Internet Trends 2014, by Mary Meeker

Its June, time for the Internet Trends update by Mary Meeker, KPCB. Last year's update has crossed 3 million views on Slideshare. So many interesting slides, difficult to pick up some of the best ones to add here. I have selected a few that I really liked. The first being the growth in Smartphones and Tablets, as compared to PC's and Television's.

The other very interesting point to highlight is that the number of SMS's are decreasing and the number of OTT messages are rising. Just two days back, BITKOM, Germany released the news that SMS's are declining drastically in Germany. OTT's are taking over, rightly so.

Finally, with people doing too much multi-tasking, the above slide highlights what people are doing while watching TV.

Here is the complete set of slides:

KPCB: Mary Meeker Internet Trends 2014 @ July 2014 from Brian Crotty

Related news on the web:

• Forbes: Are We In A Tech Bubble? Not Really, According To Mary Meeker's Latest Report
• Business Insider: Mary Meeker's Stunning 2014 Presentation On The State Of The Web
• Quartz: Mary Meeker’s 2014 internet trends report: all the slides plus highlights
• Forbes: Mary Meeker's Web Video Love Affair
• Guardian: Mary Meeker: 2015 will be about 'findable data' and mobile sensors
• Business Insider, Australia: In 3 Big Slides, Here's Why Mary Meeker Is Optimistic About The Future Of American Healthcare
• Tech2: What Mary Meeker’s 2014 trends report says about India’s Internet usage

Beacons, Bluetooth, NFC and WiFi

Not sure if you have heard about some kind of Beacons that will be used to guide us everywhere. There are Bluetooth Beeacons, iBeacon, Paypal Beacon, probably more. So here is an attempt to understand some of these things.

The first is this introductory presentation which seems to be extremely popular on Slideshare:

Once we understand the concept of Beacons, there is another presentation that helps us understand iBeacons and Paypal Beacons as follows:

Bluetooth Beacons vs Wifi vs NFC is an interesting article comparing the Beacons with WiFi & NFC. Read it here

Why Beacons may be NFC killer, GigaOm has a good answer here:

iBeacon could be a NFC killer because of its range. NFC tags are pretty cheap compared to NFC chips, but NFC tags are required on each product because NFC works only in very close proximity. In theory, NFC range is up to 20cm (7.87 inches), but the actual optimal range is less than 4cm (1.57 inches). Also, mobile devices need to contain a NFC chip that can handle any NFC communications. On the other hand, iBeacons are a little expensive compared to NFC chips, but iBeacons range is up to 50 meters. Not all phones have NFC chips, but almost all have Bluetooth capability.

Many years back there was a proximity marketing craze using Bluetooth. Then the craze died down and everyone started focussing on other approaches for LBS. I also suggested a Small Cells based approach here. Its good to see that we are going to use a new Bluetooth based approach for similar functions.

By the end of the year we will hopefully know if this is a new hype or a successful technology. Issues with battery drains, security, interoperability, etc. will need to be sorted asap for its success.

Speaker Quotes from #MMAF2012

From the Mobile Marketing Association event held in Istanbul 14th -15th November 2012.

Highlights from day 1 of MMA Forum Istanbul 2012 from Paul Berney

MMA Istanbul Day 2 from Paul Berney

‘Proximity Marketing’ and ‘Location Based Services’ (LBS) using ‘Small Cells’

‘Proximity Marketing’ and ‘Location Based Services’ (LBS) using ‘Small Cells’ from Zahid Ghadialy

Updates from GSMA Asia Mobile Congress 09 - Day 1

Summary of interesting facts from the GSMA Mobile Asia Congress 09, Via Tomi Ahonen's, Communities Dominate Brands:

