Telefonica: LiveScreen Mobile Ads – Connected Life Experiences on the Move


Challenge/Opportunity

Movistar, the mobile phone company from the Telefonica Group, needed to increase revenue from its value-added mobile data services. The company tested a mobile screen ad service. The service had a six-month trial in Mar del Plata, Argentina, involving approximately 5000 mobile subscribers. The trial results showed an impressive consumer uptake: 82 percent of users engaged with the new communication channel on the idle screen.

Alliances/Partnerships

The mobile screen ad service is powered by Celltick, using the company’s LiveScreen Media platform. Celltick’s LiveScreen Media platform allows virtually any media content to be displayed on an idle screen, including news, entertainment, and advertising. Celltick is the leading provider of innovative mobile marketing solutions for the idle screen. Led by its flagship offering LiveScreen® Media, Celltick mobilizes the power of the idle screen, handling over 40 million monthly transactions through agreements with 35 mobile operators worldwide.
Strategy

• As an advertising window, an idle mobile screen offers a compelling advertising opportunity.

– Idle screen ads can be targeted by user preference and can offer “click-to-action” for immediate consumer-to-advertiser interaction.

– Content messages and advertising can be customized to individual preferences, helping ensure that subscribers receive only information that is relevant to them: for example, sports, entertainment, news, events, business, and lifestyle.

• The LiveScreen application was designed to broadcast meaningful and relevant content to mobile subscribers’ idle screens using cell broadcast technology.

• The Telefonica innovation team is particularly impressed with the platform’s ability to segment users based on location, handset type, and areas of interest, which are generated from tracking user response to idle screen messages.

Success Factors/Metrics/Monetization

Movistar’s idle screen mobile advertising channel was launched in May 2009. The basic channel is currently free to subscribers and includes opt-in information and advertising messages. Movistar provides only headline/teaser information as part of the basic package; if subscribers want to expand on the headline, they pay for that. Movistar generates revenue from the service through advertising fees, paid content downloads, and a variety of premium content subscriptions.
Company Background

Telefonica owns 98.2 percent of Telefonica de Argentina S.A. (a fixed line service company). Telefonica owns 100 percent of Telefonica Moviles Argentina (a mobile service company). Telefonica, Argentina, has 4.6 million fixed telephony subscribers, 1.3 million Internet and data subscribers, and 15 million mobile subscribers.

References

http://www.telecompaper.com/news/article.aspx?cid=672304

http://www.gomonews.com/telefonica-launches-billboard-mobile-advertising-on-idle-screens

http://www.celltick.com

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