The dawn of the Smartphone era has given marketers a huge opportunity for mass profit generation, predictably via advertisement revenue. Contrary to this however, Flurry has uncovered that despite of  mobile ad revenue’s prospected potential, virtual goods revenue had overwhelmingly surpassed it on the iOS arena, at an exponentially growing rate.  This is based on a report they released today.

“During 2010, however, revenue increasingly shifts from advertising to virtual goods sales until reaching a proportion of more than 80% from virtual goods.  Admittedly, the idea that consumers acquiring virtual swords, gold coins and respect points can outperform advertising seems counter-intuitive; however, this phenomenon is neither new nor unique to the iOS platform.”

This along with other analyses including a prediction of social gaming – a major winner in the virtual goods section – hitting $4 billion by 2013 provide a very good view at customer demand on none-Android Smartphones, and another question market on why Android Market doesn’t support in-app purchases yet.

On-the-go mobile tech is a very big player in content-related service influencing every sector of the industry and newspaper ads are going out of fashion fast. With most apps being free with billion-dollar revenue models based on additional or premium features in return to smaller and smaller fees, that entirety buzz is definitely not in vain.

The low levels of mobile ad revenue may have been strongly influenced because of advertising agencies’ slow acceptance of this market, and the very good news every app developer has been waiting to hear.