view product reviews (15%).

Shoppers use their phones to look at competitor websites. While in physical stores, more than two-thirds of mobile shoppers (67%) used their phones to visit the store’s own website, but one-quarter (26%) used their phones to access a competitor’s website. This proportion is up substantially from 2009, when only 17% of mobile shoppers accessed a competitor’s site from within a store.

Traditional websites satisfy shoppers more than mobile sites and apps. In general, shoppers rate their satisfaction with retail websites significantly higher (72 on the study’s 100-point scale) than their satisfaction with mobile experiences (apps and sites) (67). A similar score gap is present in the U.S., although scores for both websites (78) and mobile experiences (75) were higher.

Good experiences with mobile sites and apps have critical cross-channel impact. Shoppers who are highly satisfied with a mobile experience say they are 32% more likely to buy from that retailer online and 31% more likely to buy offline, as well as being far more likely to return to the main website, recommend it, and be loyal to the brand.

Mobile Phone Use on the Rise Analysts are predicting that smartphone use will outpace feature phone use by the end of 2011, which

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M-Commerce means more people than ever before will have retailer websites, mobile websites, and retailer-supplied applications within arm’s reach any time, any place.

In our study, 32% of all survey respondents indicated that they had accessed a retailer’s website using a mobile phone (compared to 23% in 2009) and an additional 32% indicate that they plan to use their mobile phone to access a retailer’s website, mobile website, or mobile app in the future. In other words, more than half of all online shoppers are either already using or plan to use their phones for retail purposes. This finding indicates a huge opportunity for retailers with sophisticated, user-centric mobile sites and apps.

Compared to last year, twice as many people are using their phones for product research purposes. Use of retailer-developed mobile apps has tripled, and purchasing from phones has tripled. Despite these increases, UK adoption of mobile shopping still trails U.S. adoption in many of these areas. Any retailer not making huge strides in developing user-centric mobile shopping apps is leaving money on the table for competitors.

Among the group that used their mobile phone to access the website, mobile site, or app for the specific Top 40 retailer they rated, most looked up price information (47%), compared different products (34%), looked up product specifications (20%), or viewed product reviews (15%). Retailers need to understand what their shoppers want, need, and expect so they can develop mobile apps and sites accordingly. Higher numbers in the U.S. could indicate that mobile shopping will be a huge area of growth for the U.K. in 2011.

Mobile phones give retailers the opportunity to target customers not only in their own brick-and-mortar stores, but also in their competitors’ stores. While some retailers have adopted location-based advertising that shows mobile shoppers targeted advertisements and specials based on their locations, our research shows that customers are actively visiting competing websites and apps in order to get product information. In fact, the proportion of mobile shoppers who look at a competitor’s site while in a retailer’s brick-and-mortar store has greatly increased since last year (26% compared to 17%). Having accessible and easy-to-use in-store product comparison tools may be one way to prevent customers from turning to competitors for information and to make purchases.

While mobile phone usage for retail purposes is dramatically increasing, customer satisfaction with mobile experiences is not nearly as high as it is for retail websites, in either the U.S. or the U.K. However, the maturity gap is much bigger in the UK. In the U.S., satisfaction with retail websites (78) outpaces satisfaction with mobile sites and apps (75) by only three points. In the U.K., there is a five-point gap. Customer expectations are being set by websites and by the best mobile sites and apps. It is no longer acceptable for a retailer to have

a subpar mobile site no matter how good their traditional site is. If shoppers aren’t having a good mobile experience with a given retailer, they will simply go elsewhere.

Measuring Satisfaction is a Must The ACSI methodology used to conduct this study recognises that satisfaction itself is not the only desired end result. As shown in the following diagram, a worldrenowned economics professor at the University of Michigan created a methodology that measures customer satisfaction in such a way that it predicts customers’ likelihood to shop again, buy more, or be loyal to the company in question. It has even been shown to predict stock prices.

The impact of mobile customer satisfaction on a retailer’s multichannel business is clear. The data show that a satisfied shopper is far more likely to purchase (online and offline), remain loyal, and engage in positive word-of-mouth recommendations than is a dissatisfied mobile shopper. While this may be intuitive, the ACSI is able to quantify the impact of a satisfied online shopper on a retailer’s overall business operations.

Typically, customer satisfaction leads to Future purchase: Compared to shoppers who are dissatisfied with a mobile experience (have satisfaction scores of 69 or lower), shoppers who are highly satisfied with a mobile experience (have satisfaction scores of 80 or higher) say they are 32% more likely to purchase from that retailer online and 31% more likely to purchase offline.

