MSc Marketing

2021-05-10 05:10:16
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Abstract-Nowadays, mobile phones are part of our lives, helping us to communicate each other but mobiles, in this era that we live they offer something more than communication, services. This purpose of this report is to explore the challenges and the opportunities of acceptance and adoption for business or customers with the technology of the mobile marketing. In this study the main idea was to research the barriers preventing its adoption in the business market.

Theories and models such as the TAM model were conducted and analyzed with examples in order to understand the importance of the mobile marketing and the role of it.

-Some of the findings of this report prove that the security has additionally ended up being an imperative determinant considering that clients feel more comfortable if their views have been incorporated in marketing and the production process.

Introduction Mobile marketing in business is defined as the continuous usage of the mobile phones in marketing communications strategies. Mobile phone usage has become widespread in the current society and as a result, an increased number of service subscribers have become profound (Strom and Vendel, 2012). Consequently, more companies have started adopting mobile marketing which is a more innovative and appealing means of shopping in comparison to the old conventional way of buying and selling. Nonetheless, the effectiveness of mobile marketing greatly attributes its success to maintaining the already existing relationship with their targeted consumers. Established and business startups have found it necessary to use mobile marketing as one of the best and economic strategies for gaining customers and expanding their market base. This means that once an organization has adopted mobile marketing strategy, it becomes possible for it to increase their marketing campaigns. Mobile marketing poses one of the best platforms for marketing, and the management should ensure that it has been implemented to guarantee continuity and reduction of marketing costs.

Most enterprises today are consistently seeking for newer, engaging means and ways of first maintaining their current customers. Then secondly, expanding the market shares they already have in place. Such enterprises must, however, maximize on the available marketing strategies as this will offer them a competitive advantage in the market. Every organization has an objective to accomplish, and the key amongst them is the maximization of profits by cutting down costs and increasing their market share. According to experts, the mobile phone advertising platform has proven to be the most promising and influential marketing tool in todays world (Strom and Vendel, 2012). Moreover, it has been evaluated and gauged as the strongest focal point that will overcome some significant challenges in marketing. These points include saving time and catching its consumers attention (Strom and Vendel, 2012). Customers are always on the move, meaning that organizations must devise strategies that can reach them even during their leisure time and at the workplace, but without disturbing them. Mobile marketing is one of the modern technological ways of reaching the current and existing customers, as well as the potential ones. Additionally, the mobile phone platform provides opportunities for companies to address their targeted customers faster and more efficiently than any other mass media. This means that once an organization has come up with a new product, it becomes necessary for it to use mobile marketing as this will not only enable it to reach more customers but also disseminate information in a timely manner. Companies have started to recognize the potential of the mobile marketing channel to their targeted consumers.

With the growing technology and the mobile marketing companies, upping their game there is a need to understand the adoption intention of targeted consumers towards a fully established platform. In the current society and with more people being exposed to technology it becomes easier for companies to send instant messages to the mobile device of their clients on consent (Janson et al., 2013). However, for a corporation to gain access they have to promise some rewards like nice ringtones especially to the younger generation target consumers. The prominence of mobile marketing is bound to capture a larger consumer market especially those in their teenage years and those in the working class (Strom and Vendel, 2012). However, the customers should be enticed during the mobile marketing campaigns and be promised on the quality of the products being advertised. Therefore, the marketing department should be realistic by informing their customers on the actual value and quality of the products. It is the consideration that the people from this particular group barely access their televisions, which are the primary commercial advertisers.