• According to Rob Conway, CEO of the GSM Association, the number of subscribers will grow to 8 Billion (not sure when though).
• China Unicom, China's second largest mobile operator with 142 million subscribers - bigger than AT&T and Sprint put together.
• Bharti Telecom of India has over 110 million subscribers
• According to Manoj Kohli, the CEO of Bharti Telecom, India already 20% of all mobile phone owners have 2 or more subscriptions. He also told us that as India will add 500 million new subscribers by the time frame of 2014-2015. India is currently adding 10 million new mobile subscribers every month. And most revealingly, he said that in India the customers will go from 'no internet' directly to 'mobile internet'.
• According to Wang Jianzhou the Chairman and CEO of China Mobile, the world's biggest mobile operator with over 500 million subscribers, on the Chinese 3G standard of TD-SCDMA, they already have 3G phones being sold that cost about 1,000 Yuan, or about 130 US dollars. The average China Mobile customer spends 1 minute per day on voice calls, but sends on average 3.6 SMS text messages per day.
• According to Yamada-san, the President and CEO of Japan's NTT DoCoMo, on NTT DoCoMo's network, today already 42% of their total revenues come from non-voice data services. NTT DoCoMo is so far in its migration of its customer base from 2G to 3G, they will terminate 2G in March of 2011.
• Yamada-san also told of their new 3G video TV service, they call BeeTV. BeeTV is special in that it is optimized for the small screen, not re-purposed video content from TV and the internet. BeeTV in only six months has achieved 800,000 paying subscribers - who pay 315 Yen per month (about 3 USD).
• Yamada-San's 20 minute presentation also mentioned that NTT DoCoMo's i-Consierge service (yes, think of it as your personal butler, the phone learns your habits and starts to help you with your life, this is like magic) has 2.3 million paying subscribers one year from launch. Their i-Channel idle screen invention is spreading and they have launched it also with their partner in India, Tata, who offer Cricket game updates via the idle screen using i-Channel.
• Japan's mobile advertising market in 2008 was worth 900 million dollars.
• Grameenphone and Huawei won the 'Green Mobile' award for their 'green' network initiatives.

Read the complete blog here.

Mobile Search in Future...

Interesting Blog from Mohit Agrawal on the future of Mobile search.

How is Mobile Search different?

The fundamental difference between the mobile search and PC search is the access device. The screen size of the mobile phone is a constraint and hence the internet search results need to be modified. Even the input keyboard is different and the search string could be shorter which means the search result has to be intuitive.

The second difference is in the usage pattern of mobile. Unlike PC, the mobile phone is a ubiquitous device and people normally search for “at the moment” kind of thing. This means they search for nearest restaurant, retail points, service centers or mobile content. Their need is immediate and the patience or tolerance is low. They are looking for relevant results that are actionable like they need a taxi that can reach them fast and they should be able to book the taxi using their mobile phone. This means that the result needs to be location aware and should also give the phone number of the taxi company.

Thirdly, the consumer expectations changes with the time of day for the search results e.g. an afternoon search for restaurants means that the results should be about restaurants amenable to business meetings whereas, in the evening the same search should retrieve fun places like pubs or lively music restaurants.

Lastly, the difference is in the frequency of search and the number of attempts for each search.

On PC, a surfer changes his search string multiple times before he gets the right results while on a mobile, nobody is likely to change the search string more than a couple of times. Also, people search at least 4-5 different things on PC everyday but a typical mobile internet user searches something only once in 4-5 days.

There are quite a few videos which he uses to explain the point and they are interesting watch. I strongly recommend to go and have a look at the blog.

Another thing that will become important is the advertisements within the search. If I am looking for a day out on the weekend and if I get another option while searching for my destination then I may be tempted. While out and about, search for restaurants or the nearest MacD may may give some tempting offers about from other restaurants.

I can see lots of potential in mobile search and I am sure that there are companies that are working towards them. Its just matter of time before another new player like YouTube, Facebook or Skype may become leader of this domain.

SMS Ads: Earn Money or Get Discounts

Sometime back I wrote about SMS becoming cheaper in many parts of the world and that can lead to a deluge of SMS SPAM. Last week I read about someone arguing for SMS Ads:

The mobile advertising market is growing in size at a prodigious rate, but in absolute terms, is still tiny in value compared to other media such as print, broadcast and online. There is a perception within the advertising industry that the mobile space is a difficult one to address, with limited inventory and reach, compromised display banner ad formats, and a lack of metrics to provide proof of a return on investment.