Loyalty and market share: Compared to dissatisfied shoppers, highly satisfied mobile shoppers are 32% more likely to buy from that retailer the next time they buy similar merchandise (customer loyalty), 35% more committed to the brand, and 27% more likely to visit the company’s website again.

Positive impression of the retailer overall: Satisfied shoppers who use mobile applications say they are 36% more satisfied with the retailer overall when compared to dissatisfied shoppers.

Positive word of mouth recommendations: Highly satisfied shoppers are 64% more likely to recommend the website to a friend, family member, or colleague than are dissatisfied shoppers.

Applications and websites tailored to mobile shoppers are a must-have for retailers. As smartphone use increases, more customers will turn to the mobile channel to find price and product information before making a purchase. Whether or not a customer turns to a specific retailer’s site or app will be dependent on availability and ease of use. Since satisfaction with mobile experiences drives critical customer behaviour, the measurement of satisfaction with websites, mobile websites, and mobile apps shoppers is a necessity.

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M-Commerce

While mobile offers retailers a huge opportunity, are the mobile operators, aggregators, billers and telemedia companies able to take full advantage of it? Bill Randall, director of WJR Digital, thinks not

tions or weight (or emptiness) of a wallet. Hit “buy”, press “confirm” and the sale is made; a retail nirvana. It’s almost impossible to imagine people not tearing your arm off for such an opportunity, and yet here we are, with third parties finding profitable niches and credit card payments growing despite the comparatively greater number of hoops to jumps through in order to transact.

Of course some of this is blamed on greed and the belief that operators insist on taking too much out of the pot, but this too misses the point. Operators don’t have the first clue what they need to take from the pot and largely make it up as they go along. With portals it was 50/50 and off net 80/20, but this is because they could and when there was no other game in town. With apps it went 70/30, not because of sophisticated modelling of infrastructure costs or handset subsidies, but because it’s what Apple did, who incidentally had none of these costs to bear. Apple apparently took $1.78 billion in app store revenues in 2010. How much of that went to mobile operators, aggregators, or, for that matter, major brands? In the case of the first two I can tell you; none. obile commerce hasn’t just magically Of course operators keep bleating on about not wanting appeared since the rise of the iPhone to be just a bit pipe, even though I’m convinced it’s just a and app stores, it’s always existed, but in the background. At first it was like a mantra that no-one really understands. They insist on trying to own the customer, to such a degree that they want to caterpillar, moving with some purpose determine what, where and how he buys, instead of letting but immature, but then it stopped, him choose and happily reaping the billing and delivery chrysalis like, waiting for the butterfly to appear. So why rewards. They fail to see that instead of being corralled, hasn’t it fully emerged yet? Finger pointing, inertia and a he’ll just go elsewhere and will not only buy other peoples’ “you first” attitude may be one reason. Mobile operators, brands and content owners, as well as aggregators, all have goods and services but will also stop buying their “bit pipe” products, and instead use Skype, Facebook, IM and Twitter, their part to play and fortunes to make in this undeniably whilst using wifi to deliver it and credit cards, PayPal and rich, future opportunity.

However, in their own ways, each sit back, waiting for the iTunes to pay for it. Never mind being “just” a bit pipe, at this rate they won’t be “even” a bit pipe. other to blink first and blaming each other for not creating But it’s not just operators though. Brands and content and the right environment. In the meantime, the likes of Apple, service providers are also partly to blame by accepting the Google, PayPal, Boku and credit card companies are getting perceived status quo and not demanding more. They look in on the action, which should by rights have long been sewn up by others. To some extent, this no doubt works for at the environment and see it as too costly, complicated or cumbersome and so often simply avoid it. But are they right brands, but leaves a lot of money still on the table that trato do so? ditional mobile mechanisms can enable and sweep up. By I can’t recall how many articles I’ve read about m-comwaiting for something to happen instead of making it happen, the opportunity will drift further and further away from merce where it’s been stated that the costs are too high with operator margins at 30-50%, but this is an enormous mismobile operators and billing aggregators; retailers will then conception. Of course that’s the case for portal content or on be left with the limited and more cumbersome approach of deck app stores, but that’s not simply a transactional cost, traditional online mechanics, when in reality it could be oh it also includes marketing, placement, search and all the so much better. other things which would otherwise have to be paid for. Go Operators are as slow and intransigent as ever. The rise your own way and only use the operator for billing and for of iTunes, Boku, Zong, PayPal, credit cards et al, indicates years it’s only ever been around a 20% cut for the network. nothing less than abject failure on the part of operators in understanding the value they have in direct billing solutions, High compared to credit card, but not prohibitive for mobile content when you take into account the ubiquity of the platsuch as PSMS and Payforit. Solutions, which on paper, are form, handset subsidies and the ease and immediacy of the infinitely superior in terms of both reach and the ability to payment mechanism. For certain content, where subscribers directly bill anyone and everyone with a phone – without are unwilling to part with credit card details or for age or the need for lengthy registrations or surrendering personal other reasons don’t even have a credit card, the incremental information. You’d think it was a merchant’s dream, the ease of cash and the flexibility of credit, without the restric- business this enables is substantial enough to make these

