PDF of this tutorialAt this time, revenue is achieved from IM primarily due to sales of advertising space on Web-based messaging sites. Messaging services are used more as a way of extending brand awareness and achieving market-share. Service providers, particularly carriers, are missing out on potential revenue streams from messaging services.
Messaging services, particularly advanced messaging as part of an integrated communications platform, could be offered as a value-added service. One level of service—text messaging and integrated contact list—could be offered free to customers as a means of differentiating from other service providers. Higher levels, such as presence awareness, IP telephony, voice chat, and video IM, could be offered as premium services for a monthly fee. The more a customer's communications are tied through a particular service, the greater the hold a service provider has on that customer and the lower the chances the customer will change to another provider.
Advanced messaging services also offer additional revenue opportunities, including electronic commerce. An electronic payment system can be integrated into the messaging system so customers can shop on-line—either from their computers or from mobile devices—and have their orders confirmed via IM. Service providers can earn revenue from retail partnerships and for handling payment.
Advertising is another potential revenue source—not just banner ads on the messaging service site, but advertising targeted to individual users in individual locations. Advertising can be used to subsidize the service so customers receive more services without paying extra fees. With presence-awareness capabilities, customers could be targeted with advertising messages on mobile devices when they are in a place where they could act on the advertising information. Because customers have the opportunity to set their own profiles and preferences, they receive only information they have said they want to receive. The advertising information then is a service rather than an annoyance. For example, a customer who likes coffee could be notified when she is near a coffee shop. Virtual coupons and special offers could be delivered as well.
