The iPhone launched in mid 2007. Apps launched in mid 2008. Hulu is still not on the iPhone – or any other mobile platform for that matter. While some content owners have finally dipped their toes into the proverbial mobile waters - as ABC has done with the iPad - mainstream content owners continue to ponder their next move. Sports however continue to dominate.

I initially analyzed the success of sports in the report, March Gladness. Since publication, the Baseball season has started, Hockey and Basketball have completed playoff runs, the World Cup launched into full swing, and Golf’s Masters and US Open have all made their way to the mobile device.

And sports continue to dominate:

• As of April, ESPN’s Scorecenter application has been downloaded more than 5 million times
• More than 1.2 million people downloaded NBC’s Olympic application in the US
• The FIFA World Cup App game ($2.99) was the #2 app on June 16
• ESPN’s 2010 FIFA World Cup game was the #3 and #10 on June 16 and 9 respectively
• The US Open’s mobile site recorded 1.7M visits during the championship, an increase of 518%
• Allot Communications announced that its data showed a 26% increase in mobile broadband usage during the first 10 days of the World Cup

So, how can other content owners get off the mobile sidelines? By learning the following lessons:

1. Timely content is important. Whether it be a TV show that aired the previous night that a fan wants to catch-up on during a commute or a live press conference content needs to be available when a user wants it,
2. Provide an additive experience to TV. One could argue that video would drive interest in mobile sports but other information such as in depth stats, tracking information, and scores are integral to the experience as well and often times drive snacking behavior. In fact, focusing offering context beyond video will lead to a compelling second screen experience for fans while watching TV.
3. Release in various forms. Apps are a component of the go to market strategy but not the entirety. The mobile web is integral. Supporting all platforms (iOS, Android, BlackBerry, Windows, and Palm) is also imperative. Leveraging excitement into other apps such as games can turn into additional revenue.

Overall, it is imperative that content owners begin to do more than just experiment with distributing content on the mobile device. Sports have trail blazed a path of success that other content owners can follow. But they have to step up to the plate or risk users finding their content from alternative channels.

-Josh Martin

Today is the start of March Madness – the US tournament that will crown the college basketball champion. March Madness was also the underlying theme of my most recent report, March Gladness – which looks at how print media can leverage lessons from sports to succeed in the world of mobile media.

But there is also an important lesson for multimedia content owners; despite what you think consumers will in fact pay for content.

As of this morning the iPhone application, CBS Sports NCAA Madness on Demand, selling for $9.99 was number nine on the top ten paid apps list (and expected to rise) and the current highest grossing application. The popularity of the app demonstrates the willingness of sports fans to pay for ubiquitous access to events – even if it is otherwise available for free via broadcast or online. And we are simply at the tip of the proverbial iceberg – World Cup, the Masters – each of these events have already or are planning to drive users to pay for content on their mobile devices – a phenomenon not easily replicated online.

And it is a smart decision for a number of reasons:

1. Conditioning. By educating users that everything online would be ad-supported, content owners found it difficult if not impossible to then charge for content that had so long been provided gratis. While some sports such as Major League Baseball have successfully avoided this, others such as the NCAA have not.

2. Avoiding cannibalization. By not relying on advertising dollars, content owners can better protect existing revenue be it broadcast or online without risking advertisers simply shifting money from one medium to another without growing the total pie.

3. Value. By offering lite versions of applications, content owners are still putting information into the hands of consumers but are maintaining that live content has additional value and thus should be paid for.

Now, NCAA online once had a paid online service when it launched in 2003 which eventually evolved into the free service available today. So, could a similar trend be seen for mobile? It’s unlikely on a large scale. Charging for mobile content is becoming accepted (despite grumbles from users who expect everything to be free) and companies will learn the lessons of the internet by avoiding devaluing their content by giving it away. Paid content may not be for everyone but there are millions of users who will pay for a la carte content that appeals to them and when taken in aggregate could result in hundreds of millions of dollars in consumer spend within the next few years.