Mobile advertising and data provider
Millennial Media Inc.
) recently forged a strategic partnership with Adsmovil, a
premier mobile ad network in Latin America and the U.S. Hispanic
markets, to foray into the media platform in South America,
Central America and Mexico.
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The deal will enable Adsmovil to leverage Millennial Media's
diverse mobile advertising solutions to reach a wide spectrum of
consumers in the region and thereby generate more brand
According to digital media market research firm eMarketer,
smartphone penetration is expected to reach 40% by 2016 in Latin
America, a region that boasts over 400 million mobile users.
Consequently, the strategic tie-up is likely to enable brands to
target these consumers with more than 45,000 sites and apps.
Millennial Media expects to augment its revenues from increased
market penetration amid stiff competition in the mobile ad
segment. The company has developed about 350 million proprietary
anonymous user profiles. The company reportedly delivers
advertising campaigns through more than 7,500 distinct device
types, out of which almost 20% include non-phone devices like
tablets and gaming devices. The company intends to focus its
development efforts more on such devices in 2013, and tapping new
markets could be of immense significance in this regard.
Since its inception in 2006, Millennial Media has created a niche
market through innovation and a diligent focus on mobile
advertising platforms. The business model of the company hinges
upon sophisticated data and technology, solid partnerships with
global media and application developers across all operating
systems, and healthy relationships with leading global brands.
Millennial Media has a Zacks Rank #3 (Hold).
Omnicom Group Inc.
) is one of the leading players in the industry. However, other
notable companies in the industry that warrant a look include
MDC Partners Inc.
Publicis Groupe SA
), both carrying a Zacks Rank #2 (Buy).