Telemedia-month JUNE

Page 1

Issue 30 • JUNE 2012

Premium rate 08 contact numbers damage brands, finds Orca/YouGov study

NEW RESEARCH BY Orca Digital, the next-generation telecoms company, has revealed that the use of 08 contact numbers is damaging brands. While a growing number of businesses are using 08 numbers for their customer contact centres, the survey found that 81% of respondents believed these contact numbers damaged their perception of an organisation. “This data suggests that marketing departments are not taking enough interest in the customer contact experience – to the detriment of their brands. The issue here is not just of cost but also of transparency,” comments Stephen George, Commercial Director at Orca Digital. “As well as damaging their relationships with existing customers, 08 numbers are likely to be a deterrent to prospective customers.” The cost of calling 08 numbers, which can be as high as 40p per minute from a mobile, is typically unknown to consumers until they receive their bill. According to Ofcom, consumers spend a staggering £1.9bn on non-geographic calls – i.e. calls to numbers beginning with 08, 09 or 118 - each year, the vast majority of which is kept by mobile phone networks. As Ofcom considers ways to clarify and simplify charges to non-geographic numbers, in order to help consumers “regain trust” in these phone numbers, the full extent of consumer frustration has now been revealed. According to the research from Orca Digital, which was carried out by pollster YouGov, 49% of respondents have been surprised to see how much they have been charged for calling these numbers and 90% believe organisations should make the cost of these calls clearer. “More progressive businesses are looking at following the example set by the BBC, which recently launched voice short codes for telephone voting on The Voice,” continues Stephen George. “Voice short codes give consumers complete clarity over the cost of their calls – rather than ‘costing considerably more’, they can see exactly what the cost is before making a call.” By using voice short codes, businesses can bring down the cost of a call for the consumer without impacting their margin from each call. Furthermore, businesses are also able to clarify the cost of making a call from a mobile – as it is the same across all networks. “Following in the footsteps of the BBC, ITV and Channel 5 have quickly followed suit – voice short codes are now ubiquitous across all TV voting formats,” comments Will Neale, Chair of the Voice Short Code Working Group - a sub-group of the Interactive Broadcasters Forum. “I would strongly encourage companies from other sectors to follow suit.” YouGov had over 2,000 respondents to the survey.

THIS MONTH... News

The latest news from the industry, along with analysis of what that news means, including: • Consumers want m-marketing, but no-one does it right 3 • Debenhams rolls out wifi across all its stores with O2 5 • 80% of footy fans turn first to mobile for info 5 • Games and Infotainment set to be worth $65bn by 2016 6 • More than 30% of smartphone users use direct operator billing 7 • Spoke bags deal to run Big Brother voting with voice short codes 8 • Oxygen8’s Leahy shortlisted for entreprenuer award 8 • Red Cross hits 40,000 Haitians in 9 days with IVR 9

Analysis Editorial Mobile marketing saves the day Paul Skeldon looks at mobile marketing could be key to boosting slowing mcommerce 10 TELECOMS Counting on convergence Next generation convergent services need operators to be flexible – but how? Rob Smith frm MDS explains 12 APPS Building a better future Paul Sanders, technical director at Apps4 discusses how small and medium business can enter the apps economy on a budget 14

Directory

The leading industry directory of services 15

Latest news at www.telemedia-news.com Catch our blog at www.telemedia360.blogspot.com



NEWS Consumer appetite for mobile marketing outstrips ability of brands to exploit it CONSUMER APPETITE FOR MOBILE MARKETING OUTSTRIPS ABILITY OF BRANDS TO EXPLOIT Designed to help brands successfully engage consumers through the mobile channel

THE TIME IS NOW FOR BRANDS TO INNOVATE AND EXPLORE THE BUSINESS BENEFIT IT BRINGS.

1ST

Key factors noted to deliver results include building trusted relationships; giving consumers choice; adopting a conversational tone to drive response; making communications timely and relevant, and building a mobile strategy that’s device agnostic.

