Does the mobile market ad up?

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With the delivery of content and services via mobile handsets rapidly on the rise, the opportunities for mobile advertising are skyrocketing.

Analysts from Informa Telecoms predict the global mobile advertising market to reach a value of $12 billion (£6.83 billion) by 2013, up more than seven times from this year’s $1.72 billion, with 80 per cent of this figure generated by mobile content providers.

While it may seem like a long shot to reach seven-fold growth in less than four years, the evidence is compelling. Figures show mobile advertising traffic from smartphones is dramatically increasing, now accounting for 25.8 per cent of worldwide traffic.

This figure comes from AdMob, which services more than 3.5 billion mobile banner and text ads for 5,000 mobile web sites globally each month, and stores and analyses the data from every ad request, impression, and click.

Out of 5.1 billion requests recorded globally by AdMob for the month of August, the UK recorded 210,668,846, or four per cent. This put the UK in fourth spot, behind the US, Indonesia, and India, which generated 35.8, 20.7 and 7.7 per cent of global mobile advertising traffic respectively.

Of UK ad requests, 34.5 per cent came from Sony Ericsson handsets, 26.8 per cent from Nokia, 14.5 per cent from Samsung, 4.6 per cent from LG, 2.5 per cent from Amoi (makers of the 3 Skypephone), 1.8 per cent from Motorola, 1 per cent from Apple, and 14.4 per cent from other manufacturers.

The top 20 individual handset models leading mobile advertising requests in the UK are split largely between Nokia and Sony Ericsson.

It is interesting to note the comparison with the US market, where the list is very different; smartphones are out in front, with devices such as various BlackBerrys, the iPhone and the Palm Centro at the top, supporting the generally held belief smartphone use and mobile advertising revenues are rising hand in hand.

Full article in Mobile News 425 (October 20, 2008).

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