According to a new Berg Insight report - Mobile Advertising & Marketing - the transition of advertising and marketing activities to mobile handsets is expanding, although it is unlikely to eclipse paid-for content.

According to Berg Insight’s analysis of the rise of mobile advertising in Europe and North America, global advertising expenditure in 2006 was approximately €303 billion (US$435 bn) and global Internet advertising expenditure reached €18 billion. The year-on-year growth rate was reported to be 26% in the first quarter of 2007.

More and more mobile operators all over the world have, in the past several years, introduced location-based services in their service portfolio. Berg Insight believes that the ability to target consumers based on their position will have a significant effect on the way that companies advertise, not just in the mobile medium but it will also impact on their entire advertising strategies and channels.

However, free content has never wiped out paid-for content in any other media channel, and the most probable scenario will likely be a mixture of the two business models in the mobile channel.

The shift of advertisement expenditure into new digital channels is a very complex process where traditional thinking clashes with new, innovative and unexplored advertisement and marketing territory. While new ventures are entering the market space, there are still some formidable barriers – primarily the lack of popular mobile media channels – that threaten to divert marketing expenditure to substitute digital channels.

Click here to see an overview of the report and the table of contents.

Published: October 2007
Pages: 120
Report price:
Paper copy - €1,000
PDF (1-5 users) - €1,500
PDF (corporate licence) - €3,000