Mobile Device Marketing Ideas and Strategies

MarketingBeyond Moves to MobileBeyond

noreply@blogger.com (Brian Prows) — Tue, 13 Sep 2011 01:33:00 +0000

There's a bit of deja vu here. I wrote most of these posts for mobile telephone marketing when I was also writing MarketingBeyond on TypePad. Now that I'm mostly writing about mobile and media on MobileBeyond, it's a bit insane.

In any case, I invite everyone interested in mobile, wireless, media, marketing and technology to our new MobileBeyond Facebook page. Lots of fun and great info and interaction. See you soon. Brian Prows.

Visit MobileBeyond and IM-Mobile for Mobile Tech and Marketing Posts

noreply@blogger.com (Brian Prows) — Mon, 23 Nov 2009 07:51:00 +0000

Followers of MTM can read more great posts on either MobileBeyond or IM-Mobile.

Discover the future of mobile on MB and how mobile marketing and advertising are changing on IM-Mobile.

Mobile Communities in South Africa: Mobile Growing Faster Than Kangaroos

noreply@blogger.com (Brian Prows) — Tue, 22 Sep 2009 22:11:00 +0000

The kangaroos in South Africa are wondering if they'll survive the onslaught of young people texting, talking and accessing the mobile Internet.

Could it be that mobile phones are taking over South Africa? That the tribe is no longer the animals, but two-legged creatures playing cell phone games, loading mobile apps and downloading ringtones.

Listen to Herman Heunis of MXit talk about the fastest growing mobile service in South Africa. Only on MobileBeyond.

IM-Mobile: Your Home for Mobile Marketing & Advertising

noreply@blogger.com (Brian Prows) — Sat, 11 Apr 2009 22:06:00 +0000

If you're a mobile marketer or advertiser, don't miss out on informative blog posts and podcast interviews with mobile experts.

Visit IM-Mobile today.

Is Advertising Necessary?

noreply@blogger.com (Brian Prows) — Sun, 22 Mar 2009 22:14:00 +0000

Mobile advertising continues its relentless growth, while Internet revenues are falling. As with print advertisers, especially newspapers, that continue losing revenue to online placement, the community of mobile advertisers, mobile ad networks and mobile publishers is dominating worldwide advertising. So much for mobile.

But this post goes beyond mobile ads. It’s about the necessity of any advertising. Periodically, we should expose our minds to opposing opinions and views that contradict–and even imperil–our business models.

Such is the case with Eric Clemons at The Wharton School of the University of Pennsylvania. Clemons just posted an article (available in PDF form) on TechCrunch. His predictions about the demise of PC-based Internet advertising and his comments on social media and mobile ad personalization are controversial with a grain of truth and 100 grains of speculation and flabbergast.

Clemons generally opposes advertising “pushed” to potential customers who haven’t requested the ads. He believes that Internet and other advertising is similar to email spam and non-participatory, shatters the Internet experience and will ultimately fail. In Clemons view, pushing ad messages to people not seeking them is a grave sin.

Read the "rest of the story" on IM-Mobile

Dot Mobi Revolution Takes Hold: Follow Brian on Twitter

noreply@blogger.com (Brian Prows) — Thu, 12 Mar 2009 17:26:00 +0000

Follow Brian as he covers mobile marketing and advertising on Twitter. Join the revolution.

http://Twitter.com/MobiMarketing

IM-Mobile Marketing Site Launches

noreply@blogger.com (Brian Prows) — Wed, 25 Feb 2009 18:27:00 +0000

IM-Mobile is a mobile Internet marketing and advertising site. The world is quickly changing from desktop–even laptop–computers to mobile phones for information and entertainment.

Sophisticated applications written for smartphones are available now and the market for mobile applications is growing rapidly. Likewise, companies, large and small, are launching dot mobi websites that bring content-rich Internet experiences to smartphone users.

IM-Mobile focuses on these developments in mobile technology from a marketing and advertising perspective. How can mobile publishers monetize their websites and blogs? Which marketing strategies work best for advertisers to reach target audiences? How do marketers create conversations and connectedness among mobile users?

