Virgin Mobile USA is planning to give their cell phone users free minutes in exchange for reading advertisements. Subscribers could get up to 75 minutes per month of free calls, as long as they read an equal amount of ads and then respond to them via SMS. Virgin believes that this will be a hit with their target audience of people under 30.
Implications - Being bombarded daily with a variety of ads has consumers feeling as though they are being ignored. By rewarding consumers for simply recognizing an ad, companies create a bond and users feel that they are being acknowledged. Companies should consider advertising that recognizes both the customer as well as their product to ensure good business.
Virgin Offers Free Minutes to Read Ads
Virgin Offers Free Minutes To Read Ads
Trend Themes
1. Reward-based Advertising - Using a reward system to incentivize consumers to engage with ads.
2. Targeted Advertising - Tailoring ads to specific demographics or target audiences.
3. Engagement Tracking - Tracking user responses and interactions with ads to measure effectiveness.
Industry Implications
1. Telecommunications - Implementing reward-based advertising strategies to increase customer engagement and satisfaction.
2. Digital Advertising - Leveraging targeted advertising techniques to reach specific consumer groups and maximize ad impact.
3. Market Research - Using engagement tracking methods to gather insights on consumer behavior and ad performance.