Admob Mobile Banner Ads prices drop – a good time to trial?

Admob has just announced that it is cutting its minimum bid prices in a bid, it claims, to stimulate the market and encourage advertisers onto mobile. This follows price cuts on operator portal inventory, which has seen CPM rates in the UK almost halved from this time last year.

While a perhaps inevitable result of the global economic situation and, one must assume, a general decline in demand, price drops do mean that running banner campaigns on mobile has become cheaper and therefore now potentially viable for a wider range of applications. There is nothing to indicate that the growth in content or users is slowing dramatically, so inventory is out there for the taking. A good time to trial?

For example, for iPhone ads targeting all United States traffic (i.e., all US with no further targeting options selected), the minimum admob bid for CPC inventory will decrease from $0.10 to $0.05.

However, It’s not all doom and gloom for the mobile ad giant, admob recently announced a $1.6m ad deal for 2009 with Jaguar and Land Rover.

For a full list of the admob price cuts see here:

http://blog.admob.com/2009/03/02/minimum-bid-pricing-changes/