By: Harry Trisos


Connectivity

Without the speed and reliability of broadband connectivity, the opportunities for communicating efficiently and effectively with our customers remains a pipe dream. We are all aware of the poor history of Telkom in this field and it has been a major stumbling block to growth in the South African market in the past.

Rudolph Muller of MYADSL, the first speaker at the conference, assured us that there were significant changes in the offing. Indeed, the changes are upon us and happening right now. Local broadband penetration that has been amongst the poorest in the world of connected countries is due for a fillip. We are seeing massive growth in SA broadband and the predictions are that the trend will continue. And who do we have to thank…? The networks. Yes, in SA, it is Vodacom, MTN and Cell C that will bring the web to the people.

And it is cheap

Nothing comes for free but you will no doubt be surprised to hear that mobile broadband in SA is currently amongst the cheapest in the world at under 20 cents per MB. That has enormous implications for the market as the cost to consumers of accessing the web is very affordable. The cost should no doubt drop even further in the future. The excuse that web access costs the consumer too much has flown out of the window.

Semi-literate and illiterate does not mean dumb and dumber

I have always been of the opinion that if the need is there and one provides an effective way to consumers to fulfil that need on a mobile phone, then they will overcome the technology barriers as we perceive them to be. Brian Richardson, CEO of Wizzit Bank, proved this point at conference.

Cyril Ramaphosa, a founder of the bank, believes that it is a basic human right to have access to banking. Brian explained the inordinate difficulties that up to 13 million South Africans experience in order to conduct their daily financial affairs. Did you know that R8 billion in cash is kept “under the mattress” at any one time in SA? The issues of affordability, access and availability has kept the unbanked out of the market.

Wizzit has introduced a remarkable banking solution based on the mobile phone that even allows granny in the rural areas to receive and transfer funds. She can purchase airtime as well as pay for groceries at the local retail outlet. And she has access to an ATM to withdraw cash when she needs it.

Wizzit has deployed over 3000 young people into the marketplace to canvass customers and “show” them how to use the service on their cellphones. The image of your 10 year-old showing you how to use the VCR or cellphone cannot escape one at this point. But the point is this. Once granny has been shown how it works, she will continue using the service and may very well show the next person. Peer to peer ‘show and tell' has come to the banking sector. And if it fulfils a need, then people will adopt the technology.

It is the COMMUNITY, stupid!

Throughout the conference the need for marketers to set a mobile marketing strategy came through very strongly. One of the principal elements was that we need to develop and build our mobile communities sooner rather than later. If one accepts that your brand is inextricably linked to the community of customers that use it, then the time is now to build an electronic/mobile database of your community.

There is a raft of privacy and consumer-protection legislation about to descend upon us that will make database building a timely and costly affair. The harvesting and building of a digital mobile community requires you to put a strategy into place that allows your customers to opt-in to future communications from you. Permission based communication is the future.

The alternative to inactivity is simply this… the longer you wait, the more costly it is going to become. And if you wait long enough, then don't even bother because someone else will own that space.

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[31 May 2007 09:52]

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