Indian Mobile Advertisers Await the Arrival of 3G Services

I have always stated that India is one place where mobile advertising could grow really, really big. A recent report from FICCI-KPMG supports by claim again. It says that nearly 80% of mobile users in India do not mind getting ads on their mobile phones if they get something in return – free music downloads, video games, and stuff like that. More importantly, nearly 50% of mobile users say that they would view the ads they get on their phones.

This news could not have come at a better time for mobile advertisers. 3G services are going to be launched in India by the end of 2010, after which mobile users will be able to access mobile websites and WAP sites at lightning fast speeds. Though India entered the 3G domain in 2008, only the government owned operator, BSNL, was allowed to provide 3G services to customers. So, a huge section of mobile users, who use the services of private players, had to wait for a long time. Later this year, private players will be allowed to provide 3G service, after which there could be a huge increase in the number of 3G users in India.

What makes this report even more special is that Indian mobile market is growing at an astonishing pace. In 2001, there were only about 5 million mobile users in India. Within a decade, the number has increased to a mind-boggling 635 million, which means the market has grown at a jaw-dropping pace. So, India is potentially the biggest market for mobile advertisers all over the world.

Indian mobile advertisers feel that the introduction of 3G services will allow them to reach out to their target customer base more efficiently. So far, SMS advertising has remained the popular choice of advertisers all over the country as a large number of mobile users do not have high-end phones or high speed data connections. The situation, however, is changing rapidly. The increasing number of high-end phone users and the introduction of affordable 3G services mean that advertisers will now be able to reach out to their customers through video based and MMS based ads. So, Indian mobile advertising industry is awaiting the arrival of private players in the 3G domain eagerly.

Categories: Cell Phone Advertising.

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India - The Second Largest Consumer of Mobile Internet

A recent report by Google says that India is the second largest consumer of mobile internet in the world today. The report says that more than 14 billion mobile web page views were generated in the month of February 2010. India accounted for 5.9% of these page views. The U.S., being the largest consumer of mobile internet, accounted for more than 50% of page views in February.

India has managed to edge past its closest competitor China in terms of mobile data usage. Its burgeoning mobile user population (currently more than 500 million mobile phone users) is one of the main reasons why it has managed to topple China and rise to the second position. Another reason could be the recent fallout between Google and the Chinese government, which has weakened Google’s presence in China considerably. Given the fact that this report only considers countries where Google has a strong presence, it is not very surprising that India is ahead of China in terms of mobile internet usage.

An important fact to be mentioned here is that though India has more than 500 million mobile users, only about 25 million users use the paid data services offered by network operators. Google India, however, predicts that this number could rise to 100 million by the end of 2010.

An interesting fact that the report has mentioned is that most Indian mobile users use reasonably priced low end handsets like Nokia 5130 Express Music and Nokia 3110c. In stark contrast, mobile users in the U.S. use high end handsets like the iPhone for mobile internet purposes. This situation, however, is expected to change soon thanks to the proliferation of high end devices in the Indian market lately. As more and more people turn their attention toward high end phones, the number of mobile internet users in India is expected to rise steadily in the coming years.

Categories: Mobile Web.

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The Future of 3G and 4G Services - A Detailed Look

Wanna hear something really incredible? According to TeleGeography, by the year 2013, the addressable market for 3G and 4G mobile services will be, hold your breath, somewhere around 4.5 billion people. In other words, nearly one third of all mobile users in the world will have access to these high speed mobile networks. That is right folks. An unbelievably big number – 4.5 billion wireless subscribers.

It is expected that more than 95% of wireless subscribers in Western Europe will have access to 3G and 4G services in 2013, which is nothing short of amazing. Europe still continues to be the leader as far as mobile market is concerned. Nearly 90% of mobile users in the U.S. and Canada, more than 80% of users in Latin America and Eastern Europe, 70% of users in the Middle East and Africa, and 60% of users in the Asia Pacific region will have access to these next generation cellular services. While it could be said that this is a highly optimistic prediction, the possibility of such an occurrence definitely cannot be ruled out considering the rate at which mobile web and other mobile related services are growing.

I have often argued that India and China are the countries to look for when it comes to mobile services because of their huge population and rapidly developing economies. Now, looking at the numbers above, some of you might wonder why only 60% of users in Asia are expected to have access to 3G and 4G services. The reason is not hard to fathom. The population of China and India is so big that it is nearly impossible for mobile service providers to expand their networks to that extent in such a small period of time. So, even if only 60% of wireless users access 3G and 4G services, it is still a huge achievement.

The most important thing about this news is that it hints at the possibility of a global network of mobile phone users connected by the invisible web of 3G and 4G networks. This, in my opinion, could result in the explosive growth of mobile social networking. The ability to access social networking sites right from their mobile phone at the click of a button is something that every other mobile user, particularly teens and young adults, wants. While this news is certainly exciting, it is not that big of a surprise to me. After all, it is something that we all knew was going to happen sooner than later, isn’t it?

Categories: All things mobile phones, Mobile Social Networking, Mobile Web.

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Indian Mobile Advertising Market on a Roll

We have seen a lot of reports about India being a very dominant player in the mobile advertising market, right? Here is one more report to add to that long list. Limbo, a California based mobile social networking company, and GfK Technology, a Germany based market research company, have come up with a joint report which brings up some important points about mobile advertising in India.

The report says that eight in ten mobile phone users in India get ads on their mobile phone which is unprecedented to say the least. The numbers we are talking are huge – there are 300 million mobile users in India now and, on an average, there are 100 million new mobile connections added every year. In this scenario, mobile ads could have a tremendous reach in both urban and rural areas.

The report also says that text messaging or SMS (short messaging service) is the most sought after format of mobile advertising. Around 75% of the ads delivered in India are text based.

Mobile internet or mobile web is not as popular as one would imagine in India as data plans are quite costly. But the report predicts that the rates will come down significantly due to three reasons.

1. A lot of youngsters are interested in mobile web. Considering the fact that more than 500 million people in India are yet to celebrate their 20th birthday, this is a huge market.

2. The quality of mobile web browsing has increased tremendously thanks to high end phones like Apple iPhone. So, the number of people who use the feature will go up steadily.

3. Most importantly, mobile web, as predicted by experts around the world, is the future of mobile advertising. So, mobile advertisers will find a way to reach their target customers through mobile web. What this means to the end user is that he could get a lot of free, ad sponsored multimedia content.

At the end of the day, all this data leaves us with a question – is the future of mobile phone advertising heading east?

Categories: Cell Phone Advertising.

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Indian company to introduce audio ads in mobile phones

How many times have you called your friend on his mobile phone and heard a song instead of the usual ringback tone? It’s quite common these days, right? Well; we’re about to get to the next stage of it. How about getting some audio ads instead of ringback tones?

OnMobile, an interactive advertising company in India, has come up with this idea. Suitably named AdRBT (Ad Ringback Tones), the program allows mobile users to opt in to the program which will replace the usual ringback tone with a variety of audio ads. In exchange, the user will get special discounts and offers.

OnMobile is confident that these audio ads will have high response rates and excellent recall rates and the impact might be huge. However, I think it’s only a 50/50 chance. Not many will be excited at the prospect of replacing their ringback tones with arbitrary ads and it might not be a smooth sail for the company initially. The way I see it, even people who are fine with text message ads and banner ads might find these audio ads a tad intrusive. But then, it’s just my opinion. And the Indians in general are not as finicky about mobile ads as their US counter parts. So, I might as well be proved wrong. Either way, it will be interesting to see the progress this company makes.

Categories: Cell Phone Advertising, All things mobile phones.

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