Whether you're a marketer or advertiser, you'll find a wealth of content-rich material, providing insightful ideas for your marketing campaigns.

IM-Mobile Internet Marketing & Advertising Blog Launches

noreply@blogger.com (Brian Prows) — Tue, 24 Feb 2009 21:07:00 +0000

IM-Mobile is a mobile Internet marketing and advertising site. The world is quickly turning from desktop--even laptop--computers to mobile phones for information and entertainment.

Many sophisticated applications written for smartphones are available now and the market for mobile applications is growing rapidly. Likewise, companies, large and small, are launching dot mobi websites that bring content-rich Internet experiences to smartphone users.

IM-Mobile focuses on these developments in mobile technology from a marketing and advertising perspective. How can mobile publishers monetize their websites and blogs? Which marketing strategies work best for advertisers to reach target audiences? How do marketers create conversations and connectedness among mobile users?

These are some of the questions and interest areas covered at IM-Mobile. We invite your participation in the dialog.

J.D. Power and Apple's iPhones for Business?

noreply@blogger.com (Brian Prows) — Wed, 26 Nov 2008 20:05:00 +0000

Apple proudly announced in a full page ad in today's Wall Street Journal that J.D. Power and Associates, which rates consumer satisfaction in numerous markets, "...ranks [Apple's iPhone] highest among business users."

Apple, however, left out two sub-headers in the J.D. Power release. "One-Fourth of Business Smartphone Users Report Experiencing a Software-Related Issue with Their Current Device."

The story continues on Mobile Telephony Innovations.

Used 3G iPhones on eBay: "I Found it in the River"

noreply@blogger.com (Brian Prows) — Sun, 31 Aug 2008 16:49:00 +0000

Found this phone in a river, jumped in after it, cleaned it, dried it out, and now it actually turns on!!. Still in really good shape, no dents or scratches!!!. My computer will recognize it and when plugged into an outlet the 'Connect to iTunes' screen comes on clearly.
The only problem is that when I plug it into iTunes it says that an 'unknown error occurred (1601)'.

The story continues on MarketingBeyond.

eBay iPhone Worldwide Listings Skyrocket - First 3G $1,500 Listings Appear

noreply@blogger.com (Brian Prows) — Sat, 12 Jul 2008 04:50:00 +0000

As predicted, eBay iphone listings jumped dramatically the day before and day of Apple's 3G release. The vast majority of the increase is clearly from the non-gray market--Apple customers who are selling their first generation iPhones to pay for the 3G version.

But there's clearly a second group of iPhone buyers who are willing to pay $450-$650 for unlocked 8GB and 16GB USED first generation iPhones. Since all iPhone owners will benefit from software version two just released by Apple, the lure of an unlocked iPhone that operates on most GSM carrier networks far exceeds the perceived value of higher download data speed and GPS. The shortage of unlocked iPhones (just over 30%) is also driving prices higher.

The locked iPhones listed in the past 48 hours may be a litmus test for Apple and AT&T in the U.S. Sellers of these used locked phones will most likely sell at substantial discounts over unlocked ones. Sellers may also find it difficult to sell the locked units unless buyers are willing to purchase the unlocking software.

Despite buyer proclivity to pay higher prices for used iPhones, the iPhone, in my eBay experience, is the first smartphone to maintain high perceived value and final selling price. Until now, most used mobile phones on eBay have sold at significant discounts from new ones.

Scalpers began appearing during the 3G launch, attempting to sell the first 3G units in the $1,000-$1,500 price range with Buy It Now, and auction bidders quickly began bidding up 3G iPhone offers close to BIN prices.

Here are the eBay iPhone stats as of Friday, 7/11 @ 10 p.m. Pacific on eBay Worldwide. Keep in mind that other sellers around the world are also selling unlocked iPhones. eBay is only indicative of trends.