To a certain extent, these criticisms are valid, with some factions of the mobile marketing industry having something of a blinkered ‘WAP banner ad’ mentality. But there are alternative formats that address many of the current needs of the advertising world: chief amongst these has been known to users, providers and advertisers alike for decades – the SMS text message.By injecting targeted adverts into existing SMS service messages (or indeed using the whole SMS for a marketing message) and, crucially, providing an interaction mechanism that is measurable on a per-advert, per-user level, SMS advertising addresses the key needs of advertisers and marketers, namely:

• High volumes of inventory – there are billions of service SMSs sent globally each day.
• Reach – the ability to receive and interact with SMS is ubiquitous: every mobile phone has this ability and hence all users can be reached with campaigns.
• Targeted – such a personal medium as the mobile phone allows for highly contextualised advert delivery based on a wide range of parameters, including the content of the service message, location, time of day and other user information.
• Measurable – the ability to determine exactly how many individual users click to interact with the advert (either click-to-call or click-to-mobile site) provides not only a measurable ROI for the campaign, but the opportunity to inform future ad delivery on an individual basis.

The preconception of SMS advertising is of mobile spam: sending the same message to (an often unqualified) list of mobile numbers. True SMS advertising, and where the most value lies for all involved, is in delivering the most appropriate contextualised advert for a (known) user at a given time, based upon as wide a range of parameters as possible, and providing measurement of interaction rates for the campaigns. In this scenario, SMS represents premium advertising inventory, achieving effective CPM rates in excess of £100 – many times that of other mobile display advertising formats – either on a straightforward volume or a cost-per-click basis.

The winning combination of personalised delivery and measurement of individual consumer interaction with adverts offers the prospect of extending the advertiser’s engagement with the consumer through the cycle of attracting, engaging and retaining them as a customer. By linking individual consumer’s responses with customer service or CRM systems, a richer picture of their preferences can be built to drive increased relevance of future adverts and improve loyalty. The direct interaction mechanism offered by a ‘click-to-action’ mechanic in an SMS offers an easy to use customer acquisition method – a consumer can be connected directly to an existing call centre or further product information, without being required to remember or re-enter any details.

There are different approaches in case of SMS based advertisement. A simple approach is to offer customised discounts on certain products where the user can take a SMS voucher and get a discount on certain products. Another approach becoming popular in India and China is to get paid for receiving SMS Ads. In Japan and Korea, users can receive QR codes that they can take to a shop and obtain discounts.

A similar but slightly varying approach is Bluetooth based proximity marketing. Here the user is sent ads over Bluetooth when he/she is in a certain area and a Bluetooth ads server is available to pump ads. In this scenario its is simple choice for the user because he can decline the ad. Also Bluetooth can be switched off thereby avoiding nuisance of receiving ads over Bluetooth.

So some people may be interested in SMS ads and discounts and maybe somepeople may become Millionaires by receiving lots of SMS's but for majority of the people this may be more of an annoyance rather than the promised boon. In case of Emails you have a filter where SPAM can be filtered out but maybe difficult for SMS. Ad based SPAM maybe something that can kill off SMS as people may find a way to switch off SMS on their phones to avoid unnecessary interruptions and text messages.

Already in different partss of the world, the legislators are acting against SMS SPAM. There is already an SMS SPAM Act in Australia for long time. In USA the Senators want to ban the SMS Spam. I am not sure where EU and UK stand on this issue. Hopefully this is one issue where everyone will act together and hopefully wont be much of a problem in future.

Mobile Advertisement may help industry achieve salvation

I have blogged in past that mobile advertisement industry will probably grow and its the same feeling that has tempted companies like Nokia to jump in this arena. Unfortunately the latest news is that Nokia is planning to cut its workforce in the advertisement division:

Just a year after establishing a division dedicated to mobile advertising networks, Nokia has slashed half the UK-based unit's workforce, with the loss of about 30 jobs.

The numbers may not be huge in the context of major vendors' cutback programs, but it is indicative of the gap, in the short term at least, between Nokia's dreams of turning into a web services giant, and the reality of keeping its conventional business ticking over through a downturn.

All is not lost though. As more consumers surf the Web on handsets like the iPhone 3G, the U.S. market for local mobile search will balloon from $20 million in 2008 to $1.3 billion in 2013, according to a report from the Kelsey Group.

The report, "Going Mobile: The Mobile Local Media Opportunity," said only about 20% of U.S. cell phone subscribers are on the mobile Web right now, and only about 5.2 million are doing searches. Because of this, SMS advertising is the dominant form of mobile advertising.

But the firm said habits will change over the next few years, and more mobile data networks will get rolled out. Local search in particular will be a beneficiary, and it's expected to grow in volume from 28% to 35% by 2013.

