NEW YORK—Mobile marketing took another step toward the mainstream as noted advertising firm R/GA launched a division to address wireless phones.
The agency, which has moved aggressively to embrace digital advertising platforms in recent years, outlined an effort “to meet the growing demand for mobile marketing strategies, design and nontraditional advertising campaigns.” The company also unveiled an education-focused, in-house wireless advertising lab where staffers can tinker with new mobile devices and gaming platforms.
“We felt the time was right to formalize our capabilities in this area and make sure we have the right resources in place to serve our clients,” said Bob Greenberg, chief executive officer of R/GA. “We’ve always been fortunate to work with highly innovative companies that allow us to explore and experiment in this area. The (new division) will allow us to push the creative envelope even further on behalf of our clients.”
Traditional ad agencies are increasingly working with—and competing against—a handful of smaller, mobile-specific marketing companies including Third Screen Media, Action Engine and Enpocket. The new, wireless-focused firms are gaining substantial traction in the early days of mobile marketing, but many onlookers expect increased competition and substantial consolidation as bigger, traditional advertising firms move into the space.
“I think … the mobile industry right now is making it more fragmented than it needs to be,” according to John Puterbaugh, CEO of Nellymoser Inc., a mobile media company that has teamed with Third Screen to offer an integrated advertising and media solution for content providers and network operators. “(Traditional) companies, the cornerstone of their business is advertising. They have ad sales forces and the infrastructure to deliver ads. I think they need to leverage that core infrastructure.”