| From the desk
of Strategic Resources For any query, discussion or feedback, please contact Pavan Chandra, Head of Strategic Resources at pchandra@zenithoptimediaindia.com, +91-124-4195100. Office Address: 10th Floor, Vatika Tower, Block-B, Sector 54 Gurgaon -122002, Haryana, India. |
| Volume: XVIII |  |
December, 2008 |
In these hyper charged times where news comes in as fast as it becomes
outdated, we need a source that can keep track of what matters to us. At
ZenithOptimedia we have created Wavelength to apprise all of us of the happenings
in three areas i.e. 1. Trends in Digital, Retail, OOH, Consumers and
the International Advertising 2. Media & Advertising Research 3. Environment
Also included here are innovations and news that ZenithOptimedia is making
across its network globally, under three sections 1. ZO Zone 2. Fast Forward
3. Touchpoints.
Simply click on any of the sections on our snazzy control panel and you
will have the latest updates at your fingertips. Wavelength will reach you
in the first week of every month so that you have information that leads
to insights.
Drop in a mail at pchandra@zenithoptimediaindia.com with your suggestions
and comments.
Fast Forward
Mobile Applications in India: Opportunities and Challenges
Ajay Pandey, CEO, Mastiff Tech
With the growth of economies, the amount of intellectual content generated
by both individuals and companies is growing at a fairly rapid pace. And
this in turn is accelerating the growth of alternate mediums of information
dissemination (from the age old sagas of TV, radio, newspapers and
magazines) to our very own internet and the next gen gadget in tinsel town -
the mobile.
Whenever we think of internet the first thing that strikes is Google, isn’t
it? One can just imagine the amount of content it has. But can content be
place dependent? Can it not be accessed when on the move? This was something
that was questioned every now and then. And the answer came in the form of
the internet enabled mobile phone that has since then changed boundaries.
Now you can read news, watch your favourite video clip or chat with your
buddy on-the-move. Isn’t it an interesting perspective? The one time dull
device for just making and receiving calls has now become the Swiss army
knife of technologies changing the way people communicate. And well, the
plethora of opportunities provided by the mobile is far more advantageous
than the desktop.
According to Telecom Regulatory Authority of India (TRAI), the total number
of mobile users in India stood at 296.08 million at the end of July 2008, as
against 192.98 million a year ago. And it is growing at 53.44 per cent per
year! Thus by providing high-speed data capabilities and internet access,
mobiles open up a landscape where users can communicate, read, listen, watch
and work as they wish, wherever they wish, using services personalized to
their interests and even physical location.
While this may look like a piece of cake to a layman, putting all that kind
of content on a cellphone is actually a great challenge for the developers
to overcome. Every mobile content or application you make has to be ported
on hundreds of mobile phones. The compatibility of an application to a
certain mobile device is the utmost concern. This is because every mobile
handset has a certain kind of configuration and the application has to suit
the same. Nokia itself has hundreds of models available in the market
including the ones that have been dissolved over a period. And there are
other handset companies too!
The other challenge faced by the industry today is determining what content
to give and what to keep. Is it music or is it video? Is it Bollywood or
Hollywood? Well, this is one area that media houses need to spend more time
and resources for. Anyone can give content but he who gives the best would
be able to turn the table. Basically, one would need to understand the nerve
of the consumer so as to offer the best content.
Every individual has a separate preference and customizing the content as
per individual needs is a tedious task. One may like to read business
updates on weekdays but latest update on movies during the weekends. How do
you cope with that? And with the increased focus on localization,
customization has become a greater challenge than before.
Providing the right information at the right time also determines the value
of the content. Won’t it be great if the user gets the latest deals on offer
at a certain shopping complex if he is near to that place or inside it? It
may actually pursue him to drop in or peep into one of the product deals. On
the other hand the same information may just lose its relevance if sent to
the user while he is taking a nap or sitting in a meeting. And providing all
this information on a 4 inches screen is not so easy. There is a big
hullabaloo about PDAs or smart phones, as we call them, but their market is
barely 15 per cent.
All said and done mobile phones have definitely been identified as the next
big content distribution channel. Compared to the year 2000 the amount of
time spent on the mobile phone has nearly doubled and addictive experiences
have attracted audience attention at the expense of traditional media such
as television and radio. And, why not when there is a huge proliferation of
free services, as well as the ability to consume content selectively on the
mobile.
Online ads are cheaper but have the ability to target the audience more
effectively with measurable performance. Additionally, it does not give way
to avoiding advertisements by flipping channels. In the last year alone
advertising on mobiles has grown by 5-6 per cent. The biggest revenue
grosser has been the simplest service or our well known SMS. Companies like
Webaroo have exploited this terrain extensively. They have encouraged users
to build SMS communities on their domain and all they do is to ship an ad
with every SMS. It is extremely advantageous to the user as he gets
information on his favourite subject at no cost at all bundled with an offer
or deal to suit his appetite.
Another revenue generator is value added services that include ringtones,
singtones and caller tunes wherein users are guaranteed their favourite
music for a specific price tag. Well, these are basically volume strategies
wherein more and more users are being brought in to generate advertising
revenues.
On the other hand there is also a value strategy which aims at creating a
group of consumers who may be low in numbers but guarantee high user
experience. These include services like music on demand, videos on demand,
and security add-ons on demand where users are guaranteed utmost service
quality at a subscription model.
Last but not the least, mobile gaming is one arena that has come into active
existence in the last year but is all set to break records where revenues
are concerned. Initially, mobile gaming was limited to the ones embedded
with the handset but now there are hoards of gaming companies developing
games for download at a certain price. The game’s business model is
structured from the outset to make money at various stages. For instance,
users need to buy the software to get started and then pay a monthly
subscription fee to keep playing the game. That’s not all, these games
become absolutely free to play and download when the user chooses to watch
an ad between the duration of the game.
Well, this is just the beginning of an era that will change terrains. We are
sure more and more methods and skills will be developed to inculcate new
technologies which will simplify content collaboration, sort compatibility
issues and at the same time drive advertising. Till then let’s keep our
fingers crossed and watch!
This tracker has been compiled from external sources and
does not necessarily reflect the views of the company.
Links provided will take you to the full articles appended at the end of
the file.
© 2008 Zenith Optimedia.