Editor’s Note: Welcome to Reality Check, a feature for RCR Wireless News’ new weekly e-mail service, Mobile Content and Culture. We’ve gathered a group of visionaries and veterans in the mobile content industry to give their insights into the marketplace. In the coming weeks look for columns from Laura Marriott of the Mobile Marketing Association, Mark Desautels of CTIA and more.
The mobile entertainment industry is currently plagued with a wide variance of proprietary formats in reporting mobile content sales, their associated metadata and consumer activity. Fully 93% of industry experts surveyed by MEF stated that accurate content sales reporting is critical to the long-term success of the industry. Content sales reporting is fundamental in the continued development of the market and enables companies to maximise available revenue opportunities.
However the mobile entertainment industry, to date, has not developed good practice for content sales reporting. Without timely, accurate, consistent or relevant data, mobile content revenue remains restricted as companies cannot accurately identify the usage patterns of what content consumers want most. This situation has to be rectified soon by both the content providers and the digital retailers working together to create a practical, more transparent and consistent system that will benefit the industry as a whole.
It is hard to imagine that an industry that relies so heavily on content has not already developed good practice for its content-reporting standards. In this respect the mobile entertainment industry lags far behind other, more mature industries such as banking, retail sales, television and Internet commerce. At present, there are a number of different ways in which mobile content sales are reported, with many companies receiving up to 50 different types of reports.
This is partly due to the absence of defined best practice or targets, and partly because content providers have widely varying requirements when it comes to reporting. Even more worrying is the fact that 42% of people surveyed believed the reports they were given were not accurate at all.
This inconsistent and inaccurate reporting makes it almost impossible to draw a true picture of the market and results in a number of barriers for the mobile content industry. Namely:
The bottom line is that everyone in the value chain, including the customers, are losing out because of poor content sales reporting. The industry has to come together to discuss frankly and openly the issues that affect their business and the industry as a whole. While it is clear that different businesses want different types of reporting, all would benefit from achieving a common ground and developing good practice.
In answer to this, MEF, in partnership with a number of key industry players including Sony Pictures Television International and MACH Group, is working with the industry to develop and deliver Content Sales Reporting Best Practices Guidelines. At this year’s Mobile World Congress, a special meeting will be held to start developing this best practice and will seek to define levels of excellence. It will allow the objective assessment and benchmarking of content reporting practices, addressing the key criteria of timeliness, relevance, accuracy and consistency.
The guidelines will provide market intelligence to make it significantly easier for companies to target consumers and respond effectively to demand, increasing revenue opportunities and focusing investment for new content. It will also cut operating costs, increase efficiency and ensure transparency. Once the industry gets it right, content reporting will be a key tool for creating revenue and ensuring industry growth in the future. Developing and adopting good practice will mean everyone, including the consumer, is a winner in the end.
You may contact Suhail directly at [email protected]. You may contact RCR Wireless News at [email protected].
