The number of worldwide mobile phone users is expected to grow from 2 billion in 2005 to approximately 3.3 billion in 2010. Many countries now have a mobile penetration rate above 100%, e.g. Hong Kong, Kuwait and Czech Republic. Some markets such as Sweden, the United Kingdom and Italy has a penetration rate over 110%. (from M2 COMMUNICATIONS http://www.m2.com)

However, there are still some obstacles need to be overcomed. Below are some advantages and disadvantages for consideration when planning a campaign.

Tomi Ahonen (Ahonen, 2008) has identified seven unique features of mobile phone:

• personal
• always carried
• always switched on
• has built-in payment system
• vailable at the point of creative inspiration
• provide accurate audience measurement
• captures social context of media consumption

Pros of mobile marketing

1. High penetration rate:The number of mobile users almost double then that of PCs, the mobile penetration rate in HK is 1.5 phones per people.

2. Efficient: Creating content such as images or video for streamlined mobile is relatively inexpensive than PCs. It’s good for promotions, coupons, vouchers and promotion code.

3. Convenient: Cell phones are personal and portable, thus informtion can be received anytime, anywhere.

4. Sharing: mobile connectivity can make sharing informtion a breeze. 2D barcodesm Global Positioning System (GPS) or camera, can attract people to get involved.

5. Consumer relationship management: Mobile phone is personal and private, allowing a more personalized approach to the media. Marketers can receive feedback instantly, leading to a valuable two-way conversation with their audience members.

6. Real time tracking: A quick response time lead to increase tracking potential and marketing understanding.

7. Target-specific: The opt-in nature of mobile marketing campaigns make them more effective than other form of traditional advertising.

8. Adaptable integration: It is easy to cross platforms and promote other media sources by incorporating mobile elements into current campaigns. E.g. Microblogging platforms – twitter.

Cons of mobile marketing

1. Current WAP technology inadequate, discouraging web searching and surfing. Mobile phone are less standard than PCs.

2. Scarcity of mobile web sites (only 8% of 1,000 top U.S. brands offer a mobile site).

3. Privacy and permission

4. Mobile marketing is fragmented and complex because of many different handsets and carriers, different types of functionality, and different preloaded apps (i.e. Google Maps on iPhone).

5. Reach is low currently as consumption of mobile content is small (10% of subscribers), and penetration of 3G devices is still low in most countries.

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Tags: Internet Marketing & SEO, IVR, mobile ad, mobile coupon, Mobile Marketing, QR code, WAP