05 Mar 09 Expect Mobile Advertising to Rack in More Revenue

The age of advertising has diverted its attention towards mobile phones, making these devices the mediums of effective marketing and promotion tactics. This trend is expected to grow particularly now that advertisers are expected to dramatically increase their spending on “third-screen” ad campaigns targeted specifically to users of mobile data services, providing a potentially huge new revenue stream for operators of mobile networks, according to the latest report by Pyramid Research.

Pyramid predicts that mobile advertising will boost mobile data service revenues by 10 percent within the next five years, as mobile service adoption rates grow worldwide. Mobile data services are expected to account for more than 33 percent of operators’ service revenues at the global level by 2013, making any driver of this market a strategic component.

The expected growth in mobile data subscriptions will make mobile advertising a robust growth area despite an expected overall downturn in advertising spending over the next two years, notes Jan Ten Sythoff, manager of Mobile Content at Pyramid Research and co-author of the report. “Fixed-line Internet and mobile platforms will take market share away from traditional formats in the short term and grow in line with economic recovery from 2011 onward,” says Sythoff. “Mobile and Internet platforms combined will account for roughly 12 percent of overall advertising spending in emerging markets and 30 percent in developed countries by 2013.”

(Source) Press

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Tags: adoption rates, effective marketing, global level, internet platforms, mobile advertising, mobile content, mobile data service, mobile data services, mobile networks, mobile platforms, mobile service, promotion tactics, pyramid research, revenue stream, robust growth, service adoption, service revenues