Based on interviews with 3,600 wireless data users, the Telephia study reveals that launching wireless ad campaigns is not an insurmountable task as some carriers imagine, said John D. Fair, Telephia’s vice president of research and development. He said that the study set out to gauge the strength of users’ resistance, and what kind of trade-offs they would make to receive advertising.

After asking all participants their interest in receiving wireless ads, Telephia posed follow-up questions to isolate the circumstances that would make advertising palatable.

• Of the wireless data users queried 53 percent were at least somewhat enthusiastic about receiving ads on their mobile phones, PDAs, or laptops.
• Of the 47 percent who were resistant, 19 percent said discounts on products or services in exchange for receiving ads would make them extremely willing.
• When the remaining group was asked if they could limit the types of ads in exchange for receiving ads, 17 percent said they would be willing.

"The jury is still out with regard to advertising, but we are pleased to see already such a high level of customer interest, which increases significantly when consumers are offered compensation and other incentives," Mr. Fair said.

For vendors investing in location-based services, Telephia’s findings strongly suggest that an opt-in advertising scheme would be a more viable approach.

For more information: http://www.telephia.com/News/pdf/news_wireless_022801.pdf