FIRST-MOVER ADVANTAGE CRITICALLY IMPORTANT FOR BRANDS HOPING TO EXPLOIT THIS LUCRATIVE MOBILE MARKETING CHANNEL

55%

CONSUMERS WILLING TO ACCEPT BRANDED COMMUNICATION VIA MOBILE IF DELIVERED ON OPT-IN TERMS

16.5% TRAVEL

+10%

IF A COMPANY IS PERCEIVED AS A ‘TRUSTED’ BRAND

16.9%

THE MOST TRUSTED SECTORS FOR BRAND COMMUNICATIONS

FINANCIAL SERVICES

46%

CONSUMERS SIGN UP TO RECEIVE NEWS AND UPDATES FROM FAVOURITE BRANDS

42.4%

25.6%

+18%

MNO

RETAIL

WHEN ALREADY OPTED IN

UK MOBILE MARKET VALUE TOTAL FORECAST, 2011-2016

UK MARKET OPT-INS

2 201

25.22 M

CUM D IN

T O R E C IE V E

P L E W H O OP T

PEO

2016

31.14 M

T

L M O B I L E MC M

£91.48 M

TIV

OTA

E

2016

2011

UL A

-IN S

£554.22 M

£75.6 M

78.2 M

IN S

E

6 201

P T-

2011

EO

O OPTED IN WH

£276.32 M

PEOPL

MMS

2016

M

£591.21 M

R E C IE V E T O MOBILE MC TAL

£507.36 M 2011

TO

0% +10

SMS

% +21

OP T

93.42 M

WITHIN THE UK, USERS WILL CLICK ON A TOTAL OF 31.6 MILLION MESSAGES IN 2012, RISING TO 39 MILLION BY THE END OF 2016

IVE

perceived mobile marketing thinking and puts consumer demand for marketing ahead of supply. In fact, UK consumers are far more open to branded communications than many companies believe – provided their delivery preferences and opt-in choices are respected and the brand earns the all-important trust of the consumer. Mobile is increasingly central to any branded communications strategy given its real-time results and relevance across multiple delivery formats - It is clear that the time is now for brands to innovate and explore the business benefit it brings.” With immediate opportunities for MNO’s, retailers, financial services and travel businesses in particular, the research highlights a number of key mobile marketing considerations including the importance of building consumer trust, communication with the right frequency and the need to ensure maximum reach across different types of device types. The research was conducted by mobileSQUARED on behalf of Velti and polled 3,000 UK consumers about their attitude to mobile marketing formats.

.5% +16

research into UK consumers has revealed that 45 per cent of consumers are willing to accept branded communications via mobile if delivered according to their opt-in terms – a figure that rises to 55 per cent if the company is perceived as a ‘trusted’ brand. The research, commissioned by Velti, found that a UK consumer will sign up to receive communications from on average just three companies, making first-mover advantage critically important for brands hoping to exploit this lucrative mobile marketing channel. Designed to help brands successfully engage consumers through the mobile channel, the research findings highlight the need for brands to innovate in order to satisfy the current consumer appetite for receiving marketing information via mobile in the form of mobile messaging, email, social media and apps. Key findings of the research include: · 45 per cent of respondents would accept branded communications via mobile if delivered according to their opt-in terms – a figure that rises to 55 per cent if the company is perceived as a ‘trusted’ brand · Nearly half of those polled (42.4 per cent) would opt-in to receive information from mobile network operators (MNOs) · Retailers (25.6 per cent), financial services firms (16.9 per cent) and travel companies (16.5 per cent) are all well positioned to be a ‘trusted’ brand and exploit the mobile opportunity · UK consumers are open to frequent mobile marketing messaging – 37 per cent of respondents are open to receiving messages from a chosen brand on a daily basis versus 24.6 per cent who prefer a monthly message · One in four UK consumers (24.5 per cent) would like to receive branded communications at anytime (weekday or weekend, morning or afternoon) · 36.9% of consumers prefer to receive messaging on a mobile (SMS – 24.3%, MMS – 5.1% and mobile optimised email – 7.5%) whilst 78.3% prefer email. Yet we know that emails are increasingly being opened on a mobile device (in excess of 20% and growing rapidly), therefore it is vital that these brand communications connect the end consumer through to a fully mobilised experience. Barry Houlihan, GM, Velti said, “The research we’ve carried out challenges

CUM

HOW MANY BRANDS CONSUMERS WILL ENGAGE WITH VIA SMART DEVICES

UL

AT

UK MARKET CONSUMER PENETRATION BY SMART DEVICE

39.1% 2011

86%

VIEW SMS AS THE SECOND MOST POPULAR CHANNEL

32.4 M

SMART PHONES

21%

51%

80%

2012

2016

EMAIL, INCLUDING MOBILE OPTIMSED EMAIL WAS THE MOST POPULAR CHANNEL

IPHONE APP WOULD ONLY REACH 11% ON OPT-IN USERS IN 2011, RISING TO 14% IN 2016.

HOW MANY RELEVANT COMMUNICATIONS CONSUMERS WOULD LIKE TO RECEIVE FROM THEIR FAVOURITE BRANDS

SOCIAL MEDIA INSIGHTS

OVER 50%

VIEWED SOCIAL AS A MEANS TO COMMUNICATE WITH FRIENDS AND FAMILY ONLY

11.6%

VIEW SOCIAL AS ONLY ONE WAY TO FOLLOW A BRAND

13.2% 14.9%

SEE SOCIAL AS A MEANS TO DEVELOP 2 WAY COMMUNICATION

BELIEVE IT PROVIDES A DIRECT SALES CHANNEL FOR BRANDS


Exhibition, Seminars & Networking 17-19 October 2012 H10 Andalucia Plaza Hotel Marbella, Spain

GET YOUR BUSINESS HEADS ON... LEARN >

Uncover the issues, technology developments and trends that are shaping the telemedia industry, through panels, presentations and the ancient art of conferencing

DISCUSS >

Join your industry peers to discuss, debate and tackle the key issues that will impact the telemedia industry in a series of interactive roundtable discussions.

INSPIRE >

Find out what’s working and where with ongoing case study presentations and demos that reveal successful innovations, technology and strategies.

Platinum Sponsors

Gold Sponsors

Silver Sponsors

Don’t miss the opportunity to learn something new, discuss the key issues and be inspired by the most creative companies in the premium content, traffic and billing space – through our NEW targeted conference formats. CALL FOR PAPERS & CASE STUDIES Does your business successfully connect consumers to the media, content and billing they want – and you’d like to share your experiences? Or perhaps you feel that there’s a burning issue that needs to be tabled or case study you’d like to present. Either way, we’d love to hear from you now. CONTACT Paul Skeldon, conference director, and tell him your story

REGISTER > Bronze Sponsors Social Media Partners

Supported by

Research Partners

Media Partners

Supported by

Contact Jarvis Todd, jarvis@wtevent.co.uk, +44 (0)7711 92 70 92 • www.wtevent.co.uk


