Advertising on mobiles ‘worth 6bn in 5 years’

The market for advertising on mobile phones will be worth more than 6bn a year within five years, according to industry experts Informa Telecoms & Media.

The market for advertising on mobile phones will be worth more than £6bn a year within five years, according to industry experts Informa Telecoms & Media.

Informa’s report says consumers will be persuaded to accept ads on their mobiles with the offer of free content such as TV channels, games and music.

The company predicts the market will be worth $11.3bn (£5.9bn) by 2011 – a significant increase on the $871m (£457.3m) forecast for 2006. However, that will still only represent just 2% of worldwide advertising spend.

Mobile search advertising and display ads on mobile web pages will account for about $3.1bn (£1.6bn) by 2011, with text and picture messaging advertising worth $2.7bn (£1.4bn), according to Informa. But it says advertising over mobile TV will be the most lucrative and will be worth almost $4.4bn (£2.3bn) by 2011.

The author of the Informa report, Nicky Walton, says consumer acceptance is key to advertising on mobiles. At present, most mobile advertising is via SMS and MMS. Walton says messaging accounts for 72% of the revenues set to be generated this year, but that figure will fall to 24% by 2011 as mobile TV and WAP advertising take over.

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here