Mobile advertising spend in India: $35.4 million for 2011

Mobile ventures are the hottest topic in India today, it might get hotter after the acquisition of Instagram by Facebook for $1b. While the mobile internet usage (WAP & App) has been growing well in India the monetization has been a challenge on the mobile.

The article “Why Mobile Ads in Emerging Markets are the Future” (via mashable) throws some light on mobile advertising in India. Few relevant points for India+mobile space from the useful infographic are,

  • There are 5.3 billion mobile subscribers around the world (77% of the world’s population). 3.8 billion or 73% of the group — live in emerging economies (which includes India).
  • 70% of Internet users in Egypt, 59% in India, 57% in South Africa, 50% in Ghana and 44% in Indonesia get online via mobile phones alone.
  • Active Mobile internet users in India: 35 million (March 2011), 48 million (March 2012) – source iCube 2011 report
  • Mobile advertising is yet to compete with any form of advertising, including the internet.
  • Asia specific advertising size: $117.2 billion (traditional), $12.2 billion (internet – India’s internet ad spend was about $500m for April 2011-March 2012)
  • Traditional advertising spend: $20.2 billion in China, $5.3 billion in India
  • Mobile advertising spend: $223.2 million in China, $35.4 million in India. By 2016 China’s mobile advertising market size will across $1 billion.
  • IAMAI April 2012 report says mobile advertising in India grew from Rs 90 crore/$1.8 million (March 2011) to Rs 105 crore/$2.1 million (March 2012), which translates to 17% growth.
  • Digital advertising is growing the fastest in emerging markets but the internet penetration levels are the lowest, India leading/trailing the way at 8%
  • 82% of mobile users in India go with prepaid plans.

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