NEWS Debenhams unveils new O2 wifi partnership to change the future of shopping uk department store Debenhams is to launch free O2 Wifi throughout all its 167 shops and will now offer the largest Wifi coverage of any department store in the UK. Customers will now be able to use their smartphones and tablets to connect to fast, free, easyto-use O2 Wifi, whenever in store. This will allow them to access a huge variety of Debenhams information and special deals as they walk around the store, when using the fitting rooms or whilst enjoying a coffee in one of the retailer’s restaurants. Wifi is being introduced after a very successful trial run with O2 in three of Debenhams’ stores in the UK and due to the large uptake of the Debenhams app, which has seen one million downloads and 250,000 barcode scans in store via the app. 20% of the retailer’s online traffic now comes from mobile devices. Customers only need register to O2 Wifi once and they will then be automatically connected whenever they are in range. O2 Wifi is for everyone regardless of their mobile or broadband provider. The move, which effectively heralds the end of online versus in-store shopping

by bringing the two together, is set to have a dramatic effect on how people buy products in stores and will leave the rest of the high street wanting to follow suit. From now on, customers in every Debenhams store will be able to use their smartphones to connect to O2 Wifi in order to: • Check for sizes and availability. If it isn’t on the rail, they can simply scan the barcode and order it instantly for home delivery; • Ask friends what they think about a product, or see what other customers thought before buying it; • Receive special discount vouchers instantly, saving them money; • View store layouts to find items quickly and easily; • Arrange for bulky goods bought in store to be delivered later direct to home. Debenhams Director, Simon Forster, said: “We’re seeing the shape of shopping in the future emerging right before our eyes. With over one million customers already with our app on their phones, free Wifi in stores has the potential to

transform how people shop.” Scanning a product bar code will reveal a precise description of the product, details of its manufacturer, the colours, sizes and in store availability. Out of stock garments can be ordered immediately for delivery to your home. Debenhams is already using its ‘Extra’ kiosks to offer up to five times the range available in store at any time, and this move puts all that choice into your hands – via your handset or tablet. A picture of the garment can be sent to a wide range of friends so that they can say if it suits you or not. Alternative styles and colours can be suggested. Gavin Franks, MD of O2 Wifi says of the partnership: “O2 Wifi has announced partnerships with leading brands in 2012. We are delighted to add Debenhams to our growing portfolio. Debenhams have realised the power of using in-store connectivity as a basis to bring innovative services to customers. We’re delighted that we are consistently being chosen as a partner by premium brands such as Debenhams. This marks a continuation of our fresh thinking that has seen the rapid growth of O2 Wifi.”

80% of football fans turn first to mobile for info o2 media has found, in true Statto style, that 79% of UK football fans see mobile as the number one way to keep themselves informed about football scores and news. Unsurprisingly, 91% say that, during Euro 2012, they will be using their mobile to access info about the tournament. The vast majority – 78% – expect to use their mobile many times a day to access Euro 2012 info, with 88% checking latest scores and results, 79% checking the latest news and team news, 41% watching match highlights and goals and 38% placing a cheeky bet. Nearly a quarter (23%) will be watching the games live from their smartphones – presumably many of these will be disgruntled fans at weddings and other family occasions of joy. Additionally, fans will also be using their smartphones in many ways to communicate about Euro 2012. 73% will be texting friends during matches, whilst 59% will

be posting Euro 2012 related comments on Facebook or Twitter. Interestingly male fans are twice as likely to call friends during the match to discuss what’s happening, than female fans. Who said men can’t multi-task. In the workplace, O2 Media warns that managers would be well advised to keep a closer eye on male rather than female football fans, with male fans more likely to be accessing footy info through their mobile in the workplace. Another word of warning to all football fans from O2 Media (and non-fans already tired of Euro 2012): 47% of fans have argued with their partner, friends or family about repeatedly checking the latest scores on their smartphone when forced to miss a game. This percentage will increase significantly in the coming weeks. Claire Valoti, managing director at O2 Media, said: “It is a commonly known fact

that if you love football and you are not there, then the desire to be near a screen, be it big or small becomes a priority. Also that the majority of footie fans might, occasionally, once in a while, check in about the news, the views, the gossip and the state of the pitch. There is also a serious point to the work we have been doing with this segment. They are very engaged and very open to receiving messaging so brands that want to engage and associate themselves into this space have a very active audience.”


NEWS

Games and infotainment to drive mobile entertainment to $65bn by 2016, says Juniper

a new report from Juniper Research has found that strong growth amongst games and infotainment applications, in part fostered by a burgeoning consumer tablet market, will push mobile entertainment revenues to more than $65bn annually by 2016, up from $36bn last year.

The report, ‘Mobile Entertainment Strategies: Business Models & Forecasts 2012-2016,’ noted that while the transition to an app-store centric ecosystem had dramatically increased consumer adoption of casual games, it had also resulted in the development of a far greater variety of content for mobile devices. Hence, revenues across a spectrum of infotainment services – most notably leisure and lifestyle applications – have already experienced dramatic growth. However, the report observed that while overall entertainment revenues would continue to increase steadily, some sectors would fare less well. It highlighted the music sector as a case in point, where growth in streaming subscriptions and full-track downloads have been more than offset by the continuing decline in ringtones. Furthermore, with the global ringtone tone market expected to peak this year,

by 2016 the music sector as a whole is expected to be worth just 80% of its peak 2008 dollar value. Meanwhile, report author Dr Windsor Holden observed the increasing contribution made by consumer activity on tablet devices. “For applications such as streamed TV, multiplayer gaming or casino gambling, tablets offer a richer, more immersive experience than smartphones,” he said. “This is already translating into markedly higher usage – and consumer spend – on selected apps within these areas.” The report also finds that the Far East and China will account for the largest share of mobile entertainment revenues throughout the forecast period. While network operators have largely been bypassed by OTT storefronts, they should seek to leverage their billing relationship to retain a share of entertainment revenues.

