WSJ writes:
Advertising on cellphones is still in its infancy, generating just about $100 million last year, analysts say. And, mobile searching generates little if any revenue.
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Mobile searches also provide Internet search firms with a tantalizing opportunity to increase the consumer reach of their services and advertising. Success on cellphones could potentially translate into increased market share for Internet services accessed from PCs.
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Search companies still are trying to figure out the business model for mobile searches. Traditionally, Internet search engines have made money by selling ads linked to specific keyword queries; advertisers pay to have their ads, typically a few lines of text, displayed alongside search results. But, whether advertising on one inch-by-one inch screens will appeal to advertisers — and consumers — remains to be seen. Some Internet companies believe click-to-call ads, which use the consumer’s cellphone to directly dial the advertiser when clicked on, will become a primary model for advertising on phones.
