a report on mobile marketing and its prospects in bangladesh

Upload: mehrabshawn

Post on 04-Apr-2018

220 views

Category:

Documents


0 download

TRANSCRIPT

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    1/52

    A Report on Mobile Marketing and Its Prospects

    in Bangladesh

    Coures: Project Work

    Course code: BUS 498

    Prepared for:

    Sharmin Akhter

    Lecturer

    Department of Business Administration

    East West University

    Prepared by:

    Vezen Tahari

    ID:2008-2-10-022

    Date of Submission: August 12, 2012

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    2/52

    Letter of Transmittal

    August 12, 2012

    Sharmin Akhter

    Department of Business Administration

    East West University

    Plot A/2, Jahurul Islam City, Aftabnagar

    Dhaka, Bangladesh

    Subject: Submission of Project Paper on mobile marketing and Its Prospects in Bangladesh

    Dear Madam,

    It is my great pleasure that I have the opportunity to submit a report on M-marketing and Its

    Prospects in Bangladesh to you. I have completed my Project Work from 27 June 2012 to 12

    August 2012.

    For this purpose, I have worked on the theoretical aspects of m-marketing or m-marketing as

    well as gone through the websites those are currently working in Bangladesh at present and a

    very few journals related to m-marketing of Bangladesh. I had to rely on the information given

    by the users or customers of the services provided by those websites.

    I tried my best to put meticulous effort for the preparation of this report. Any shortcomings or

    flaw may arise as I am very much novice in this aspect. I will wholeheartedly welcome any

    clarification and suggestion about any view and conception disseminated in my report.

    Thanking you for your kind supervision.

    Sincerely yours,

    ..

    Vezen Tahari

    ID# 2008-2-10-022

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    3/52

    Acknowledgment

    My special thanks goes to Sharmin Akther, Honorable instructor for my Project Work (BUS-

    498), whose utmost effort in providing me the necessary guidance helped me complete the

    assigned task turned into reality. I would like to thank her for considering the unavoidable

    circumstances I had to undergo. Perhaps it would not be possible for me to revive if his kindness

    were not there. Her advice and guidance helped me think of the layout of the big task I did. Her

    generous help was always there whenever I needed any help. The task has been ended well only

    because of her generous consideration for everything.

    I am grateful to my friend Sohag Saha and Shamim Istiaq whose sweet cooperation helped me

    lot, and at last but never the least I am grateful to the Almighty Allah for allowing me to come up

    with a complete Project Work (BUS-498).

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    4/52

    Contents

    1. Introduction............................................................................................................................................... 2

    1.1. Origin of the project report ........................................................................................................... 2

    1.2. Objective of the Report ................................................................................................................. 2

    1.3 Scope of the Report....................................................................................................................... 3

    1.4 Research Methodology ................................................................................................................. 3

    1.5 Limitations .................................................................................................................................... 3

    2. Theoretical Background ............................................................................................................................ 4

    2.1 M-commerce & M-marketing ............................................................................................................. 4

    2.2 History of m-marketing....................................................................................................................... 5

    2.3 Media of m-marketing ........................................................................................................................ 6

    2.3.1 Mobile marketing via SMS Marketing ........................................................................................ 6

    2.3.2 Mobile marketing via MMS ......................................................................................................... 6

    2.3.3 In-game mobile marketing ........................................................................................................... 7

    2.3.4 Mobile web marketing ................................................................................................................. 7

    2.3.5 Mobile marketing via QR codes .................................................................................................. 7

    2.3.6 Mobile marketing via Bluetooth .................................................................................................. 7

    2.3.7 Mobile marketing via Infrared ..................................................................................................... 8

    2.4 Benefit of M-marketing ...................................................................................................................... 8

    2.5 Pros and cons of M-marketing............................................................................................................ 9

    2.5.1 Pros of mobile marketing ............................................................................................................. 9

    2.5.2 Cons of mobile marketing.......................................................................................................... 11

    2. Analysis and Findings ......................................................................................................................... 12

    2.1 Demographic information ................................................................................................................. 12

    2.2 Phase 1 (Exploratory) ....................................................................................................................... 16

    2.3 Phase 2 (Descriptive) ........................................................................................................................ 16

    1.1 Data Collection from Secondary Sources ................................................................................... 17

    1.2 Data Collection from Primary Sources ....................................................................................... 17

    1.3 Scaling Techniques ..................................................................................................................... 17

    1.4 Questionnaire Development & Pretesting................................................................................... 17

    1.5 Sampling technique..................................................................................................................... 18

    4. The Areas of M-commerce in Bangladesh ............................................................................................. 30

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    5/52

    4.1 Mobile Financial Services................................................................................................................. 31

    4.2 Mobile Payments .............................................................................................................................. 31

    4.3 Information Search............................................................................................................................ 32

    4.4 Mobile Banking ................................................................................................................................ 32

    4.5 Mobile Advertising ........................................................................................................................... 33

    4.6 Mobile Entertainment ....................................................................................................................... 34

    4.7 Mobile Gaming ................................................................................................................................. 34

    4.8 Mobile Music .................................................................................................................................... 35

    4.9 Mobile Shopping............................................................................................................................... 35

    4.10 Mobile Retailing ............................................................................................................................. 35

    4.11 Mobile Ticketing............................................................................................................................. 36

    5. M-marketing in Bangladesh: Status, Potential and Constraints .............................................................. 37

    5.1 Potential market for more advanced m-commerce ........................................................................... 37

    5.2 Government Legislation.................................................................................................................... 38

    5.3 Infrastructure: Status and Issues ....................................................................................................... 38

    5.4 Governance ....................................................................................................................................... 38

    5.5 Major Constraints to M-marketing ................................................................................................... 39

    6. Recommendations................................................................................................................................... 39

    6.1 Introduction of Advance payment system ........................................................................................ 39

    6.2 Mobile Auctions................................................................................................................................ 39

    6.3 Third generation (3G) Technology ................................................................................................... 40

    7. Conclusion .............................................................................................................................................. 41

    8. Bibliography .......................................................................................................................................... 42

    9. Appendix................................................................................................................................................. 44

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    6/52

    1

    Executive Summary

    This is the era of Information and Communication Technology. The prime concern of this

    decade of electronic revolution is to establish and ensure a better way of management,

    communication and development with the use of information and information oriented services

    based on computer and information technology. Crossing the boundary of personal computations

    and communications, the uses of digital media for greater levels of management has been

    initialized early in the century. Electronic Marketing or m-marketing may simply be considered

    as an extension of this trade. With the enhanced facilities of technology for providing smart and

    easy living, M-marketing has become a prime demand in the world for ensuring better and

    quicker product marketing, wider and comprehensive representation, stable and competitivepricing throughout the various sectors of business and marketing including other e-services.

    Mobile marketing or mobile marketing is the extension of m-marketing which works within a

    mobile device using a mobile network infrastructure. M-marketing is an emerging technology

    and like m-marketing it has numerous issues and concerns. This Project will try to identify the

    concerns in regards of the implementation of m-marketing in a developing country. The research

    is conducted using both the primary and the secondary sources. Primary data are collected by

    using online questionnaires from different stakeholders of m-marketing or m-marketing in

    Bangladesh. Collected data are analyzed with the help of standard statistical tools and the results

    are produced with appropriate tables and graphs. The secondary data are collected through the

    widespread literature reviews and online sources which are taken from books, journals,

    conference articles, reports and newspapers. The result indicates some constructive findings

    regarding the implementation challenges of mobile marketing within Bangladesh. A set of

    recommendations are given to make the implementation process easy

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    7/52

    2

    1. Introduction

    M-marketing or Mobile Marketing refers to wireless electronic marketing used for conducting

    marketing or business through a handy device like cellular phone or Personal Digital Assistant

    (PDAs). In other words it is the ability to conduct marketing using a mobile device, such as a

    mobile phone, a Personal digital assistant (PDA), a Smartphone, or other emerging mobile

    equipment such as dashpot mobile devices It is the next generation wireless m-marketing that

    needs no wire and plug-in devices. Mobile marketing is usually called as 'm-Marketing' in which

    user can do any sort of transaction including buying and selling of the goods, asking any

    services, transferring the ownership or rights, transacting and transferring the money by

    accessing wireless internet service on the mobile handset itself. The next generation of marketingwould most probably be mobile marketing or m-marketing. Presuming its wide potential reach

    all major mobile handset manufacturing companies are making WAP enabled smart phones and

    providing the maximum wireless internet and web facilities covering personal, official and

    marketing requirement to pave the way of m-marketing that would later be very fruitful for them.