Number 1 for micropaymeNts • industry leader since 1992 • fully integrated micropayment platform • covering 88 countries with psms and prs • more than 20 exclusive international premium solutions • Direct bilateral agreements to secure traffic • unbeatable access and coverage • the preferred partner of major carriers contact@atlasinteractivegroup.com or www.atlasinteractivegroup.com


NEWS

More than a third of smartphone users pay for apps using direct operator billing, MACH finds an online consumer survey of more than 2000 smartphone users commissioned by MACH has demonstrated significant demand for direct operator billing which, despite being a relatively recently launched service for many operators, has become the preferred payment method of choice for apps and in-app purchases. The research, carried out by Opinium, has shown that more than one third (37%) of smartphone users in the UK and Germany have paid for apps by having the amount added to their bill through direct operator billing. Furthermore, 29% of smartphone users who have made app or in-app purchases actually prefer to have the charge added to their mobile phone bill through direct operator billing – significantly higher than the 18% that prefer credit card payments and 10% that prefer debit cards. Michael De Jongh, Head of Sales, Mobile Billing & Payments at MACH, the world leader in direct operator billing, commented: “These results demonstrate that

smartphone users are clearly demanding greater convenience where mobile payments are concerned. This presents a significant opportunity for operators and mobile content providers to differentiate themselves and offer a more compelling user-experience through direct operator billing. Deploying a frictionless purchase process has the potential to deliver greatly enhanced transaction completion rates, providing a real shot in the arm for the entire mobile content ecosystem.” To date, apps developers have been hindered by the lack of a solution to effectively monetise their products across all mobile platforms. Consumers are looking for a reliable, frictionless user experience, which allows them to be charged correctly for what they actually consume. Both Premium SMS, which is ambiguous in the way consumers are charged and what they are charged for, as well as credit card payments, which are restrictive, inefficient and potentially insecure, have failed to

provide an effective monetisation path for developers, apps stores and content providers alike. More recently, direct operator billing has been deployed in an “in-app” environment, where mobile application developers are taking advantage of the one-click frictionless payment option that direct operator billing provides for monetising mobile applications. This is a potentially more secure, seamless and convenient alternative to both credit card and premium SMS billing, which creates a winning solution for both apps developers and consumers alike. Convenience and speed of use are the top reasons behind the popularity of one-click direct operator billing for those respondents who prefer this option, with around 66% and 50% respectively citing these reasons. While around 19% of smartphone users in the UK said that they would be likely to switch networks if their provider was unable to offer a direct operator billing solution.


NEWS Spoke manages new voting options for Big Brother big brother launched with a bang this month on Channel 5 and continues to offer its viewers new ways to vote and interact with the show. This series sees the launch of Voice Short Codes which allow viewers to vote using mobile phones, but with clear price transparency. The price transparency for mobile voting was a must for Big Brother due to their audience demographic and because it provides voters with real confidence. Last year’s Big Brother was the first UK television show to offer Facebook as a voting mechanic and this will continue throughout 2012. The combination of voting on the same platform as the continuously updated editorial content gives users a seamless digital Big Brother experience, and complements phone voting which offers the immediacy which viewers demand. Spoke (previously Telecom Express) manages all the Big Brother voting interactivity and has been a crucial partner in guiding Channel 5 through the launch of voting interactive technolo-

gies into the broadcast environment. Spoke have seamlessly integrated the technologies into their broadcast ‘Vote Command’ platform which allows production teams to maximise efficiencies when using multiple voting mechanics. Emma Derrick, Head of Commercial Partnerships at Channel 5 says “We felt it was important to introduce Voice Short Codes for Big Brother to give our viewers pricing clarity. Spoke is a key partner of Channel Five and their Vote Command platform and vote management expertise is invaluable to us.” Jane Thomas Head of Broadcast at Spoke says “Because of the exciting dynamic nature of Big Brother and all of the unique challenges the show brings, we’re delighted to be able to support Channel 5 and Endemol in making the process as seamless as possible. Our ‘Vote Command’ platform has also proved vital in allowing producers the flexibility they need when planning a show, by allowing us to effectively manage numerous voting mechanics to tight schedules.”

Oxygen8 CEO shortlisted for Ernst and Young Entrepreneur of the Year Award shane leahy, CEO of Oxygen8 Communications, global provider of integrated mobile solutions, has been shortlisted as a regional finalist in the international category of the Ernst and Young Entrepreneur Of The Year Awards. Leahy is one of 24 of Ireland’s leading entrepreneurs that have been shortlisted for this year’s award from an initial list of 150 nominees. This year’s chosen finalists will join the Irish Programme’s extended entrepreneurial community at the annual Entrepreneur Of The Year CEO Retreat in June. The weeklong retreat, which will take place in Silicon Valley, California, will give finalists the opportunity to further enhance and develop their entrepreneurial skills, increase their business network, share commercial experiences with local entrepreneurs and develop lifelong peer relationships

with other finalists. Leahy says: “I am delighted to be shortlisted for this year’s prestigious Ernst and Young Entrepreneur of the Year Award. I am extremely proud of the success of Oxygen8 and of every single person within the Group that contributes to our continuing growth. I want to maintain the entrepreneurial spirit and flair that has been our driving force, but do so in a way that keeps us at the forefront of technical innovation, ensuring maximum productivity and efficiency, keeping our customers at the centre of everything we do.” The Ernst and Young Entrepreneur Of The Year Award, which was established in the 1980s, is the world’s most prestigious business award for entrepreneurs and is designed to identify, support and celebrate successful entrepreneurs from across the island of Ireland.


