LOIS KUHLE investigates the minefield of bluetooth marketing
South Africa has more than 42 million cellphone subscribers, and a mobile penetration rate of between 85% and 90% of the population.
Here, mobiles are the only way for thousands of people to access the internet. Combined with an appetite for western content and the huge percentage of mobile-savvy users, it’s no wonder the country has such high traffic growth. And with South Africa being such a dynamic market, both mobile operators and content providers are keen to reach out to millions of subscribers and capitalise on this great opportunity
Bluetooth-enabled cellphones are a burgeoning market. In-Stat market research projected that by 2009 more than 66% of the 900 million new mobile phones sold would include bluetooth technology. In addition, it said, the total bluetooth market would grow at a compound annual rate of more than 40% between 2008 and 2011, and equipment shipments (including accessories) were expected to break the 1 billion mark by 2009 (Source ABI).
Online Publishing Association said 40% of brands have trialed mobile technologies as a way of expanding their brands and advertising reach, with market research company Strategy Analytics estimating mobile advertising spend to be $1.4 billion at the end of 2007 rising to $14.4 billion in 2011.
The majority of this “spend” would be on the production of “content”.
Bluetooth marketing is one mechanism to deliver this content to specific locations and times and deliver applications, videos, games, MMS and web content. As a transport mechanism, it’s capable of delivering 67% of this content, equating to more than $8 billion in 2011.
In South Africa we are only starting to realise the enormity and impact of Proximity Marketing.
Homegrown Kirk Dennyschene has recognised how dynamic cellphone marketing can be, and is developing this emergent concept in KwaZulu-Natal.
“Corporate companies are embracing the technology and it’s now being introduced into their advertising budgets,” he said.
Early last year he launched his company, Bluetoothzone, with phenomenal results.
“At broadband speed our small caching servers deliver customised, rich media content and applications to 21 cellphones every five seconds within a range of 100m. Users can receive coupons, videos, audio messages, photos and text messages that alert them of activities in and around the zone. It’s an exciting and innovative way of advertising to new and existing customers because it’s precise and effective.” It was also, he added, a non-threatening, opt-in method of communication. The receiver can choose whether or not to view the info.
This wireless technology is easily deployed into various locations, the obvious one being shopping centres.
It’s a valuable information centre for trade shows, banks, nightclubs and bars, education centres – the list of application is endless.
From a brand and marketing perspective it’s a cost effective medium, with the added bonus of supplying full statistics measuring the impact of the campaign. It is eco-friendly (no paper trail) and there are no extra costs if 10 or 10 million messages are sent. Plus the receiver can retain the information on his phone.
“uShaka was host to a trial period of the bluetooth zone, and the beauty of this system is that if consumers have their bluetooth on, you can communicate with them while they are in your immediate area,” said Grant Adams, marketing director of uShaka Marine World.
As Kirk’s knowledge and obsession for cellphone technology increases, he is continuously on the look out for additional marketing opportunities. Coupons offer added value to customers and he recently launched CaptainCoupon.mobi. The concept is similar to Bluetoothzone, but is not reliant on a captive area, instead being accessed through the internet via cellphones. Consumers can look for “Buy 1 get 1 free bargains” in categories including restaurants, coffee shops, entertainment, nightlife, retail etc. And for advertisers, the rates are very affordable.
Admittedly much consumer education is necessary, but as we evolve technologically this method of communication will become part of our daily lives. R
Useful info: Phone Kirk Dennyschene at 082 567 1303 or 087 808 3652
www.captaincoupon.mobi (on your cellphone web browser)