After joining Mobile Marketing Association (MMA) as the managing director for Asia Pacific (APAC) region, Rohit Dadwal has taken the initiative to build a sustainable ecosystem for the mobile marketing industry in the region.

Before joining MMA, Dadwal worked as the director - platform, Mobile and OneCare, Asia Pacific at Microsoft Singapore. He has also worked as head of communication services at MSN South Asia; manager, business development at MSN India; and head of portal business at Bharti BT (British Telecom) Internet.

In an email interview with AlooTechie, Dadwal discusses his idea behind joining MMA and how he is leading the initiative of promoting MMA as the leading association for region-wide consultation on key industry issues such as measurement and metrics, mobile advertising guidelines, codes of conduct and consumer best practices.

Earlier, you were working as director -- platform, mobile and one care, Asia Pacific at Microsoft? What was your objective behind joining MMA?

When I was with Microsoft, I was already actively participating in MMA’s activities and was on the board as one of the directors. In 2008, I joined MMA full time as I believed that Mobile Marketing would be the up and coming player in the marketing industry and I had hoped to invest more time and effort in helping that to happen.

Together with the association, I hope to play a part in driving awareness of mobile marketing and make it the premium platform for marketers to engage more directly with their consumers. I am also keen to work more closely with the different players in the mobile marketing ecosystem around the region to regulate the industry and move it forward.

What is the primary objective of MMA? How many members do you have in the APAC region?

The primary objective of MMA is to lead the growth of mobile marketing and its associated technologies globally. We help marketers with market development; establish guidelines with local regulators on privacy issues such as spam and phishing and most importantly to evangelize the use of mobile marketing as the premier platform for brands to go to market.

In Asia Pacific alone, we have over 100 members, including leading names such as Nokia, Microsoft, AdMob, Comverse, Group M, Infinita, Proctor & Gamble, Smart Communications, Vodafone, Celcom, and Velti among others.

How many Indian companies are members in your network?

Currently, we have 34 Indian companies who are members either regionally or globally. There are leading organizations such as AdMob, BDA Connect, Coca-Cola, Google, Group M, Hungama, Indiagames, Microsoft, mKhoj, Mobile2win, Nokia, Reuters, Vodafone, Tata Teleservices, Velti, Yahoo India and Bharti Telesoft among others.

How is MMA looking at the Indian market? What is your strategy for India?

We see huge potential for the Indian market and think it’s definitely one of the world’s most vibrant mobile economies. With the members we currently have, we aim to recruit more from the mobile marketing ecosystem and together, lead the implementation of guidelines and best practices as well as to drive awareness and networking initiatives.

We will invest our time and resources to build and drive greater industry collaboration, education and the implementation of relevant guidelines which will offer industry players a roadmap to success.

What is the objective behind launching India Local Council?

The India Local Council aims to serve and address the growing needs of the mobile marketing communities in the country. The Council will bring together the entire mobile ecosystem including carriers, application developers, brands, agencies and other influencers to drive a range of programmes aimed at creating a professional and sustainable mobile marketing industry in India.

Some of the immediate priorities for the Council are:

# Increasing the adoption of existing MMA Best Practices and Guidelines and recommending adaptation for local market conditions where appropriate;
# Escalating the evangelism and promotion of mobile as an important marketing medium for Indian brand managers and advertising agencies;
# Educating and networking with telcos, brands, agencies, press and members; and
# Building metrics and creating mobile marketing/advertising tools for the industry

There is a sudden upsurge of interest for mobile marketing in the APAC region, especially India. What according to you is the reason behind this, besides the number of mobile phones in use?

While mobile penetration is one of the biggest drivers of the growth of mobile marketing in India, there are many other benefits offered by the medium that brands, agencies and operators are recognizing and appreciating. More and more businesses are adopting mobile marketing as it’s a medium that offers maximum impact at minimum cost. It also allows brands to increase the impact of their traditional marketing campaigns by supporting them with a mobile campaign.

Immediacy, effectiveness and personalization are some of the other benefits of mobile marketing that are becoming increasingly relevant as marketers look for ways to cut through the market clutter to reach out to their audience. As consumers need to opt-in to receive communication on their mobile phones, marketers can be sure that they are seen as trusted messaging sources. The frequency with which a mobile handset is used by the owner contributes to the medium’s effectiveness. The medium offers a guarantee that your message will reach the consumer the next time he checks his handset.

