Given the explosion of mobile's fanfare, a legitimate concern by many key decision makers is whether the economics match the hype. Just how large is the profit pool and what is the competitive landscape facing both firms and agencies entering these new waters?

Critical to the decision process is the economic conditions of mobile from the consumer side. In the end, it doesn't matter how beefed up the mobile agency is or how glitzy the product if there is not a current -- and expanding -- marketplace to exploit.

Fortunately, the ideal combination of technological expansion and a market share battle among carriers is positioning the consumer to reap major rewards in the immediate future. Not only are more options being made available to mobile consumers at an increasingly discounted rate, but there is clear evidence that consumers themselves are warming up to the new touch points being created as a result of the mobile evolution.

First and foremost is the ongoing price war among carriers in their continual quest to grab and maintain market share. In an industry where a high churn rate of customers has been a consistent reality, premium positioning is being thrown out the window as both governmental and competitive forces squeeze down on carriers.

The U.S. House of Representatives has been looking at a bill eliminating the long-term contract requirements that many carriers require during initial sign-up. Removal of this tie-in would shift significant power from the firm to the consumer.

Meanwhile, competitive forces are providing a major boost to mobile users. A quick Google search for the term "cell phone unlimited calling plan" generates a fascinating view of the mobile telecom landscape, with paid ads from Verizon, Sprint, and T-Mobile all offering unlimited plans. Ad copy screams "Introducing Simply Everything. Sprint's Unlimited Calling Plan!" and "Get Unltd Nationwide Minutes & Messaging For Only $99.99/Mo."

To be realistic, offering unlimited minutes is not the largest giveaway in the history of capitalism. With free nights and weekends already standard, few consumers actually use up all of their minutes. But the true potential for mobile marketing is in the trend towards increased access to features such as mobile web and messaging. Now that text messaging is being thrown in with minutes, mobile web is the next frontier in the price war.

Why? Consumers are demanding it. According to a recent survey by comScore, the number of units accessing the mobile web increased by 157% in 2007. Looking deeper into the numbers provides a fascinating peek into the future. Currently, 59% of usage is work related leading comScore to conclude that usage is more of a "need than want." Of those who use mobile web, 79.2% have household incomes of $50,000 or more. Essentially, those who have access to mobile web are not using it as a toy, but are quickly finding themselves in a position where access is a necessity. This has opened up a new touch point to a very profitable consumer base that will only expand as access to the web anywhere grows and users find themselves in the same position as the early adopters.

Finally, in another piece of good news for mobile marketers, 28 million users responded to mobile ads in 2007 with a survey stating that consumers "would be receptive to mobile advertising to lower their bill." The study looked at all ad formats - from SMS to click-to-call to mobile video.

Those who have not set sewed their seeds in mobile marketing need to do so now if they are to be properly positioned to reach consumers during and after the upcoming explosion. A critical advantage that the North American marketplace has is the second adopter position mobile marketing is currently in. Unlike the internet bubble of the late 1990's, where radical ideas were being tested and fabulous flops littered the landscape, the high adaptation of mobile in Europe and Asia has provided a fertile template without the high risk. This provides the best of both worlds, where the mobile ROI remains high but the tactics are established. Those firms who take advantage of this opportunity early will have a key strategic competitive advantage over their competitors.

Posted by Damian Stamm at 05:25 PM
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Mobile marketing has recently gained a lot of steam, but it still hasn’t been embraced by most brands. Only the most progressive minds have spotted the potential energy… and only the most progressive agencies have integrated it into cross-channel campaigns. But who, on the list of early pioneers, is worthy of a special mention? Your friend and mine, Adobe.

Adobe’s newest suite of deluxe design software, Creative Suite 3, actually has exclusive features built in, for crafting dynamic mobile websites. That’s right, it has a dedicated section, with dedicated tools, for creating the future of interactive content. But, you may say, mobile marketing is still relatively new. Did Adobe jump the gun with this new direction? Nope.

Surely, they did their research first:

- 89% of major brands plan to market via mobile phones by 2008. Over half of these brands plan to dedicate up to 25% of their marketing budgets to mobile. (Mobile Marketing Association, 2007)

- Total spend on mobile messaging, display ads, and search will grow from $708 million in 2007 to $2.2 billion in 2012. (Jupiter Research, 2008)

- 254+ million wireless subscribers live in the US alone. (CTIA Wireless Association, 2007)

- 25% of cell phone owners in the US browse the Internet from their cell phones. 16% do so frequently. (Jupiter Research, 2008)

The fact is, mobile marketing is a highly compelling upgrade to the world of promotion. It gives a top-level boost to branding, information access, customer communication, and campaign influence – by picking up exactly where email, websites, and search leave off. Mobile marketing advances these other channels, in one particular manner, by allowing brands and consumers to connect more closely. Simply enough, it uses a gadget that is available more than any other. Unlike established media – digital or physical – mobile devices are almost always within arm’s reach. They close the distance between users, and open the means of fluid communication. This concrete advantage is earning mobile marketing a distinct status, and pumping up brands with vision.