    1.1.Origin of the project report

    This study and the resulting report was conducted and submitted as a project requirement (BUS

    498) course .The report was authorized by Sharmin Akther, project instructor of my course, and

    lecturer, Department of Business Administration, East West University.

    1.2.Objective of the Report

    Broad Objective

    The main objective of this report is to get the practical insight about m-marketing and to find out

    the problems and prospect in Bangladesh.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    8/52

    3

    Specific Objective

    To identify the SWOT analysis of m-marketing industry To find out bottlenecks and recommend solutions to them

    1.3 Scope of the Report

    E marketing websites and the relative fields were the scope of the study

    1.4 Research Methodology

    The research is basically both exploratory and conclusive in nature. In the first place, an analysisof the e marketing services and fields are undertaken. Secondly, a session with different

    consumers of the services was held. Based on the data given by them, analysis was done. Finally

    with the help of secondary data, the report is completed.

    Primary data

    1. Information on website

    2. Interview with users

    Secondary Data

    1. Articles published on internet

    2. Journals

    1.5 Limitations

    Time constraints were one of the most important factors that imposed restrictions onconducting the study extensively.

    Scarcity of Secondary Data Limitation of Scope was another important point that was faced during execution of the

    study.

    Privacy or reluctance to disclose confidential data was another important problem.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    9/52

    4

    2. Theoretical Background

    2.1 M-commerce & M-marketing

    Mobile Commerce refers to wireless electronic commerce used for conducting commerce or

    business through a handy device like cellular phone or Personal Digital Assistant (PDAs). It is

    also said that it is the next generation wireless e-commerce that needs no wire and plug-in

    devices. Mobile commerce is usually called as 'm-Commerce' in which user can do any sort of

    transaction including buying and selling of the goods, asking any services, transferring the

    ownership or rights, transacting and transferring the money by accessing wireless internet service

    on the mobile handset itself.

    Mobile marketing can refer to one of two categories of interest. First, and relatively new, is

    meant to describe marketing on or with a mobile device, such as a cell phone using SMS

    Marketing. (This is an example of horizontal telecommunication convergence). Second, and a

    more traditional definition, is meant to describe marketing in a moving fashion - for example -

    technology road shows or moving billboards. Although there are various definitions for the

    concept of mobile marketing, no commonly accepted definition exists. One definition comes

    from marketing professor Andreas Kaplan who defines mobile marketing as "any marketing

    activity conducted through a ubiquitous network to which consumers are constantly connected

    using a personal mobile device". Within this definition, Kaplan uses two variables, i.e. the degree

    of consumer knowledge and the trigger of communication, to differentiate between four types of

    mobile marketing applications: Strangers, Victims, Groupies, and Patrons.

    Mobile marketing can also be defined as the use of the mobile medium as a means of marketing

    communicationor distribution of any kind of promotional or advertising messages to customer

    through wireless networks. More specific definition is the following: using interactive wireless

    media to provide customers with time and location sensitive, personalized information that

    promotes goods, services and ideas, thereby generating value for all stakeholders".

    Mobile marketing is commonly known as wireless marketing. However wireless is not

    necessarily mobile. For instance, a consumers communications with a Web site from a desktop

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    10/52

    5

    computer at home, with signals carried over a wireless local area network (WLAN) or over a

    satellite network, would qualify as wireless but not mobile communications.

    The next generation of commerce would most probably be mobile commerce or m-commerce.

    Presuming its wide potential reach all major mobile handset manufacturing companies are

    making WAP enabled smart phones and providing the maximum wireless internet and web

    facilities covering personal, official and commerce requirement to pave the way of m-commerce

    that would later be very fruitful for them.

    2.2 History of m-marketing

    M-marketing was intuitive in 1997 when the first two mobile-phones enabled Coca-Cola vending

    machines were installed in the Helsinki in Finland. The machine was capable of accepting

    payment via SMS text messages. The first mobile phone-based banking service was launched in

    1997 by Merita Bank of Finland, also using SMS. The following year in 1998, the first sales of

    digital content as downloads to mobile phones were made possible when the first commercial

    downloadable ringtones were launched in Finland by Radio linja currently known as Elisa Oyj.

    The next stage of m-marketing was proceeding by two major national commercial platforms for

    mobile marketing launched in 1999: Smart Money (http://smart.com.ph/money/) in the

    Philippines, and NTT DoCoMo's i-Mode Internet service in Japan. I-Mode offered are

    evolutionary revenue-sharing plan where NTT DoCoMo kept 9 percent of the fee users paid for

    content, and returned 91 percent to the content possessor.

    M-marketing-related services then stretched rapidly in early 2000. Norway launched mobile

    parking payments. Austria offered train ticketing via mobile device. Japan offered mobile

    purchases of airline tickets. M-marketing mount up quickly after the first university short course

    to discuss mobile marketing was held at the University of Oxford in 2003, with Tomi Ahonen

    and Steve Jones lecturing. As of 2008, UCL Computer Science and Peter J. Bentley

    demonstrated the potential for medical applications on mobile devices. PDAs and cellular phones

    have become so popular that many businesses are beginning to use mobile marketing as a more

    efficient way to communicate with their customers. In order to exploit the potential mobile

    marketing market, mobile phone manufacturers such as Nokia, Ericsson, Motorola, and

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    11/52

    6

    Qualcomm are working with carriers such as AT&T Wireless and Sprint to develop WAP-

    enabled Smartphone. Smartphone offer fax, e-mail, and phone capabilities. In recent times, brick

    and mortar business owners, and big-box retailers in particular, have made an effort to take

    advantage of mobile marketing by utilizing a number of mobile capabilities such as location

    based services, barcode scanning, and push notifications to improve the customer experience of

    shopping in physical stores. By creating what is referred to as a 'bricks & clicks' environment,

    physical retailers can allow customers to access the common benefits of shopping online (such as

    product reviews, information, and coupons) while stills hopping in the physical store. This

    is seen as a bridge between the gaps created by m-marketing and in-store shopping, and is being

    utilized by physical retailers as a way to compete with the lower prices typically seen through

    online retailers.

    2.3 Media of m-marketing

    Marketing can be done through the following media:

    2.3.1 Mobile marketing via SMS Marketing

    Over the past few years SMS Marketing has become a legitimate advertising channel in some

    parts of the world. This is because unlike email over the public internet, the carriers who police

    their own networks have set guidelines and best practices for the mobile media industry

    (including mobile advertising). Mobile marketing via SMS has expanded rapidly in Europe and

    Asia as a new channel to reach the consumer.

    2.3.2 Mobile marketing via MMS

    Almost all new phones (including smart phones) produced with a color screen are capable of

    sending and receiving standard MMS message. Brands are able to both send

    (mobile terminated) and receive (mobile originated) rich content through MMS

    A2P (application-to-person) mobile networks to mobile subscribers. MMS mobile

    marketing can contain a timed slideshow of images, text, audio and video. This

    mobile content is delivered via MMS (Multimedia Message Service).

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    12/52

    7

    2.3.3 In-game mobile marketing

    Brands are now delivering promotional messages

    within mobile games or sponsoring entire games to drive

    consumer engagement. This is known as mobile adver gaming

    or Ad-funded mobile game.

    2.3.4 Mobile web marketing

    Advertising on web pages specifically meant for access by mobile devices is also an option.

    Google, Yahoo, and other major mobile content providers have been selling advertising

    placement on their properties for years already as

    of the time of this writing.