The fact that mobile phones are interactive devices further adds to their appeal as an effective medium for reaching new markets. The medium cuts through the demographic and location limitations to offer an open channel of communication between a brand and its consumer.

How the mobile market is currently shaped in India? What are the factors that you think will drive the growth of mobile as a marketing medium in this country?

Over 380 million people in India now own mobile phones. With the imminent launch of 3G and mobile virtual network operators (MVNO) in the country, rural expansion efforts, entry of new operators and cheaper handsets, the number of mobile subscribers in India is expected to touch 500 million by 2012.

The significant advances being made in mobile technology each day, together with the ever increasing reach of the medium will encourage more businesses to have a mobile presence. A mobile component in the integrated marketing communications programme is fast becoming a must-have for brands in India and across the globe. The medium’s ability to deliver personalized content and to allow consumers to interact with brands will make it impossible for businesses to ignore its marketing potential. It’s an affordable and targeted medium that can carry a campaign on its own or support traditional media campaigns.

Over a hundred mobile value-added services (VAS) and technology companies in India are working to bring more innovative solutions on the mobile and keep advertisers abreast of new technologies being launched. Companies like Affle India, Mobile2win and Netcore Solutions provide platforms to advertisers who want to reach the ever-growing mobile population in India.

Brands from which verticals are best fitted for advertising in this medium?

So far, we have seen a lot of innovative mobile marketing campaigns from FMCG brands. Brands like Nike, Cadbury’s, Dove and more have successfully used the mobile medium to reach out to their customers. A number of magazines, TV channels, banks, restaurants, automobile companies, satellite television providers and mobile service operators have also created a significant mobile presence. A number of consumer brands have come out with innovative mobile outreach programmes.

However, the medium can be used by businesses across the board irrespective of size or vertical. From software and services providers to soft drink manufacturers, the Mobile Marketing Association (MMA) has been educating global businesses on mobile marketing guidelines and best practices that will help them set a roadmap for their mobile strategies.

Is there a way in which small and medium enterprises and businesses can use mobile marketing effectively?

The affordability and targeted reach that characterizes the mobile medium allows for it to be leveraged as a marketing tool by companies ranging from large MNCs to the ‘Mom and Pop shop’ down the street. Businesses of all sizes can use mobile marketing for promoting sales and specials, initiating contests and polling which all help to bring in customers.

Marketers from smaller businesses with limited budgets can easily afford these types of campaigns. Opt-in text message marketing increases brand awareness as it is extremely viral and can be easily forwarded from the initial recipient to several new ones. Mobile marketing helps businesses retain current customers and reach out to new ones, making it a viable channel of communication for any business.

What are the opportunities that mobile provides to a brand marketer? What steps are taken by the MMA to educate the marketers about the opportunities of mobile as a marketing medium?

Asia Pacific remains one of the strongest regions for mobile marketing, with mobile penetration being higher than any other region globally. For brand marketers, mobile offers the opportunity of establishing a personalized connection with existing customers, gaining new customers by leveraging the incredible reach of the medium and effectively communicating with their target audience at remarkably low costs.

MMA’s global membership includes agencies, advertisers, hand held device manufacturers, wireless operators and service providers, retailers, software and services providers, as well as any company focused on the potential of marketing via the mobile channel. Our flagship international industry event, the Mobile Marketing Forum, is held across the globe and offers industry leaders the opportunity to come together to discuss developments in their regions and set the agenda for future growth.

MMA has been working toward:

# Increasing the adoption of existing MMA Best Practices and Guidelines and recommending adaptation for local market conditions where appropriate;
# Escalating the evangelism and promotion of mobile as an important marketing medium for Indian brand managers and advertising agencies;
# Educating and networking with telcos, brands, agencies, press and members;
# Building metrics and creating mobile marketing/advertising tools for the industry; and
# Developing research, case studies, articles and other relevant literature to document and aide industry efforts.

What per cent of a company’s advertising budget is currently spent on mobile in India? What is the same figure worldwide?

As of now, we see that total advertising spend is USD 500 billion and mobile marketing takes up less than one per cent of the global advertising and marketing budget. The Indian mobile market is growing at a staggering rate and, going forward, if India accounts for just 2-3 per cent of this USD 500 billion, it can translate into business worth USD 10-20 billion. A small percentage of that on mobile will be a significant amount.

