MobileNest

Executives from Verizon Wireless are revealing next year’s plan to allow banner ad placement on news, sports, weather, and other Internet sites that users access on Verizon phones.

The development is a substantive and symbolic advance toward the widespread appearance of marketing messages on the smallest of screens. Advertisers have been increasing the amount they spent on mobile marketing, despite lingering questions about the effectiveness of ads on portable phones.

“We know we can make significant dollars in mobile Web advertising in 2007,” said John Harrobin, vice president of marketing and digital media for Verizon Wireless. “That said, we likely will not — we want to take it carefully and methodically, and enable the right experience.” More generally, he added, “Mobile advertising is going to take off in 2007.”

Ovum Research projects that spending on mobile advertisement has potential to reach 1.3 billion in the next three years. Current spending is small but growing at a rapid rate. In 2005, ad spending reached $45 million, but a year later (2006) spending will reach jump over 300 percent ($150 million).

Nice growth!

Verizon to Allow Ads on Its Mobile Phones [The New York Times]