by Claudia Bruemmer

The rise of mobile technology is one of the biggest technology trends we’ve ever seen in the wholesale electronics industry. While the development of mobile platforms has evolved over the past decade, technology now offers optimum functionality with location-based advertising, highly-targeted couponing and rich-media creative, resulting in ever increasing mobile adoption. The only remaining obstacle is the fragmented nature of the mobile industry by platform and device.

As the mobile audience continues to grow, we’ve had an increase in mobile apps downloaded for individual cellphones but not a part of the Internet. These non-web apps are called native mobile apps and are said to create a fragmented Internet with limited accessibility. As HTML5 becomes the norm, this advanced hypertext markup language will enable apps to be accessed the web.

Last October, eMarketer reported mobile advertising was up 80 percent in 2010 and is projected to reach $1.1 billion in 2011 and over $2.5 billion by 2014. Video, display and search ad spending on mobile more than doubled in 2010, while growth of SMS advertising was tapering off due to availability of more sophisticated mobile formats.

Rich media ad units including video will become more common because of larger mobile devices with more functionality. Goldman Sachs estimated over 50 million tablet devices will be sold in 2011. The larger mobile screens and more sophisticated hardware provide advertisers with the opportunity to use compelling creative using video and/or other rich media.

Mobile creative should differ from web creative. Sometimes advertisers do not take that into account. People in front of a computer are more “committed,” but those with a mobile in hand will have a more transactional, fast moving relationship. While tablets and netbooks blur the line a bit, the difference calls for short, sharp and punchy creative to take advantage of the mobile medium.

Here’s what’s trending in mobile marketing today:

• Mobile Internet growth. Accelerating significantly faster than Internet desktop growth in the late ‘90s.
• Smartphone Growth. Smartphones will overtake PC shipments in two years.
• Personalization and privacy. Good privacy policies and personalized messages are a must for effective mobile marketing campaigns (permission-based messaging and apps to bloc unwanted messages).
• Apps are de rigueur. Apps will drive advertising revenue on tablets and smartphones.
• Free texting, calls and video chat. Skype provides free calls on the iPad but additional applications will surface providing more free services such as texting and video chat.
• HTML5 vs. Apps. Apps will continue to dominate with developers through 2013, and HTML5 will drive the next wave of development.
• Location-based services and Augmented Reality. The combination of these two services will drive consumer interest as new apps and advertising opportunities rise.
• Mobile payment could replace ATM cards. The electronic wallet is slowly becoming a reality, a plus for advertisers.
• Mobile 3D capability. Indian mobile manufacturer Spice Mobility has introduced a phone with 3D capabilities, leading to new apps, content and advertising opportunity.
• Feature phones on the way out. They will be outpaced by smartphones in just one year.
• Mobile phone most used features. 48 percent use search, 41 percent use social, both activities are well ahead of news, sports, weather and other activities.

The wholesale electronics industry will benefit from the above trends as new and more powerful devices and apps continue to be introduced in the market. The electronics industry has always been hot with consumers who never stop wanting to upgrade to the latest technology.