ID Media, the leading direct and interactive media services firm nationwide, has chosen mobile ad network Millennial Media Inc. as its mobile advertising partner.

The deal gives ID Media's 70 clients access to Millennial Media's mobile ad network comprising more than 1,200 publisher sites. Millennial Media is one of the nation's largest mobile ad networks, competing with companies including AdMob Inc. and AOL's Third Screen Media.

"We wanted to provide our clients with the lowest rates for mobile media platforms, primarily WAP banners and SMS," said Josh Martin, vice president and director of emerging media at ID Media, New York.

"Hopefully, this will allow them to achieve immediate success utilizing this new media platform," he said. "This partnership helps our clients secure media inventory at efficient rates which is critical to achieve success on an ROI basis."

Millennial Media, Baltimore, offers mobile Web banner and rich media ads, text messaging, streaming and downloadable video, promotions and coupon distribution.

The Millennial Media deal comes more than four months after ID Media partnered with 4Info to offer SMS text messaging services to clients (see story).

4Info is a purveyor of SMS publishing and advertising services and claims to run the largest SMS ad network in the country. The deal with ID Media, which is part of Interpublic Group of Companies Inc., was meant to extend the direct response model to SMS.

Other partnerships that ID Media has struck in the mobile space are with 1-800-FREE411 and Mobile Posse for new wallpaper-based ad units.

ID Media plans and buys direct response media across channels for marketers such as American Express, CA, HBO, Kaiser Permanente, Nautilus, Verizon and Johnson & Johnson from offices in New York, Chicago and Los Angeles.

Mobile ID
Mobile is key to ID Media's plans.

"It is critical because we want to get more clients involved in testing the viability of mobile and do not want the cost of entry or creative barriers to be a deterrent," Mr. Martin said.

"The discounted rates will also help our direct response client base generate efficient cost per leads comparable to other more traditional media platforms," he said.

The relationship with Millennial Media will help ID Media clients in four specific ways, as Mr. Martin spells out.

First, clients can benefit from significant rate discounts and strong targeting capabilities. Second, Millennial Media will help with creative development, if required. Third, it is a quick entry into mobile. Finally, clients receive detailed reporting on mobile campaign performance.

ID Media is particularly attracted by the potential of mobile coupons and mobile base loyalty programs.

"Overall, we are being proactive about getting in front of our clients with new ideas, including mobile," Mr. Martin said. "In most cases, they are not asking about mobile, but are interested in this medium -- when presented -- based on the strong scale.

"There are concerns regarding the quality of the audience, which we will need to validate through testing," he said. "I think mobile advertising will only continue to soar in the future. It is still very early, but as mobile network speeds and phones continue to improve, it will provide a better user experience and gain wider acceptance.

"I think of the current state of mobile advertising as being similar to the early days of the Internet. As consumers migrated to broadband from dialup, their usage of the medium increased significantly and ad spending followed."