#mbc2016 arie frenklakh, mmdsmart: money for nothing: strategies to monetize your user base
TRANSCRIPT
May 2016
Money for Nothing; Smart Strategies to Monetize
Your Mobile Network
Mobile Apps market. 2018 forecast.
• 2.5 Billion Smartphone users, about 1/3 of the world’s population.
• Over 200,000 apps available on App stores, 300 Billion installations;
Each Smartphone user will install 120 apps.
• Mobile apps revenue will reach US$ 100 Billion.
A2P market. 2018 forecast.
• 2.3 Trillion A2P messages will be sent
by mobile apps companies.
• A2P revenue will reach US$50 Billion.
• 81% of users sometimes prefer SMS
messages over other types of
communication.
Marketing Funnel
Marketing Funnel
• Mobile has key role: 68% of users checktheir phones handsets at least everyhour; 20% check phones every 10minutes or less.
• With shorter attention spans andmultiple demands on user attention, weneed to make an impact to engage ouraudience.
• Wanted: an unimpeded connection withusers to drive engagement, conversion,retention and advocacy.
Engagement
Conversion
Retention
Reach
Are you effectively using your messaging resource?
Messaging is the core enabler in the digital economy
How to Reach your User
How to Reach your User
Trusted Communications Channel
SAP Consumer Research:While user adoption of mobile apps grows, SMS, whichpre-dates the smartphone by decades, still serves as atrusted communication channel.• ICON OVERLOAD: 68% have apps they don’t need.
• 81%: SMS is sometimes preferable to mobile app• SMS IMPACT: 75% state that SMS can improve the
brand experience• SMS IMPROVES SERVICES: 64% think businesses
should use SMS more for customer interactions• On average 16% of consumer SMS use is with
businesses.
Consumers interact with brands on a one-to-one basis via SMS many times a day.
Monetize Your Messaging App
A2P messaging traffic continues to grow butuncertainty regarding its effectiveness and ROI• GSMA: Most mobile network operators don’t
have a strategy to monetize A2P messaging.• Gray routes account for 2/3 of A2P SMS traffic• Huge numbers of unverified or dormant numbers
Users are bombarded with apps and information.How can our message be effective?
Efficient Messaging
• Optimize network management to increasemessage delivery
• Use smart message routing to optimizeperformance
• Opt for certified delivery to ensure yourmessage is reaching your targets
Build a smart messaging strategy
Increase Reach - Smart Activation, Viber example
Increase Reach – Activation flow
A2P Vendor 1
A2P Vendor 2
A2P Vendor 3
$0.0587% reach
$0.0483% reach
$0.0255% reach
Increase Reach – Traditional Approach
A2P Vendor 1
A2P Vendor 2
A2P Vendor 3
$0.0587% reach
$0.0483% reach
$0.0255% reach
Increase Reach - Smart Activation
A2P Vendor 1
A2P Vendor 2
A2P Vendor 3
$0.0587% reach
$0.0483% reach
$0.0255% reach
Increase Reach – more users, better monetization
Traditional Approach• 1000 users registered• 870 users activated• $50 activation expenses• $0.057 user activation cost
Smart Activation• 1000 users registered• 990 users activated• $41 activation expenses• $0.042 user activation cost
Build an Integrated Strategy
• Simple SMS messages with key information atcritical times are important for consumers. i.e.;purchase tracking, alerts and notifications,monetary transactions.
• Consumers choose the best channels that fit theirneeds, apps that work best, removing icons thatthey deem unnecessary.
• In the survey, 83% of users welcome company-based SMS messages.
Use messaging to promote, re-engage and driveconversion for your apps
Push Engagement - Engage. Me Demo
Push Engagement - Engage. Me Demo
Push Engagement – happy users, better monetization
3 Winning Strategies
1. SMS Messaging remains a trustedcommunication channel. Don’t neglect it,experiment with different models and constantlyevolve.
2. Understand: The best customer experience isbased on timeliness, ease and simplicity.Sometimes an app will work; sometimes SMS willbetter serve the need.
3. Work with messaging experts to analyze yourneeds and develop a strategy to monetize you’reA2P messaging.
Connect. Engage. Smile.
MMDSmart
• Leading provider of Voice, A2P Messagingand Online fax solutions
• Every day, we connect millions of calls,send millions of SMS messages and deliveralmost a hundred thousand sensitive faxes
• Global network of more than 200interconnections, 70 employees withoffices in Tel Aviv, Kiev, and Hong Kong
Connect. Engage. Smile.
Arie Frenklakh
• CEO and Founder ofMMDSmart
• Senior Director, Viber,Monetization department
• Senior Director, SanDisk andmSystems MNO Division
Thanks for your Attention!Спасибо за внимание!
Arie FrenklakhCEO and Co-Founder of MMDSmart
Tel: +972-54-9222203E-mail: [email protected]
www.mmdsmart.com