Total iPhone listings reached an unprecedented 4,000+ units *
- Used = 3,461 (86%)
- Unlocked = 1,453 (36%)
- 16GB Units = 1,776 (42%) - Percentages in this breakdown based on 4,247 units
- -8GB Units = 2,151 (51%)
- -4GB Units = 330 (8%)
- Selling at Auction = 3,522 (75%) - Percentages based on 4,674 units
- Buy It Now = 1,052 (23%)
- Best Offer - 100 (2%)
- Free Shipping = 1,031 (22% - Unusually high)
3G iPhones = 410 (10% - 2/3 16GB models - based on 4,000 units )
- -210 already have 10+ bids
- -29 claimed as "unlocked" already by sellers

As of 10 p.m. tonight, eBay worldwide shows 63,879 total cell phone listings. iPhone listings remain a drop in a very big mobile phone puddle.

* Disparity in the numbers is due to spurious numbers by one lot seller and eBay including accessories in the cell phone & PDA category. To calculate the percentages, I used the advanced search feature in eBay, tried to account for approximately 1,000 units for sale by the lot seller and disregarded any accessories or software included in the wrong category.

Steve Jobs Knows What I Want and "I Need a New Phone"

noreply@blogger.com (Brian Prows) — Fri, 11 Jul 2008 21:49:00 +0000

Amusing. Due to the globe spinning, the 3G iPhone hit Australia, then Europe, then the U.S. It appears so far that phone activations in all countries except the U.S. are going fine. AT&T and Apple--unprepared for the onslaught--experienced software activating glitches, requiring iPhone buyers to complete the final activation at home using iTunes. Ah....well...

The fun continues on Mobile Telephony Innovations...

iPhone Dumping Continues on eBay: Sellers Worry Over 3G

noreply@blogger.com (Brian Prows) — Tue, 01 Jul 2008 23:22:00 +0000

Apple released its promotional Apple 3G video today, touting the improvements of the 3G iPhone. Meanwhile, rabid dumping of iPhones on eBay continues unabated. Some sellers have resorted to "Sayn Design" gold 16 GB iPhones, selling in lots of 10 for $8,500.

While calculating total iPhones for sale on eBay is time consuming, due to CECT, HTC and other's including "iphone" in the listings, here are my best estimates of iPhones for sale on eBay worldwide as of July 1st, just 10 days before Apple releases the 3G version.

Total iPhones = 2,800 (800 in lots, mostly the 16GB "gold" version)

Total Unlocked = 2,500+ (very few locked iPhones are now available as 3G approaches)

16GB Model = 1,300

8 GB Model = 1,000 (few in lots)

4 GB Model = 139

The total number of iPhones clearly doesn't total 2,800, due to listing in a category other than "cell phones & PDA's" and unclear listings about number of units.

The BIG change: According to my estimates, 90% of iPhones advertised in the past week SOLD, compared to 30% two months ago before the 3G announcement. iPhones sold through other non-eBay stores, I believe, raise the total dumping above 3,000 units.

When July 11th hits, there's no reason to believe that iPhone unlocking and re-selling through unauthorized channels will continue. Demand for unlocked units is so high that the total 8GB price of $199 + $36 activation + $175 early termination fee + $30 unlocking ($440) will not dissuade continued out-of-channel sales.

As I pointed out in an earlier post, this will hurt AT&T the most in the U.S., but will impact international carriers as well, as unlocked iPhone purchasers break contracts and purchase multiple SIM's to obtain cheaper rates in European countries and elsewhere around the world.

Moreover, with over 300,000+ unlocked iPhones already operating on China Mobile, iPhone use will rise as additional unlocked 3G units become available in the open market.

While China Mobile never signed an agreement with Apple and will benefit from further activations, other international carriers and AT&T in the U.S. will experience higher initial financial losses than expected through the subsidy. T-Mobile's emerging 3G network in the U.S. will also eat into AT&T profits as it aggressively rolls out its broadband network and iPhone users switch to T-Mobile.

Laughing all the way to the bank will be Apple, which finally realized selling iPhones at high margins, as with Macs, will bring home the bacon.

Apple 3G iPhone Impending Profit Loss for Mobile Carriers

noreply@blogger.com (Brian Prows) — Sat, 14 Jun 2008 07:57:00 +0000

AT&T will now subsidize the 3G iPhone, paying Apple $200 for each 8GB model, but AT&T and other carriers will no longer pay Apple a share of revenue, Apple's original profit estimate will drop.