Where for art thou, true mobile commerce?

M

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M-Commerce margins more than worthwhile.

For physical goods and non-mobile services though this doesn’t work, as prices are based on credit card rates; but that doesn’t mean one should just shrug and walk away. As I said before, operator margins are not the result of sophisticated calculation, they just happen to be what they are and are legacy rates that no one has a compelling enough reason to review or revise. That’s not to say the traditional approach of simply demanding a higher outpayment has much merit. On the contrary, it’s likely to be met by a polite, but corporately inane response along the lines of it not fitting within some arbitrary or imaginary commercial model.

However, a well constructed business plan, showing how a 90% outpayment will deliver x pounds of real revenues a month, compared to how a commercially unsustainable 80% delivers zero pounds a month, will be met with a much more interested ear. No-one likes to simply cut margins on existing revenues, but where there are new, previously non existing revenue opportunities, such as with physical goods, then those margins are open to sensible negotiation, based on what will and wont work for both parties. As I’ve said many times before whilst at Vodafone, I’d sooner have 10% of something than 20% of f*** all.

Now don’t all go out and start thinking you can get mobile networks to pay out the same rate as credit cards. If you’re patient, if and when they do see billing as the strategic growth opportunity that it is, and hence see credit cards as competitors, they’ll no doubt be stupid enough to drop to those rates automatically. However, if you wish to capitalise on the here and now, you need to be a little more balanced.

As entrepreneurial as I tried to be, and as keen as I was to promote mobile billing, I was, and hope the networks are, fully aware that it does carry at least some sustainable premium. The aforementioned immediacy and ability to capture non credit card buyers will always be worth a couple of percentage points.

What about internet purchases on mobile phones?

Virtually all of this is between the merchant and the credit card companies. This whole new world of opportunity is (not even gradually) slipping away from the traditional mobile sector, when in reality this sector could have been encroaching into the internet space a lot sooner.

Now I’m not sure how much success an aggregator would have had if they approached iTunes a few years ago and suggested mobile as a payment mechanic (it would be nice to know that someone tried though), but that’s not what I’m getting at. Nor is mobile necessarily a direct competitor to credit cards; but it is an alternative, and one which has its own strengths and benefits, which adequately make up for its shortfalls.

What I’m saying is that there is that there’s a market out there, with money to spend, and it’s spending $1.78 billion of it on apps, god knows how much on mobile internet purchases, and is billing them all over credit card, PayPal or iTunes vouchers, instead of the infinitely easier method of clicking a couple of buttons on their phone.

Is it Interflora’s fault that a mobile customer has to enter his credit card details rather than just click on “yes” when he wants to order some flowers? Maybe. Is it the operators fault for not having suitable price points or outpayments?

Perhaps. So, knowing that the opportunity exists for a mobile solution, should we just wait and see if these two parties eventually bump into each other and work something out? Or could we hope that there might be someone in the middle, who’s not only fully aware of the available capabilities, can occasionally influence them if needs be, is market facing, and rather than waiting for something to happen can actually make things happen?

The market can’t take advantage of the available tools unless it’s aware of those tools and that those tools can be adjusted to it needs. Operators aren’t geared up to deliver that knowledge to all of their potential customers because they’re structured around a reseller model. A model which the industry fought for and repelled any attempts by operators to encroach into, as seen by O2 Broker. It’s therefore now incumbent on that aggregator community to pro actively promote these products to the market and passionately and aggressively sell their strengths and benefits.

I know I’m being a little unfair; some do this already, but not nearly enough. So why, with all the opportunity that lies in front of us, aren’t mobile aggregators the new best friend of all the retail, transport, media and online businesses out there? Over complication and missing the point if you ask me. All the strategy workshops, seminars, sales conferences and strategic initiatives are meaningless, if a revenue rewarded salesman can earn the same (or more) by nicking a text chat customer from a competitor as he can from explaining the intricacies of mobile billing to a retail marketing manager.