NEWS Red Cross reaches 40,000 Haitians in 9 days thanks to IVR

deployed by the International Federation of the Red Cross and Red Crescent Societies (IFRC), Vocantas Interactive Voice’s IVR has helped thousands of Haitians still rebuilding after 2010 earthquake. In the first 9 days since the IVR launched, it has received more than 40,000 calls from Haitian residents. The IVR solution is fielding more than 4,500 calls per day providing vital information to Haitians as they continue to rebuild from the devastating 2010 earthquake. The IVR enables Haitian residents to access information on critical issues such as shelter, health, family planning and disaster preparedness. The interactive inbound call is also able to conduct anonymous surveys, gathering information on peoples’ needs and opinions. An initial survey is monitoring respondents’ experience of violence in Haiti, providing important information which the Red Cross and others can use to help improve people’s personal security. The IFRC chose the Vocantas IVR to enable Haitians to access potentially lifesaving information and to provide an opportunity for people to voice their opinions, experiences and concerns as the country continues to rebuild. The solution offers significant cost savings over Red Cross staff manually managing thousands of inbound calls to field questions from the Haitian population and related community

service organizations. The IVR provides all callers with services in Creole, the local language in Haiti, and by operating through a simple telephone interface, is able to cross barriers such as language, literacy and even technology. While Internet access may remain unreliable, cell phone services are widely available, and regardless of age, education, literacy or language, residents can access all services 24 hours a day 7 days a week using the new IVR. Eduard Tschan, Head of the IFRC’s Haiti Delegation, said: “We are thrilled with the response we have received using the IVR in Haiti. Being able to field more than 40,000 calls in just 9 days is an outstanding result. As Haiti continues to rebuild, the Red Cross continues to play an integral role in assisting the Haitian people. The Vocantas IVR is providing vital information to thousands of people and enables us to better listen to people’s needs, on a scale we couldn’t achieve any other way.” “The launch of the Red Cross IVR in Haiti has been a huge success. We are very pleased with the outstanding response we’ve seen to the implementation of this IVR solution that will ensure that for people in Haiti, lifesaving information is just a phone call away,” said Gary T. Hannah, President and CEO of Vocantas. “Helping companies, hospitals, utilities, colleges and organizations deploy IVR for everything from paying a bill to providing lifesaving information, continues to be our sole mission,” continued Gary. The IFRC Haiti chose Vocantas after a formal Request for Information process, and based on the thorough response given by Vocantas and the proven successful solutions that Vocantas has already deployed around the world.


COMMENT INDUSTRY WATCHER

Can mobile marketing save slow As mobile commerce shows its first month on month slowing in growth, Paul Skeldon finds that what m-commerce companies need now is mobile marketing according to a study out this month by Affiliate Window, which studies on a monthly basis its traffic figures, retail sales through mobile have slowed their rate of growth for the first month since, well, selling stuff through mobile started to get on analysts radar. Does this mean that the m-retail bubble has burst? Not really. What it shows is, I think, two forces at work. First up, I think the general parlous state of the economy, the fear surrounding all our financial futures from our chums in the Eurozone and a slight drop off in hype around m-commerce are all playing a part. But perhaps more interestingly, it seems that what consumers are doing with ‘mobile’ is shifting their shopping habits from the mobile phone to tablets. If you drill down into Affiliate Window’s figures you find that the iPad has increased its share of sales week on week. In week 20 it accounted for 53% of mobile sales, by week 23 this had grown a massive 11% to 64% of all mobile sales. The rise in sales through the iPad has seen the share of sales through both the iPhone and Android devices decrease significantly over this period. The iPhone dropped from 29.61% in week 20 to 22.90% in week 23. During the same period Android dropped from 13.2% to 9.7% And despite the drop in the share of sales through mobile handsets, the actual volume of sales through each device increased (apart from Blackbery – sorry kids). But, while this shake up – if you can call a drop in growth from 7.85% from 7.32% in a month a shake up rather than a blip – may worry some, Affiliate Window finds that conversion rates on mobile of any stripe is growing, hitting more than 3% for the first time since February. So mobile shoppers are slightly more likely to actually follow through and buy than they were. And this is, in itself, encouraging for the sector and its raft of technology and service providers. Those that do shop on these devices are buyers. And the figures don’t take into account how many end up doing research on mobile then buying through another channel, such as in-store or online and vice versa.


m-commerce services? One thing that all this does point to is that retailers need to continue to take mobile more seriously and to look at how mobile can be used as a marketing tool. A separate study out this week by Velti, which asked 3000 consumers about being marketed to via mobile, finds that 45% are happy for it to happen, but are likely to only let three companies do it to them. This figure rises to 55% (but still wanting a maximum of three brands to contact them through mobile) when you look at trusted brands. And top of the list of trusted brands are retailers (25.6%), financial services firms (16.9%) and travel companies (16.5%) who are all well positioned to be a ‘trusted’ brand and exploit the mobile opportunity. This study shows that early adopters of mobile marketing are likely to be the ones that get the cake and that retailers are ideally positioned to be amongst these companies privileged enough to talk direct to consumers via mobile. These two studies show that retailers need to do more to engage consumers to shop through mobile and their trusted brand status lends them to it exquisitely well.

