
Since smartphones exploded the mobile phone markets, companies have been finding ways to exploit this new form of advertisements. Several platforms include Apple App Store, Google Play from Android, and even as old as Crackberry, which provides apps for Blackberry users. Each of these companies offer thousands of applications available for free or for purchase.
Many companies are using mobile apps to advertise their products. This is nothing new, as many apps (especially free ones) show advertisements in games or other applications. The new spin that many companies are taking is to direct their ads to children.

Some examples of children’s advertising that is making its way to smartphones are games like: “Cookie Dough Bites Factory,” “SuperPretzel Factory” and “Icee Maker.” These ads aren’t showing “commercials” in the middle of regular games, but rather incorporating the advertising right into the playing time. To children, it seems like harmless games. They don’t realize they are being bombarded with messages about which product to buy.
In a video from wsj.com, a reporter explains how “the government prohibits product placement on children’s TV…however, there is no such regulation for the internet or mobile devices”. These companies suggest they are directing their ads to teens and young adults, but the games seem to appeal more to children age 6-12.
Since most young children don’t have their own smartphone, they are usually being exposed to these games via their parent’s cell phones or tablets. This gives parents the ability to monitor what their children are viewing.
This marketing ploy is working, because children recognize the brands they are seeing in a game format. It’s a reasonable option for companies too. Dum-Dums reported that their app cost $10,000 to create, which costs the same as four 30 second TV ads during Saturday morning cartoons. They have a further reach with apps because hundreds are downloaded everyday, and children play the games again and again.
via http://online.wsj.com/article/SB10000872396390444812704577605263654758948.html