Nonetheless, the effectiveness and innovativeness of mobile marketing are limited because of the privacy and security uncertainties posed on this platform. The customers must remain protected from any form of biased marketing and the dissemination of wrong information that may end up misleading them. Organizations must protect their clients and ensure that they have developed confidence in this type of marketing. Organizations have realized that the more an individual uses mobile marketing method as their shopping method the more they become confident with it. Consequently, such users ensure to perfume their daily activities more on this platform. However, due to the various shortcomings related to this platform scores of consumers are still inclined to trust the brick and mortar enterprises more in comparison to the digital platform transaction. This is because clients are afraid of making mistakes more than maximizing on the advantages that may result from purchasing through their mobile phones (Mobile Marketing Association, 2011). Other concerns by clients before they can fully adopt mobile marketing are mistrust, especially over merchant information, transaction security, personal data, and online security. However, despite this issues mobile marketing companies, rarely address them. Therefore, it is crucial that mobile advertisers resolve the problems accrued to customer safety and privacy. By so doing target consumers can be more comfortable with providing their personal data to these companies for eased communication. Also, addressing the issues of trust, permissibility and perceived risks mobile marketing companies will give their customers reassurance, which casts out the doubt. This discussion will also further address some examples related to the theories related to mobile banking, hotel branding, and the New York Times Newspaper SMS platform. Lastly, a conclusion will be provided on the entire discussion. Therefore, the remaining part of this paper will be structured into four parts, which include the theoretical background, examples, challenges and opportunities, conclusion, and then references. The aim of this study is to understand the existing relationship between companies and their clients on the mobile platform while considering the limitations and merits that this process demonstrates.

Theoretical background In this section, the primary conceptual model that will be discussed is the technology acceptance model (TAM), the UTAUT model, and the customer experience maturity model. The most important factors to be considered in mobile marketing include the possibility of gaining more customers, increment in sales, and thus profits, and how sustainable the chosen model is. (Janson et al., 2013). In each model, examples will be provided to show their importance in various business platforms.

The unified theory of acceptance and use of technology model commonly referred to as the UTUAT model is primarily based on the use of technology and is used to explain the intentions of the user in marketing. There are four main components of the model that should be considered in the implementation process and include the effort expectancy, facilitating conditions, social influence, and performance expectancy. The UTUAT model can be applied in mobile marketing as it offers a platform for the marketing team to reach its customers efficiently. However, consumers should be familiar with this type of technology for it to be successful in the implementation phase. From the diagram below, it is clear that the UTUAT model is consumer friendly and that it acts as one of the key determinants of consumer behavior.

The UTUAT model.

The second effective model is the technology acceptance model (TAM). The model is used to explain how consumers respond to changes in technology used in mobile marketing and the possibility of responding positively, thus increasing an organizations sales. The model explains how users eventually comes to accept new marketing technologies that organizations adopts and integrates in their mobile marketing process. For this type of technology to be effective in marketing, the users must first develop a positive attitude towards its usage; have the intention to use before the actual usage. Therefore, the model is based on the reasoned action, meaning that the users must have a reason as to why they want to use this type of new technology and not being influenced by the marketing team.

The third model that will be discussed in this paper is the customer experience maturity model. This type of model is used to develop long-term customers, thus ensuring the sustainability of an organization. Once a new technology has been invented, an organization should have an established mobile social site, which can be used to attract, convert, and eventually advocate for the usage of the new technology. This means that the customers should be nurtured and engaged for them to become lifetime clients, thus boosting the organizations sales.

The three models are fundamental mobile marketing components that profoundly determine the relationships between an organization and its customers (Janson et al., 2013). In return, these consumers are able to relay on the new technology for example, sharing personal information with their mobile marketers. Initial confidence is highly regarded especially in cases where unknown actors are interacting. This is with considerations that the target consumers here have neither experience nor any credible information about this innovation. Also, have do not have either the first-hand knowledgeability or any existing bond between them (Mobile Marketing Association, 2011).

Examples and their relationships with the three models

The main examples in this study can be classified into three main categories, which include the performance dimension, purpose dimension, and the process dimension. The Performance dimension provides an explanation that consumer adoption to mobile marketing is determined by proper delivery of expectations through the provision of stable, consistent, and desirable information. The process dimension, on the other hand, establishes that this innovations ability to satisfy the requirements of its target consumers through eased usage and regulation. Lastly, purpose dimension provides that the motives provided by marketers for this innovation determine their adoption ability. Consequently, each dimension will be explained by various determining factors which demonstrate its credibility as the need be the trust approach. Therefore, this discussion will make it easier to understand the technological-related characteristics of mobile marketing in relation to the perceived use by the consumers, using the three models discussed above for illustration purposes (Mobile Marketing Association, 2011).

Performance Dim...

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