Source: Mobile report 2017-3-17 20:01

Ignoring Feature Phone Users can be a huge mistake for marketers

Ignoring Feature Phone Users can be a huge mistake for marketers


Mobile industry has already achieved great heights but it isn’t reaching saturation point anytime soon. Inexpensive data charges coupled with robust broadband and mobile network will only amplify this accelerating development.

Mobile is one of the largest advertising medium globally, after TV and Print. And marketers can invest more proficiently in mobile campaigns if they thoroughly understand the behavior of customer segments that are using feature phones and smartphones.

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 Why people use feature phones?

A feature phone is something that has all the major features such as the Internet accessibility, storage, radio and music player but lack the advanced functions of a smartphone.

Nonetheless, feature phones have many relative advantages over their smarter counterparts. Above all, they are considerably inexpensive than smartphones. Moreover, they have an exceedingly incredible battery life and it is something that still allures customers.

Lately, the advanced feature phones also have many features that were once exclusive to smartphones. These phones now have front-facing cameras, memory card slot, limited web browsing, mobile banking, GPS and basic Apps like Facebook, WhatsApp.

Since the feature phones now have many features similar to those of smartphones, customers do not feel the compelling need to upgrade to a more advanced phone.

Feature phone marketing opportunities

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The strategy of marketing to smartphone and marketing to feature phone users is quite different. Feature phone marketing has a number of benefits over smartphone marketing, for example, smartphone users can disable location functionality but feature phone users cannot switch off SMS functionality. Even though the customer engagement isn’t that great in case of feature phones, feature phone marketing can still be powerful and efficient, if the right techniques are adopted.

A survey conducted by Mobile Marketing Association (MMA) reveals that 85% of feature phone users said they do not intend to switch to a smartphone on their next handset purchase.

Additionally, the high speed networks (essential for smart phones) are limited to main cities in most emerging markets, therefore feature phones provide marketers with the means to reach people in more geographically isolated regions of a country.

Beware of the ‘smartphone only’ trap

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Marketing agencies are perhaps pushing you constantly to develop engaging smartphone apps, but you must consider these statistics:

·             Globally, less than 30% of the mobile phones in operation are smartphones.

·             In North America and Europe, total number of feature phones is slightly under 50%.

·             In the developing countries including India and Brazil, almost 80% phones are feature phones.

As a marketer, if you want better reach and results, you can’t ignore feature phones.­ Consider the user value exchange before you decide to disregard Feature phones.

There are some myths associated with feature phones and its users’ behavior that need to be busted, let’s look at them below:

Myth-1: Feature phone users are not affluent

It is fascinating to know that inexpensive phones are still in demand with the upper socio economic class of people. Contrary to the popular belief that these phones are used only by poor section of people, affluent people are still buying feature phones mainly because of their durability, battery life and ease of repair.

Myth-2: Feature phones are used only for calling and texting

A study found that feature phones are not just used for calling and texting; they also act as entertainment mediums. Approximately, 50% of feature phone users listen to music using their handsets, while 1 in 3 people use their feature phones to watch videos and play games.

Myth-3: Feature phone users don’t access the Internet using their phones

Research reveals that feature phone users are 1.4X more likely to use internet from their own phones than a laptop or desktop computer.

Myth-4: Feature phone users are looking to upgrade to Smartphones

Only 15% of people want to upgrade to a smartphone on their next purchase. It shows that the functional benefits of a feature phone still appeal to the users.

Myth-5: Feature phone users don’t spend money on their phone plans.

Unlike popular belief, feature phone users spend more money on their mobile phone plans and have higher ARPU’s as compared to their more advanced counterparts.


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Conclusion:

Feature Phones have a key role to play in efficient Marketing. The demand of low-cost phones and the growing trend of keeping a second phone (which is usually a feature phone) have contributed to the growth of feature phones.

Recently, mobile has been influencing consumer behavior a lot and it is persuading the companies or brands to rethink the way they engage with their customers and do business. However, it is wise to reassess and optimize their spending on feature phone marketing.

Feature phones are still widely used in key markets– used by every social class within a market. Understanding the dynamics and impact of feature phone users will prove to be extremely useful in helping marketers use this feature phone platform successfully and proficiently.