If the unlocking contnues, as expected, AT&T's expected revenues and profits from the device will also drop. But international carriers will face the largest profit loss as millions of their customers purchase unlocked iPhones and multiple SIM's for use outside each carrier's service area. The full story on MarketingVisions.

Cell Phone Carrier Customer Loyalty Programs to Reduce Churn

noreply@blogger.com (Brian Prows) — Sat, 07 Jun 2008 23:14:00 +0000

Wireless carriers in the U.S. are under pressure from the Feds and consumers to either eliminate or pro-rate early contract termination charges. Carriers argue they need to charge customers who break their contracts due to marketing and discounted handset costs, while wireless subscribers want the freedom to switch carriers at any time.

The major U.S. carriers--AT&T, Verizon, Sprint and T-Mobile--face class-action consumer lawsuits, a Federal Communications Commission investigation and Congressional action to trim or eliminate "lock-in" contracts preventing wireless subscribers from jumping ship. Meanwhile, Sprint/Nextel continues dealing with high monthly churn rates.

A recent BusinessWeek article --"Hanging Up on Early Exit Fees"--summarizes the carriers' dilemma. If they drop or pro-rate early termination fees, their profits drop. On the other hand, consumer demand for contract elimination--and class-action lawsuits--will cost carriers much more than simply dropping contracts entirely. Read my earlier post on the subject.

Unlike other industries that recover marketing and other customer acquisition costs during the initial purchase--say, a kitchen stove or audio system--mobile carriers in the U.S. recover some of their marketing costs on the back-end when customers break contracts and leave. Yet, carriers, like other businesses, lose money every time customers cancel service, requiring additional marketing costs to replace them.

Rather than punishing subscribers by charging early termination fees, the carriers should reward customers who choose to stay using customer loyalty programs.

For example, most credit card companies--including CitiBank via the "Thank You" program--offer points convertible into merchandise or cash. Internet companies, such as GoDaddy.Com continually reward customers with "15% off your next purchase." American and other airlines issue points redeemable for airfare discounts. Zappos.com, a successful online shoe e-tailer, thrills its loyal customers with guaranteed purchase satisfaction and free shipping on initial and returned purchases. Successful companies increase customer satisfaction by using the carrot--not the stick.

To avoid further consumer disaffection or Federal intervention, wireless carriers should build stronger customer relationships by rewarding loyalty, offering reasonable pricing and improving customer service levels.

3G Apple iPhone Speed Dilemma: Why Steve Jobs is Praying

noreply@blogger.com (Brian Prows) — Wed, 28 May 2008 15:17:00 +0000

It's buzzing out there in iPhone land. While rumors run rampant about the "3G iPhone," enabling fast Web surfing, gaming and other applications, neither AT&T, Apple, Steve Jobs or God know how a 3G-enabled iPhone will perform on AT&T's broadband network. (Well, maybe God.)

My previous experience with AT&T's broadband network--slower than Verizon and Sprint's EVDO nets--leads me to believe there's trouble brewing due to the iPhone's large screen, 3G chipset and battery. That's the main reason, per Jobs, the iPhone wasn't designed for 3G in the first place. (See my iPhone review for background.)

3G mobile phones on AT&T's 3G net already stall and drain batteries quickly when streaming video or surfing the Web. Version one of the Samsung BlackJack is a good example. When first released, the underpowered battery drained like an SUV's fuel gauge. Samsung then released BlackJack II with a more powerful battery, but the trade-off was a thicker phone. (See "Batteries Draining at CES in Vegas.")

Enter the iPhone with its large, high resolution screen--twice as large as the BlackJack II. Each screen pixel from top-to-bottom must activate to render a viewable screen. The larger the screen, the more time it takes to fill it. And, if I'm correct, new iPhone purchasers, who've experienced Wi-Fi on the iPhone, will be greatly disappointed, especially while streaming video on AT&T's 3G network.

Power drain on Verizon's Voyager and Sprint's original CDMA Touch phone and new Touch Diamond, scheduled for release in June, are less problematic due to EVDO's faster data speeds. The Voyager most closely matches the iPhone's screen size and the Touch's screen is considerably smaller. (Click here for a Phonescoop comparison.)

