European mobile portals set for recovery

Mobile portals in western Europe will attract more than 53 million mobile users by 2008 and account for sales of over $2bn, new research has predicted.

According to analyst IDC, changes in the market after a downturn at the end of 2002, when several mobile portals closed due to lack of users and services, have left the market in a period of consolidation.

"Since the launch of Vodafone Live! around Europe during 2003, it seems that the vast majority of mobile operators in western Europe have decided to give their mobile portal a makeover," said Rosie Secchi, senior research analyst with IDC's European wireless and mobile communications service.

"The current picture shows more and more consolidation within the providers' mobile portals, such as Vodafone Live! in Switzerland and France.

"Mobile operators with operations in different countries have transformed their local mobile portal into a single pan-European brand and marketing to reach a more global audience through seamless connection and services that are available to mobile users from different countries."

The analyst firm said that the trend illustrated the importance for mobile operators to own their customers so that they can generate revenue through branding, sponsorship, content and effective marketing.

"But we cannot forget that, although global branding is the right move towards offering a seamless and complete experience to mobile users no matter when they use the service, local services and content are still very important, as customers from different countries might have different preferences," added Secchi.

IDC predicted that, in order to sustain growth not only in terms of users but in usage, mobile operators must introduce more dynamic and interactive mobile portal content and evolve the offering to ensure that it continues to be compelling and personalised.