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A increasing number of small mobile content providers are using a new, much more direct method of getting their products into the hands of customers.These companies have discovered the benefits of selling their wares directly to customers through brick-and-mortar stores, and offline promotions. San Jose-based PlayPhone Inc., for example, is selling $5 to $20 prepaid gift cards towards mobile games, ringtones, wallpapers, and music videos, via retail channels, rather than relying on distribution deals with carriers.This growing "off-portal" approach allows for a much higher profit margin for the content providers, and currently accounts for about one third of all digital content sales. The business model as a whole reportedly generated a total of almost $1.4 billion globally in 2005.(Originally published by TeleClick.ca on April 13, 2006) Article Tags: Mobile Content Providers, Mobile Content, Content Providers
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