    Advertising on web pages specifically meant for

    access by mobile devices is also an option.

    Google, Yahoo, and other major mobile content

    providers have been selling advertising placement

    on their properties for years already as of the time

    of this writing.

    2.3.5 Mobile marketing via QR codes

    Paralleling the rise in smart phone adoption, QR codes have become much more prevalent in

    marketing pieces both on and offline. Acting

    as a visual hyper-link to a page, QR codes

    make it easy to jump someone to a mobile

    optimized offer page and as such, represent a

    very powerful tool for initiating consumer

    engagement at the time.

    2.3.6 Mobile marketing via Bluetooth

    Most of these businesses offer "hotspot" systems which consist of some kind of content-

    management system with a Bluetooth distribution function.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    13/52

    8

    2.3.7 Mobile marketing via Infrared

    Infrared is the oldest and most limited form of mobile Marketing. Infrared has a very limited

    range (~ approx. 10 cm - 1meter) and could never really establish itself as a leading Mobile

    Marketing technology.

    2.4 Benefit of M-marketing

    Mobile marketing is an excellent way for you to connect to your intended audience in an

    effective manner every time. There are several benefits to using this time of marketing and you

    may not realize the potential it creates for your business. Finding that all important target

    moment when it will strike the individual just right is the difference between effective

    advertising and a waste of your advertising dollar. Here are some things to consider about mobile

    marketing. One of the many benefits that mobile marketing works well for is the simple fact that

    it is personal in nature. Consider the fact that instead of advertising on a huge billboard and

    hoping that those that drive by will see it, you are giving personal attention to the individual.

    Instead of hoping that the channels don't get changed when your commercial comes on, send it

    right to the individual and know that when they glance at their phone, they already have your

    message. This personal touch is quite powerful. Another option is the immediacy of mobile

    marketing. You don't have to wait for them to act as many times they have the ability to click

    through the message to obtain information about your product or service right then. One of the

    hardest tasks in marketing is getting the message out and then making it stick. This method

    works well as the action can be taken immediately. That gets you immediate results for your

    advertising. With hundreds of products coming online each day, it is hard to make one product or

    one service stand out against the rest. With mobile marketing, the audience you are targeting gets

    your message about who you are, what your business is and about what products are availableimmediately and they can then act on it. Mobile marketing is fast becoming the most successful

    type of marketing. Look for it to continue to grow as the world becomes even more mobile

    advanced.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    14/52

    9

    2.5 Pros and cons of M-marketing

    There was a time when e-Marketing was very much the thing for all marketers. Offering various

    benefits, it had practically changed the face of conventional marketing and the way companies

    viewed this aspect of business. Now, with the further advent of advanced mobile devices

    bringing in a lot more connectivity, Mobile Marketing is going far beyond e-Marketing.

    Mobile marketing gives the user far more advantages, such as lower cost, customization, easy

    tracking and so on, thereby reducing manpower and yet giving the entrepreneur better business

    benefits and profits.

    2.5.1 Pros of mobile marketing

    Instant results

    Users always carry their mobile phones with them. Most of the time, the user has his mobile

    phone on as well, which means, he or she receives the message at the very moment it is sent.

    Even if it is in standby mode, the message is received as soon as the user turns on his mobile

    device. Hence, mobile marketing techniques are always almost instant.

    Easy to work with

    Drawing out content for mobile devices, whether it is text, images or video is simpler and less

    expensive as compared with the same for desktops or laptops.

    The mobile medium also makes easier to issue promotions and marketing incentive services to

    the user. Further, the user can keep the virtual information with him and carry it around till the

    time he needs to use it.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    15/52

    10

    Convenient to useSince the screen size of a mobile phone is small, it limits the scope of content that can be

    displayed. This makes it convenient for the creators of the content, who can keep it basic and

    simple. Also, simpler content will adapt itself better to various mobile platforms.

    Direct marketing

    The mobile platform interacts directly with users on their mobile phones. This allows for

    personalized interaction to a large extent. Using this benefit, marketers can even start a direct

    dialogue with the user, getting instant feedback via SMS.

    Tracking user response

    User response can be tracked almost instantaneously. This helps the mobile marketer better

    understand and analyze user behavior, thus improving their own standards of service.

    Huge viral potential

    Since mobile content can be easily shared among users, mobile marketing can have huge viralbenefits. Users invariably share good information and offers with their friends and family, so

    companies get a lot more exposure with no extra effort.

    Mass communication made easySince a lot more people own mobile phones than desktops or laptops, mobile marketing helps the

    marketer reach a far wider and diverse audience, especially in the more remote regions of the

    world. Mobile marketing also gives the entrepreneur the advantage of geo-location and sending

    location-specific messages to users, using GPS and Bluetooth technology.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    16/52

    11

    Niche not highly concentratedMobile marketing is still only being explored, so the niche is still comfortable for any new

    marketer. This means that he stands a better chance of success with his mobile marketing efforts.

    Micro blogging benefitsMobile users are increasingly using micro blogging platforms like Twitter from their mobile

    phones. This micro blogging feature can be very highly beneficial to the marketer.

    Mobile paymentThe latest mobile payment facility is very convenient for the users today. Here, users are offered

    a secure online payment environment, which works via advanced mobile Web systems. This

    means that the user does not need to cough up physical currency each time he wants to make a

    mobile purchase or pay a bill online.

    2.5.2 Cons of mobile marketing

    Platforms too diverse

    Mobile devices do not have any particular standard, as compared to PCs and laptops. Mobile

    phones come in many shapes and sizes, so screen size is never constant. Besides, mobile

    platforms vastly differ from each other, using different OS and browsers. Hence creating one

    campaign for all of them can get difficult.

    Privacy issues

    Mobile marketers need to understand and respect the fact that users would like their privacy

    online. So they should only indulge in promotional activity if they have the users permission for

    it.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    17/52

    12

    Navigation on a mobile phone

    The mobile phone usually comes with a small screen and no mouse. This means that navigation

    on a mobile phone may get difficult for the user, even if it has a touch screen. In such a case,

    most ads may go untouched, as the user may find it too tedious to look in detail through each one

    of them.

    2. Analysis and Findings

    2.1 Demographic information

    Gender (Male vs. Female):

    In this survey I have collected data from 50 respondents. In this respondents major

    portion are male and around 72% is their ratio.

    Gender Respondent

    Male 36

    Female 14

    72%

    28%

    Gender

    Male

    Female

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    18/52

    13

    Age Group:

    In this survey the major part of respondents are from the age level 18-22 and

    this is around 70%.My reports respondents were basically young and middle

    aged person thats why60+ Age group is nil.

    Age Group Respondent

    0-18 1

    18-22 35

    22-26 9

    26-30 5

    Over 30 0

    Educational Level:

    As this report is showing major portion of my respondent are undergraduate so this

    will affect the overall market scenario. This reflects that at present time educated

    2%

    70%

    18%

    10%

    0%

    Age Group

    0-18

    18-22

    22-26

    26-30

    Over 30

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    19/52

    14

    persons are taking the decision to mobile marketing tools. So they look

    carefully all the attributes of Mobile marketing.

    Education level Respondent

    SSC 0

    HSC 2

    Undergraduate 47

    Postgraduate 1

    Family monthly income

    The family monthly income highly influences the using decision of m-marketing

    tools. As this income will show the purchasing pattern of customer that are they

    looking for updated technology.

    0% 4%

    94%

    2%

    Education level

    SSC

    HSC

    Undergraduate

    Postgraduate

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    20/52

    15

    Family Monthly income Respondent

    1000015000 0

    15000-25000 0

    25000-35000 2

    35000- 45000 15

    45000-60000 30

    60000+ 3

    Profession

    This report surveys the respondents of Students. This pie chart shows my analysis,

    and more overdue to respondent limitation I had to consider student to this survey.