Let’s face it, the text chat guy knows just how successful mobile can be and so there’s no sales job to do, just simple maths as to how much margin can be cut to beat his existing supplier. The retail manager on the other hand has never used mobile before. He needs web payforit explained to him and once he grasps it discovers that the outpayments don’t work for him. Or the internet content provider needs to be shown how wholesale data or mobile billing can help him find new revenue streams, despite his initial perception that it isn’t cost effective. The perceived objections (if the salesman can be bothered) can all be overcome, but they involve negotiating with the operators to get a sensible revenue share or viable data rate. Sod that, where’s the next text chat guy?

Can’t really blame the salesman though, he’s doing exactly as he should, maximising his earnings, according to his commission scheme. And yes I know, £10k a month in text chat revenues buys just the same as £10k a month in retail sales, but it’s not only short term, it ultimately erodes margins for everyone. The other opportunity is not only harder but also smaller… for now. In the future though it’s where all the growth is and is potentially far bigger than anything that’s gone before. But you know that.

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M-Payments

What commerce

needs from

mobile payments

With UK consumers displaying a clear interest in mobile commerce, now is the time for retailers to ensure they understand the ways in which a payments platform can be built and the core objectives that a platform should achieve, says Rob Isaacs, Mobank

I

n December 2010, there were 6.3 million visits to e-commerce platforms via mobile devices, equating to 17% of e-commerce traffic, according to comScore/GSMA data. This statistic, however, does not present the true picture as it does not include Wi-Fi connections; The MoBank Group believes the true figure to be closer to 30%. Given the mobile traffic already present, the deployment of a mobile commerce platform provides the opportunity to generate further revenues through a significant increase in transactions through this channel.

Remarkably, irrespective of the amount of e-commerce traffic coming through the mobile internet, only 44% of the top UK retailers have a mobile application, according to an mBlox survey, and only a handful of which are transactional. As a result of the lack of current presence by UK retailers in the mobile space there is an opportunity to capitalise on an ever increasing market. It is time to take mobile commerce seriously and deploy a solution that is cost effective and will have an incremental uplift on sales.

Develop The Way That Suits You There are various ways to develop a mobile commerce platform. Firstly, a bespoke platform can be built inhouse using data feeds from e-commerce platforms.

This path can lead to a slick user experience that showcases the brand; however it involves heavy use of internal resources, increased operational expenses and takes several months to fully complete.

Alternatively, the e-commerce platform can be slightly modified to adapt to the mobile device. This is considered to be a quick and cheap solution. However, the mobile device is not simply an alternative to the web.

It is a different experience altogether. This option will suffer due to slow loading times, poor design and too

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much content. As a result, conversion rates will be relatively poor, resulting in revenues not being maximised through the mobile channel.

The final choice is to out source the development to industry experts. If this route is chosen, the benefits and risks associated with this option need to be fully considered. This route will reduce the impact on company infrastructure, allowing a low risk entrance into mobile commerce. Brands will have the benefit of learning about the mobile space alongside experts. Whilst this is a cost and time-effective solution, there are important aspects to be aware of when selecting the right partner.

A typical agency will build a stand-alone platform that does not integrate efficiently with existing e-commerce data sources. Certain applications will force the consumer to download an entire catalogue of products, which will affect the performance of the application.

Some companies will use the mobile simply as a smaller screen to present their e-commerce site. In terms of designing the customer journey and integrating the platform with the hardware of the mobile effectively, knowledge of using the mobile as a separate device is key.

In order to reassure the customer that it is safe and secure to use the mobile commerce platform, it is essential that any company used for outsourced work has a comprehensive understanding of security issues and develops against rigorous industry standards as outlined further below.

The Right Solution Regardless of whether a mobile website or a smartphone application is created, there are three core objectives to achieve. Firstly, it is necessary to bring the customer into the platform experience through the use of rich media.

M-Payments Secondly, it is important to meet consumer needs in terms of a simple navigation process that quickly and conveniently drives the consumer to the point of transaction and beyond. Finally, a fully transactional mobile commerce platform needs to contain the same level of security as e-commerce platforms without damaging the user experience.

In order to introduce consumers to the platform experience, it is necessary to make the most of the brand assets. Visual signals should be used appropriately throughout the mobile channel to make the user comfortable and guide them through their journey. Through the use of rich media, suitably adapted to the mobile device, the customer experience will be significantly enhanced.

