Strong growth in mobile advertising - BuzzCity

The Index represents inventory sold across the BuzzCity Mobile Advertising Network in more than 200 countries globally and documents the usage of the mobile Internet in these markets.

In the second quarter of 2009, the company delivered 7.5 billion paid advertising banners, a year-over-year increase of nearly 80% across the network. The results are deemed to show a continuation of the steady growth of the BuzzCity Mobile Advertising Network, and the strength of mobile advertising in the midst of the current economic downturn. Although strong, the numbers represent a decline of 10% compared to the previous quarter due to 600 million fewer impressions on the network in Indonesia, BuzzCity's largest market. This drop resulted from Indonesian operators tightening controls on subscription services on mobile phones. Despite the decline, advertiser interest in Indonesian audiences remained and kept this market in top position. Key developing markets, such as India, South Africa, Saudi Arabia and Kenya continue to grow.

One billion banners in India

India continued its growth trend, exceeding one billion banners delivered in the last quarter, securing its position at number two in the rankings. The UK rose four places in the last quarter to fifth, reflecting increased advertiser interest in off portal advertising. Saudi Arabia also had significant growth in the last quarter (63%), jumping 10 spots to number nine.

The company also reports growth in Europe, with three countries appearing in the Top 20 for the first time. These include the UK (17%), France (26%) and Italy (23%).

BuzzCity Global Mobile Advertising Index

The following table shows the top 10 countries by the number of paid advertising banners delivered in each (compared to Q1 2009 results):
1. Indonesia: 3.78 billion (-14%)
2. India: 1.07 billion (+28%)
3. United States: 487 million (-8%)
4. South Africa: 461 million (+8%)
5. United Kingdom: 133 million (+17%)
6. Philippines: 124 million (-1%)
7. Egypt: 108 million (-34%)
8. China: 95 million (-27%)
9. Saudi Arabia: 92 million (+63%)
10. Kenya: 92 million (+15%)

“Indonesia, despite remaining in the number one position, saw traffic drop by 14%. This is primarily due to advertisers realigning their advertising campaigns as a result of operators tightening controls on subscription services by mobile VAS players. This easing of demand represents a significant opportunity for new advertisers to enter this very competitive market.” said KF Lai, CEO, BuzzCity.

Lai added: “Advertiser demand in developed markets continues to increase and has contributed to year-on-year growth of 80%. This is significant for the industry and shows that advertisers in these markets are still recognising the value of mobile Internet advertising.”

The company tracks the growth of the network and, by extension, the growth of off portal mobile Internet use on more than 2000 publisher sites globally.