    Profession Respondent

    Business person 0

    Public Worker 0

    Private Worker 3

    Student 46

    Other 1

    0%0%4%

    30%

    60%

    6%

    Family Monthly Income

    1000015000

    15000-25000

    25000-35000

    35000- 45000

    45000-60000

    60000+

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    21/52

    16

    The entire research has been approached in two different phases. At the first phase the

    exploration of the customers usage decision factors has been accomplished and later the second

    phase the customers rating in those areas for influence of various advertising tools on Mobile

    Marketing and Its Prospects in Bangladesh has been tested.

    2.2 Phase 1 (Exploratory)

    At this phase, we collected qualitative data through surveys and those data are expected to help

    figure out the factors that are to be served in order to build customers perception of specifically

    influence of various advertising tools on Mobile Marketing.

    2.3 Phase 2 (Descriptive)

    The results of the first phase have worked as the ground work of this phase. The factors figured

    out in the earlier phase have been used as the criteria of evaluating the customers usage

    decision. Survey method will be used to obtain quantitative information; mostly online survey to

    obtain data from a large sample within short time duration.

    0% 6%

    92%

    2%

    Profession

    Business person

    Public Worker

    Private Worker

    Student

    Other

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    22/52

    17

    Information Needed

    To conduct this research, we need to find out what factors are affecting the influence Mobile

    Marketing. As the secondary information, we need to read articles & user reviews of Mobile

    Marketing as an upgraded service providing solution from the internet, while as a primary

    information we will directly communicate with the users/customers who are exposed with any

    sort of mobile Marketing.

    1.1 Data Collection from Secondary SourcesFor the secondary data collection, the major source is internet.

    1.2 Data Collection from Primary SourcesFor the primary data collection, the main source is our valued respondents.

    1.3 Scaling TechniquesAmong the different scaling techniques, we have used one of the most commonly used itemized

    rating scales that are Likert Scale, for conducting our research. Our main questions from the

    questionnaire are consisting of this Likert scales.

    1.4 Questionnaire Development & PretestingAt the beginning stage, to find out the factors that influence various advertising tools of Mobile

    Marketing, we made 4 structured questionnaires containing several variables related to Mobile

    Marketing attractiveness and asked the respondent to rank the variables. Then, by conducting an

    exploratory research with the questionnaire, we have found out six most important factors related

    to the attractiveness of Mobile Marketing.

    After this, using a 7 point Likert scale we made 45 more questionnaires for the testing survey and

    gathered respondents feedback. After adjusting the feedbacks we finally made our final

    questionnaire. A total of 28 questions were included in the final questionnaire. In ourquestionnaire we have also included some demographic questions to find out the respondents

    age, family income, gender and occupation. A copy of the questionnaire is attached in the

    appendix part of the report.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    23/52

    18

    1.5 Sampling techniqueWe have used convenient sampling technique lying under the non-probability sampling

    techniques.

    h. Fieldwork Field work of our group complied a total of 7 days including the weekdays &

    weekends which consists of the printing the questionnaire, finding and talking to respondents,

    taking the surveys, collecting the questionnaires back and rechecking whether any answers are

    being missed in the questionnaire.

    Reliability Test:Reliability test for measuring Dependent variable using 10 items

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Dep1 33.4375 22.097 .485 .684

    Dep2 33.4125 22.904 .265 .713

    Dep3 33.8250 21.842 .311 .709

    Dep4 33.5250 20.936 .578 .667

    Reliability Statistics

    Cronbach'sAlpha N of Items

    .718 4

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    24/52

    19

    Interpretation

    The reliability test of dependent variable for the four variables has been done from the reliability

    analysis. Here, the overall alpha is .718, which means that all the independent variables have an

    internal consistency of 71.8% among each other which is almost 72%. Again individually from

    the column "Cronbach's Alpha if Item Deleted", we can see that if we delete any of the items

    there will not be increase in the consistency. So, we kept all the variables and did not delete

    anyone.

    Reliability test for measuring independent variables [Mobile Advertising]

    Item-Total Statistics

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Mob_Ad1 11.2125 3.056 .442 .697

    Mob_Ad2 11.0375 3.454 .539 .600

    Mob_Ad3 11.2875 3.904 .589 .595

    Reliability Statistics

    Cronbach's

    Alpha

    N of

    Items

    .700 3

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    25/52

    20

    Interpretation

    For the reliability test of the independent variable Mobile Advertising, three dimensions have

    been pulled out from the reliability analysis. We can see that alpha is 0.700 which means that all

    the dimensions have an internal consistency of 70.00% among each other. It is very much

    dependable for the internal consistency. Again individually from the column "Cronbach's Alpha

    if Item Deleted " we can see that, alpha value does not increase much if any question or item is

    deleted. So, we kept all of the items.

    Reliability test for measuring independent variables [Mobile Banking]

    Item-Total Statistics

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Mob_bn1 11.3500 3.370 .312 .577

    Mob_bn2 11.0625 3.629 .332 .562

    Mob_bn3 11.1125 2.658 .565 .366

    Reliability Statistics

    Cronbach's

    Alpha

    N of

    Items

    .598 3

    Interpretation

    For the reliability test of the independent variable Mobile Banking, three dimensions have been

    pulled out from the reliability analysis. We can see that alpha is 0.598 which means that all the

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    26/52

    21

    dimensions have an internal consistency of 59.80% among each other. It is very much

    dependable for the internal consistency. Again individually from the column "Cronbach's Alpha

    if Item Deleted" we can see that, alpha value does not increase much if any question or item is

    deleted. So, we kept all of the items.

    Reliability test for measuring independent variables [Mobile Ticketing]

    Item-Total Statistics

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Mob_tic1 10.9125 2.866 .306 .280

    Mob_tic2 10.7750 3.316 .167 .429

    Mob_tic3 11.0625 2.794 .309 .274

    Reliability Statistics

    Cronbach's

    Alpha

    N of

    Items

    .426 3

    Interpretation

    For the reliability test of the independent variable Mobile Ticketing, three dimensions have been

    pulled out from the reliability analysis. We can see that alpha is 0.426 which means that all the

    dimensions have an internal consistency of 42.60% among each other. It is not very dependable

    for the internal consistency. Again individually from the column "Cronbach's Alpha if Item

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    27/52

    22

    Deleted" we can see that, alpha value does not increase much if any question or item is deleted.

    So, we kept all of the items.

    Reliability test for measuring independent variables [Bill Pay]

    Item-Total Statistics

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Bil_pay1 17.8750 11.478 .227 .718

    Bil_pay2 17.8250 10.526 .549 .624

    Bil_pay3 17.7875 10.347 .424 .655

    Reliability Statistics

    Cronbach'sAlpha

    N ofItems

    .695 3

    Interpretation

    For the reliability test of the independent variable bill pay, three dimensions have been pulled out

    from the reliability analysis. We can see that alpha is 0.695 which means that all the dimensions

    have an internal consistency of 69.50% among each other. It is very much dependable for the

    internal consistency. Again individually from the column "Cronbach's Alpha if Item Deleted" we

    can see that, alpha value does not increase much if any question or item is deleted. So, we kept

    all of the items.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    28/52

    23

    Reliability test for measuring independent variables [Fund Transfer]

    Item-Total Statistics

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Fund_trn1 14.2125 6.220 .417 .447

    Fund_trn2 14.2250 7.113 .156 .574

    Fund_trn3 14.5750 5.134 .359 .469

    Reliability Statistics

    Cronbach's

    Alpha

    N of

    Items

    .551 3

    Interpretation

    For the reliability test of the independent variable Fund Transfer, three dimensions have been

    pulled out from the reliability analysis. We can see that alpha is 0.551 which means that all the

    dimensions have an internal consistency of 55.10% among each other. It is very much

    dependable for the internal consistency. Again individually from the column "Cronbach's Alpha

    if Item Deleted" we can see that, alpha value does not increase much if any question or item is

    deleted. So, we kept all of the items.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    29/52

    24

    Reliability test for measuring independent variables [Buy-Sell]