Editorial Editor Paul Skeldon paulskeldon@me.com | Sales & Marketing info@telemediamagazine.com | Production Director Annika Micheli annika@telemediamagazine.com | Publisher Jarvis Todd jarvis@telemediamagazine.com To subscribe, please go to www.telemedia-news.com What we’ve been listening to The Stone Roses | What we’ve been amused by The Stone Roses | Who we’ve been following The Stone Roses | What we’ve been reading about The Stone Roses | July 2012 will bring... The details about our World Telemedia event in October in Marbella

INTERNATIONAL PAYOUT NUMBERS

CONTACTPREFERREDTELEMEDIA.COM TEL: +961 1 352 691  FAX: +961 1 352 634


OPINION

TELECOMS

Counting on convergence Next generation convergent services require flexibility from Operators, but how can they meet these demands and what is in it for the telemedia sector? Rob Smith from MDS, explains business contracts for operators are no longer reliant on a one-sizefits-all approach, and end users within the enterprise are continuing to apply pressure to operators through the endless adoption of further mobile facilities (such as mobile data) and applications, both for personal use and work-related. With such developments come significant challenges for the operator not only in managing such a diverse portfolio but in ensuring they deliver it reliably, at a high enough quality, and most importantly in alignment with the investment being placed in it by the enterprise. This huge shift from a top down approach to handsets and mobile contracts, to one which originates at the individual level brings with it numerous complexities and challenges to operators – yet these should not be seen as insurmountable and indeed, once overcome, will allow CSPs to become integral business partners to their customers. So what are today’s challenges and how can operators meet them?

of data-heavy apps, for both business and pleasure, has added an extra layer of complexity for businesses and telcos alike, and is something that’s only going to continue to rise in popularity.

Bring Your Own Device (BYOD) The rise of BYOD has given consumers the opportunity to bring their own devices to work to access company resources, but has meant that businesses, (and consequently the CSPs that support their communications infrastructure), have additional complexities to take into account in an already complicated market. BYOD is ubiquitous in business today, and is something that’s a very real business consideration. CSPs are also feeling the bandwidth strain from these devices, and the resulting pressure from businesses to accommodate these employee needs without a drop in service levels. The rise

Multiple Service, Multiple Pricing The introduction of multiple new services is something that spawns a sub-set of complex, yet essential, policy considerations that CSPs need to take into account. With multiple pricing models, they need to take into how usage is charged (is it per minute, per kilobyte, or per event such as an SMS?); how the recurring charges on a policy are billed (is it monthly, quarterly, annually?); and also any one-off charges (such as hardware, software licences and content). Each of these bring an additional consideration to integrate into traditional pricing models, and an extra layer of complexity.

The Rise of Apps While few could have anticipated the rapid rise in popularity of consumer-centric apps such as Draw Something (50 million downloads in the first 50 days), the reality is that these are here to stay both at home and in the workplace. There will always be the ‘next big thing’ in interactive apps, and these will inevitably be data-hungry behemoths. BYOD has meant that these apps are effectively brought into the enterprise, and can cause a strain on bandwidth and resources. This is in addition to business productivity apps such as WebEx, which have been implemented to improve efficiency and interaction in day-to-day business operations – a role they fulfil, but they are still data and bandwidth hungry.

On top of this, there is also the impact and aggregation of indirect channels, such as resellers and MVNOs – and this is before we even consider the impact of areas such as M2M services, which are increasingly becoming more integral. What does this mean for Operators? Transparent Service Level Agreements (SLAs) Service Level Agreements (SLAs) are something that’s particularly important for businesses and telcos alike in the delivery of traditional and these newer services. They provide clear and actionable commitment from the operator to its customer to deliver services at the level promised. In return, they give the customer peace of mind that they have an agreement in place to provide certain services at preagreed levels, and the ability to call the operator to account should service fall below these criteria. Billing plays a key component in SLAs, and is the best way for customers to see what has been charged for, and how this tracks against tariffs. Enterprise managers in businesses will be reluctant to fully allow BYOD within their business if it means that a lot of time is needed on their part to navigate bills, and decipher where there may be errors in charging, especially if policies are updated on a regular basis. This is where CSPs can add a significant amount of value to businesses, and in turn, employees themselves. By providing easyto-navigate bills, businesses can easily see how their charges break down, what is costing the most, and how the CSP is performing against the agreed SLAs. Businesses will be able to effectively monitor the value they’re getting from their communications provider, and use it to make


OPINION

TELECOMS

a business case for further investment in that provider, or to potentially move their business elsewhere, if they don’t feel that they’re receiving the quality they deserve. A Better Back Office However, to underpin these new policies and billing accuracy, CSPs need to ensure that they have the back office systems to support these endeavours. For true success, they need to look at analytics, billing and policy management as part of a linked strategy to link customer experience as a whole. For this to be successful, ultimately, vendors need to work together so that systems are integrated for data transfer and interaction – all of which needs to sit in the back-office. This doesn’t equate to costly and complete overhaul in the back-office, but making sure that logical investments are made in services, and outsourcing where necessary, to bring in the additional expertise and technology to provide a truly world-class service. When reviewing back office systems to accommodate these additional services, there are various considerations operators need to take into account. More than just how well CSPs can control the apps that employees use (as these can chew up bandwidth and impact on resources), they need to look at how flexible these systems are to handle the scalability needed to provide additional services, now and in the future. BYOD won’t be the only issue for telco providers in the next few years, but it should be used as a catalyst to look at their systems, and how scalable services are across multiple areas and divisions. While initially, thoughts would go to support for high subscriber volumes and multiple services, there are a myriad of other areas