As I've commented previously, Apple entered the mobile phone market without any wireless experience. The company has struggled to please customers and carriers by lowering prices, changing internal memory and trying to understand international mobile phone distribution. Meanwhile, hackers continue unlocking the device, Apple counters with new firmware to disable hacked iPhones and dissatisfied customers continue dropping iPhones on eBay.

Taking advantage of Apple's troubles, AT&T announced an iPhone price reduction on its own, after discovering that 40% of iPhone buyers are new AT&T customers. Training its reps to better understand customer needs is also in the works, due to customers' numerous dismal experiences. AT&T, along with other carriers, continues testing new pricing and contract strategies.

Wireless competition is undeniably fierce. Manufacturers and carriers must strike a balance between form factors, functionality and price. Meeting customer expectations is the key element for success in the smartphone market.

3,084,070,509 Global GSM Mobile Phones

noreply@blogger.com (Brian Prows) — Thu, 15 May 2008 15:04:00 +0000

GSM World reports on its website, confirming an earlier MTM post, that mobile telephony on the planet is growing at an astounding rate. In fact, GSMA, the organization representing worldwide GSM carriers, manufacturers and others in the wireless industry, says that Africa, alone, added 70 million mobile connections during the past year in an area the size of France. Africa now has over 282 million mobile phone users--more than the United States. Due to only 35 million landlines in Africa, carriers' network coverage is rapidly growing to meet mobile demand. (Check out the live "mobile counter" on GSM World's home page. When I started writing this post, the number of GSM mobile connections worldwide was 3,084,070,509--that's THREE BILLION+.

Why is this happening? Why is wireless growing at double-digit rates globally? It boils down to three reasons: lack of landlines in many parts of the world or disconnected landlines among users who have adopted cell phones for all voice communications; carrier network expansion in emerging countries (Africa, Mexico and elsewhere) and cheaper handsets.

In the U.S., Verizon and other major landline carriers are losing millions of landline connections daily because an increasing number of customers are using cell phones exclusively. As customers add data plans to their service, application developers, spurred on by Google and the Open Handset Alliance, are developing innovative mobile applications at a frenetic pace.

Mobile is not just hot....it's boiling.

By the way, since I starteed writing this post, GSM World's total mobile connections rose to 3,084,115,307--an increase of 44,798 mobile lines added within 30 minutes.

eBay Worldwide iPhone Listings at 2,700--30% Used--HTC Touch Diamond To Market

noreply@blogger.com (Brian Prows) — Wed, 07 May 2008 17:05:00 +0000

Update on eBay Worldwide iPhone sales. Latest stats show around 2,700 iPhones of all types for sale, 30% of which are used.

HTC and other touch phone manufacturers force Apple to compete in the global handset market. "Cool" and "awesome" no longer bring home the bacon. Functionality and price will determine winners and losers in a mobispheric world.

The full story on MarketingBeyond.

Mobile Growing Rapidly in India: A Model for the World?

noreply@blogger.com (Brian Prows) — Sun, 13 Apr 2008 20:47:00 +0000

India, according to BusinessWeek and other sources, is now the second largest mobile market on Earth. Between 250 to 300 million Indians now own mobile phones in a country with only 30 million personal computers. That's 25% of India's 1.1B citizens. Over 8 million Indians sign up for cellular service each month. The rest of the story on MarketingBeyond.

The Elimination of Cell Phone Contracts & Early Termination Fees

noreply@blogger.com (Brian Prows) — Tue, 01 Apr 2008 15:46:00 +0000

AT&T, Sprint, Verizon, T-Mobile & Others: It's time. Get rid of your contracts and eliminate early termination fees. You're living in the pre-Mobispheric age.

AT&T announced recently that it would start reducing early termination fees by $5 per month ($60) per year off its current $175. Sprint apparently is (will) do the same and Verizon made similar changes in 2006.

