52% Americans use mobile for non-voice activities: Study

A Mobile is essentially a tool used for talking with others-right? Well, think again. According to a recent Pew Internet’s study, “Wireless Internet Use,” more than half of adult Americans use their mobile phones for a non-voice data activity. Of the 85 percent of adult Americans who own a mobile phone, 81 percent admitted to using their phone for something other than making a voice call at one time. Fifty-two percent said they used their mobile phone for a non-voice activity such as SMS, email, taking photos or playing a game on a regular basis. As mobile phone evolve from a functional instrument to a recreational tool, people are getting addicted to it.

The study explains: “Sending text messages remains the mainstay activity for cell phone users. They are more than twice as likely to send a text on the average day as do anything else. Snapping a photo on the cell phone comes in as the next most popular activity, trailed significantly by playing a game, emailing or access the Web for information”

This 2009 study sees a steep jump in numbers when compared with a similar 2007 Mobile Study. The 77 percent of mobile users who had “ever” done a non-voice activity in 2007 jumped to 85 percent in 2009, an increase of 8 percent.

When looking at the results in the context of all American adults, 69 percent have used their mobile device for a non-voice data application, representing a growth of 16 percent from 2007 results.

The number of people who use a non-voice data application on a regular basis jumped from 32 percent in 2007 to 44 percent in 2009, a remarkable 36 percent jump over a 16 month period.

In 2007, the average number of activities participants engaged in on a typical day was 0.90, whereas in 2009 that number grew to 1.31. This is an increase of 46 percent among mobile phone users.

The boost in mobile users is largely driven by the intense competition in the Mobile space. To maintain its competitive edge, the Mobile manufacturers are investing heavily in new product development and introducing cutting edge cell phones on a regular basis The users are, consequently, bombarded with new Mobiles with limitless opportunities. Gone are the days when a Mobile was just a voice tool. If this is not a wake-up call for Mobile Marketers, then what is?!

Western Europe advances ahead of the US in the monetization of Mobile Ads

Western Europe, primarily comprising, Germany, Italy, Spain and the United Kingdom, is on the way to lead Mobile Advertising revenues, especially when compared with the US. In 2008, it gave US a tough competition by marginally exceeding revenues generated from Mobile ads. However, recent data shows that by 2013 WE would be way ahead of the US in monetizing Mobile as a marketing medium.

According to The Kelsey Group, a division of BIA Advisory Services, Mobile Advertising in Western Europe (WE) is expected to outpace its counterpart growth in the US. While Mobile Search Advertising (MSA) in WE is expected to witness a monumental growth from € 39 million in 2008 to € 2.3 billion in 2013, representing a compound annual growth rate (CAGR) of 125.4%, US will see a rise from US$39 million (€ 27 million) in 2008 to US$2.3 billion (€ 1.6 billion) in 2013.

WE MSA growth would largely be lead by the local segment of mobile search that is expected to rise from € 18 million in 2008 to €1.4 billion in 2013, a 139.3% CAGR. Also, Mobile display ad revenues for the region will grow at a CAGR of 138.3% rising from € 14 million in 2008 to €1.1 billion in 2013.

On the other hand, U.S. mobile local search ad revenues are expected to increase from US$20 million (€14 million) in 2008 to US$1.3 billion (€915 million) in 2013. U.S. mobile display ad revenues will grow from US$21 million (€15 million) in 2008 to US$567 million (€399 million) in 2013.

Reasons for WE outpacing US growth

Higher monetization of Mobile Advertising in WE, is largely the result of the expanding mobile subscriber base, lead by the accelerated spread of the smart phones in this region. Data indicates that the penetration of smart phones in WE is expected to rise at a CAGR of 35.7%, increasing from 32 million in 2008 to 149 million in 2013.

Secondly, Mobile operators are devising new and better techniques to harness the potential of mobile advertising, to optimize the opportunities for Mobile marketers. On July 23, 2009, Orange announced its plans to offer students a range of promotions, such as make-up, tickets and possibly free calls, in return for receiving adverts on their mobile phones. Students could also be offered free music as Orange tries to exploit the key 16-to-24-year-old market under a deal with pioneering advertising start-up Blyk.

Online marketers are increasingly exploring the opportunities of Mobile Advertising as a large percentage of their target audience becomes mobile savvy and Mobile Carriers define newer monetization methods. Given the way that the media is fragmenting, becoming increasingly personal and interactive, mobile provides the perfect channel for them and the publishers to directly interact and communicate with their user base. The number of German mobile advertising campaigns has grown by more than 600 percent between 2007 and 2008 to 489, according to a survey by the Mobile Advertising Circle (MAC) of the German digital economy federation BVDW. The survey also showed that more than 88 percent of companies using mobile ad campaigns in 2007 did so again in 2008.