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Just Plain Big: The Mobile Content Opportunity. Informa estimates. Global Mobile VAS Revenues, 2008-2014 (US$ bil.)
2008
2009
2010
2011
2012
2013
2014
CAGR(%)
Global Total
175.2
200.8
224.1
249.0
276.8
307.0
340.8
14.2%
Source: Informa Telecoms & Media
Android OS
iOS
October Impressions
% Share (Oct)
N. America
601.99m
51.6
Europe
320.44m
27.5
29.0
Asia
219.57m
18.8
177.92m
5.2
Middle East
6.47m
0.6
Africa
15.90m
0.5
Africa
3.67m
0.3
Others
85.87m
2.5
Others
14.98m
1.3
Region
October Impressions
% Share (Oct)
Asia
1.08bn
31.7
N. America
1.07bn
31.2
Europe
989.21m
Middle East
Region
Market share for Android and iOS devices in InMobi’s network, October 2010
of app developers. Unlike the rest of the media community, geography is almost irrelevant. Developers will chase a download frenzy in Norway just as happily and easily as one in Thailand. In this world without borders, developers will innovate in mobile advertising in ways we’ve yet to even consider. “Our experience on the Papaya network is that mobile advertising plays a key role in revenue generation across all geographical demographics, whether it be the emerging markets, US or Europe,” says Paul Chen, director of business development at PapayaMobile. “As developers continue to find the most effective advertising solutions in different locations around the world, they will drive innovation for specific advertising media, in an effort to
February 2011 MM Issue 5.indd 31
achieve maximum ad revenue in those geographical areas.”
Trend #4: Developers as Savvy Business People Mobile gaming is a tough industry, and competition continues to increase. Add to this that fragmentation in mobile will not be resolved anytime in the near future, and you see that no longer can a developer expect to create a successful, well monetizable game, without proper business planning. In addition to creating the most innovative content, developers are increasing their business prowess to discover and implement the most effective monetization strategies. Taking PapayaMobile, Android’s largest social gaming platform, as an example, the company has continuously
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evolved the monetization solutions it provides to developers, in an effort to lead monetization business trends. “In-game banner ads used to be the status quo for monetizing on freemium games. But as developers have become more attuned with other monetization and business solutions, PapayaMobile now must offer tools for wall advertisements, in-app microtransactions, support for various billing solution, and others,” says Chen. “Competition is tough, and developers are beginning to realize that a business mentality is needed to evaluate which solutions will most effectively sustain and grow their revenue. From our perspective, we expect continued maturity of the various monetization solutions in the market, with offer, ban-
ner, and brand advertisements generating 30 – 40 per cent of revenues going forward, and microtransactions accounting for the rest.” Make no mistake, mobile advertising is here to stay, and the developer community will play a key role in driving its growth and evolution. As more and more consumers migrate to smart devices, mobile advertising is entering its next phase. It’s one from which all players in the mobile marketing ecosystem can profit, but developers have most to gain.
Thanks to Paul Chen for his contribution to this piece. www.inmobi.com twitter: @InMobi www.papayamobile.com
www.mobilemarketingmagazine.com 27/01/2011 05:58