Until recently, the wireless carriers told customers 1-2 year contracts were necessary to subsidize handset discounts. With the exception of higher-end mobile handsets--smartphones and PDA's--this is deceptive and untrue. Carriers who supply a cheap flip phone handset pay virtually nothing at wholesale from their suppliers. And customers, who choose higher-end smartphones and PDA's, amply reimburse carriers for handsets in less than six months based on over-priced data plans. Moreover, increasing numbers of customers now purchase their own unlocked GSM or CDMA phones on the Internet. Read my MarketingBeyond post for background on cell phone pricing strategies.

Carriers lock customers into contracts for only one reason--the guaranteed revenue stream. The average cell phone customer in the U.S. pays about $55 per month. A two-year contract, based on that price, generates a minimum of $1,320 over a 24 month term. While customer acquisition, marketing and operational costs eat into carrier gross profits, locking customers via contracts is unethical and a poor pricing strategy to recover these costs. (Satellite TV companies, such as DirecTV, whose upfront installation costs for dishes and receivers, have a legitimate reason for contracts.)

Carriers, realizing that the U.S. cell phone market is saturated (250 million active handsets, mostly used for voice services) recently introduced unlimited voice plans at $99 (Verizon and AT&T Mobility) for two reasons. First, average individual or family plan contract customers rarely exceed the 400-1,400 maximum minutes and, if they do, carriers usually write-off the excess minute charges when customers threaten to change carriers. As long as carriers' networks can handle the additional traffic, they don't incur higher fixed costs.

Encouraging customers who primarily use their mobile handsets for voice to buy data plans is the main reason for the change to unlimited voice plans. Monthly data plan charges vary from Sprint's $15 basic Internet package to Verizon and AT&T's $50 for Enterprise-level BlackBerry service, producing an additional $360 to $1,200 over a 24 month contract.

To ensure continued profitability, carriers are marketing data plans to consumers, predicting enough users will opt-in, as mobile customers in Asia, Europe and the U.K. have done for years. "On-Deck" data applications and Web access--the news, weather, sports, horoscope and applications provided by carriers and their partners--produce the highest profits. "Off-Deck" applications, encouraged by the Google Android initiative and accessed through the mobile Web, bypasses carrier control and is less profitable. Carriers only charge for data usage. As innovative off-deck applications reach the mobile market, carriers will compete for application revenues to increase profitability.

Download my ideal Android phone PDF on MarketingBeyond for a glimpse into the future of mobile telephony.

Worldwide iPhone eBay Listings Rise: The Glutting Continues

noreply@blogger.com (Brian Prows) — Mon, 31 Mar 2008 01:59:00 +0000

iPhone eBay sales continue to rise as buyers purchase new ones and sellers ditch the 4GB and 8GB models, possibly for purchase of Apple's 16GB model. (Since one aggregator, selling around 500 units, is grouped separately, the stats are based on best estimates.)

Listings as of March 31, 2008 on eBay Worldwide show:

2,712 total iPhone listings (based on "cell phone," "smartphone," and "PDA" categories)
72% of iPhones are listed as "new"
16GB Model = 811 Units--30% of all iPhone listings, a dramatic increase since MTM's last tally
8GB Model = 1,713 (63%)
4GB Model = 188 (7%)
Approximately 74% (2,000 units) are unlocked, with sellers claiming 1.1.4 firmware updates
Quality of eBay listings varies from professional to poor, although pictures and phone descriptions are improving. Some sellers continue listing damaged iPhones as the picture above shows.
More "free" iPhone listings appear in auctions whose winners are instructed how to obtain a "free" iPhone. The legitimacy of these listings is questionable.

In comparison, eBay Worldwide lists:

151 Nokia N95-8GB Smartphones (121 New)
66 Sony Ericsson's selling for $400+ (62 New)
75 Samsung's listed at $400+ (68 New)
66 LG's priced at $400+ (45 New)

Compared to Nokia and other smartphone manufacturers, the gray market glutting of iPhones continues rising on eBay Worldwide. There are now 18 times more iPhones for sale than the Nokia N95-8GB, the closest iPhone-comparable smartphone.

Mobile Websites on Your Cell: Growing Businesses and Communities in a Mobispheric Age

noreply@blogger.com (Brian Prows) — Tue, 18 Mar 2008 04:35:00 +0000

I had a informative conversation yesterday with Judy LaMont, whose company, dotMobietc, designs and hosts innovative mobile websites and advertising campaigns that deliver text and visual content to mobile handsets. To date, dotMobietc has designed .mobi sites for hotels, resorts, health product companies, religious networks and the pro sports and racing industries. The company's platform also supports eCommerce solutions.