Industry leaders, like Adobe, are doing their part to proclaim the strength of mobile marketing. Adobe’s newest chunk of design software is rolling out the red carpet, and endorsing bolder lines of strategic thought. And when incorporated properly, it’s able to set campaigns in a whole new motion. Are you ready to blast into mobile?

The New Marketing Economy is brought to you by Annodyne, Inc., a full-service provider of integrated marketing solutions. Annodyne is an enlightened breed of agency, bridging the gap between traditional and digital media – to modernize business and brand.

Posted by Anthony Campisi at 12:25 PM
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It’s hard to remember the days before the internet… back before life was www.life.com. Our information superhighway was more of an information pony express… I think it was called a library. And the only brand experiences were walking into a retail store or sponsored event. Access was minimal, brand interaction was primitive, and information was often beyond reach. We were content, but soon ready to evolve.

And then came the counterpart to our world – the virtual world. Our Internet was liberating. Within years, we could retrieve wisdom online and fully connect with brands. An entire existence lived within our computers, raising the bar for businesses to connect with their audiences. Websites became essential brand experiences, and the word “browsing” took on a whole new life. The internet was a renaissance for information access, and the world was in everyone’s hands. We were content, but soon ready to evolve.

But where could we possibly go from there? What innovation could bring us even closer to the source? The answer has been growing beside us for years. It rests in our pockets and handbags. It has successfully brought us closer to each other – and can finally bring us closer to everything. It’s our handy little mobile devices, which are now ready to flourish.

Imagine the world of information at our fingertips. We’ve heard those words before, but they’ve never fully been just. The majority of information rather lived at our desktops, or within our laptops. But, just like any other source, our computers were often out of reach. Any time we were more than an arm’s length from a heavy metal operating system, information was still a world away.

Our desire to connect and discover has spawned a new access – mobile access. Our mobile devices are now equipped to deliver the facts and weave brands into our very lives. Brand-driven text messages offer breaking news, reminders, and essential updates. They even allow users to register, vote, receive coupons, and participate in brand activities. Mobile websites offer fully-realized brand experiences, letting users interact with information and access data on demand. The world has once again changed shape.

Mobile marketing empowers brands to connect with their audiences at any place, at any waking moment. The source of information is becoming completely portable – and savvy brands are already catching on. In fact, 89% of major brands plan to market via mobile phones by 2008, and over half of these brands plan to dedicate up to 25% of their marketing budgets to mobile. Information is shifting closer to our own selves, as progressive minds are blazing the trail.

A new movement has begun, which has centered around the world of marketing. Branding has leapt from physical form, to virtual form, then into the airwaves to our mobile devices. We’ve gained unprecedented access, as the newest medium is confirmed. Mobile marketing is rocketing cross-channel campaigns, for those brands that recognize the possibilities. It’s revolutionizing our communications, and setting a new stage for the future of promotion.

The New Marketing Economy is brought to you by Annodyne, Inc., a full-service provider of integrated marketing solutions. Annodyne is an enlightened breed of agency, bridging the gap between traditional and digital media – to modernize business and brand.

Posted by Jonathan Sauer at 12:06 PM
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With more than 70% of Americans, ages 15 to 34, actively using social networking, and 90% of marketers saying online customer engagement is essential – shouldn’t our president be doing the same? We’ll, he’s not quite our president, but he’s certainly leading the competition in new media campaigning. Barack Obama has created a full-blown social community, and he’s certainly earning the popular click. Whether or not you agree with his policies, he sure knows how to connect with people in 2008.

Obama’s non-traditional marketing has broken through the campaign clutter. Through his website, supporters can create their own pages – to network with fellow advocates, host events, host a blog, help raise funds, and plenty more. This gives his fan base greater unity, momentum, and influence. By the nature of social networking, ordinary individuals gain the power to become genuine community leaders.

Beyond his site, Obama has social networks on 16 outside sites, including MySpace, Facebook, and others based on ethnicity or religion. He empowers the people to take ownership of his campaign and feel a sense of belonging.

But the true value of Obama’s social networking campaign is bringing his online community into the real world. His site and social pages make it simple to find local events. They offer easy and accessible ways to get involved and make a personal difference. Supporters are given easy access to find local fundraisers, make promotional phone calls, and drive registration. His email updates, mobile text alerts, and web ads further promote this. As a result, people have rallied through real world action, and achieved results that are simply staggering.

One of the keys to a powerful campaign is adherence to a central concept. At the crest of Obama’s homepage, there lives his slogan, “I’m asking you to believe. Not just in my ability to bring about real change in Washington… I’m asking you to believe in yours.” What could have been an empty notion has taken on a life of purpose. It’s the foundation for his community outreach, and his entire movement. Obama positions himself as a man of the people, and has truly leveled with the American public. Whether or not we choose to elect Barack Obama, he can certainly teach brands the value of non-traditional campaigns.

So, are you convinced that new marketing methods can take brands to another level, or do you need more proof?

The New Marketing Economy is brought to you by Annodyne, Inc., a full-service provider of integrated marketing solutions. Annodyne is an enlightened breed of agency, bridging the gap between traditional and digital media – to modernize business and brand.

Posted by Anthony Campisi at 02:03 PM
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