Nokia exec says mobile advertising is at tipping point
NEW YORK -- Mobile advertising is at a tipping point, Nokia's top mobile brand strategy executive told delegates yesterday at the Mobile Marketing Forum.
That was the first time in seven years that Jeremy Wright made a statement in front of an audience that is direly in need of such validation from a leading global brand. Mr. Wright, who is global director of mobile brand strategy at Nokia, was addressing mobile marketers at the two-day show organized by the Mobile Marketing Association.
"There's a change in the air and it's on a pretty large scale," Mr. Wright said.
Five key things are behind this confidence in mobile advertising, he said.
First, companies such as Microsoft and Google are not only acquiring companies with mobile skills, but also developing resources geared to advertising on handsets. The same can be said for Nokia, which is the world's largest maker of handsets, but now is involved in every major aspect of mobile advertising.
Second, 65 percent to 70 percent of advertisers are increasing spending levels on mobile advertising.
Third, more than a dozen advertisers are now planning annual contracts for mobile advertising. Mr. Wright didn't mention their names.
Fourth, the big brands are going international in their mobile advertising.
Finally, major brands have moved from one-off campaigns to strategic, long-term efforts.
"The players in the medium have shown how mobile advertising can be done versus other mediums," Mr. Wright said.
Brands need three things to engage in mobile advertising, he said.
First, brands need reach. While the reach is there, it just needs activation. Who can do that? Brands.
Next, brands require mobile solutions -- it's not just about banners and clicks.
Finally, brands need confidence in partners with whom they need to work.
"At Nokia, our raison d'etre is to put the largest mobile elements together in mobile advertising," Mr. Wright said.
Nokia is not your typical handset maker. The Espoo, Finland-based company is involved in music and gaming and has an ad network. It has 130 to 140 sites in its Nokia media advertising network and relies on the Nokia Interactive network that works with 100 brands.
"We have a large ecosystem that needs organizing," Mr. Wright said.
Mr. Wright also announced the launch yesterday of the Nokia Advertising Alliance. The alliance is comprised mobile specialists such as Mobiqa, uLocate, i-movo and Mobile Acuity to help brands and advertising agencies develop mobile marketing campaigns.
The executive told the audience that it was very easy in mobile to think that it is the little brother to the Internet. However, while the Internet is big in terms of commerce, it still accounts for a small portion of the transactions conducted over channels.
"Ninety-five percent of retail sales are still bricks-and-mortar," Mr. Wright said. "We all shop and we all carry mobile phones. It should be a beautiful relationship."