Smartphones, Data Plans, New Apps to drive Mobile Advertising Revenues to $1.5 billion in 2013

Revenues for mobile advertising in the U.S. and Canada will grow from $208 million in 2009 to approximately $1.5 billion by 2013, according to the new Parks Associates report Mobile Advertising: Analysis and Forecasts. Adoption of smartphones, 3G network data plans (or newer wireless services), and downloadable applications will spur this growth in ad revenues, with significant increases beginning in 2010.

Parks Associates estimates there were 62 million smartphone users in North America in 2008, with user penetration to reach 239 million in 2013. Parks Associates projects U.S. 3G network data plans will reach 95% penetration by 2013, with Canada achieving 70% penetration.

Mobile advertising is poised to take advantage of opportunities presented by the diffusion of 3G networks and devices such as the smartphone. Advertisers will begin to incorporate mobile into their media campaigns as this medium matures into a viable marketing space.

Way cautions that advertisers could encounter early resistance from consumers. Parks Associates’ Mobile Entertainment (Second Edition) found 38% of respondents do not want to receive mobile ads, while 37% remain neutral to the idea of ads on their mobile phone.

However, teens and young adults are more receptive to ad-supported mobile content, particularly in entertainment genres. Advertisers need to develop innovative ways to reach these consumers.

Mobile Advertising: Analysis and Forecasts examines the current mobile advertising market. It includes a market overview and analyzes effective mobile ad formats and current pricing models. The report examines opportunities driving overall growth and inhibitors threatening continued expansion and includes mobile advertising revenue forecasts through 2013.

For the full press release, click here.