Applications include employee communication alerts, enhanced customer contact and text advertising. dotMobietc provides end-to-end solutions that improve employee productivity, create social communities and sell products and services. The breadth of applications, using mobile websites, is enormous and growing rapidly.

dotMobietc has developed a number of mobile sites and templates for profit and non-profit organizations. Isagenix, a health products company, Trinity Broadcast Network, the world's largest religious network and and VIP Virtual Concierge and Royal Palm Hotel are examples. SearchingMobi.com, a mobile search engine, enables .mobi searches and also provides links to 50 mobile websites. View other examples on the dotMobietc website.

Global mobile phones now number 3.3 billion on the planet. As computer users continue migrating to cell phones and other mobile devices for social and business interactions, the upward growth curve in wireless Web access is skyrocketing. I believe we're witnessing in our lifetimes the most revolutionary change in human communication.

DotCom is rapidly morphing to DotMobi.

"Keep the Customer Satisfied": Spread the Word

noreply@blogger.com (Brian Prows) — Fri, 22 Feb 2008 21:11:00 +0000

MarketingBeyond blog readers may have noticed I have a category called "customer service marketing." Why? Because, as I've pointed out in numerous posts, companies are losing billions due to poor customer care--and ALL industries are impacted from cell phones to computers to consumer appliances.

Cell phone companies. I'll boldly claim that quality customer service will nearly always convince customers to stay with a carrier over everything else. Why? Because if mobile carriers, like any other business, can't quickly solve customer problems or issues, their network size or latest razzle-dazzle promotion will fail. While price and other factors are important, customers want service and solutions.

T-Mobile customer care today again convinced me how true this is in cellular. As a mobile geek, I frequently float from carrier-to-carrier to complete phone reviews and assess carrier service. By far, T-Mobile provides the best customer service of all the carriers.

Today's issue was fairly simple. I ported one of my three lines from Sprint to T-Mobile recently so I could rate T-Mobile's new Nokia 6267, a 3G-equipped phone once T-Mobile launches 3G in the U.S. I returned the phone several weeks ago and received my T-Mobile bill yesterday still showing a $36 activation fee. A quick call to T-Mobile customer care and the $36 was credited to my account.

But that's not what impressed me. I knew T-Mobile would credit me for the activation charge, since I'd cancelled service during the "buyer remorse" period (strange phrase, hm...) What delighted me about the phone call had more to do with the friendliness and helpfulness of the CS rep. Despite my leaving T-Mobile (for the time being), she was cordial and didn't hassle me about staying with T-Mobile. My customer experience was totally positive, reinforcing good feelings about T-Mobile.

Case two: Sprint. I ported two lines from Sprint to AT&T when I was testing the iPhone, then ported both lines back to Sprint after a negative experience with an AT&T retail rep. I knew Sprint was (is) in the middle of merging billing systems; so I expected a messy bill, despite assurance from a Sprint supervisor a while back promising me a $400 credit after porting back. Well...my bill arrived yesterday--a mere $687--without the $400 credit and $75 in data charges, due to a screw-up when I changed from the HTC Touch to the BlackBerry 8830.

Sprint must have hired someone with humor in billing, because the new bill pages have titles like "Hello!" on page one, "Details, details (continued)..." on page 10, "Details, details..." on page 9 and "Want a shorter bill?...Switch to summary format..." on page 11. Humor is always good, especially when your bill is $687.

But I felt confident the issue was resolvable, because I kept copies of emails confirming my $400 credit. So I zipped off a copy of the email to Sprint yesterday and today I received an intelligently written email reversing out the $400, plus $75 in data charges and two $26 re-activation fees. (If you have Sprint, by the way, always use email for customer service, because they're still trying to improve their call center operations.)

Cell phone companies, naturally, are not the only businesses with poor customer service. As I wrote in a MarketingBeyond post recently, bad customer service is zapping all sorts of companies. Technical support is also suffering. (Read my tech chat posts on Hewlett-Packard).

