Google CEO Eric Schmidt recently caused some buzz by suggesting that consumers should either get free mobile phones or free airtime for agreeing to watch targeted ads. Mr. Schmidt's saving grace here is that he is decidedly unspecific on how this should be carried out.
Old media would say, "Let's make them watch a 30-second spot before making each call." Is that what Schmidt had in mind? Because even though exceptions would probably be made for emergency calls, I wouldn't bet my life on it; not every emergency entails a call to 911. People want to use their cell phones when they pick it up to dial, not after they've watched or listened to a 30-second spot.
One would hope that, at least coming from Google's CEO, there is something else afoot here. Perhaps cell phone users would have access to video content if they first download an ad. Depending on the content being accessed, this might make sense, but I would caution against overdoing it. After all, marketers tend to do that once they discover a new medium to exploit.
I suggest a different approach: replace ring tones with quick advertisements or brand messaging.
No, not the kind that plays "Eye of the Tiger" when your workout partner calls you, but the kind you listen to when you're calling someone else. Technology already allows us to play custom messages for friends when they're waiting for you to pick up the phone, so why not make more productive use of the time when the customer is waiting for something else anyway?
This would have to be complemented by a customizable call to action of some sort, either through a corresponding text message or email to a designated address as a follow-up. It can't be overdone, though, because people will quickly tire of their text message or email in-boxes getting filled up with spam, which will ultimately reduce that method's effectiveness anyway.
Perhaps advertisers could limit themselves to a 1:10 or 1:20 ratio of advertisements to text messages to prevent themselves from overdoing it. Users will still be exposed to the advertising if they use the phone to make outgoing calls, surf the web, or watch videos, but advertisers are still respecting the desires of users, which is necessary to build relationships and loyalty.
And, as Schmidt said, though, the advertising must be targeted. Don't advertise baby diapers to someone without children or beer to alcoholics or people under 21. When signing up for free or subsidized cell phone service, customers would have to first agree to participate and select the sorts of advertising they are willing to experience. Perhaps the amount of the subsidization could depend on how much advertising users agree to experience.
I suspect most people will never agree to accept such advertising if they feel like the advertisers are going to be relentless and keep them from their primary purpose of acquiring the cell phone. Hint: it wasn't to watch or listen to crummy advertising. That's why publicized restraint is so important. It's also why any old ad simply won't do. Take advantage of the medium. Encourage participation. Don't shout at your customers when a whisper will do.
Advertisers should also remember to give users a reason to interact with the brand, which is why relevant follow-up is just smart. But in their zeal for generating that ROI, advertisers should not abuse their status as guests invited into the daily lives of customers. If they do, the ad-supported model Schmidt envisioned will surely fail. - Cam Beck
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