The trend of mobile marketing is heating up in Thailand after the debut of third-generation (3G) mobile services.
The Digital Advertising Association of Thailand forecasts digital ad spending will grow by 34.12% to 3.7 billion baht this year from 2.7 billion baht last year.
Mobile marketing will share 1.29% of digital ad spending, up from 0.76% last year.
Mobile marketing started in Thailand on the back of 3G mobile services and advertisers are looking to advertise on new media in a bid to spend their money efficiently, said Supachai Parchariyanon, managing director of McFiva, a Bangkok-based digital agency.
The National Broadcasting and Telecommunications Commission reported that mobile ownership was up to 81 million users in the first quarter of this year, or 128% of the Thai population, up 4.1% from the same period last year.
It means that more than 20 million people own two mobile phones, making them an ideal medium to reach customers.
D2C Inc, a Japanese mobile marketing and advertising company, has acquired a 49% stake in McFiva to strengthen mobile marketing services in Thailand. The value of the deal has not been disclosed.
Takayuki Hoshuyama, chief executive of D2C, said the firm, established in 2000, has been expanding through subsidiaries and alliances with local agencies in China, Taiwan, India and Indonesia. It plans to seek partners in Vietnam and Cambodia.
Japanese firms are expanding overseas, particularly in Southeast Asia, where the young population is still growing while Japan is now an ageing society.
Mr Hoshuyama said D2C is spending 150 million baht to increase mobile marketing awareness, technical-related research and development, and people capability to tackle fierce competition.
Mr Supachai said McFiva aims to grow its revenue by 50% this year.
About the author
- Writer: Saengwit Kewaleewongsatorn
Position: Business Reporter