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Cellphone adverts aim at boom market

(China Daily)
Updated: 2006-10-04 08:18

More companies are making advertisements specially designed for mobile phones to target Chinese consumers.

The mobile ads market in China may grow to 131 million yuan (US$16.5 million) this year compared to 82 million yuan (US$10.3 million) in 2005, according to a Beijing-based research firm, Analysys International.

Big names such as BMW, top Chinese sportswear company Lining and PC maker Lenovo have placed ads on mobile phone screens in the past months.

Compared with traditional methods, advertisements on the Internet and mobile phones are more media-rich, interactive and attractive, researchers said.

And they're more convenient. For instance, a mobile ad placed by BMW on Focus Wireless, a subsidiary of NASDAQ-listed Chinese media firm Focus Media, could easily allow a mobile phone user to reach BMW's customer service hotline in China by clicking on a banner.

Mobile phone users can view video ads for BMW and even download wallpapers and ring tones.

Customers can be targeted more selectively as well. BMW's ads target only those using high-end mobile phones sold for no less than 3,000 yuan (US$379).

Li Jia, an analyst with Analysys International, forecast the mobile ads market in China could hit 401 million yuan (US$50.7 million) by 2008.

And the market could grow even faster if major hurdles can be cleared.

Currently, China's mobile ads market is largely based on a "pushing" service via short text messages.

Rampant text-message spamming has dampened mobile phone users' interest in seeing ads on their mobile phone screens.

As a result, Chinese regulators and mobile operators have launched aggressive crackdowns on such irregularities in past two years.