There is also interesting analysis on Mobile Advertisement market in The Mobile Broadband Evolution whitepaper:

Mobile search ads are billed to create their own sector of business in the advertising space. According to ABI Research (Mobile Search Critical as Search Advertising Races Towards $5 Billion in 2013. ABI Research. 16 April 2008), the market for mobile search ads is projected to jump from $813 million in 2008 to $5 billion in 2013. Over the same period, SMS searches will increase nearly six-fold, from 13 billion to in excess of 76 billion.

Juniper Research expects nearly 1.3 billion users – 30% of the mobile subscriber base – to use local mobile search services by 2013.(Local Mobile Search Finds Favor. Juniper Research. 29 April 2008) Juniper believes that advertising supported local search will be the key to driving this sector, with the caveat that the effectiveness of advertising in this sector will vary widely according to local conditions. The best equipped regions are thought to be Western Europe and North America, as countries within these regions typically have good local digital information suppliers such as Yellow and White Pages, as well as good mapping data. Total mobile search revenues are expected to reach $4.8 billion by 2013 with the caution from Juniper that “advertising overload” might act as a disincentive to consumers.

Every six months, The Mobile Marketing Association updates its global Mobile Advertising Guidelines providing advertising guidelines and best practices necessary to implement mobile advertising initiatives, including mobile web banner, MMS messaging, downloadable applications and mobile TV and video. (Mobile Marketing Association Publishes Updated Global Mobile Advertising Guidelines. Mobile Marketing Association. 28 October 2008.) With guidelines in place, consumers can expect to see more ads on mobile phones. Informa Telecoms & Media projected the mobile advertising industry would be worth $1.72 billion in 2008 and will rise to $12.09 billion in 2013.(Mobile Advertising: Cutting Through the Hype, 2nd Edition. Informa Telecoms & Media. 10 July 2008) According to eMarketer, worldwide spending on mobile advertising reached nearly $2.7 billion in 2007 and was expectedo each $4.6 billion in 2008, rising to $19.1 billion by 2012. (eMarketer: Worldwide mobile ad spending to hit $19.1 billion by 2012. eMarketer. 27 March 2008.) Most ad dollars will go to text messaging; SMS, MMS text-messaging and mobile instant messaging. Mobile email will account for more than $14 billion of the $19 billion total expected in 2012; up from $2.5 billion in 2007. The expansion of display and search advertising on mobile phones worldwide is expected to reach $1.2 billion and $3.7 billion respectively by 2012.

Arthur D. Little predicts that in the coming years, mobile advertising is poised to be the next major digital media platform for brands to reach customers, and the key telecoms players have a great deal to gain from bringing their services to the market early. (Little, Arthur D. Report Forecasts 60% Annual Growth in Mobile Advertising over the Next 4 Years. 20 May 2008.) Roughly 60% annual growth in mobile advertising spending over the next four years is predicted in its 2008 report. Future mobile advertising formats will be more interactive and dynamic than online advertising or mobile advertising today, including call waiting, idle-screen advertisements, mobile TV ads, games and voicemail ads. Push ads via SMS/MMS are another traditional option. The Arthur D. Little report cites the Blyk case study: Blyk, a UK-based Mobile Virtual Network Operator, successfully launched large-scale mobile advertising to early adopters with a 29% response rate by using highly defined target groups and user data to achieve such a positive rate compared to .05% response rate for typical online marketing campaigns.

A report from GfK and social network website, Limbo revealed that mobile advertising awareness grew 33% in nine months, suggesting an increased allocation of advertising dollars to mobile formats through the first nine months of 2008. Nearly four out of ten, or 104 million, Americans with a mobile phone recall seeing advertising on their devices between the months of July and September 2008, marking the first time the number of Americans aware of mobile advertising has exceeded 100 million in a three month period. (More Than 100 Million Americans Viewed Mobile Ads in Q3 2008. Cellular-News. 3 November 2008) The most commonly viewed mobile ads were in the form of SMS messages, reaching 60 million consumers – a 42% increase in nine months. The report also noted that although Mobile Web advertising had about half the reach of SMS ads, it also saw strong growth, with 31 million people recalling ads in this format.

