Telecom value added service (VAS) provider OnMobile has entered into a partnership with Madison World to form a joint venture that will focus on mobile marketing and work towards opening up direct sales and revenue channels, leveraging the reach, infrastructure and telecom relationships of OnMobile and the market presence and marketing capabilities of Madison World.
The growth of the mobile space has been encouraging in the last few years, but advertising in this space has largely been limited to spam like messages that are largely perceived negatively by audiences. OnMobile plans on using its technology for the new venture to use a mixture of AdRBT, SMS, USSD, WAP, Video, and Audio.
In a prepared statement, Arvind Rao, CEO, Chairman & Co-founder, OnMobile, said, “This joint venture is one of its kind and has the potential to revolutionise both the mobile VAS and traditional marketing functions. With the onset of 3G, this venture will open up even newer opportunities for marketing. I am most excited about this partnership as it brings together two leaders to deliver the best market solutions.”
In a release issued, Sam Balsara, Chairman and Managing Director, Madison World, said, “What excites me about mobile is its interactive, personalised and always-on attributes, accompanied by unbelievable reach in numbers (600 million+). So far, we have thought of mobile as an advertising medium, given its high reach, but the total advertising market in India is restricted to about Rs 20,000 crore, whereas the potential opportunity to sell products and services and conduct commerce through mobile is Rs 200,000 crore, and our attempt is to tap into this opportunity, which should provide top marketers a cost effective distribution channel, bring in a lot of long tail businesses, in addition to large marketers, into the gamut and provide consumers a convenient option to order and pay for products and services through the comfort and convenience of their very own mobile.”