Skip to main content

Strategic Mobile Messaging will Transform Marketing

Findings from a worldwide market study by Juniper Research highlights the growing disparity between traffic volumes and revenues in the mobile messaging market. Despite accounting for 75 percent of the traffic -- or 63 trillion messages -- by 2018, Instant Messaging (IM) apps will only generate 2 percent of the mobile messaging market's revenue.

It's easy to be distracted by the recent media hype and miss the key significance of this market development opportunity. The service provider revenue from mobile messaging is not the big story here, and neither is the Facebook acquisition of WhatsApp.

I believe it's how mobile messaging will transform marketing communications. Let me explain.

Impact of Exploding Mobile IM Adoption

The findings from the Juniper market study stated that the increasingly high IM traffic volumes are the result of a number of key factors that should be on the radar for all savvy marketers.

Chief among those findings is the fact that usage of mobile IM apps is inherently different to usage of SMS -- users typically send up to 10 chats to convey a message which could be contained in 1 SMS. Meaning, these apps are more interactive and engaging.

In addition to this, stickers, emoticons, images and group conversations all add significantly to IM increased usage, as well as the fact that mobile handset users -- the younger demographic in particular -- typically install multiple IM apps.

"Adoption of IM apps has rapidly accelerated over the past 18 months, something which has led Juniper to revise upwards our forecast for the volume of IM traffic," said Sian Rowlands, research analyst at Juniper Research.

Why Mobile Advertising Really Doesn't Matter

Nevertheless, IM apps are continuing to encounter difficulties in generating revenues for their creators, given the infancy of the market.

The hundreds of IM apps available are taking different approaches, some utilizing in-app purchases and games, others with advertising or subscriptions.

Indeed, some apps -- such as Facebook Messenger -- are loss leaders, and only serve to increase engagement with a company's separate revenue generating app.

But advertising in apps is truly the least compelling opportunity for marketers. Interrupting the mobile app user experience with invasive and unwanted ads is a sure path to failure for inept marketers.

Instead, this is an untapped market opportunity to join in the dialogue -- via creative, meaningful and substantive engagement with mobile app users. My point: marketers that think like a legacy media buyer are not the people you want to manage your evolving digital marketing programs.

You'll need to harness the passion of skilled and accomplished strategic communications savvy talent, in order to take full advantage of the mobile messaging phenomenon. Don't settle for anything less.

Other key findings from the market study include:
  • Mobile network operators are continuing to work on the RCS (Rich Communications Suite) initiative, which has potential to see traction after 2018, although progressing at a slow pace.
  • The Far East and China will generate the most traffic across all mobile messaging formats, throughout the forecast period.

Popular posts from this blog

Why Healthcare and Smart City Apps Drive 5G IoT

Fifth-generation (5G) wireless technology for cellular networks is a successor to fourth-generation (4G) wireless technology. By 2023, Juniper Research anticipates that there will be over 1 billion 5G connections globally. The technology will provide the data infrastructure for the advancement of wireless communications and for new developments in the Internet of Things (IoT) -- including smart cities and healthcare. 5G IoT Market Development According to the latest worldwide market study by Juniper Research, 5G IoT connections will reach 116 million globally by 2026 -- that's increasing from just 17 million connections in 2023. Juniper analysts predict that the healthcare sector applications and government or other smart city services will drive this outstanding 1,100 percent growth over the next three years. Juniper examined 5G adoption across key industry sectors -- such as the automotive, mobile broadband, and smart homes -- and forecasts healthcare and smart cities will accoun

How Savvy Leaders Re-Imagine Work in 2023

As we look to the year ahead, there will be significant challenges and opportunities facing the Chief Human Resource Officer (CHRO) role. In order to be successful, savvy HR leaders must be prepared to take proactive steps that adapt and evolve. "HR leaders have faced an increasingly unpredictable environment amid many organizations mandating a return to office, permanently higher turnover and burnt out employees," said Emily Rose McRae, senior director at Gartner . HR Innovation Market Development One of Gartner's key predictions for 2023 is that the use of artificial intelligence (AI) and automation will continue to increase within the enlightened digital workplace. This transition will require HR leaders to develop new skills and competencies in order to effectively manage and lead teams that are increasingly relying on these enabling technologies. Additionally, HR leaders will need to ensure that their organizations are investing in the necessary infrastructure and re

Top 10 CFO Priorities Require Rethinking Finance

The Chief Financial Officer (CFO) role is essential to digital business growth. While CFOs do not get closely involved in the tactical details of the digital transformation of their functions, they still recognize its strategic importance. According to the latest survey by Gartner, CFOs are faced with the challenge of balancing the need for substantive digital business innovation with financial cost control and risk management. "CFOs will be stretched thinly across many activities in 2023. The survey revealed a wide range of actions CFOs plan to either lead or be significantly involved with," said Marko Horvat, vice president at Gartner. Survey Findings: The Top Ten Priorities Cost Optimization - Cost reduction remains the top priority for CFOs as they look for ways to cut costs and improve efficiency in their operations. This includes identifying cost-saving opportunities through automation, outsourcing, and business process improvement. Business Continuity - The global C