    Item-Total Statistics

    Scale Mean

    if Item

    Deleted

    Scale

    Variance if

    Item

    Deleted

    Corrected

    Item-Total

    Correlation

    Cronbach's

    Alpha if

    Item

    Deleted

    Buy_sel1 10.7250 3.645 .199 .549

    Buy_sel2 10.8000 3.352 .485 .336

    Buy_sel3 10.7500 2.949 .375 .392

    Reliability Statistics

    Cronbach's

    Alpha

    N of

    Items

    .524 3

    Interpretation

    For the reliability test of the independent variable Buy-Sell, three dimensions have been pulled

    out from the reliability analysis. We can see that alpha is 0.524 which means that all the

    dimensions have an internal consistency of 52.40% among each other. It is very much

    dependable for the internal consistency. Again individually from the column "Cronbach's Alpha

    if Item Deleted" we can see that, alpha value does not increase much if any question or item is

    deleted. So, we kept all of the items.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    30/52

    25

    Regression Analysis:

    Before conducting the regression analysis, we have identified mean values for the consistent

    items of the dependent and independent variables. After doing this, we have conducted the

    regression analysis by taking the mean values of the dependent variable and six independent

    variables. After conducting the regression analysis, the result that we have found is provided

    below-

    Model Summary

    Mode

    l R R Square

    Adjusted

    R Square

    Std. Error

    of the

    Estimate

    1 .799(a) .638 .598 .32393

    a Predictors: (Constant), Mob_Ad, Mob_bn, Mob_tic, Bil_pay, Fund_trn, Buy_sel,

    We can see here that the value of the R square is 0.638 which means the independent variables

    that we have selected can explain the dependent variable by 63.8%. So we can say that theindependent variables (Mobile Advertising, Mobile Banking, Mobile Ticketing, Bill Pay,

    Fund Transfer, Buy-Sell) has a good explaining ability to explain the dependent variable

    (factors influencing customer perception about Mobile Marketing) because the value is quite

    high. This result means that there may be other variables which can also explain the dependent

    variable. So, further research can be made to identify those variables.

    Regression Equation:

    Mod

    el

    Unstandardized Coefficients Standardized

    Coefficients

    t Sig.

    B Std. Error Beta

    1 Constant) .042 .381 .110 .913

    Mob_Ad .230 .083 .273 2.760 .007

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    31/52

    26

    Mob_bn .031 .075 .050 .416 .679

    Mob_tic .249 .088 .272 2.824 .006

    Bil_pay .218 .096 .232 2.271 .026

    Fund_trn .079 .091 .096 .864 .391

    Buy_sel -.021 .080 -.024 -.263 .793

    Y = .042+ .273X1 + .050X2 + .272X3 + .232X4 + .096X5 - .024X6

    Here, Y = Customer usage decision of M marketing

    X1 =Mobile Advertising

    X2 =Mobile Banking

    X3 =Mobile Ticketing

    X4 =Bill Pay

    X5 = Fund Transfer

    X6 =Buy-Sell

    Hypothesis Testing:Here we are going to test the hypothesis of our selected eight independent variables.

    1. H0:Mobile Advertising does not influence customer perception about Mobile MarketingH1: Mobile Advertising influences customer perception about Mobile Marketing.

    Independent Variables Standardized Regression

    Coefficient ( )

    P

    Mobile Advertising .273 .007

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    32/52

    27

    The table above shows that speed has a positive relation to the (= 0.273) customer perception

    about Mobile Marketing. But, we can see that the P value [0.007] is lower than alpha value 0.05.

    So, H1 is accepted and H0 is rejected. And that is, Mobile Advertising influences customer

    perception about Mobile Marketing

    .

    2. H0: Mobile Banking dose not influences customer perception about Mobile Marketing.H1: Mobile Banking influences customer perception about Mobile Marketing.

    The table above shows that Mobile Banking has a positive relation to the (= 0.050) customer

    perception about Mobile Marketing. But, we can see that the P value is [0.679] and is higher than

    alpha value 0.05. So, H0 is accepted and H1 is rejected. And that is,Mobile Banking dose not

    influences consumer purchase decision.

    3. H0: Mobile Ticketing dose not influence customer perception about Mobile Marketing.H1: Mobile Ticketing customer perception about Mobile Marketing.

    Independent Variables Standardized Regression

    Coefficient ( )

    P

    Mobile Banking .050 .679

    Independent Variables Standardized Regression

    Coefficient ( )

    P

    Mobile Ticketing .272 .006

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    33/52

    28

    The table above shows that Mobile Ticketing has a positive relation to the (= 0.272) customer

    perception about Mobile Marketing. But, we can see that the P value [0.006] is lower than alpha

    value 0.05. So, H1 is accepted and H0 is rejected. And that is, Mobile Ticketing influences the

    customer perception about Mobile Marketing

    .

    4. H0: Bill Pay does not influence customer perception about Mobile Marketing.H1: Bill Pay influences customer perception about Mobile Marketing.

    The table above shows that Bill Pay has a positive relation to the (= 0.232) customer perception

    about Mobile Marketing. But, we can see that the P value [0.026] is lower than alpha value 0.05.

    So, H1 is accepted and H0 is rejected. And that is, Bill Pay influences consumer purchase

    decision.

    5. H0:Fund Transfer does not influence customer perception about Mobile MarketingH1: Fund Transfer influences customer perception about Mobile Marketing.

    The table above shows that Fund Transfer has a positive relation to the (= 0.096) customer

    perception about Mobile Marketing. But, we can see that the P value is [0.391]and is higher than

    Independent Variables Standardized Regression

    Coefficient ( )

    P

    Bill Pay .232 .026

    Independent Variables Standardized Regression

    Coefficient ( )

    P

    Fund Transfer .096 .391

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    34/52

    29

    alpha value 0.05. So, H0 is accepted and H1 is rejected. And that is, Fund Transfer does not

    influence consumer purchase decision.

    6. H0: Buy-Sell does not influence customer perception about Mobile Marketing.H1: Buy-Sell influence customer perception about Mobile Marketing.

    The table above shows that Buy-Sell has a negative relation to the (= -.024) customer

    perception about Mobile Marketing. But, we can see that the P value is [0.793]and is higher than

    alpha value 0.05. So, H0 is accepted and H1 is rejected. And that is, Buy-Sell does not

    influence consumer purchase decision.

    ResultsIn our study we have found out factors which affect customer perception about Mobile

    Marketing. Through an exploratory research the factors we have found are- Mobile Advertising,

    Mobile Banking, Mobile Ticketing, Bill Pay, Fund Transfer, Buy-Sell.

    Here, the R2 value is .638, which states that the independent variables can explain the dependent

    variable so well. There must be some other factors which also effects usage decision of customer

    perception about Mobile Marketing.

    After running the regression analysis we have found out that Mobile Advertising, Mobile

    Ticketing and Bill Pay have a significant positive effect on the customer perception about MobileMarketing. Other than Mobile Banking and all the factors also have positive effect on usage

    customer perception about Mobile Marketing but they are not significant.

    Independent Variables Standardized Regression

    Coefficient ( )

    P

    Buy-Sell -.024 .793

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    35/52

    30

    LimitationsAs we have selected the convenience sample for conducting our research and its already has

    some argument so that we think we may have overlooked some potential respondent who might

    have given us the more accurate answer.

    The R2 (.638), is suggest that there are other such factors which can also influence customer

    perception about Mobile Marketing. Further study should include other factors except those we

    consider here. Moreover, among six factors only three factors have been accepted as significant.

    So, further research should conduct an exploratory research to identify other factors other than

    these that influence people perception about Mobile Marketing.

