.mobi Yahoo introducing Pay-per-click advertising on .mobi domains

[qO_Op]

Domain speculators usually look at potential pay-per-click advertising revenue as the starting point for valuing a domain name. The recent launch of .mobi domains posed a challenge: how do I value a domain where there’s no standard for mobile advertising?

On Nov. 7, Yahoo has begun testing an advertising platform that will serve up ads specifically tailored to the smaller screens and bandwidth constraints of mobile devices. Yahoo has offered mobile-phone-compatible versions of its main properties — such as the Yahoo homepage, e-mail, instant messenger, and finance sites — since 1999. Unlike sites formatted for a computer screen, the mobile sites didn’t previously include banner ads or other forms of interactive sponsor messages. PepsiCo will be among the first advertisers to try the new mobile advertising platform.

Michael Bayle, senior director of a business that Yahoo calls Monetization for Connected Life, says the ability to deliver messages to consumers on the go has become increasingly important to advertisers, particularly as mobile devices have become more feature-rich and able to surf the Web.

“It is where consumers are going, and advertisers want to make sure that their brand is seen where consumers are spending time,” says Bayle.

Advertisers spent $104.4 million on mobile advertising in 2005. Visiongain, a consultancy that tracks mobile ad spending, estimates U.S. marketers will spend $602.3 million by 2009. Other research firms put the number at more than $1 billion by 2010. By some estimates, mobile advertising will eventually make up more than 25% of the $100 billion spent annually on branded advertising.

An ability to serve mobile ads would undoubtedly be a boon for the company, which has looked for ways to better match advertisements with search results and other content.

Bringing ads to cell phones will help advertisers reach a younger crowd, as the mobile audience skews slightly younger than Yahoo’s overall audience. Bayle says it also tends to be made up of two kinds of people: those in a hurry who want an answer to a specific question such as “what car rental places are close to the airport” and those whose mobility has been halted because of a travel delay, postponed flight, and the like. The former group is, presumably, amenable to advertisers whose services provide answers to their questions. The latter group could be bored enough to both shop and surf.

Yahoo’s new service also features several templates for advertisers. The page and advertisement that best fit the mobile device in use is automatically displayed, thanks to technology from Yahoo and cell phone providers.

Yahoo’s Bayle says he believes mobile advertisements will evolve the way that Web-based ads did. As Internet connections become faster and screens become more capable of displaying details, ads will change from simple graphical text ads to the multimedia and video ads currently on the Web. And, unlike with search ads, where Yahoo trails Google, Yahoo wants to be at the forefront of this evolution.

Already, the site is partnered with more than 50 mobile device manufacturers and service providers. “Yahoo has established itself as an early leader in mobile advertising, and is continuing to help drive growth of this emerging market,” said Steve Boom, Yahoo’s senior vice-president of mobile and broadband . “We are uniquely able to create and deliver innovative, interactive marketing solutions to a targeted audience of engaged consumers.”

It will be a while before people start typing in .mobi domains on their cell phones but this will create a way for .mobi domain owners to generate revenue for their domains.

Google is also experimenting with mobile ads with a similar model to its search ads. Advertisers can display their text ads in the results of mobile searches. It won’t be long before .mobi domain owners can display these ads on parked domains as well.

DomainNews.com​

 

[onlinelife]

Google also testing advertising on there mobi site..

 

[jeremyp]

This is HUGE news.

Do not underestimate how important this is.

When people realize that they can create cash flow from MOBI names, development begins to ramp up very quickly!

Jeremy

 

[compubahn]

You knew it was coming.

This reminds me of those who doubt secure transactions or form submissions are viable for the mobile web. When there is a will there is a way. Particulary true, given the profit potential for all these applications.

Thanks for the post, BloGamble.

 

[qO_Op]

I agree!

This is HUGE news.

Do not underestimate how important this is.

When people realize that they can create cash flow from MOBI names, development begins to ramp up very quickly!

Jeremy

 

[ezinaz]

Hmmm, what about pay per call?

http://www.clickz.com/showPage.html?page=3515046

Pay-Per-Call: A Viable Lead
› › › Small/Medium Enterprises

By Enid Burns | June 23, 2005



Pay-per-call advertising presents an alternative to PPC models; the platform offers better ability to track conversions. A new The Kelsey Group report, "Calls, Clicks & SMEs: Driving Leads from Web to Phone" discusses the pay-per-call model.

The report estimates pay-per-call will generate gross revenues of between $1.4 and $4 billion. The projection is contingent on several market variables.

 

[MCDomains]

Excellent news... when the giants are backing .mobi and referencing it in major press releases, it's great news for all of us .mobi owners.

 

[Kamloops]

Great News, maybe getting CELLPHONEPPC.COM was not such a bad idea after all

 

[-Adam-]

Hey thanks for the update this is great news!

 

[HcDomains]

Great News !

Like my Mobi's much more now

 

[GeoOwners]

big guns are always welcome

 

[snoop]

Excellent news... when the giants are backing .mobi and referencing it in major press releases, it's great news for all of us .mobi owners.

I don't think yahoo have mentioned .mobi in the release.

 

[slugraduate]

Ok, but I think this lowers the quality and value of .mobi. If people are allowed to simply park them, where is the impetus to develop meaningful content? It is crucial that developed, meaningful sites are offered or .mobi becomes irrelevant.

 

[MinionDH]

Ok, but I think this lowers the quality and value of .mobi. If people are allowed to simply park them, where is the impetus to develop meaningful content? It is crucial that developed, meaningful sites are offered or .mobi becomes irrelevant.

I agree 100% with you Slu. PPC advertising is a little dangerous at this point because the focus should be on developing.. not parking. What's the point of .mobi if most of the great keyword domains are parked?

This extension will die quickly if we do not focus on developing. Period.