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Monday, January 28, 2008

digital divide Indonesia;not infrastructure issues

according to wikipedia,the term digital divide refers to the gap between those people with effective access to digital and information technology, and those without access to it. It includes the imbalances in physical access to technology, as well as the imbalances in resources and skills needed to effectively participate as a digital citizen. In other words, it’s the unequal access by some members of the society to information and communications technology, and the unequal acquisition of related skills. Groups often discussed in the context of a digital divide include socioeconomic (rich/poor), racial (white/minority), or geographical (urban/rural).

More or less, term digital divide has the equal meaning with 'gaptek' :)

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Mobile carriers in Indonesia claimed they've covered 95% of population. Which means it will be easy for 95% to access information. I believe people in rural area are not looking for sophisticated multimedia based information that must be supported by a high speed broadband access.I don't even think that they are ready for GPRS bearer internet although it will be a default feature in almost all brands in the market.


IMHO, Content selection and combining simple technologies that can easily adopted are two of critical steps that should be addressed A S A P. We cant afford to wait until community has the sufficient skills just for people to use technology.
It's easier for us to start thinking what will be the best approach for the community.maybe it's generic maybe it's not, but definitely it need to be implemented.

Tuesday, January 22, 2008

meaningful technology

Everyday, technology evolves. Technology companies become participants in endless innovation race tracks. Will all innovation works? not necessarily, but it's part of the risk. Will it be relevant? not necessarily because innovation doesn't have to be relevant in current situation. Will it add values to our life? not necessarily, because values in life can be influenced and created based on commercial interests.

In developing country like Indonesia, unfortunately -admitted_or_not- WANTS will be most reason for technology adaptations. Cool, future trends, pioneer will be the main keywords used by big RnD spenders companies and (unfortunately) encourage consumptive behavior in emerging markets. It's not a matter of right or wrong, because people are trained (by sales persons) to be able to justify their consumptive behavior. Decision makers will be in the intersection of politic, economy, and social interest. Most decisions in developing countries will take the sequence of economy, politic, then social interests.

Meaningful technology will be built based on social interest that will create a multiplication effect on economy interest. 1 Million PC program, might work for a country that use English as their main language. Will it be meaningful in Indonesia? it wont. Will it ever be meaningful technology in Indonesia? Yes, as long as there is a political will to apply a public policy that support this interest.

Indonesia, the 4th largest population country with more than 30% mobile connectivity penetration suppose to have no issue on technology. Unfortunately technology is perceived as meaningless to most of the people because it doesn't add value on any aspects on their life.

Education will always be the main reason for this, but there is no continuous effort done by Indonesia's intellectual technologists to make a meaningful technology to low educated people. For example, rather than thinking locally, most of them are referring to long distance learning methodology in developed countries that will require extra bandwidth as well as hardware that can support them. Some of them are one step ahead thinking about how to deliver knowledge to mobile devices, but most of them always try to adopt PC based mediated learning to mobile which will lead them to the same problem; high spec device.

Will our target really require the same education experience as we did? Will a fishermen need generic education? the answer will be no. Can we create a simple SMS based service that supplied fishermen an information on which spot will have the most fish colony or which market will give the best price for their catch? The answer is YES.

This kind of implementation that categorized as a meaningful technology. It doesn't have to be sophisticated, because sophisticated technology tends to require sophisticated support elements. Meaningful Technology need to be very practical, tailored based on users' daily life, can add a overcome their pain, most of all can give them a direct impact in other aspects so it can support a long term goal.

If you are an IT students that search for a topic for your research; by comparing or implementing IT experts theory or creating commercial application will only prove you as a smart students. But contributing an action to build an application that really works to specific target will prove that you are not just smart, but also have a potential to be more than just a technologist.

Let's start small, let's start simple, most of all; let's start NOW

Wednesday, December 19, 2007

Mobile Marketing

(warning; it might take some time for you to read this article. I was carried away..... :))

wikipedia says, mobile marketing is First, and relatively new, is meant to describe marketing on or with a mobile device, such as a mobile phone

Some corporate in Indonesia will refer it as SMS broadcast(90% of mobile subscribers in Indonesia have received at least 1 SMS promotional), sending unique number in some product packaging to special number and win a prizes :) (ok... I admit i've done it in my previous-previous job... because it was looked like a great idea; having a new revenue stream from corporate by selling the concept of "self funded promotional effort"). In short; like it or not it's not a preferred extra service desired by a corporate although they know the potential of this new media.