A significant amount of time and energy is invested in e-commerce platforms when it comes to getting the home page right and improving the customer journey.

A similar mind-set should be adopted with mobile commerce. The parameters to consider for mobile commerce, however, are different to e-commerce.

Consumers are on the move, acting on impulses, looking to engage for short, concentrated periods of time.

The channel has to be relevant in terms of meeting customersâ&#x20AC;&#x2122; needs, particularly as it relates to mobile commerce, for example convenience and instant gratification. Mobile commerce platforms must contain a simple navigation process that quickly allows them users to locate products. The home page needs to be aesthetically pleasing, contain clear calls to action and not overload the consumer with content.

tions. Mobile commerce platforms, on the other hand, generally do not. The absence of this feature leads to a degradation in customer experience as users are forced to complete the transaction on a website. This does not need to be the case as the technology does exist to deploy a 3-D Secure payment solution within the mobile platform.

Finally, in order to take full advantage of possessing a mobile solution, it is important to bring consumers continually back to the platform. Through the regular release of fresh content and additional features, brands have the ability to convert the casual user into loyal brand members. In our experience, if the platform mind-set is adopted, applications can be deployed for all major smartphone operating systems in the 18 months following initial launch. This wide coverage allows brands to establish a strong position in the mobile commerce eco-system.Â

The Checkout Is King In an Adobe Scene7 mobile commerce survey, 57% of consumers have rated the checkout process as the most important feature of a mobile commerce platform. It is important to guide users to the point of transaction, but once you are there the checkout needs to be an intuitive and simple process that is secure.

Implementing transactional capabilities in mobile commerce platforms has proved to be challenging for many retailers, evidenced by the low number of transactional applications. This is due to a number of factors, including cost, a lack of knowledge and a perceived high risk of fraud. It is imperative that any payment feature within a mobile commerce platform adheres to the Payment Card Industry Data Security Standards. As mobile commerce is an extension of e-commerce, in order to retain the same rigorous levels of security, platforms must be developed against OWASP principles. In addition, many e-commerce platforms contain 3-D Secure solu-

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37

VAT

PRS

and the future

of PRS numbers

at 17.5% and all seemed happy with the world. At the height of recession Gordon Brown and the Labour Government’s decision to alter the level of VAT to 15% left the telecoms world largely unaltered. The extra 2.5% that would otherwise have been garnered towards the Government purse, now was supposed to be filtered into the market to eschew confidence and increase public spending. Of course that never happened. The public he recent three changes in the level of VAT (value added tax) paid in the UK has spent as they normally spent and the companies at the top of the tree who were supposed to filter the monies forced OFCOM into the unprecedented down the supply chain, rang the cash bells and deposaction of making a fundamental change ited the extra 2.5% in their own bank accounts. in the way pricing for phone calls is Such halcyon days, though, tend not to last long and governed, and can be utilised, and could have a major impact in the need for new number rang- the country was back paying 17.5% tax on anything that the Government deemed fair. A few CEOs of major es across the board.

For 17 years the level of VAT paid in the UK remained telecoms companies wiped a tear or two away and got

Nick Dixon Commercial Director Core Telecom takes a look at one of the lesser reported impacts of the UK’s move to 20% VAT – what it means for premium rate number

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PRS back to living in the way we had all lived for the previous 17 years.

Then came along a new prime minister – David Cameron – and the Coalition Government who found that the Treasury and pretty much anything else that relied on Public funding, was flat broke [largely from bailing out the banks – Ed]. Not only were the Government offices going to have to function without the decoration of cut flowers, but, more importantly, we were somehow going to have to do something, as a country, to actually cut the level of debt hanging over the national coffers.

After a period of head scratching and tough talking the emergency budget eventually came to the conclusion that this old VAT vehicle, could probably be utilised more effectively to put money into Public funds, rather than, as the TV ad goes, ‘for the bubbly at the shareholders AGM’. The momentous decision to charge VAT at the highest rate in UK history (except when petrol was taxed at 25% between 1974 and 1976) was made and 20% VAT from 2011 was introduced.

For telecoms, some may consider that this shouldn’t have an impact. When it changed from 17.5% there was no impact on anyone and when differing levels of BT bad debt levies over the year varied this still had no impact on how pricing was done. But this was different.

There was certainly no way that the big boys sitting at the top of the tree were going to swallow a 2.5% reduction in profit. No, this burden was one to be shared down the supply chain. So with the person at the bottom, usually the one to take the hit the companies who were going to be affected decided to rally and call upon OFCOM to change the rules so margins could remain as they currently are.