to take into consideration. More Robust Policy Management While CSPs have the opportunity to extend their policy management capabilities through the provision of additional bolt-ons, to enable customers to be able to craft their own personalised policies to fit their needs, they need to consider how service delivery itself is synched up across the whole customer lifecycle. It’s more important than ever that there is a consistent service level across the whole value chain. While service itself is an important top-line metric for businesses, it’s the back-office systems which support the day-to-day activities and requests that keep customers happy and stop them jumping ship. Challenge as an Opportunity In short, BYOD has brought an additional pressure to telcos, who need to ensure that they can continue to provide accurate and efficient services, billing and analytics, despite the added network pressure that these influxes of devices inevitably brings. Added to this, is the new businesses model which operators will be increasingly turning to in order to attract high-paying customers – paying for guaranteed access and quality of service of communication services at any given time. Something that’s important given the ‘always-on’ nature of today’s workforce. All these significant market and behavioural developments present a huge opportunity for CSPs, who need to view these developments as an opportunity to get the back-office and billing systems in place upon which they can build solid foundations for future growth. Such foundations will allow CSPs to become integral long term business partners to their customers, and not just external service providers.


ANALYSIS

APPS

Building a better future for business As more and more small businesses decide to investigate the mobile market, Paul Sanders, technical director at Apps4, discusses the key points to consider when building a successful app on a budget its been suggested that by 2021, the British public is likely to spend as much as £18 billion through their mobile handsets. As increasing numbers of consumers choose to access the internet via smartphones and tablet devices, it’s inevitable that businesses will have to change the way they connect with their customers by offering content which is optimised to work on such handsets. So, what’s the big deal about apps? Apps provide a fantastic new revenue opportunity for those retailers willing to grasp it. They enable companies to proactively drive business, making them a valuable alternative to more traditional, passive

advertising and marketing methods. A good starting point for a business looking to build an app is to define what exactly it wants to achieve from it. It’s all well and good creating a fantastically designed programme that looks great, but an app will be completely pointless if no results are achieved from its construction. Businesses need to evaluate their requirements and build an app accordingly. Are they looking to proactively encourage footfall into a bricks and mortar premises? Are they hoping to learn more about their customers’ preferences and shopping habits? Or, do they want to build on brand loyalty?

It’s important for businesses to understand the issues that may arise when creating an app. Research has revealed that one in four apps are used only once, and that 95 per cent of free apps are deleted after 30 days, with only five per cent being retained. With this in mind it’s important to consider the paths that can be taken to improve an app’s success rate. It’s simple: killer content is key. If your app doesn’t include those all-important, attention-grabbing functionalities, any effort put to design or marketing will be a waste. To be blunt, if the content is poor, the app will fail.

Getting ready to increase app up-lift with Facebook With Facebook’s App Center launching globally, mobile app developers are preparing their apps for Facebook, and Flexion Mobile, the company that provides monetisation solutions for mobile apps, has announced that its wrapper will soon allow developers to ensure their apps are Facebook-enabled. Despite the proliferation of apps, many mobile app developers are still struggling to generate enough revenue from either premium or ad-funded models in most app stores. Facebook’s App Center presents a new distribution channel for developers where Flexion can help with enabling and monetisation. Flexion’s automated wrapping process will integrate native Android apps with Facebook and let users connect their social profiles with these apps. Develop-

ers can take advantage of several social features, without having to do any work themselves. Flexion will soon also be able to help developers take advantage of Facebook Credits for in-app payments, alongside Flexion’s own operator billing coverage. The App Center is part of Facebook’s ongoing monetisation strategy and will play a critical role in helping to win back the confidence of the market. It will focus on social games and be available across all platforms - web, mobile web and native Android and iOS. For developers it means an additional outlet for their apps and will, Facebook believes, create opportunities for more types of apps to succeed. “This is a very exciting opportunity for mobile app developers,” says Jens Lauritzson, CEO of Flexion. “The future opportu-

nities range from simple “Like This” viral marketing to using Facebook Credits with virtual currency and targeted advertising using profiled data. Developers now have another potentially great marketing channel for their apps and need to make the most out of it. Not only do we help them integrate Facebook features in their apps but we also add vital monetisation features such as licensing, billing, virtual currency and advertising.” With single sign-on (SSO), now available for native platforms, once a user has logged into Facebook on their device there is no need to log in again when they start a Flexion-wrapped app. Developers gain access to Facebook’s Open Graph ecosystem, giving them greater visibility into their users and how their app is being used and shared.


ANALYSIS

APPS

In terms of content, it’s also important to make sure your app’s functions meet the objectives that have been set. If, for example, a business wishes to increase purchasing behaviour, app content must incentivise users and build on customer loyalty. This can be achieved via voucher functions or loyalty schemes run through the app. Decisions around technology development are also crucial when considering an app. The ever-expanding mobile market spans across many platforms, so businesses need to create apps that

support all systems, from Apple and Android to Windows. It’s worth noting that multiplatform apps have a greater reach than their single platform counterparts, thus maximising the number of customers able to access your app. A smart business will also develop an app that is easily expandable. Mobile technology is constantly changing and software can soon become stale and outdated. An app that can evolve with the times will increase the likelihood of its success and deliver better results, longer-term. The road from initial idea

to fully-functioning app is often a long one, so, it’s no wonder that many businesses don’t actually plan for activity once the app is launched to the market! An app that can’t react to customer demand will fail. Therefore, time must be allocated to evaluating the app’s post-launch success and amending as necessary. Let’s face it, in business, ROI is king, so making sure the groundwork is put in, both pre and post-build, will drastically improve the success of your business’ app.