A report by Media Analyst Screen Digest examined the emerging market for rich media advertising delivered to consumers via their mobile phone in the form of TV, video, games, user-generated content (UGC) and music. Screen Digest projects the market for rich media advertising on mobile will reach $2.79 billion by 2012, with global mobile TV advertising accounting for the lion’s share at $2.44 billion. By 2012, advertising will account for 20% of mobile TV revenues. The reason for success? More ubiquitous than the PC, the mobile method offers the opportunity to send personalized messages to people in all markets. Advertising sent via mobile phones reaches the recipient directly, wherever they are, at any time and location, offering effective targeting as well as interactivity and consumer engagement. “The potential is huge, and some of the world’s largest companies are vying for control of what they see as the next major advertising medium,” stated David MacQueen, co-author of the report.(Mobile Advertising Using Rich Media Formats. Screen Digest. 29 April 2008.)

Key findings of survey conducted by Transverse and iGR consultancy provided insight to mobile customers’ phone use and their willingness to view advertisements in exchange for discounts to their monthly service bill. “Mobile advertising has taken on many forms, and is generally considered to be obtrusive. But when consumers are given the choice to receive ads and share their usage patterns in exchange for discounts, mobile advertising has the potential to be highly targeted and highly effective,” stated Iain Gillott, President of iGR. (Survey Finds 61 Percent of Mobile Users Would Agree to View Advertising for Discount on Monthly Bill. FierceWireless. 18 November 2008.) Among those surveyed, 46% said that a 25 to 50% discount on their monthly bill was enough of an incentive to provide access to their usage patterns, including browsing, email and texting habits, as well as location – but not personal information such as the content of texts and emails.

Tomi Ahonen shares 50 pearls on Mobile Advertisement

Tomi Ahonen has recently published his book sharing 50 pearls (advice/ideas/tips) on Mobile Advertisement. Tomi has in past shared his pearls and ideas in many forums in public domain so this is a good chance for anyone into Mobile advertisement to get their hands on. The book costs 9.99 euros so its not expensive if the topic interests you.

In Tomi's own words:

...And finally, its topical - this is all about mobile advertising and marketing. Out of my thousands of real mobile services - public and private - in my Pearls collection, here is the "Best of Pearls" around mobile advertising topics. Blyk, BMW Winter Tyres, Admob, Otetsudai Networks, Northwest Airlines, Flirtomatic First Face, Virgin Festivals, Ford's Virtual Ka, the Nighlife Guide to the City, etc. All the biggest faves and best examples. But with much more detail in the book than on the slides you may have seen. Oh, and out of the 50 Pearls in this eBook, 13 are ones that I have not shown in the public domain, so you get plenty of real competitive insights too ha-ha...

More info on the book here.

Mobile advertising will grow

As the technology has evolved over the last decade so does various mobile applications and services related to it. In today’s competitive and saturated market operators and vendors are spending significant amount of time in drafting new strategies which will result in new revenue generation.

It is all about making the consumer interested and getting into the feeling of the general public in terms of what they would like and what would interest them. Mobile advertising is one such step in that area.

In the last year alone mobile advertising had emerged and there is a buzz out there related to it. I have noticed that people including myself take more notice of a mobile ad than advertising on TV or on a PC screen. And with a billion new phones being bought every year, the potential market is huge. Does this really mean that people out there really believe that it's going to be worth billions in just another two to three years?

There is no denying from the fact that mobile phones offer advertisers many different ways to reach an audience. With more and more people accessing internet from their mobile there is a potential area for growth. Placing ads at the start of a video or adding them to the results of a mobile search are less intrusive forms of promotion. I think we'll see people responding well to this kind of ad.For one thing the credit crunch will force advertisers to reduce traditional outlets like print and TV, and push them to explore cheaper and more targeted avenues, such as mobile devices.
So eventually, revenue from mobile advertising might rival that on other channels. But until then the industry will have to knock a few zeros off its forecasts.

You mist have noticed receiving various SMS from your operator sending you a message related to some product or event. SMS advertising for consumer goods, such as food and fashion is rising significantly specially in Europe.

Recent study by comScore suggested that more customers were getting ads for consumer goods such as food, fashion, restaurants, travel and financial services. In the three months ended August 2008, the number of offers received for non-mobile consumer goods rose 15 percent, compared to last year.

Food is the fastest-growing category of SMS advertising since August 2007, at a rate of 53 percent, followed by clothing-fashion at 38 percent and restaurants at 37 percent.
Mobile advertising is relatively new in the market and just like any other new thing it will take some time to settle down. However there are some articles floating around which suggest that mobile advertising is overhyped. Although these suggestions are based on some fact and data collected by the reputed analysts, I still do believe that mobile advertising will pick up especially after the latest credit crunch. In my view every time we see a launch of a new product or new technologies there is an excitement around it and in this process sometimes it gets overhyped. Same might be true with mobile advertising as well.