    4. The Areas of M-commerce in Bangladesh

    Mobile devices are widely accepted due to the convenience and it will evolve into personal

    trusted devices which pack users identity, purchasing power and benefiting various aspects

    of their daily lives. It plays an important role for users in order to facilitate the vision of an

    intelligent ambience, by collecting and communicating various personal habits and preferences,

    and enabling their environments to sense and react. Wireless communications and services areenabled by the convergence of two technologies, the Internet and wireless technology such as

    mobile phones and personal digital assistant. And today's mobile devices fulfill this need for

    real-time information and communication independent of the users location. A user can connect

    to the Internet wherever and whenever they want since the mobile Internet has unique strengths

    over the stationary Internet. Abundant information has indicated the proliferation of wireless

    Internet via mobile devices which is creating unparalleled opportunities for m-commerce to

    leverage the benefits of mobility. It allows consumers and businesses to build connectivity by

    transcending time and place, increasing accessibility, and expanding their

    social and business networks. Therefore, the proponents claim that the m-commerce will surpass

    e-commerce in growth and scale because of the enhanced mobile internet attributes.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    36/52

    31

    4.1 Mobile Financial Services

    The rapid pace adoption of next-generation mobile handsets has created opportunities for new

    and innovative mobile services. One of the most promising, while still marginally adopted, are

    mobile financial services. The wide penetration and personal nature of mobile phones, the

    overall stability of mobile communication technologies, and the positive experiences with m-

    commerce payments have made mobile solutions applicable for a variety of financial services.

    Today, almost every telecom company in Bangladesh introduced mobile payments system.

    Mainly mobile are used to pay for popular mobile content and services since there are few

    alternative payment solutions available. More generally, security and convenience have been

    suggested as the key drivers for the growth of m-commerce. Personal mobile devices are

    effective in identifying the payer and confirming the transaction. Despite the claims

    of insecurity, the users seem to be willing to use quite simple mechanisms. Lots of transaction is

    being introduced by Bangladeshi Telecom Company, such as the money transfer from mobile to

    mobile, bill payment, Banglalink money transfer from abroad to Bangladesh, etc.

    4.2 Mobile Payments

    Mobile payments are expected to become one of the most important applications in m-

    commerce. M-commerce involves m-payment, which is defined as the process of two parties

    exchanging financial value using a mobile device in return for goods or services. Therefore, a

    widespread use of mobile phone has emerged a number of payment schemes which allow the

    payment or goods/services from the mobile device. Micro-payments can be implemented when a

    user make a toll call equal to the cost of it paying via wireless vending service. Another way of

    micro-payment is to buy prepaid numbers from a service provider, bank or credit card company

    and transfer the payment. Remote mobile micro payments enable purchases of mobile content

    and services such as news, games, tickets, and location-based services. Almost every telecom

    company in Bangladesh introduced this Mobile payment system. GrameenPhone introduced

    Electricity bill Payment, Gas bill payment, BD Railway E-ticket, Etc.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    37/52

    32

    4.3 Information Search

    After the bursting of dotcom bubble, e-commerce has gone downwards to hell. But the evolution

    of mobile commerce has again worked as ambrosia for them. A separate sector has been evolved

    to exercise on this field for the IT experts. The webmasters have skillfully exploited this new

    area of IT-enabled commerce. In the IT field, mobile commerce has been used massively to

    deliver financial news, stock updates, sports figures

    and traffic updates and many more onto a single

    handheld device mobile'. Almost Every company has

    this information search facilities. News alerts,

    Different seasonal Festival alerts, such as Ramadan

    timing, Namaz schedule, sports alerts or

    information, social networking alerts, etc.

    4.4 Mobile Banking

    Mobile banking services are valued by users because of the inherent time and place

    independence, and the overall effort-saving qualities. Mobile banking services enable users to

    receive information on their account balances via SMS. The new WAP and Java- enabled mobile

    phones using General Packet Radio Service

    (GPRS) support a wider variety of banking

    services such as fund transfers between accounts,

    stock trading, and confirmation of direct

    payments via the phones micro browser. The

    mobile services are typically modified versionsof the Internet banking services of the particular

    bank and the architectures are backed by several

    banking industry consortiums. Mobile Bank

    Service Provider Several banks have introduced

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    38/52

    33

    successful mobile financial services for smart phone users. Some bank provides users with a

    wireless banking application, which is built using the same back-office infrastructure as its

    Internet bank. City Bank has started their mobile banking system in order to provide advanced

    customer service.

    4.5 Mobile Advertising

    Mobile advertising is a very important class of m-commerce; it augments location information

    with personalization and delivers the obtained history ofusers purchases habits. Advertising on

    mobile devices has large potential due to the very personal and intimate nature of the devices and

    high targeting possibilities. By keeping track ofusers purchasing habits and current location, atargeted advertising campaign can be performed. Messages can be sent to all users who are

    currently in a certain area (identified by advertisers or even by users) or to certain users in all

    locations. Depending on interests and personality types of individual users, advertisers could

    decide whether a push or pull form of advertising is more suitable. Most users did not mind

    being pushed for mobile location-aware services information, as long as they really needed

    the information. A location-aware or location-based service is a service where a users behavior

    is mostly driven by location information. And proximity-triggered mobile advertising is a special

    case of location-based notification services. Notification services are user-driven, e.g. getting a

    notification when a set of conditions is met. On the other hand, advertising is typically not user-

    driven, i.e. the recipient does not request or pull the advertisements from a server, but they are

    pushed to him/her instead. These services utilize a users location to provide location-aware

    content including information on restaurants, devices, users, and products. When a mobile user

    enters an area, the list of services and location information can be provided based on current

    preferences or the history of choices. For instance, one user might be interested in knowing the

    availability and waiting time at one or more restaurants close to his/her current location

    (pull).Another user might like to be informed when one of his/her friend is located in the same

    general area (push).Mobile Advertising Service Provider such as Airtel, GP, Teletalk are doing

    this kind of advertisement. Companies itself new product & service promotions, government

    promotions, NGO promotions etc. are been advertised widely in Bangladesh. To create a uniform

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    39/52

    34

    set of guidelines for wide scale use of mobile advertising, the Advertising Association and

    Marketing Association merged together.

    4.6 Mobile Entertainment

    Mobile entertainment (m-entertainment) is concerned with providing amusing and enjoyable

    services for users via wireless technology to mobile devices. Most people make some form

    of traditional pure entertainment part of their daily lives, bringing these forms of content to

    mobile devices is an appealing notion. Mobile entertainment is a Business-to-Consumer service

    which is done during leisure time. Mobile Entertainment Services and Games (B2C) are

    applications providing entertainment services to users on a per event or subscription basis. These

    include video- on-demand, audio-on-demand, and interactive games. These companies offer

    songs, caller tune service, videos, animations, love quotes, jokes, etc.

    4.7 Mobile Gaming

    Mobile devices offer the opportunity to play games nearly everywhere. Moreover, networked

    games allow individual players to interact with other people and to participate in a larger gaming

    world, which also provides for new business opportunities. Advances in mobile computing and

    wireless communication technology enable the creation of games with appealing graphics and

    game play on a variety of mobile devices ranging from smart-phones to PDAs and other

    portable computing devices. Therefore, the popularity of mobile games played on portable

    handsets is increasing and the huge possibilities for growth in this area are already being taken

    seriously by traditional mobile telecommunications handset vendors. Device makers are

    designing GSM handsets with hardware and user interfaces specifically designed for gaming as

    exemplified by Nokia with their recent N-gage device. In essence these new devices offer

    players the ability to play head to head with their friends or any other players at any time and in

    any place.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    40/52

    35

    4.8 Mobile Music

    A key advantage of mobile music is having users phone and music player in the same small

    device. Nokia has developed many mobile phones with integrated technologies to play music,

    either from a digital music player or an FM stereo radio. A user can hear Stereo FM radio, tune

    in to visual radio to see the screen of mobile device, listen music as well as to download digital

    music tracks in AAC format. Instead of carrying a MP3player a user can carry a mobile phone as

    a substitute. Mobile music has become an important area of digital services for customer

    convenience and their convenience is considered as a key. Nokia have together developed mobile

    music service for mobile device users, where they can purchase digital music in a protected file

    format. The music bought from the online music store is downloaded to the users computer and

    then transferred to the device. Apple as well provides the same service through its I-store.

    4.9 Mobile Shopping

    Mobile extends users ability to make transactions across time and location and creates new

    transaction opportunities. It is important to note that only a part of the purchasing process is

    conducted with the mobile terminal. The basic point is that user needs to know what he/she

    wants in advance of making a mobile purchase. Moving forward, it seems most likely that a

    shopping list might be created with a web interface, which may then be executed from a mobile.

