Mobile Marketing Association

MOBILE AD SPENDS IN INDIA TO GROW BY 40 PER CENT - Mobile Marketing Association 

Sep 21, 2012

The Mobile Marketing Association (MMA),in partnership with exchange4media, today released the first mobile advertising spend report for India, which estimates the size of the current spend at Rs 180 crore (US$33 million), and is expected to increase by 40 per cent in the next 12 months. The report was released at the inaugural Mobile Marketing Association Forum (MMAF) India 2012underway at The Leela Kempinsky, Gurgaon.
According to the report, industry leaders including brands and agencies indicate that mobile advertising is 10per cent of the overall digital advertising spends in India. The MMA believes that there are more than 12 crore (120 million) mobile internet users in India. Many advertisers are yet not exploring the medium at all bringing the over all digital spends in India at five to seven per cent of the overall advertising pie in India, which is pegged at Rs 27,000 crore to Rs 28,000 crore (US$5billion toUS$5.1billion), according industry estimates. The report is based on extensive research conducted by exchange4media and inputs from brands, agencies and the mobile ecosystem in India in September 2012.
“Mobile is an exciting, fast-growing category, but it’s still a very small piece of the overall ad pie. Mobile advertising is growing at a fast pace and will soon challenge other channels. Growth of ad spends, and the constant evolution of mobile, will make it a stand-alone medium that will act as a connecting tissue for traditional media which is what we have discovered while doing our research in the Indian market on mobile advertising,” said Rohit Dadwal, Managing Director, MMA, Asia Pacific . “We are already seeing digital spends exceed traditional in markets like Australia. This is a sign of how the market will evolve.”
Commenting on the report, Mr Annurag Batra, Chairman and Editor-In-Chief,exchange4media said “A report of this nature was an absolute must for a dynamic market like India. We feel that one of the first challenges that mobile faces in becoming amarketing medium to reckon with, is the absence of a widely accepted metric that can gauge how the medium has delivered for those who have invested in it,and become a currency. Mobile advertising will soon be a leg of mobile marketing in India that, courtesy the intense work of the service providers and the burgeoning players of the mobile ecosystem in India, will see many facets including value added services, promotions on mobile, apps as a medium in itself and much, much more.”
Display, search and SMS (measured and opt-in) are the key drivers contributing to mobile advertising spends in India, and will help drive the growth of the medium and ad spends to Rs 250 crore (US$50 million) in 2013.
The report further elaborates how form any large advertisers, digital still is 10 per cent to 25 per cent of their overall ad budgets in India.
The Mobile Marketing Association (MMA) is the premier global non-profit trade association representing all players in the mobile marketing value chain. With more than700 member companies, the MMA is an action-oriented organization with global focus, regional actions and local relevance. The MMA’s primary focus is to establish mobile as an indispensable part of the marketing mix. The MMA works to promote, educate, measure, guide and protect the mobile marketing industry world wide. The MMA’s global headquarters are located in the United States and it has regional chapters including North America (NA), Europe, Middle East and Africa (EMEA), Latin America (LATAM) and Asia Pacific (APAC) branches. For more information, please visit www.mmaglobal.com.
Publishing company exchange4media Group is the domain leader in the space of trade journalism and special interest content creation for the media, advertising and marketing fraternity in India. The e4m Group portfolio comprises flagship online daily www.exchange4media.com,weekly magazine IMPACT and a monthly marketing magazine Pitch. The Group organises a host of conferences and awards covering every major vertical with in the domain. The e4m Group publishes titles in the franchising and real estate domain, titled Franchise Plus and Realty Plus respectively. The exchange4media Group is the exclusive Indian licensee for the Advertising Age.

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