Android = Goldmine For Mobile Marketing & Google

With so much speculation surrounding the main reasoning behind the Android platform and its intentions, I think it should be obviously clear. Â While some argue its Google’s attempt to tread into the enterprise, and maybe some day it will, its main intention is to dominate the mobile-based advertising market like it did on the …   Read More

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With so much speculation surrounding the main reasoning behind the Android platform and its intentions, I think it should be obviously clear. Â While some argue its Google’s attempt to tread into the enterprise, and maybe some day it will, its main intention is to dominate the mobile-based advertising market like it did on the desktop.

The Android platform, while being open source and available to any carrier and handset maker, will always have numerous entrance points to Google by way of Google search, Google Apps, GMail, GTalk, etc. Â Each entrance point to Google services is yet another opportunity for relevant advertising- the kind Google does so well. Â

With the future onslaught of developers vying to build the latest and greatest apps for Android, the usage of the platform will increase, as well opportunities for Google to advertise. Â Beyond Google, any smart company or brand can use the platform, much like the iPhone, to promote their image using various apps, websites, etc.

The numbers don’t lie; there’s an estimated 3.5 billion mobile phone users worldwide, and of those users, only a fraction have computers. Â Given Google’s dominance via web-based advertising, the revenue source for dominating mobile marketing could be enormous. Given the number of mobile phone users, mobile marketing is still relatively a largely untapped market. Â As the Android platform gains users, acceptance, and its reach via carriers and device makers, Google’s advertising revenue will skyrocket. Â

Another possibility lies in that Googe could one day start subsidizing Android-based devices, no matter the carrier or maker, using advertising revenue.  The upcoming T-Mobile G1 is priced at only  $179, and while that’s not exactly cheap, it’s cheap among smartphones that carry the features the G1 does.  By Google taking on the subsidization of Android devices rather than the carriers, it would not only get more carriers using the devices, but the prices could be significantly lower than the competition as well.

It shoud interesting to see how everything plays out over the next few years, that’s for sure.

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3 comments

  1. Giff Gfroerer, i2SMS

    Cell phone subscriptions worldwide = 3.6 billion. People on the earth = 6.6 billion. Unique Cell Phone holders = 2.6 billion. PCs in the world 900 million.

    Now, the problem with Android is there is not a central download shop for applications. Apple figured this one out. However, to ask every developer to get a relationship with the individual carriers and arrange payout, at 90 day, with over 600 carriers in the world, this is going to be a massive headache for developers.

    Google/Android has to figure this one out, and fast.

  2. TRSills

    Actually, I completely disagree with the notion that Android’s intent will facilitate Google’s mobile marketing play. Even at a 1% market penetration, which would be considered astonishing IMO, that would still be a blip on the global radar.

    Rather, their strength will be to port over the existing advertising base with a more focused, localized approach to the mobile market regardless of handset. And the ones who should be shaking are firms like AdMob and Amobee.

    I suspect the process of going through the Android pains from soup to nuts will give Google significant insight to the mobile ecosystem. But to say it will lead to mobile advertising dominance is like saying Google should’ve built their own web browser to facilitate PC based advertising.

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