    At the current stage of technological development the customer must ideally be faced with a one-

    button purchase experience for mobile shopping. The purchase suggestions will often be based

    on the users past behavior patterns. Cell bazaar is a live example introduced by

    Grameenphone to begin this sort of M-commerce.

    4.10 Mobile Retailing

    Mobile retailing is an interesting m-commerce application to use a Smartphone to order pizza

    from a delivery service; this might be even more appealing than ordering the pizza via internet,

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    41/52

    36

    because it takes a long time to boot the PC or a PC might not be available. M-commerce

    combined with location identification creates new value, for example, when ordering a taxi or a

    pizza the vendor can automatically know where the service is to be delivered. However, there

    will be a large space for e-retailers to become m-retailers, when the personalization and location

    issues are well addressed. Books, CDs and groceries are often items, which the user knows well

    and where he needs just a tool to make a purchase. The purchase will be made when the user has

    spare time, independently of the shop opening hours and physical location. Lots of retail shops

    give different seasonal gift if the consumer possesses a certain telecom line, even order from

    some precise telecom subscriber give special discount.

    4.11 Mobile Ticketing

    Mobile electronic purchase or reservation of tickets is one of the most compelling proposed

    services, because ticket reservation/purchasing are hardly a pleasant expertise today. Either one

    has to go in person to a ticket booth, or has to call an agency or the outlet. It is clearly more

    convenient to select and book tickets directly from the mobile device, because often the decision

    to purchase is made while outside or on the move among friends. Grameenphone E-ticket in

    Bangladesh railway is a start of this kind of M-commerce. Banglalink is also offering the

    ticketing service now.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    42/52

    37

    5. M-marketing in Bangladesh: Status, Potential and Constraints

    5.1 Potential market for more advanced m-commerce

    Every day the use of mobile subscriber and the use of mobile services are increasing. Bangladesh

    has been already proved a great potential market for mobile telecom service. As a result a huge

    growth has been seen in last few years in m-commerce. But there are yet now lots of section in

    m-commerce which can be flourished. The introduction of 3G technology will take Bangladeshi

    Telecom Company to a new stage and by which lots of innovative new and existing technology

    can be introduced. More deeper, new user friendly technology and cheap m-commerce can

    certainly help the whole country economy and life style to improve. The two things which will

    help to accelerate this M-commerce are Customer Trust in M-commerce And the Security

    Challenge in M-commerce. Wireless network is a common trouble in Bangladesh that often

    causes customers suffering during communication. But there are some mobile service providers

    who have cover the whole network system around Bangladesh and therefore wireless network

    problem is reducing now. Here the companies should create a positive sense about this

    technology and as far as possible safe and reliable transaction. This will help the M-commerce to

    boost up to a new stage. Sending SMS and getting instant deduction from her mobile is

    acceptable but buying products and divulging her credit card details with in a wireless

    environment is rather risky secure transaction environment is a common phobia in Bangladesh to

    adopt the m- commerce properly. The government infrastructure is really lousy due to the high

    rate of corruption. Therefore, the adoption rate of a utility bill payment with mobile device is still

    at a slow pace. So the service provider has to gain the trust of general users that the transaction

    environment with a mobile device is secure then there would be a possibility of advanced m-

    commerce adoption in Bangladesh.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    43/52

    38

    5.2 Government Legislation

    For m-marketing to M-marketing in Bangladesh: Status, Potential and Constraints develop

    requires an enabling environment that would ensure easy and quick movement of inputs as well

    as goods and services within the country and cross border trade. However, m-marketing related

    copyright protection is not covered in the new IPR. According to the Evidence Act, 1881, a

    physical signature is necessary to make any contract legal. This makes electronic contracts void

    under Bangladeshi law. Contract Law in Bangladesh is governed by the Contract Act 1872.

    Cross border contracts are legal, but a physical signature is necessary to validate the contract.

    Legislation that legalizes digital certificates, electronic contracts, also needs to be enacted to

    promote m-marketing.

    5.3 Infrastructure: Status and Issues

    Internet services are directly dependent on the telecommunication infrastructure of the country.

    The Bangladeshi telecommunication sector is characterized by poor level of penetration, high

    cost to access and a lengthy waiting period. Recent inclusion of 3G (3

    rd

    generation telecomservice) creates a prospect of m-marketing.

    5.4 Governance

    Bangladesh has an intractable problem of poor governance. M-marketing and FDI are likely to

    reinforce each others presence and growth. Acceptance and successful application of m-

    marketing e would enhance the business environment, sending signals to foreign investors that it

    is becoming easier to do business in Bangladesh.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    44/52

    39

    5.5 Major Constraints to M-marketing

    This paper highlights various constraints to marketing and trade in general and m-marketing in

    particular-

    Mobile devices possess limitations(i.e. memory and battery life) Network operation cost is relatively high Data transmitted in wireless is vulnerable Problem with wireless network(i.e. bandwidth, connection stability) Limited display size Lack of secure transaction environment

    These are the problems impede the progress of m-marketing in Bangladesh.

    6. Recommendations

    6.1 Introduction of Advance payment system

    From paying any restaurant bill to almost all utility bills, PayMate allows mobile subscribers to

    make payments for merchant services using their cell phones. It is connected to merchants and

    banks to enable transactions. Whats more it does not require any additional software or SIM

    upgrade to process transactions.

    6.2 Mobile Auctions

    It includes applications that allow users to buy or sell certain items using multicast support of

    wireless infrastructure. These applications require that group membership not be adversely

    affected by brief wireless disconnection or intermittent connectivity as observed in many

    wireless networks of today.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    45/52

    40

    6.3 Third generation (3G) Technology

    This Application services include wide-area wireless voice telephone, mobile Internet access,

    video calls and mobile TV, all in a mobile environment. Through this technology Indias telecom

    companies introduce lots of m-commerce and almost every service is being dependent through

    this technology.

    Other M-commerce Services

    Online Buying

    Online Shopping

    Advanced Mobile Financial Services

    Micro-payments

    Macro-payments

    Advanced Mobile Banking

    Fund Transfers between accounts

    Stock Trading

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    46/52

    41

    7. Conclusion

    According to the analysis of the websites and the literature review it can very easily conclude

    that in less than a decade Bangladesh has achieved a lot in m-commerce industry. The

    information of the websites is very recent on the contrary the literatures found are of back in 3

    years or more than that. The recent pictures of m-commerce industry is noticeably different from

    that was at that time.

    Despite being a member of third world country the m-commerce industry has improved a lot

    here. There are some more websites working in the country at present which are not mentioned

    in the report. And the most positive thing is now every renowned organization is trying to have a

    virtual space by which at least the interested individuals can get some pictures about the

    organization.

    The Internet came late to Bangladesh with connectivity in 1996. In the last few years it has

    grown dramatically, although obviously from a very low base. With an estimated user base of

    around 500,000 in early 2006, and now in 2011 it has come to 5,501,609. There is reason behind

    this boost up and it is the revolution in telecom industry. Over the last two to three years, the

    number of mobile subscribers in Bangladesh has been more than doubling on an annual basis.

    However, it blessed the e-commerce industry too. Investors are now a bit more assured that they

    have potential to reach to the mass people.

    To sum up, it can be said that the beginning already has been started; now it needs a strong

    backup which will support the progress smoothly, guide it with proper regulations, and protect it

    from all jeopardy. We hope the progress of the m-commerce will soon turn into e-commerce for

    Bangladesh and it will bring the positive output in log run.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    47/52

    42

    8. Bibliography

    1. Leppniemi, Matti, Mobile marketing communications in consumer markets, Faculty ofEconomics and Business Administration, Department of Marketing, University of Oulu,

    2008, p. 21,retrieved on 17.07.2012.

    2. MMA Updates Definition of Mobile Marketing, Mobile Marketing Association. Nov 18,2009,retrieved on 17.07.2012.

    3. Leppniemi, Matti, Mobile marketing communications in consumer markets, Faculty ofEconomics and Business Administration, Department of Marketing, University of Oulu,

    2008, p. 50.retrieved on 17.07.2012.