Ok, so what's exactly mobile potential anyway? These facts may support why marketing need to extend and explore mobile as a new media;
  • Indonesia; 4th most populated country in the world has 20-25% of mobile penetration (compare with 8.9% -only- internet penetration) that will grow to 75% in 2015
  • Average SMS traffic in Indonesia around ~300 million SMS/day (Telkomsel claim has 419 Million SMS/day in average every subscribers sent at least 10 SMS / day)
  • People in big cities change their mobile phone in average once every 3 months; that make 90% of GSM handsets in Indonesia market already support GPRS/MMS unfortunately 95% GPRS/MMS supported handset users are 'fake users', meaning they don't use their phone other than Voice and SMS :(
  • SMS, still the sexiest product proposition for mobile carriers in order to increase activation rate targeted to youngsters
  • 4 out of 5 people always carried more than 1 always-connected mobile phone (age 18-35)
  • 3 out of 5 people sleep near their mobile phone
  • 10% Promotion SMS (with interesting offer, e.g quiz with prizes, discount from well known brands) sent to mobile subscribers will get a response (2006)
Based on promising data above; I believe most of you will challenge it by asking "then why no body doing it...???" I'll answer it by following reasons;
  • Mobile marketing activities was started by Content Providers (CP)
(with all the respect to all mobile content providers pioneers that introduce 'volume-game' business in Indonesia :) ). Some mobile content business pioneers are already talked and executed mobile marketing by introducing 'self funded promotion' (SFP) program. SFP was presented as a new way on 'hard sale' campaign activities in order to increase number of sales of a product by conducting a mobile contest or SMS quizes; how is it become a self-funded campaign? thanks to premium SMS. All SMS will be charged based on premium rate agreed by CP, mobile carrier, and off course corporate clients. The program is as simple as sending special number to specific short destination number/code (SDC) and will be charge more than regular SMS price (usually it's Rp. 1000 - 2000 / SMS). Premium SMS revenue will be given to CP for funding the campaign (buy prizes, etc). What about the program promotion? it taken from budgeted promotion that planned to be executed within that budget year.

Depend on the cases and goal of the campaign; but most of the cases, campaign will be loose its own essence because CP will be calculating campaign program based on their nature of business; volume of premium SMS. Because some of the premium SMS revenue will be source of prizes fund.

If the goal is only for short term number of sales increase; I believe this will be the most effective program that can be done. Unfortunately; most of the participants are not brand's target market. Even, in some of the SMS text program there always be a 'quiz-prizes' hunter, that join the program just for the prizes. As a result, there is no post promotion impact to the particular brand/product which wont represent corporate client's goal. After few periods of programs; quiz prize hunters will find another programs that offer better prizes and programs will be subsidized (by CP, or sometime by client in order to save their image).

So, corporates then start to think it will be more efficient if they do the same program by traditional -send_to_po_box- way; because they can control end-to-end process and for them mobile will be less efficient because there's no added value beside an 'automation' process of 'send PO.BOX' way and it will only add unpredictable risk caused by low SMS traffic and some other technical problems.
  • Stereotyping of mobile marketing and premium SMS by mobile subscribers
End user starts to view the type of 'send_unique_number' campaign is another form of strategy done by mobile CPs or mobile carrier to increase their phone usage without any transparency related to drawing process, number of senders, and how's their winning chance. It looks like from customer's point of view a 'who spend bigger money' game. In some cases; it also encourage irresponsible party to ride on the campaign and create random fake notification via SMS about winner announcement.
Unfortunately; in order to get as many SMS volume as they can, some 'naughty n opportunist' CPs will make the program as subscription based program that 'force' customers to pay unwanted contents on daily basis. This case will cause brand owner will suffer and create unproductive impact to campaign goal.
  • Privacy intrussion
This is another impression when I introduce 'mobile marketing' terms to corporates (at least some of clients that we've approached). Mobile marketing will be referred as SMS broadcast to random numbers about some promotions held by a brand.
Then what should we do?

IMHO, we should 'juice' mobile technology by;
  • Treat mobile as a media; not source of revenue.
  • Maximize its superiority value as a media that very personal, interactive, always connected, payment channel, and always carried
  • Create exciting activity programs that align to the campaign goal
  • Treat mobile as a complement to other media; don't push it to be available to all campaign if it doesn't relevant
  • Treat mobile as a tool to create brand engagement, that create 'we hear you' impression
  • Hear other industry expert about they think about how mobile can help them to ease their pain
  • Educate both market and brand owner about above values and how should we do it
This source might give you clearer picture about mobile as a 7th mass media (by Tomi Ahonen)...

| View


.juicer

Sunday, November 18, 2007

1st post from my mobile

There are thousands of articles published talk about how mobile technology can influence -so called- modern life. How mobile phones become a primary need in life, enhance marketers profiling a target, and bring www world to mobile devices.

We can see clearly ISPs giant competing each other by added services for mobile phone on top of its basic function (voice through circuit switch). Build a service specific J2ME applications (Yahoo!Go, Mobile GMail, Mobile Google Map), enhance mobile internet browser capability in order to make convinient browsing experience (Mobile Opera, Bango, handsets manufacturer enhance their standard browsers capabilities), built in applications for specific purposes(download email on various protocols --POP3, IMAP, exchange, RIM's blackberry--, mobile internet messaging ), SMS based notification on update in www(friendster sms notifications, google reminder), 3's skypephones that was offered few weeks ago, and ultimate mobile platforms (Google's ANDROID)

Indonesia as the 4th most populated country with low internet penetration rate(8.9%, with more than 20 million internet users and 1.5 million internet connection. Source:APJII). Expensive bandwidth, bad infrastructure development planning, overregulated and monopoly on communication technology contribute significant factor on 'information and communication' gap.

Has a significant growth of mobile penetration (25% -- expected 75% by 2015).
Handset manufacturer's research shows that 99% handsets distributed and owned by mobile carrier's subscribers are GPRS and MMS ready. (note: Indonesia mobile phone market controlled by authorized distributors and sold in a free markets). Some research also said that in big cities; people change their mobile phone once every 3 months.

Based on the facts above, there's a big chance that mobile phone will become a first media to do most of internet activities. Search stuffs, create email account, apply to social netwok services, post a web blog, and interact with other internet users via mobile internet messenger.

Can it be a reality where in 'SMS' based community like Indonesia? The answer is YES! The challenge is how can an ISPs synergize with mobile carrier and handset manufacturers