New analysis from Frost & Sullivan predicts strong growth for the U.S. premium mobile content market, with on-deck (or on-portal) revenues rising to $5.1 billion in 2010, up from $1.2 billion in 2005. High-speed networks, better handsets and the participation of large media organizations are some factors driving mobile services up-take. However, the challenge is to bundle multiple content categories to deliver users a unified content experience. The report points out intelligent search technology and improved analytics (through better customer segmentation) will be must-have components of mobile content selling strategies.
Early movers and off-portal players have understood the need for content bundles and responded with packages of ringtones, games and mobile video content around themes or topics. This approach has allowed off-portal to account for 30 percent of premium content sales are off-deck (off-portal). There is a “considerable increase in the number of specialized companies such as off-deck storefronts, mobile virtual network operators (MVNOs), and multicasting services, which are introducing innovative premium mobile content to subscribers,” Frost & Sullivan analyst Vikrant Gandhi said in a statement.
The research firm advises mobile operators can fight back if they harness intelligent mobile search and recommendation technologies to direct mobile subscribers to right content. The ultimate objective would then be to extend this feature to off-deck premium mobile content and the wider Web. Press release
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