Media Companies Need To Provide Better Wireless Content More Cheaply
- by Mark Walsh @markfwal, December 7, 2007
With just 16% of U.S. subscribers browsing the mobile Web, media players need to utilize a variety of formats including text alerts, video clips and small applications to engage mobile users, according to a JupiterResearch report on mobile content.
The main reasons users so far have not delved into mobile media are a lack of interest (73%) and the high cost (47%). Messaging remains the dominant non-voice mobile activity. About one-third of subscribers surveyed had used either text or picture messaging once in the last six months.
But newer types of services such as video--which has exploded on the wired Internet--had only a 1% adoption rate. In response to what would motivate consumers to use Web-based services more, a total of 51% cited either lower monthly fees for certain applications or lower fees for monthly data plans.
To reduce the cost barrier, Jupiter recommends that companies adopt a cable TV-like model offering both free and premium content (at $1 to $3 per download). That strategy opens the door to selling advertising to lower or eliminate end-user costs. The demise of mobile services such as ESPN Mobile and Amp'd have shown that consumers aren't willing to pay a lot extra for premium content packages.
Carriers and content providers also need to offer easier access to things like news and video through mini applications such as widgets, which require fewer clicks than typical WAP sites. On top of that, media companies should make more of their assets more widely available on cell phones. "A mix of formats makes for content strategy because not all consumers have the same interests in games, for instance, or video and they face various hurdles for adoption," according to the report.
That includes creating specialized mobile apps tied to popular programs, such as Disney developing a mobile based app on its hit TV show Hannah Montana. Jupiter also recommends text alerts as a simple and efficient way to deliver content that builds brand loyalty. Despite its slow uptake so far, video should be a priority as well. "Even though the masses haven't rushed to mobile video, media companies want to be out front on this--since greater use is coming, albeit slowly," said Neil Strother, the Jupiter wireless analyst who authored the report.
And since media companies are already posting clips online, "why not make them available and optimized as well to mobile browsers?" asked Strother.