Case three (busy customer service day for me): Cuisinart. My coffee maker filter basket flow control fell off. I quickly called Cuisinart, gave the CS rep my serial number and the company is shipping me a new basket at no charge. Let's see...that's one broken carafe and one defective basket (see my Amazon.com/Cuisinart post.)

The March 3, 2008 edition of BusinessWeek has a rating of customer service levels among 25 companies, including Sprint's continuing struggle to raise customer service levels. I believe it's mandatory reading for anyone serious about customer service in this country.

Until the majority of U.S. marketing executives improve their customer service operations, their companies will continue upsetting their most precious asset--the customer. "Keep the customer satisfied" has never been more important than in today's consumer-driven economy.

16GB iPhone Company Advertising on Mobile Telephone Marketing

noreply@blogger.com (Brian Prows) — Thu, 21 Feb 2008 04:45:00 +0000

Update: Looks like UnlockedFones.Com is advertising via Google Adsense an unlocked 16GB iPhone on MTM. Per the ad, all you have to do is insert your SIM from any GSM carrier and, voila, it works.

So much for eBay. Nokia, Sony Ericsson and other mobile phone purchasers outside the U.S. don't have to worry about unlocked phones because, with a few exceptions, they're never locked by the manufacturers, eliminating the unlocking nonsense Apple is now experiencing.

eBay iPhone Sales Continue Climbing Amid Buyer Confusion

noreply@blogger.com (Brian Prows) — Thu, 21 Feb 2008 01:55:00 +0000

eBay iPhone listings, although difficult to ascertain due to sellers using multiple categories, appear to have risen to 3,410. (This number, to the best of my ability, doesn't represent lots.)

Latest eBay worldwide summary:

3,410 total listings (again, most are single units, some are multiples).
Around 600 of the 3,410 listings appear under two sellers who are acting as "aggregators." When clicking on these two listings, individual seller listings appear.
334 iPhone sellers claim their phones are "used," the rest "new," although many sellers continue to list their iPhones as "new" because they were "just used for a week or month." These are clearly "used" iPhones.
1,459 of the 3,410 are "unlocked"--43% of the total with sellers claiming that, of these, 92% are "new."
Average sale price of "new" units overall is $528 (skewed by large numbers of iPhones for sale and 16GB iPhones that are growing rapidly on eBay)
Average sale price of "used" units overall is $380, a significant drop from my observations during the past few weeks.

The accuracy of the total number of iPhones for sale on eBay is impacted by sellers listing in multiple categories. By far, most sellers are listing under "cell phones." But others are listing under "smartphones" and "PDA's. The majority of sellers listing under "lots" represent iPhone accessories. I doubt that many individual eBay sellers are listing in multiple categories due to the extra listing fees.

After reviewing several pages in all categories, I conclude the following:

The vast majority of unlocked iPhone sales--new or used--reflects problems or confusion over 1.1.2 to 1.1.3 firmware issues. In many listings, sellers warn buyers not to sync with iTunes to avoid re-locking the phones. This alerts buyers who are becoming concerned about how unlocking affects iPhone functionality.
Most sellers are listing single units, many used, from weeks to several months, indicating that buyers and sellers are becoming concerned about unlocking issues or dissatisfied with their initial purchases.
50%+ of of all iPhone sellers don't reveal why they're selling.
Of those who do reveal, a growing number of sellers claim they've bought 16GB units and therefore are selling their 4GB and 8GB models.
The remaining sellers who reveal their reasons for selling say they are still under contract or have switched to other carriers, their companies bought them phones, relatives purchased a second iPhone as a gift plus other reasons. The validity of the claims is spurious.
Most eBay iPhone sales listings look unprofessional. Photos, if taken, are blurred and item descriptions are hazy. Many iPhone sellers clearly don't know how to write an effective eBay listing. As a result, many of the listings I reviewed were incomplete and unconvincing.

I continue to believe the growing number of iPhone eBay listings represents a significant marketing challenge for Apple. Viewing blurred photos of scratched, unlocked iPhones and cut-off SIMS is the antithesis of Apple's slick advertising campaign.