One of the big differences between the cell phone environment in the US versus Asia and Europe is the extent to which revenue and commerce have been controlled by the carriers versus other businesses. In the US, carriers have been more successful at retaining greater control over their customers’ purchases.
Now, talk to two people in the industry and you’ll likely find out that this is a good thing and a bad thing. Carrier lovers point to lower relative cell phone service costs in the US, while carrier haters will tell you that it stifles innovation.
Whatever you believe to be the truth in that debate, it’s clear that Amobee, a start-up based in the Valley, is an intriguing way for the carriers to capture a healthy chunk of ad revenues from their customer bases.
What Amobee offers is a telephone company quality ad serving and monetization platform that lets carriers offer a broad array of ad and sponsorship options to marketers. This can take a variety of forms, from standard CPM and CPC stuff to ways that marketers can cover or at least subsidize phone based services.
Whatever you believe to be the truth in that debate, it’s clear that Amobee, a start-up based in the Valley, is an intriguing way for the carriers to capture a healthy chunk of ad revenues from their customer bases.
What Amobee offers is a telephone company quality ad serving and monetization platform that lets carriers offer a broad array of ad and sponsorship options to marketers. This can take a variety of forms, from standard CPM and CPC stuff to ways that marketers can cover or at least subsidize phone based services.
Let me give you an example: a travel web site could offer users free access to a cool new mapping functionality simply by asking users to interact with a branded experience. Another example: a company could give users free access to premium content, like a movie or TV show, in exchange for viewing/participating in a marketing experience.
The quality, security, and reliability of Amobee have to be high for them to create lasting relationships with carriers. Carriers are extremely protective of their users’ experiences because a good experience can drive loyalty while bad experiences will ratchet up churn. Advertisers that want to ensure a positive consumer experience may find that sort of reassurance a plus as they search for an ad platform.
A gillion studies have demonstrated the consumer appeal of such a model, and Amobee offers carriers a way to get in on the funds. Their rev share model enables carriers to benefit from marketing activity of their users while also giving them important access to user information that will help them better customize experiences in the future. Such knowledge will also be critical in helping to drive down churn, which is inarguably the biggest impediment to carrier sub and revenue growth today.
Thanks for reading, and don’t forget to write.
The quality, security, and reliability of Amobee have to be high for them to create lasting relationships with carriers. Carriers are extremely protective of their users’ experiences because a good experience can drive loyalty while bad experiences will ratchet up churn. Advertisers that want to ensure a positive consumer experience may find that sort of reassurance a plus as they search for an ad platform.
A gillion studies have demonstrated the consumer appeal of such a model, and Amobee offers carriers a way to get in on the funds. Their rev share model enables carriers to benefit from marketing activity of their users while also giving them important access to user information that will help them better customize experiences in the future. Such knowledge will also be critical in helping to drive down churn, which is inarguably the biggest impediment to carrier sub and revenue growth today.
Thanks for reading, and don’t forget to write.
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