Mobile Ad Spends In India Exceed Expectation With Over 60% Growth

logo (5)The Mobile Marketing Association (MMA), in partnership with exchange4media, released the second mobile advertising spend report for India, which estimates the size of the current spend at Rs 300 crore (USD 45 million),and is expected to increase by 43 per cent in the next 12 months. The report was released at the second edition of Mobile Marketing Association Forum (MMAF) India 2013 underway at The Leela Kempinsky, Gurgaon.

According to the report, mobile advertising is slated to grow at 43% 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. Growth of mobile ad spends is also driven by small and medium businesses (SMBs), a segment which is not being adequately tracked. The report is based on extensiveresearch conducted by exchange4mediaand inputs from brands, agencies and the mobile ecosystem in India in September 2013.

A year ago, we found a disconnect between what the industry felt about the potential of mobile and what brands thought about incorporating mobile as part of their marketing strategy. This has changed dramatically within a short span of time. Marketers are beginning to invest more and 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,” said Rohit Dadwal, Managing Director, MMA, Asia Pacific.“In this ‘Decade of the Mobile’, the MMA has now been a part of the growth in India four years. We have great faith in the potential of mobile, and I am delighted to see our vision for the industry come to life through this ad spend report.

Commenting on the report, Mr Annurag Batra, Chairman and Editor-In-Chief, exchange4media said “Mobile is a medium that the industry is still trying to understand. Its dynamic nature, ability to connect and bring to life any other medium, and constant evolution is creating as many opportunities as it is creating challenges. For the mobile marketer in India though, the medium is no longer just a tactical tool. It has developed to being used for strategy and to build reach – attributes that are associated with mass media. While content and emergence of m-Commerce will further fuel the growth of mobile and contribute to its constant re-definition, it can already qualify as the new mass media that is a force multiplier.

Marketers feel whilst m-commerce is opening up as an instrument for financial inclusion, especially for remittances, technological advances coupled with intervention to alleviate consumer concerns and perceptions on the safety of mobile transactions on devices will be key to a potential explosion in the category.

The report further elaborates how for many large advertisers, mobile spends are roughly 10 – 15 percent of the digital spend.

A detailed version of the report is available on