It was fairly argued, to be honest, that during a period when the country is going through an age of austerity, it is more important to keep people working and adding to the Public coffers, than draining it more through having to claim benefits. So OFCOM was left with a decision: do they increase the top rates that telecoms companies could charge customers, or fundamentally change how all the pricing in the UK currently works?

The balances was one of ‘do you keep the rates consumer pay clear, easy and understandable’, or make it highly confusing so consumers haven’t really got a clue what they are paying for what? Obviously the regulator, fearful of making a decision that was seen to be too drastic, decided on the latter.

So, where does that leave the telecoms arena for non-geographic numbers? Currently there are bands of numbers and ranges specifically created for them; 1p to 5p inclusive use 0844 and 0843; 6p to 10p inclusive use 0871 and 10p to £1.50 per minute use 090 premium rate numbers. OFCOMs decision was not to change the bands, but to set the maximum levels of pre-VAT figures

for each.

Confused? Well it gets better. If, as a UK business, you use a 5p 0844 number, like for instance Sky, then that is currently made up of 4.26p + 17.5% VAT. The figures set by OFCOM fix the 4.26p amount for consistency, and allow the Government to move the VAT figure as they please without affecting profit margins down the supply chain.

So, moving through the ranges the maximum figures become; On 0844 the maximum amount will be 4.26p +VAT, equating to 5.11p; on 0871 the maximum amount will be 8.51p + VAT, equating to 10.21p; and on 09 the maximum amount will be 127p +VAT, equating to 152.4p.

In essence, as a formula, and for the industry, it could be argued that this is an acceptable status quo, but for an increasingly wary British public these sorts of strange pricing levels must surely look a little confusing.

When no pricing is actually needed on 0844 the argument is that the public don’t know what they are paying anyway, so the issue looks more likely to affect a Premium Rate industry still struggling to cope with the fallout from the TV scandals of 2007 and 2008.

My personal opinion is that, prior to making the decision on when to change VAT, David Cameron had to consult Simon Cowell to ask him when The X Factor was going to finish. Currently votes cost 35p and the hordes of Matt Cardle and One Direction fans readily associated with taking a 20p, a 10p and a 5p coin out of their pocket and voting like that. However paying 35.744681p for the pleasure in future shows may confuse.

David Cameron probably hoped that by the time the X Factor was on again, everyone would be used to paying for things at random price points Cameron probably hoped that by the time the X Factor was on again everyone would be used to paying for services at random looking price points.

The alternative is that Network Operators in the UK will go back to OFCOM and go looking for new price points where the ‘inc VAT’ price for the consumer is still a clear and round figure. At which point, no doubt, OFCOM will complain that we are out of numbers to use, and that everyone should consult over new ranges of numbers that could be used, perhaps even returning to the old argument about charging networks for number range ownership. I’m sure OFCOM haven’t made such a Machiavellian decision...

Because if one thing is for sure in all this, then there will be many more X Factors before the country is set to have paid off our debt and return to 17.5% – if we indeed ever do return to such a VAT level.

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billing

It’s a wrap: Increasing mobile content

monetisation opportunities The challenge Monetising content through apps is becoming Alongside these recent developments however, a varieincreasingly difficult, hampered by apps stores, ty of challenges remain for the app store platforms that operators and everyone else in the value chain. But, as still don’t benefit from the same robust and simplified Jens Lauritzson is CEO of Flexion, points out, there is development ecosystem as that offered by iTunes.

In line with Apple’s core philosophy, iTunes offers a neat way to make money from your mobile content the easiest billing mechanism possible with a one-click

T

he growth of mobile content over recent years has been dramatic, with an increasing number of people eager to download, play and pay for content. This has partly been driven by Apple’s devices and App Store. Yet Android is increasingly offering a strong alternative and penetration is rivalling, or even surpassing, Apple in many markets.

Yet the distribution is still not as smooth and the Android Market has faced strong criticism for providing insufficient mechanics for developers and publishers to monetise their content. Whilst this has limited direct monetisation opportunities, many new advertising funded and in-app purchasing business models such as Freemium have sprung up.

The increased flexibility of these models has generated opportunities within the developer landscape and put publishers in a more promising position to cash in on their games and applications, whilst acting as strong catalysts for the mobile content development arena as a whole.

facility that uses pre-stored payment details. Similarly, as there is only a small range of tightly controlled devices using iOS, the content within its ecosystem is also guaranteed to work seamlessly.

