3GWeek - Asia’s Mobile News

Advertising is now reaching mobile sector. As new media, not many advertising service has been implemented successfully. Among all countries surveyed, Korea and Japan, as predicted, take in lead in this area. According to ABI Research, the total value of all mobile advertising and marketing will reach $1.2 billion in Japan and $684 million in South Korea by 2012.

ABI Research Senior analyst Andy Bae says, “Japan and South Korea have almost the same market structures, value chains, and service applications. This is because mobile operators in both countries established their own mobile ad agencies to support operators’ business models for mobile ads.

One of key reasons for mobile advertising’s market growth is the well-established range of 3G and HSDPA-based handsets available in both regions. Consumers in Japan and South Korea are well accustomed to accepting rich content advertising messages.

Compared with other regions, these markets are entering a new, advanced phase. SMS-based mobile ads are still mainstream, but consumers here are quite ready to accept rich format advertising that utilizes multimedia capabilities.

More important, consumers sometimes regard SMS advertising as spam, so that some consumer-related companies are changing their advertising vehicle to MMS (multimedia messaging service), instead of text-based SMS.

Source: official site via intomobile