AvantGo, Inc. (Nasdaq:AVGO), a leading provider of mobile infrastructure software and services, today announced that Bank of America/VISA, Buy.com, CNET, EDS, Guinness Flight Wireless World Fund, The History Channel, Intel, Intraware, Nextel, Nortel Networks, Sales.com, Sun Microsystems and The Vanguard Group are among those delivering wireless advertising via the AvantGo mobile Internet service. By advertising on the AvantGo service, these media pioneers are taking advantage of AvantGo's targeted demographic, uncluttered environment and user base of over 1.2 million registered users. The AvantGo service provides free interactive and personalized content and applications to people with handheld devices and Internet-enabled phones - any time, anywhere -wirelessly and off-line.
For example, Bank of America Credit Card Acquisitions launched its first wireless credit card marketing campaign using AvantGo. "The AvantGo service is an excellent way for Bank of America to extend its business model to reach a broader customer base. Using AvantGo, customers have the ability to apply for a credit card wherever they are by completing and submitting their credit application on their PDA devices or directly responding on their Internet-enabled phones," said Ed Ortiz, Director North America, iPlato Consulting, who managed the overall project. iPlato provided the strategic leadership and the business architecture for the project. Douglas-Danielle developed the creative and managed the back-end processing. "This application represents an easy and effective way for companies to leverage AvantGo's existing wireless technology to maximize a fast return on investment."
AvantGo's advertising products are flexible enough to accommodate direct response campaigns, branding efforts, promotions, surveys and a variety of multi-purpose ads. For example, Sun Microsystems launched an innovative cross-platform campaign about its wireless products on handheld devices and WAP phones through AvantGo, while Nortel Networks, using wireless creative developed by Grey Interactive, Nortel's interactive agency, asked its users: "What do you want the Internet to be?"
"Wireless is becoming an increasingly important part of the digital marketing mix. AvantGo has helped make wireless advertising an attractive and easy way for our clients to build brand awareness," said Andrew Lovasz, Sr. Media Supervisor, Beyond Interactive, an agency that handles digital media planning and buying for Nortel Networks. "Nortel Networks experienced strong results from their campaign on AvantGo."
Other advertisers, including Intraware, Sales.com, Concentric DSL and Sun, have leveraged AvantGo's targeted demographic to reduce customer acquisition costs. "The AvantGo service was extremely effective in reaching Intraware's IT audience in a mobile environment," said Mark Stephens, Media Director at Lot21, advertising agency of record for Intraware, the first advertiser on the AvantGo mobile Internet service. "We achieved a 97% reduction in customer acquisition cost through the AvantGo advertisements relative to other aspects of our lead generation campaign. Not only were we able to obtain leads for a much lower price, the response rate was exceptional as well."
According to Doug Powell, Media Director at Tonic 360, a division of J. Walter Thompson U.S.A., and agency of record for Sun Microsystems, "AvantGo delivers the precise target audience - young, affluent, tech-savvy consumers - that our clients want to reach. Anyone can host or design web pages for wireless devices, but AvantGo has demonstrated the ability to connect with real customers for its advertisers and deliver real value to media properties."
Analyst forecasts reveal an increasing number of mobile devices and users worldwide and the subsequent potential for wireless advertising and other mobile applications. International Data Corporation (IDC) predicts that the number of smart handheld devices shipping worldwide will grow from 7 million in 1999 to more than 45 million in 2004. In addition, IDC predicts that there will be 720 million mobile Internet subscribers, compared with 525 million wired users by that time. The Kelsey Group estimates that revenue from wireless advertising could reach $17 billion by 2005, when about 192 million mobile phones will be used online in North America.
Using a wireless, real-time connection or via desktop synchronization, AvantGo users can access the web directly from their mobile devices or they can select from over 650 content channels that have been optimized for mobile devices. Channels include news, stock quotes, flight schedules, movie listings, maps, weather and much more from brand-name content providers and e-businesses.
"When people think of mobile advertising they often think of text-only ads, but we are able to deliver graphics, text and interactive functionality, just like the web, that capture users' attention and translate into successful wireless campaigns for our advertisers. Another advantage that advertisers have with AvantGo is that we can deliver their campaigns on personal digital assistants (PDAs) and wireless devices, like WAP phones, so users can access advertisements in real-time or off-line when they may not have a connection," said Mike Aufricht, general manager of AvantGo Mobile Internet. "Across the web, click-through rates have been plummeting in recent months and now average less than 1/2 of 1 percent. Our service is delivering click-through rates in the range of 1.5 to 2 percent on mobile devices."
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