New Delhi: Mobile advertising in India is expected to grow 43 percent to Rs 430 crore next year, helped by affordable smartphones and tablets as well as small and medium businesses leveraging mobility solutions for their promotion, a study said.
According to the mobile advertising spend report by Mobile Marketing Association (MMA) in partnership with media platform, exchange4media, the mobile ad market at present is estimated at Rs 300 crore (about USD 45 million).
It said, "Mobile advertising is slated to grow at 43 percent to reach Rs 430 crore in 2014. Factors that are actively contributing to the growth include availability of wide array of smart phones and tablets across price spectrum."
The growth in mobile ad spends is also driven by SMBs. The report is based on extensive research conducted by exchange4media and inputs from brands, agencies and the mobile ecosystem in India in September 2013, MMA said.
"A year ago, we found a disconnect between what industry felt about the potential of mobile and what brands thought about incorporating mobile as part of their marketing strategy," MMA Managing Director (Asia Pacific) Rohit Dadwal said.
But, this has changed dramatically within a short span of time. Marketers are beginning to invest more in the medium to see how mobile, when placed at the centre of a well integrated campaign, acts as the binding tissue, bringing all aspects of a campaign together, he added.
The report further said while marketers feel m-commerce is opening up as an instrument for financial inclusion, the perception about the safety of mobile transactions on devices will be key to a potential explosion in the category.
Mobile spends are roughly 10-15 percent of the digital spend, the report added.