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Big Step Forward in Mobile Advertising

Posted on 8.18.2006

Wireless giants Verizon and Sprint are set to relase advertising on user's cell phones in a move that has been a long time coming. Getting over their fears of alienating cell phone customers, the stage is set for an onslaught of mobile advertising. As voice revenues continue to decline for the major carriers, cell phone advertising is seen as the best way to offset their losses. Sponsored search listings and banner ads will likely be the two largest advertising styles used for the small screen.

Perhaps the greatest advantage for mobile advertisers is the ability to precisely target users. The phone companies have plenty of personal information about their users, including billing information and the ability to locate users in real-time. This provides a great advantage over online advertising, as a consumer can be targeted according to what they are currently searching and where they are.

Advertising prices are moving forward too. The price for a four- to eight-week banner ad campaign on a content provider's wireless website can top $150,000 - up from the $25,000 to $50,000 range a year ago.

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