In the near future, we can expect to see 3 to 5 per cent of total spending going to mobile marketing.

What are the challenges of Mobile Marketing in India?

There are some fundamental challenges that hinder mass usage of content on mobile phones. These include lack of knowledge among users, mobile browser constraints leading to poor content quality/experience and the data charges associated with the use of internet over the phone. Innovations that will solve these challenges will unlock the true potential of the mobile mass media.

There are differences in the types of mobile phones used and the different types of applications available, which mean that content providers have to develop content that will suit different phones with different capabilities.

Currently, there is a lack of regulations and guidelines that marketers should adhere to that may also lead to the risk of mobile phone spam and consumers losing trust in mobile marketing. The MMA is hoping to address this in the near future together with its member companies.

Do you think that the Indian mobile user is evolved enough to get advertisements on mobile?

Definitely. In India, the mobile phone has become something you don’t leave home without. The device has become a channel for all forms of communication, services and entertainment, more so than the computer or television, which is often a shared device with family members. We also see the adoption rate of smart phones in India, and in the APAC region in general, on the rise, testament to the fact that the Indian mobile user is becoming more familiar with phones with advanced capabilities.

In the rural areas of India, we see fishermen using their mobiles to get the best go-to-market prices for their catch, allowing them a more effective sales channel. This is yet another example of how reliant the people in India have become on their mobile, both for personal and business purposes.

How has the economic slowdown affected the mobile medium as a marketing tool?

As a mobile marketing trade body, we have often been asked, “How will the credit crunch affect the uptake of mobile marketing? Will the pressure on marketing budgets mean that mobile loses out to more traditional modes of communication with consumers?”

The answer, in our opinion, is no. In an economic downturn, businesses may reduce their marketing budget but marketers are beginning to find that response rates from mobile marketing is better and higher in comparison to traditional marketing and therefore, are more willing to allocate more resources to this avenue.

With four billion people worldwide expected to own mobile phones by 2013, it is common sense to assume that mobile marketing will also see huge growth.

How has the perception of mobile as a marketing medium been changing in the APAC region, especially in India?

Mobile used to be perceived as an ineffective and costly platform for advertising, with no clear methods of measuring ROI (return on investment).

However, more and more businesses are now seeing mobile marketing as a medium that offers maximum impact at a relative lower cost. With mobile phones getting more advanced in the types of applications and networks available, marketers are also beginning to implement more advanced and interactive mobile marketing campaigns.

Not too long ago, marketers were running simple campaigns on mobile phones, such as SMS-based promotions. However, the increasing uptake of 3G services and vastly improved device interfaces for example, have improved the user experience for millions of mobile subscribers as access becomes smooth and instant. This has enabled brands to harness the immense impact of interacting with consumers via their mobile phone.

Methods like location-based advertising (LBA) are also increasingly well received by consumers, as they become more receptive to interacting with advanced features and services through their devices. This provides an excellent opportunity for businesses as they can tap on this avenue for promotion.

We also believe that there is a huge potential for voice in mobile advertising, as marketers can target the wider masses that are only using voice communications and not necessarily text messaging.

We often hear that the number of mobile phone users is much more than the number of internet users in India. But one view is that the number of GPRS-enabled mobile phones in India is roughly the same as that of the number of internet users, which is about 40 million. And that mobile marketing is hardly anything more than inserting a text ad in bulk SMSs, the ad whose effectiveness is hard to monitor. What’s your thought on this?

In India and in other countries too, the mobile phone has become a necessity. People use their phones not only for making and receiving calls, but as a tool for gathering information, even at home where they have a computer. This shows us how important the mobile phone has become.

We also see mobile marketing comprising more than just SMS marketing. There are location based alerts and in-game mobile marketing, which are more interactive, fun and personalized. With the influx of smart phones in the market, marketers are now able to reach out to their target audience by means of content rich applications which engages them and hence make them more receptive towards these ads.

One way we can measure the impact of mobile campaigns is by looking at how they allow companies to gain their own insights into customer preferences and behaviour rather than rely on expensive third party market research. To increase the effectiveness of a mobile marketing campaign, we can integrate it with a traditional campaign, which helps to create more direct interaction between a brand and its consumer. However, for an integrated mobile advertising campaign to work well, the mobile aspect should be incorporated from the start.