Apple has addressed the key challenge that developers face in attempting to monetise their content and make it work pervasively. But in the process of developing for other platforms like Android, publishers are forced to address a number of crucial ‘enabling’ considerations. Whilst ensuring that their content can be monetised, developers must also manage the entire billing process and the various rules and regulations surrounding it.

Compounding this challenge is the fact that credit card payments are not converting well on mobile and they don’t allow for impulse purchasing, especially in situations where the end user does not have his or her credit card to hand.

Theoretically, mobile content billing streams should be seamless regardless of the platform and operate as efficiently as the one-click feature on iTunes, but in practice this is rarely the case. Consequently operator billing often appears to be the only feasible option if developers don’t want to give away their games for free in return for advertising revenues.

All wrapped up This is where ‘wrapper’ technology comes in. The technology works by creating a small amount of code that is ‘wrapped’ around the original content.

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billing Once wrapped, the code can then enable a range of services from billing and Digital Rights Management (DRM) through to allowing users to search for new content.

The wrapping engine automatically prepares an application and acts as a licensing tool. It provides a gateway for delivery of flexible pricing models and content distribution. It can also be configured with a dynamic in-application browser which can be used to deliver any type of store front or simply display advertising within existing applications.

This type of wrapper technology is growing rapidly and has so far been used in millions of preloaded and downloaded applications. This has largely been driven by an increase in companies using billing wrappers, including Nokia, EA, Hutchison 3G, Telefonica O2, Orange, Sony Ericsson, LG, Samsung and Alcatel.

This relatively new technology is crystallising the opportunity for content publishers by offering a range of standardised functions and billing options for their content without the need for alterations to the original source code. It solves some of the challenges presented by developing for Android and other fragmented platforms by allowing developers to create the best possible content, and to do this only once, with the ability to add crucial additional services, such as billing or DRM, without affecting the core content.

inserting a paywall after a certain period of time or progress stages. Similarly, delivery of different pricing options is made easy and pricing levels can be altered quickly without the need for new content.

There are also many occasions where a full purchase is not the ideal model. As with any other form of retail, offering a variety of pricing options will increase the number of sales. Within mobile content this could involve ‘Try&Buy’ or usage-based models. These options are even more useful in markets with high pay as you go (PAYG) usage, where the majority of downloads usually fail due to lack of credit.

The wrapper also allows developers to take advantage of growing ‘digital influence’ by allowing them to deliver benefits such as ‘super-distribution’, where users are encouraged to forward offers of free basic content to friends or build a recommendation engine to promote further purchases.

Moving forward

As more and more mobile content is available for consumers, the ability to present and distribute your content in the most efficient way is becoming increasingly important, especially on platforms such as Android.

As a dynamic in-app retailing solution for developers and distributors of Android and Java applications, wrapper technology allows developers to focus on developing great applications and solves issues such as billing, DRM and content discovery. Acting as an Billing control enabling solution it can be fully automated without Developers often assume that what works on iOS will work on Android. From a retailing perspective the two requiring a great degree of additional effort from the entities are completely different, especially where con- developer.

Looking to the future, Android is likely to become trol of content and billing is concerned and traditionally a variety of different approaches have been needed increasingly fragmented as a platform and this will make it harder for developers and publishers to stay depending on market channel. abreast of the latent opportunity it offers. At the same As the Android Market-specific billing approach time, improved mobile content offerings will start to for example, Google Checkout is far from perfect and become available in the developing markets, with many frustrated developers have been waiting a long those in Europe needing a different approach with time for the newly launched IAP solution offered by a higher degree of flexibility as the market becomes Google. However, to many developers’ disappointincreasingly crowded. ment the SDK based solution will not only require The DRM issue is also likely to grow and getting the additional coding and testing but is also restricted to Android Market and as such, it only adds to the grow- balance right between allowing the movement of coning fragmentation. By using a global wrapper linked to tent and preventing it being given away for free will all available billing solutions depending on the market continue to pose a challenge. Despite this, the growth potential for mobile content is enormous and will instead, developers can focus on the core build, wrap once and distribute globally with billing enabled. Using expand further as new smartphones, software and payment methods mean more people can download, play operator billing instead of credit cards, the purchasing and pay for it. process can be brought closer to the one-click format For now the priority is to increase service penetrawhich encourages the impulse purchasing tendency tion and boost consumer choice with engaging conenjoyed by iTunes. tent, whilst also profiting from its development – and Wrapper solutions equip developers with the abilas global OEMs, carriers and content providers seem to ity to explore a number of monetisation alternatives. agree, wrapper technology provides the ideal vehicle to Using Freemium as an example, it also makes the achieve it. monetisation process easier as it can work within the same piece of content, acting as a licence checker and

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BENEFITS OF MEMBERSHIP Action4 is the trade association for companies involved in premium rate and non-geographic call services. With extensive experience in the industry, we offer our members independent support, guidance and advice. We actively promote the positive side of the industry and ensure that products and services are trusted by the consumer.

