Big Time Arabia sees huge take-up of operator text promos in Africa.
While the whole world obsesses over smartphones, there is evidence all around (if you care to look) that old-school and democratic media like text and voice still have the power to engage consumers.
It all depends on how you do it.
In the UK, for example, O2 is enjoying real success with its O2 Media programme, which invites users to sign up for text-based special offers. It has 6m members – enough to compare with the audience for a prime time TV show.
And in the Middle East, it's Big Time Arabia that's making all the noise.
The Dubai-based mobile VAS company was formed last month as a joint venture between Big Time Entertainment and global conglomerate the Libra Group. It will operate primarily in the Middle East, North Africa, Asia and the Americas.
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Big Time runs SMS-based competitions for operators designed to bring in revenue and reduce churn. The system sends out 20 different questions to 5,000 groups of numbers and then sends out further questions as the groups get smaller. Eventually a winner emerges.
Pretty simple. But Dr Roland Beckmann-Kunz, recently hired from Vodafone Germany to be general manager of the firm, says engagement rates can be as high as 27 per cent.
He says: "One per cent is considered a success in any traditional medium. We can generate up to 27 per cent participation. It proves you don't need the latest media to engage the public.
"I give the example of Who Wants To Be A Millionaire. We sit there in front of the TV joining in, and wondering how we would perform if we could play. Well now, thanks to mobile, the tech exists for everyone to participate. And that's what we're doing with our competitions."
So far two MTN opcos in Africa – Zambia and Swaziland – are running the promotions, but Big Time is in discussion with more across the entire EMEA region.
For the operators, these promos are about more than revenue. Although the use of PSMS does bring in cash, the end game is more about brand awareness and loyalty in a region where dual SIM devices and frequent swapping are commonplace.
And there's a gamification dynamic at work here too. Since points are awarded to those who progress through the promos, operators also have the option to give out points for other actions such as topping up credit.
At present the operator is the number one focus, but Beckmann-Kunz also believes there's the potential to run promos for brands and even shopping malls.
He also believes Big Time has an advantage over potential competitors because it's a local company – and the phrasing of questions is paramount.
"It's extremely important to have local teams working on the questions," he says. "That's not just because you have to get the questions right, but also because the tone of voice is so important. It's the key to a good response."
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