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Infrastructure Problems Slow Mobile Advertising Uptake
The mobile brand advertising market is beginning to show signs of life. Huge growth in the long term is a no-brainer. In the short term however, there is a real danger that too many brand dollars might chase too few mobile opportunities within an immature commercial infrastructure, according to a report from eMarketer.
Many of the pieces are in place for mobile brand advertising to start scaling up. eMarketer projects that worldwide mobile brand advertising will rise to US$3.5 billion in 2011, up from a measly US$123 million in 2006.
Mobile text messaging is more or less a mass-market service worldwide. Mobile music is climbing the rungs of the mass-market ladder. Most importantly, there are mobile-centric tribes of users in both advanced and developing economies. The mobile screen is increasingly the first place to reach them.
On paper, the big global brands should be eager to move in, but fundamental issues remain about how mobile ad inventory is structured and which target audiences are mobilizing quickest.
"The bottom line," says John Gauntt, senior analyst and author of the report, "is that many of the right pieces of the infrastructure puzzle are coming together, albeit at different speeds."
Posted to the site on 10th October 2007