Worldwide mobile advertising market is projected to hit $10-$15 billion by 2011. AdMob, a US-based mobile advertising platform launched in 2006, is said to deliver around 500 million advertisements every month in India alone. In India, the mobile advertising company is based in Mumbai, but is now planning to expand its base here by setting up offices in Delhi and then in Bangalore. The revenue model of AdMob involves retaining a share of the revenue generated from ads sold across its network of mobile web sites and applications.
In conversation with exchange4media.com, Mahesh Narayanan, Country Manager, AdMob, said, “The immediate focus for AdMob would be to strengthen local presence in India, and along with this, set up offices in India. At present, we are looking at hiring new team members in Mumbai, nevertheless we do have clients in Delhi and Bangalore, who are being managed out of Mumbai at this point in time. It would be the revenue generation that would probably drive the expansion plans of AdMob in India.”
“We already do half a billion ad requests on a monthly basis out of India alone, India is the third largest in terms of traffic for AdMob, and the traffic on the AdMob network is growing at a very aggressive rate. In the next 12 months, the mobile Internet traffic is expected to more than double, and this growth will be primarily driven by the adoption of 3G services as well as more enabled handsets. Going forward, we expect the mobile Internet users to outnumber broadband Internet users in the country,” he added.
One of the services offered by AdMob is to make it easy for publishers to generate revenue on mobile. Sspeaking on one of its recent innovations, Narayanan pointed out, “In the past, iPhone ad developers could never monetise their own applications despite having fantastic traffic, but with the introduction of iPhone and rich media ad units for mobile, we have created a whole new market, and today iPhone plays a significant part in our revenue growth.”
While mobile Internet is seen as the next big thing, it is 3G services that will be the key to this growth, especially if it is available at an affordable rate. This apart, it is also about evangelising the medium to advertisers and media planners, which Narayanan sees as an opportunity.
Some of AdMob’s clients in India include, Google, Nokia, Yahoo!, ICICI Bank, Reliance Communications, Starcom, GroupM, Interactive Avenues, Media2win, and Tribal DDB India.