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Thought you could escape those annoying TV commercials with the remote control? Think again. Major US companies have divulged plans to send short video advertisements to mobile phone subscribers.
Both Verizon Wireless and Sprint Nextel have said they would launch test campaigns to gauge consumer reactions to the novel approach beginning in March. Sports channel ESPN, which already offers mobile text services such as game scores and highlights, is also planning to run short clips later this year from advertisers like Visa, Nike and Hilton Hotels.
The market for mobile advertising is expected to grow from $45 million in 2005 to $1.26 billion by 2009. Early research suggests consumers are much more likely to click on ads appearing on their cell phone screen over those flashing on the internet.
Microsoft, ESPN and others began testing the waters last year by sending logos and short animations with cell-phone accessible web access, weather reports, and sports updates.
Ads could even get more personal if consumers waive their right to privacy and agree to be tracked. Theoretically, a message could say: “use this card in the store coming up on your left and you’ll get x-percent off,” MasterCard executive, Michael Lao, was quoted as saying by the New York Times.
However, limited technology remains an obstacle since not all phones can play videos. For now, it remains illegal for US mobile operators to sell phone numbers to telemarketers.
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