In-Stat: Mobile to slow in '08

The marketing world is buzzing about the possibilities for mobile advertising, but at least one forecast indicates that mobile marketing may be up for a rough road over the next twelve months. According to a recent In-Stat report, mobile implementation will slow by more than 5% in 2008.

by Kristina Knight

From 2006 to 2007 mobile implementation rates were around 50%, but in 2008 the implementation rate is expected to be only about 44%, a decrease of 6% YoY. The slowdown is credited to saturation levels among business consumers.

"Most of the growth potential remains for vertical market applications,” said Bill Hughes, In-Stat analyst. “These require more planning and time to implement. The result is that many within the wireless industry may have overoptimistic forecasts.”

Hughes says that the horizontal market is nearly at the saturation point already, which leaves only the vertical market with significant growth capabilities. Mobile email, Internet, instant messaging and personal information management have very high penetration points already.

Though this forecast is different, and perhaps a bit scary, for marketers just getting into the mobile arena the key is that there will continue to be growth for the future. Even though mobile implementation will slow there is room for more growth and for significant growth as mobile applications are bettered and new applications are developed for users and marketers alike.