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Friday, October 14, 2011

App developers can still make money from mobile advertising

Mark Bridge writes:

When I was a youngster, evangelists preached the gospel. Not the gospel according to Steve Jobs, Bart Simpson or Oprah Winfrey. The gospel of Jesus the Christ. That was all. That’s what the word meant.

In recent years, the word ‘evangelist’ has evolved to gain a wider meaning. We have Product evangelists. Customer evangelists. Developer evangelists. Technology evangelists. Even Word of Mouth evangelists (which sounds rather like being an ‘evangelism evangelist’, I reckon). Anyway, I’m sure you get the picture.

Terence Eden of mobile ad network InMobi isn’t called an evangelist. He’s Developer Community Manager... but his enthusiasm for the mobile internet and his employer would put many so-called evangelists to shame.

A couple of weeks ago he was at Over The Air, leading a session about mobile advertising entitled ‘I may not make you a millionaire - but I will pay for your beer’ - and last week he was introducing a similar topic at Droidcon UK.

I caught up with Terence after he’d discussed the ‘Reality of Mobile Advertising’ and started our conversation by talking about InMobi, which describes itself as the world’s largest independent mobile advertising network.

“We’re currently serving something like 43 billion adverts every single month”, he said, “and that number is growing and growing. We’re active in over 165 countries and we’re helping make developers an awful lot of money”.

I asked about the reality of news stories that suggested developers could make a small fortune from a single idea. The reality, Terence explained, was rather different.

“The market place is incredibly crowded now. To have your app stand out from anything else and to get so many downloads… you have to be really lucky for that to happen. A much better strategy is to make your own luck, which means make sure that your app is continuing to earn you money. In-app advertising means that you are paid every time someone clicks on an ad rather than just one 59p payment every time they download it.”

As well as encouraging developers to put advertisements within applications, Terence also explained the benefits of creating ads.

“Advertising on mobile is absolutely perfect for mobile apps because you know the advert is being shown to someone who has the phone that it works on. You start advertising, people download your app. You put advertising in there, start earning money from your app. Which means the more downloads you get, the more money you start earning. It’s win-win for developers.”

When it comes to predicting potential income, InMobi has an Economic Toolkit that helps developers calculate costs and income. Some countries, Terence told me, don’t always have the infrastructure to pay for apps - making advertising a more practical solution for generating money.

“What we always say is: go global. Make sure that your app is translated and then InMobi can serve adverts all around the world and start earning you money in places that you’ve never even heard of.”

Yes, definitely an evangelist. And a realistic one, too.

“I tell people to try us out, compare us with the competition and if we don’t meet up to expectations, call me or email me and tell us what your experiences are - because that’s how we find out how we can be better”.

You can listen to my full report from Droidcon UK on our website, via iTunes or by downloading the MP3 file. You’ll also hear from event organiser Thibaut Rouffineau, HTC’s Michael Ludden, Marcus Hansson from Sony Ericsson and Marcus O’Sullivan of Cisco.
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Opinion Articles

Hanging on the Telephone

Are we waiting for mobile marketing to make a move?

Mark Bridge writes:

At the beginning of the 21st century I moved from Vodafone to work for its Vizzavi multimedia portal, wooed by talk of context-specific advertising that would one day use a customer’s location and search history to ensure any ads were precisely targeted. And I’m not the only person who’s been seduced. Consumers, ad agencies, client companies and mobile networks have all been promised much by mobile marketing.

Yet more than a decade later that kind of sophistication seems to be lacking from most mobile marketing messages.

Author: The Fonecast
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Last week at The Fonecast: 29th April 2013

Money, messaging, microphones and M2M

Mark Bridge writes:

This week there was only one set of financial results that attracted the mainstream tech media. Apple reported the first drop in quarterly profit for several years as figures fell by 18% to around £6.1 billion. On the positive side, it made around £6.1 billion profit. It also announced dates for its developer conference in June and promised a new version of iOS.

Author: The Fonecast
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Fixed line nightmares vs simple mobile

...and why Mobile Termination Rates need to fall

James Rosewell writes:

Due to growth in staff numbers my business (51Degrees.mobi) is in the process of moving offices. Coincidentally I'm also moving our home broadband. It’s not been a pleasant experience.

This got me thinking, because a few weeks ago on thefonecast.com we discussed why Ofcom isn’t treating Mobile Termination Rates (MTR) in the same way as fixed-line termination rates. The mobile industry justifies higher MTRs on the assumption that a mobile network costs more to run than a fixed-line network. It was certainly true when the fixed costs of running a mobile network had to be shared across a relatively small number of customers, even if they did pay a fortune for their contracts and terminals. Intuitively I'd say that’s just not true anymore.

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Last week at The Fonecast: 22nd April 2013

Spring in the air

Mark Bridge writes:

The past few days have seen the arrival of two familiar seasons. Not only has the sun peeked its head from behind the clouds in an approximation of Spring but the mobile industry has been releasing its quarterly results.

Author: The Fonecast
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Last week at The Fonecast: 15th April 2013

Going up...

Mark Bridge writes:

It’s claimed there’s recently been some dodgy equine activity in the mobile industry. No, I’m not talking about the dancing pony that promoted Three UK. I’m not even making lasagne jokes. I’m talking about the ‘Trojan horse’ threatening to monopolise the mobile marketplace.

Author: The Fonecast
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Recent Podcasts

Reviewing our 2015 mobile industry predictions... and looking forward to 2016

Podcast - 15th January 2016

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Later in the programme, the team anticipates some of the topics that will be hitting the headlines during 2016.

Author: The Fonecast
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Podcast from Mobile World Congress 2015

Podcast - 6th March 2015

Mark Bridge learns about the mobile technology trends at Mobile World Congress 2015 by chatting to James Rosewell of 51Degrees, Dr Kevin Curran from the IEEE and Chris Millington of Doro.

They talk about wearable devices, wireless charging, mobile operating systems and much more... including some of their favourite products from the exhibition.

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Looking back at February: from security scares to multiple MVNOs

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We're taking a look back at the biggest mobile industry news stories from February 2015, including allegations that the UK's security service tried to breach SIM card security by hacking into one of the world's biggest SIM producers.

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Author: The Fonecast
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Interview with Chris Millington of Doro about mobile retailing, wearables and technology for older consumers

Podcast - 24th February 2015

In today's programme Mark Bridge talks to Chris Millington, who's Managing Director for Doro UK and Ireland.

They discuss the state of mobile retailing in the UK, the future of wearable devices and - as you might expect - smartphones for seniors.

Author: The Fonecast
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A month of mobile: O2 counts on 3, Microsoft counts to 10 and Apple counts its profits

Podcast - 30th January 2015

We're back with a month of mobile industry news, including takeover talks and takeover rumours. O2 and Three are said to be discussing a merger... but is there any truth in the suggestions that BlackBerry could be up for grabs?

We also discuss Apple's record-breaking quarterly figures, the highlights of CES and the launch of Microsoft Windows 10, as well as saying farewell to the current version of Google Glass.

Author: The Fonecast
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