Your supplier of

Premium Rate Calls & SMS in Scandinavia

Premium Rate Numbers

Sweden's only independent supplier

Advance Payment Payment within 5 days

Premium SMS

Makes every mobile a wallet

www.viatel.se

premium@viatel.se

+46 8 50 60 10 00


Telemedia Industry Directory Xonadu

White label providers of real text dating & sms chat. Real women = real revenue

Contact: Will Douglas, E. will.douglas@xonadu.com, Tel: 0333 332 0133 www.xonadu.com

Oxygen8

Global Billing, Communication & Mobile Services from Worldwide Offices

Contact: 0808 206 2062 E-mail: sales.uk@oxygen8.com www.oxygen8.com

tyntec

SMS interaction: 2-Way SMS Dialogue, Outbound & Inbound, Mobile Authentication & Number Lookup.

Contact: Scott Crowley Tel+49-89-202451204, crowley@tyntec.com www.tyntec.com

Paul Markham

Paul Markham content provider for Mobile Phones and iPods.

Contact: www.paulmarkham.com/all-adult-content.php

telequest & Internet Solutions GmbH !!! Domestic Numbers Worldwide !!!

Contact: 00800 102 502 22 or info@telequest.com www.telequest.com

Enarpee

Global Regulatory/Compliance/Service Audit and support services organisation

Contact: Neil or Paul on +44 844 357 3938 or email info@enarpee.com ww.enarpee.com

ImpulsePay

ImpulsePay is the fastest growing provider of Payforit.

Contact: office@impulsepay.com, tel: +44 (0) 20 7099 2450 www.impulsepay.com

EG Telecom

Spain & France • SMS Premium • 123ticket.com • Micropayments • IVR • Worldwide coverage • Voice premium • subscription • billing platform

Contact: Robert Nijeboer on rnijeboer@egtelecom.es and mobile (+34) 661636577

Masvoz

Spanish leading provider in Voice Services, Micropayments solutions & Sms services

Contact: Carlos Jiménez. 0034 902 500 807, carlos.jimenez@masvoz.es www.masvoz.es

Viatel

Premium SMS • Premium rate numbers • IVR • Specialists in Scandinavia • Safe payments

Contact: Phone: +46 8 50601015, Email: premium@viatel.se www.viatel.se

Kwak Telecom Ltd

Leading provider of International payouts numbers & domestic premium rate numbers

Contact: Tel +357 22 022300, sales@kwak-telecom.com www.premium-rates.com

Silverstreet BV

Silverstreet provides global, mobile advertising and broadcast solutions.

Contact: mail@goodmanassociates.co.uk, Tel.+44 (0)845 225 55 55 www. goodmanassociates.co.uk

Text121Chat Premium Rate Operators Services

www.text121chat.com

Contact: UK 0871 872 6154, helen@text121chat.com, USA 1-888-711-0121, lorna@text121chat.com

Orca Digital

UK’s leading provider of interactive platforms for mobile, web and TV

Contact: hello@orcadigital.com // 020 8819 5710 www.orcadigital.com


Telemedia Industry Directory International Premiums

txtNation

IPRN, IVR, Live Stats, Audiotext, Highest Payment, Daily Payment, Micropayment, Sierra Leone, Guinea, Somalia

Mobile, Billing, Payments, Content, WAP, SMS, MMS, IVR, Phone, Credit Card

Contact: Michael Whelan, E. m.whelan@txtnation.com T.+44 (0) 1752 273491, www.txtnation.com

Contact: info@interprems.com, Tel +961 1 795016 www.interprems.com

OpenMarket

Preferred Telemedia

Preferred Telemedia is a leading VoIP Solutions, providing Premium numbers, wholesale, callcenters ..

Contact: Tel (+961)-1352691, contact@preferredtelemedia.com www.preferredtelemedia.com

Mobile Messaging, Direct Billing, IVR, Video Shortcodes, Location-Based & Mobile Crediting Services

Text sales to 88600 in the UK. Tel +44 (0) 20 8987 8855 www.openmarket.com/europe

Sundial Telecom

Trodat Telecom

Voice, Fax, Web, WAP & IM integration

Contact: sales@sundialtele.com, +44 1223 238300 www.sundialtele.com

Your direct source for the industry’s most reliable international premium rate numbers

Contact: info@trodat.com, www.trodat.com

Crazy4Media

Core Telecom

Non Geographic Numbers, SMS Services, Call Management Solutions, BT Wholesale, Carrier Pre-select, Indirect Access

Contact: t: 0844 504 0000, e:info@coretelecom.co.uk www.coretelecom.co.uk

Mobile marketing, Mobile advertising, Online advertising, Video streaming, Mobile Databases

Contact: Alex Hind , Tel +34 954 98 08 48, alexhind@froggie-mm.com, www.froggie-mm.com

AdultXpand

adultXpand mobile affiliate program Turns mobile traffic into cash!

www.adultxpand.com

paythru

The world’s first mobile, PCI Level 1, card payment provider

Contact: 01494 415161, Email: hello@paythru.com www.paythru.com

AGMO

Micropayments, Premium SMS, Premium Voice, Web Billing, Credit cards, Poland, Czech Republic, Hungary, Slovakia

Contact: Tel: +420 234 718 555, Email: info@agmo.eu www.agmo.eu

24 Seven Communications

Bespoke IVR • VoIP • PSMS • Live Stats WE DO THE LOT!

Contact: info@24seven.co.uk, Tel 08000 247 247 www.24seven.co.uk

*

ellisons

Ellisons

UK Advertising agency media planning/buying - press, TV, online, mobile

www.ellisonuk.com

AIME

The leading trade body for interactive media & micropayments

Contact: bianca@aimelink.org Tel: +44 (0) 1273 685 328 Representation - Networking - Information


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.