New Company - Kabuza Marketing - to help large and small companies sell products and services direct to consumers.
BestMediaInfo Bureau | Delhi | December 8, 2010
OnMobile Global Limited has entered into a strategic venture with Madison World, a renowned and diversified communications group that has specialist units in Advertising, Media, Out-of-Home, PR, Retail, Entertainment, Mobile and Sports. The new JV company will be called Kabuza Marketing which will help large and small companies sell products and services direct to consumers.
This joint venture will aim to be the leading mobile marketing company in India and the Indian sub-continent, opening up new direct sales and revenue channels for marketers using Mobile, leveraging the mobile reach, installed infrastructure and telecom operator relationships of OnMobile and the marketing and advertising capabilities, client base and market presence of Madison World.
Over the last decade, the mobile revolution has completely taken India by storm and today, there are more than 600 million mobile enabled consumers in the country.Â However, its potential as a marketing medium has been left largely untapped. Leveraging the state of art technology and VAS expertise possessed by OnMobile and the media expertise of Madison, the new company will focus on leveraging the OnMobile multi â channel advertising & marketing platform which uses various channels including AdRBT, SMS, USSD, WAP, Video, and Audio. OnMobile has over the years accumulated deep insights into the usage of VAS and mobile services, and understands the purchasing habits on mobiles due to its leadership and pioneering technology in VAS. This will give the JV a jump start in building up a vibrant marketing base to serve merchants, advertisers, corporate clients and telecom operators while providing consumers with valuable deals and discount offers and an opportunity to buy conveniently.
Says, Arvind Rao, CEO, Chairman & Co-founder, OnMobile, âThis joint venture is one of its kind and has the potential to revolutionize both the mobile VAS and the traditional marketing functions. With the onset of 3G, this venture will open up even newer opportunities for more impactful marketing campaigns. It will successfully leverage the mobile reach, installed infrastructure and telecom operator relationships of OnMobile and the marketing and advertising capabilities, client base and market presence of Madison World. Â I am most excited about this partnership as it brings together two leaders to deliver the best market solutions.â
Says Sam Balsara, Chairman and Managing Director, Madison World, âWhat excites me about mobileÂ is its interactive, personalized and always-on attributes accompanied by unbelievable reach in numbers (600 million+). So far we have thought of mobile as an advertising medium given its high reach but the total advertising market in India is restricted to about Rs. 20,000 crores, where as the potential opportunity to sell products and services and conduct commerce through mobile is Rs. 200,000 crores and our attempt is to tap into this opportunity which should provide top marketers a cost effectiveÂ distribution channel, bring in a lot of long tail businesses, in addition to large marketers, into the gamut and provide consumers a convenient option to order and pay for products and services through the comfort and convenience of their very own mobileâ.
Mobile phones have become much more than just devices used for communication. All set to unleash the incredible power of the mobile phone as a marketing medium, this venture will involve the blending of OnMobileâs mobile platforms, software, operational expertise and knowledge in the mobile marketing realm with Madisonâs marketing insights, relevant client base and innovative offerings. The intent behind this venture is to help clients design effective and innovative mobile marketing campaigns, adding value and helping improve top-line revenue and reduce distribution cost. Clients gain access to the large Indian mobile wireless subscriber base and are hence able to launch mass market campaigns through a single stop shop. The medium can on the one hand help the buyerÂ order a standard branded lcd tv from the comfort of his home and on the other hand enable a gentleman farmer residing 100 miles away from the city to order a lawn mower. As costs of real estate goes up and modern retail becomes more powerful demanding higher and higher margins from manufacturers, mobile would offer a cost effective and convenient secondary channel for distribution.