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PEOPLE Core Telecom appoints Richard Griffiths as Director of Marketing Leeds-based Core Telecom, a leading supplier of specialised telephony solutions to UK businesses and specialist in non-geographical numbers, has appointed Richard Griffiths as Director of Marketing.

He joins Core Telecom from Hullbased KC and brings with him more than a decade of sales, marketing and communications experience within the telecoms industry. He is well known in the Yorkshire business community as the former regional Chairman of the Chartered Institute of Public Relations.

OpenMarket hires former journalist and consultant Andrew Darling to drive growth in UK and Europe OpenMarket, the company formerly known as MX Telecom before being bought by Amdocs, has taken on former telecoms journalist and consultant Andrew Darling as associate director of marketing.

Darling will support the market and business development team as they continue to drive OpenMarket’s growth in Europe and further afield.

He has spent more than a decade working in the mobile industry as a journalist, event producer and independent consultant.

Square1 bolster mobile development staff Independent service and technical provider Square1 Communications, has employed Jeremy Davies – previously Head of Development at WIN – within the development team at Square1 to head up the development of further mobile services for Square1’s current and new Broadcast & Media clients.

Davies brings more than 15 years of development experience in mobile and fixed line. He launched Cumulus Technology in 2003 and sold this to WIN just three years later.

4th Screen Advertising makes two major hires to support demand for rich media mobile advertising Premium mobile advertising agency, 4th Screen Advertising has appointed Hannah Buitekant as Commercial Group Head and Ben Dimond as Account Manager to bolster the company’s UK sales team.

The new hires at 4th Screen follow the arrival of Tina Taylor last June who is building a strategic focus to the company that brings together brand savvy and highly experienced digital sales staff with 4th Screen’s exclusive premium publishers such as MTV, Virgin, Shazam, Global Radio, Vodafone, Tesco mobile, and The Guardian.

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This hires also reflect an increased demand from brands and agencies for 4th Screen’s mobile internet and in-app rich media ad formats which form part of the company’s Engagement Platform.

Ukash appoints new CEO Real world to digital cash company Ukash has appointed David Hunter as the company’s new Chief Executive Officer. The former eMoney head of ClickandBuy and Paysafecard will be taking over with immediate effect.

Having setup and led eMoney businesses at British Telecom, ClickandBuy and Paysafecard in the past six years, Hunter has a track record of leading prepaid ventures into profitable growth and has established himself as a champion of cash-based Electronic Money.

Digital Jigsaw appoints new creative director Digital agency, Jigsaw, has appointed Scott Bedford as Creative Director, to bolster Jigsaw’s management team.

He will bring a rich creative pedigree to the company’s technological expertise in delivering multichannel campaigns that push loyalty, sales and engagement across the web, mobile internet and applications. Recent Jigsaw work includes campaigns for clients such as Walkers, O2, Doritos, Tropicana, News International and Vodafone.

Shazam Appoints MTV Co-Founder John Sykes to Board Mobile discovery company Shazam has appointed John Sykes, co-founder of MTV Networks, to its Board. Sykes is a respected and popular industry pioneer who co-founded MTV 25 years ago and served as President of VH1, which he rebranded and lead to record audience ratings and profits, from 1994-2002.

GetJar bags director of marketing from Electronic Arts GetJar the world’s second largest mobile app store, next to Apple, has appointed Berenice Kalan as director of UK marketing, to head development of its marketing presence within the UK and strengthen its rapidly growing UK-based team. With her vast amount of knowledge and experience of the UK mobile industry, Kalan will be tasked with developing GetJar’s voice amongst advocates, developing new and existing relationships with UK app developers and publishers, and driving GetJar’s growth in the UK through pioneering marketing campaigns.

Telemedia magazine is part of a stable of media products covering the value chain for media and content companies, to third party service developers and providers to network operators and billing companies. Our products comprise: Telemedia-news.com an online news source, updated as the news happens and the home page for all we do

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