Mobile Phone Subscribers Support Incentive-Based Advertising

A new report has found that about one-quarter (26%) of current mobile
phone subscribers say they would be willing to watch advertising on
their cell phone if in return they were to receive free applications for
their phone. Smaller numbers (7%) of wireless subscribers say they would
be interested in receiving promotional text messages if they were relevant.

"This seven percent 'coalition of the willing' represents a huge market
given the fact that there over 200 million cell phones in the United
States. Wireless Service Providers need to balance the value of
advertising revenue with the potential of irritating their subscriber
base which could potentially increase churn," said Joe Porus, Vice
President and Chief Architect for Harris Interactive.

These are some of the results of a nationwide online survey of 1,125
U.S. adults conducted by Harris Interactive between August 9 and 14, 2006.

Advertising on cell phones is yet another sign that wireless
communications is changing the nation's social fabric and the way people
communicate. The survey found that 38 percent of wireless subscribers
say they now consider wireless to be their primary form of communication
and one in three (36%) believes that cell phone service is more personal
and direct than land line telephone service.

Of note, in April 2005, one in 10 (9%) U.S. adults said that they had
abandoned their wireline (landline) telephone service completely in
favor of using their wireless phone exclusively. At that time, another
five percent said that they were seriously considering this and would
switch within a year and forty-seven percent said that they were
somewhat considering it.

Joe Porus further comments, "Ma Bell could become a name for Trivial
Pursuit?before you know it as more and more consumers are cutting the
cord and going wireless only. Ultimately consumers see wireless as a
more convenient, cost effective and personal form of communication. So,
targeted cell phone advertising seems a natural development in the
wireless phenomenon."

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