Mobile advertising in the US will reach $1.9 billion in 2012, according to a new forecast from market research firm Frost & Sullivan.
With nearly 85% of Americans using cell phones, operators have a customer base of almost 250 million to be tapped for mobile ad revenues, according to Frost & Sullivan.
The report warns operators against sharing subscriber information with overzealous marketers. “Although advertisers will want to delineate their target audience by demographics, location, handset, and other parameters, mobile operators should be cautious while providing information to preserve their subscribers’ privacy,” it said.
Vikrant Gandhi, Frost & Sullivan analyst, said: “Adoption of mobile advertising by the nation’s largest mobile operators and innovative mobile virtual network operators (MVNOs) is a testament to the perceived potential of the market.”
The recent mobile advertising report from GfK showed that 85% of mobile users in India, 51% in the UK, and 37% in the US said they receive advertising messages through their mobiles (see High Percentage Of Mobile Users Receiving Advertising Messages).
Text messaging remains the most common advertising format in all three countries, said GfK, with 74% of respondents recalling advertising in India, compared to 48% in the UK and 22% in the US.
However, a study from TNS found that there is a growing number of consumers that are so averse to advertising that they are now willing to pay a premium in order to avoid it (see Ad-Averse Mobile Users Will Pay To Avoid Advertising).
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