But like the Internet revolution before it, mobile needs to emerge from the technology foothills and develop media experiences and advertising solutions that delight and satisfy real consumers' needs and wants.

Nokia, Google, Apple to battle the Mobile Ad market

The mobile ad market is suddenly going to become very hot with the launch of "Nokia Advertising Alliance".

In a press release we have been informed of the launch of the Nokia Advertising Alliance, which will simplify mobile advertising for brand advertisers. The program brings together leading mobile marketing solutions, including couponing, location-based targeting, image recognition, and other emerging technologies, to offer advertisers a simple way to increase consumer engagement. Now brands can work with Nokia to combine the reach of mobile advertising on the Nokia Media Network with the latest mobile technologies for more effective campaigns.

"The Advertising Alliance brings together the most innovative technologies in the market, and brings trust to brands who want to use them," said Scott Heron, Director of Digital Services at Wunderman.

Members of the Alliance are integrated with the Nokia Media Network allowing brands to plan, execute and measure mobile advertising campaigns through a single Nokia interface. A range of companies have been initially certified as Members of the Alliance, including i-movo, Mobile Acuity, Mobiqa, and uLocate, with many additional members in testing. Leading brands from the automotive to entertainment industries have built campaigns using the Nokia Advertising Alliance.

We are all aware of Google's ambition to dominate the mobile ad space. Google maps of my E61 already are able to tell me my location without the need of GPS. In fact they tell me the accuracy of my location as well. Some of us are already seeing the local ads appear on Google maps. In an interview last month, Eric Schmidt (Google CEO) said that soon we will be able to find property in an area when we switch on Google maps and maybe in 5 years time Google may become the largest Estate agent.

By the way, is Nokia trying to do the same with Nokia maps?

Google definitely likes to do things its own way. What is the possibility of it joining the Nokia alliance? What are the chances of the Nokia alliance wanting Google? Also we should probably not leave Apple with its iPhone out of the equation.

Apparently iPhone has some amazing discovery mechanism (sorry not used iPhone yet personally) which helps application creators push and advertise their applications to users and this helps increase the sales. Combine this with large touch screen and high quality video capability. This can create a deadly cocktail for advertisement if used properly. Apple is another player that wants to do things its own way. Wouldnt this create a three way battle?

And yes, we should for the time being forget the likes of Microsoft, Yahoo, etc.

Blyk: MVNO based on adertising model

Blyk is a new MVNO in UK which is trying out a unique MVNO (Mobile Virtual Network Operator ... in case you didnt know) model.

Launched last September, Blyk only allows youngsters aged 16 to 24 years old to subscribe (which gives a clear demographic signal to advertisers). And in exchange for receiving a maximum of six advertising messages per day, users get 217 free texts and 43 voice minutes a month to use. After that, Blyk subscribers, all of whom are pre-paid users, pay 10p (US$0.20) per text and voice calls are charged at 15p (US$0.30) per minute.

Blyk launch is timed for the start of the new school term in the UK. It’s a smart move but it’s not surprising. Blyk has a very experienced team, headed by backer former Nokia president Pekka Ala-Pietila and Antti Öhrling, a branding veteran.

Blyk already has an impressive advertising line-up, including Coca-Cola, Xbox, Adidas and McDonald’s. The MVNO had managed to attract a total of 40 advertisers at launch.

“If Blyk understands its consumers, and if they can provide a relevant and contextual value-added platform which allows advertisers to be more timely and engaging with them, then it has a winning solution,” says Mark Renshaw, global digital strategist at Leo Burnett, an advertising agency. “Taking traditional display mass advertising into the mobile channel replicates an old model and does not take advantage or acknowledge the truly personal engaging experience that mobile can provide.”

Renshaw envisages that advertisers will also be able to encourage Blyk subscribers to text and talk more. “The model may rely on users getting connected to interesting brand events,” he says, “and for this [mobile] contact method to become more and more key in users’ life. The ad-funded model may in fact be a recruitment tactic knowing that users will go over the free usage minutes and texts provided.”

Blyk has good management pedigree. Pekka Ala-Pietilä, co-founder and CEO of Blyk, is the former president of Nokia Corp. The MVNO says it will go pan-European next year.