    4. EITO,2002.EuropeanInformationTechnologyObservatory2002,Edition10,WorldWideWeb:http://www.eito.com, retrieved on17.07.2012.

    5. EITO,2004.EuropeanInformationTechnologyObservatory2004,Eurobit,FrankfurtamMain.6. Tiwari,R.,Buse,S.andHerstatt,C.,2006.CustomerontheMove

    StrategicImplicationsofMobileBankingforBanksandFinancialEnterprisesin, CEC/EEE200

    6,ProceedingsofThe8thIEEE InternationalConference on E-Commerce

    Technology(CEC/EEE06), San Francisco,pp. 522-529.

    7. Buse,S.,2002.DerMobileErfolgErgebnisseeinerempirischenUntersuchunginausgewhltenBranchen, inKeuper, F. (Eds.):Electronic Businessund Mobile Business, pp. 91-117, Gabler, Wiesbaden.

    8. UNCTAD,2004.E-CommerceandDevelopmentReport2004,UnitedNationsConferenceonTrade and

    Development, New York, NY (a.o.).

    9. Hohenberg,H.E.andRufera,S.,2004,DasMobiltelefonalsGeldbrsederZukunft-ChancenundPotentialedesMobilePayment(M-

    Payment),indermarkt:ZeitschriftfrAbsatzwirtschaftundMarketing,Vol. 43,No. 168,

    2004/1, pp. 33-40,Vienna.

    10. Kalakota,R. and Robinson, M., 2002,M-business: The Raceto Mobility, McGraw-Hill,New York.

    11. Fischer,I.2003,ZurBeobachtungderEntwicklungdesE-Commerce,inWirtschaftundStatistik,No.4,2003, pp. 318-318,Wiesbaden.

    http://www.eito.com/http://www.eito.com/
  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    48/52

    43

    12. Mesenbourg, T. L., 2001, Measuring Electronic Business.Web:http://www.census.gov/econ/estats/papers/msrebus.pdf,r etrieved

    on,17.07.2012.

    13. OECD(2002):MeasuringtheInternetEconomy2002.OrganisationforEconomicCo-operationandDevelopment,Web:

    http://www.oecd.org/dataoecd/16/14/1835738.pdf,retrieved on, 17.07.2012.

    14. Zhang,J.J.etal.,2004,DrivingForcesform-commerceSuccess,inShaw,M.J.(Ed.):E-BusinessManagement:IntegrationofWebTechnologieswithBusinessModels.pp.51-

    76,Kluwer,Norwell- Massachusetts.

    15. Veijalainen, J. et al., 2003, On Requirements for Mobile Commerce, Web:http://www.esan.edu.pe/paginas/PDF/15veijalamenyotros.pdf,r etrieved on,17.07.2012.

    16. Mller-Veerse, F., 2000, Mobile Commerce Report, World Wide Web:http://www.dad.be/library/pdf/durlacher1.pdf,r etrieved on 17.07.2012.

    17. UNCTAD,2002,E-CommerceandDevelopmentReport2002,UnitedNationsConferenceonTrade and

    Development, New York, NY (a.o.).

    18. Khodawandi,D.,Pousttchi,K.andWiedemann,D.G.,2003,AkzeptanzmobilerBezahlverfahrenin Deutschland, inPousttchi, K. and Turowski, K. (Eds.): Mobile Commerce-

    Anwendungen undPerspektiven,Augsburg 2003,pp.42-57.19. Wirtz,B.W.,2001,ElectronicBusiness.2.Edition,Gabler,Wiesbaden.

    http://www.census.gov/econ/estats/papers/msrebus.pdfhttp://www.esan.edu.pe/paginas/PDF/15veijalamenyotros.pdfhttp://www.dad.be/library/pdf/durlacher1.pdfhttp://www.dad.be/library/pdf/durlacher1.pdfhttp://www.esan.edu.pe/paginas/PDF/15veijalamenyotros.pdfhttp://www.census.gov/econ/estats/papers/msrebus.pdf
  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    49/52

    44

    9. Appendix

    Project Questionnaire

    On

    Mobile Marketing and Its Prospects in Bangladesh

    Research conducting by

    Md. Maruf Hassan 2008-2-10-126

    Department Of Business Administration

    Servey conducting by:

    Vezen Tahari

    2008-2-10-022

    Department Of Business Administration

    Please turn the page and continue

    I am the students of Department of Business Administration of East West University. For the

    purpose of my course requirement, the following questions are designed to find out the

    Mobile Marketing and Its Prospects in Bangladesh. This survey is being conducted only for

    my academic purpose. The provided information will be kept confidential and will be

    demolished after the finishing of the work. Your cooperation will be highly appreciated.

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    50/52

    45

    Part A

    I. Do you use Mobile Phone? (If yes continue further)A) Yes

    B) No

    II. Please put your level of agreement with the following statements in any range from 1-7 scale; where 1stands for strongly disagree & 7 stands for strongly agree.

    No

    Factors Strongly

    Agree

    (7)

    Agree

    (6)

    Agree

    Somewhat

    (5)

    Neutral

    (4)

    Disagree

    Somewhat

    (3)

    Disagree

    (2)

    Strongly

    Disagree

    (1)

    1 I think Mobile marketing is

    growing in Bangladesh

    7 6 5 4 3 2 1

    2 Mobile marketing made the

    life easier for users

    7 6 5 4 3 2 1

    3 I think mobile marketing have

    good prospect in Bangladesh

    7 6 5 4 3 2 1

    4 Mobile marketing brought

    new dimension in marketing

    7 6 5 4 3 2 1

    5 I have heard about mobile

    advertising

    7 6 5 4 3 2 1

    6 I get mobile advertise by sms 7 6 5 4 3 2 1

    7 I think mobile advertise is

    effective way for marketing

    7 6 5 4 3 2 1

    8 I know about mobile banking 7 6 5 4 3 2 1

    9 I prefer mobile banking than

    regular banking

    7 6 5 4 3 2 1

    10 Mobile banking is easy to use 7 6 5 4 3 2 1

    11 I know about mobile ticketing 7 6 5 4 3 2 1

    12 I use mobile ticketing for 7 6 5 4 3 2 1

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    51/52

    46

    Part B

    III. What is your Gender?A. Male

    B. Female

    IV.

    In what age group are you?

    A. Under 18

    B. 18-22

    C. 22-26

    D. 26-30

    E. Over 30

    purchasing tickets

    13 I want mobile ticketing for all

    kind of ticketing service

    7 6 5 4 3 2 1

    14 I am happy with traditional

    bill pay system

    7 6 5 4 3 2 1

    15 I use mobile bill pay service

    for payment of my utility bill

    7 6 5 4 3 2 1

    16 I want Mobile bill pay service

    for all kind of bill payment

    7 6 5 4 3 2 1

    17 I use mobile for fund transfer 7 6 5 4 3 2 1

    18 Mobile fund transfer is easy to

    use

    7 6 5 4 3 2 1

    19 Mobile fund transfer should be

    available for everyone

    7 6 5 4 3 2 1

    20 Mobile buy-sell is easy to use 7 6 5 4 3 2 1

    21 I use mobile for buy-sell

    purpose

    7 6 5 4 3 2 1

    22 Mobile buy-sell is easier than

    regular buy-sell system

    7 6 5 4 3 2 1

  • 7/30/2019 A Report on Mobile Marketing and Its Prospects in Bangladesh

    52/52

    V. What is your level of education?A. Primary

    B. SSC

    C. HSCD. Undergraduate

    E. Postgraduate

    VI. What is your family monthly income?

    A. 1000015000B. 15000-25000C. 25000-35000D. 35000- 45000E. 45000-60000F. 60000+

    VII. In terms of your occupation, how would you characterize yourself?A. Business person

    B. Public Worker

    C. Private Worker

    D. Student

    E. Other [please specify]

    Thank you for your time and cooperation.