In an industry that is rapidly evolving, is mobile all about devices or operators now? This was just one of the questions discussed by a panel of industry experts at MediaTel Group’s ‘Future of Mobile’ seminar in London this morning.
Mobile has changed “massively” over the past few years, especially following the launch of Apple’s iPhone – a device that has changed the ways in which consumers use their mobile phones from the dated and fairly basic voice-call / text service to the all-encompassing smartphone, which has an app for just about everything.
As a result, the mobile landscape has changed, according to Ed Kershaw – VP Mobile Media, EMEA at Nielsen – who presented at today’s seminar. Smartphones have been the driving force in this change and as such have diverted the focus from the likes of O2 and Orange to Apple and Blackberry. This point set the tone for the first panel debate of the morning – is it all about devices and handsets now or do operators and networks still have a grip on the mobile industry? And does the answer also determine who owns the customer?
Operators are the “original owners” of the market – something which “hasn’t been removed … they still bill people,” said Will Harris from Enders Analysis. If it is about revenue share, Harris believes operators “still have the bulk of it”, however, he admits that this is due to change with the rise of other billing systems such as Apple’s iTunes.
“Customers are increasing billing relationships with other companies, like Sky for example, not just the operators,” Harris added.
Steve Nicholson from The Cloud, meanwhile, feels that user experience determines ownership. Google and Facebook create such a rich user experience that they have a hold on consumer loyalty, he said. And for this reason, he believes mobile users are no longer emotionally attached to their network provider. If the iPhone can deliver in the same way as Google and Facebook, Apple will own the market and the consumer, according to Nicholson.
Although panellists agreed that operators are due to step up their game. “2010 will become more interesting,” Tim Dunn from Mobile Interactive Group said. “Operators like Orange are going to start pushing again now.”
Earlier today, Orange launched its own application store – the Orange App Shop – giving users access to more than 5,000 applications, games, ringtones and wallpapers.
However, Dunn believes it’s more about the user. “Brands that get there first will retain customers for longer … and whoever provides the best service owns the customer,” he said.
Google’s Garry McCollum pointed out that this theory only works if brands and services remain focussed on innovation. The mobile industry, as with other media, is changing so quickly that all market-players – operators, technology, brands, content-owners etc – need to constantly innovate to stay in touch. “User loyalty is only one click away from going somewhere else,” he said.
MediaTel Group has launched a new mobile database, featuring top sites, demographic breakdowns and mobile phone activities alongside case studies and white papers.