New Delhi, Sep 11 (IANS): SMS GupShup which operates an SMS-based social networking platform in India says that mobile advertising is the best way out for small and medium enterprises in a price-driven market like India as the company targets a revenue of Rs.100 crore by the end of the current financial year.

"We cater to a huge number of small and medium enterprises for whom print and TV advertising is very expensive. While our services are much more cost-effective, it reaches customers as well," Beerud Sheth, chief executive officer, SMS GupShup told IANS.

"In India a majority of people have feature phones and not smartphones. SMS is a service which works for all," he added.

The company has over five crore individual users, 2,500 small and medium enterprises and 500 corporate brands, including Pepsi.

SMS GupShup allows users to create mobile communities and broadcast messages to them. GupShup has thousands of groups on topics such as finance, entertainment, lifestyle, health, sports and technology.

The messages that the company forwards to the users has an advertisement in the second half of the content depending upon the area of interest of the user.

Speaking on the Telecom Regulatory Authority of India's regulation on unsolicited commercial calls and messages which is to be effective from Sep 27, Sheth said that it's a really good move which will bring huge respite to the mobile subscribers.

"Lately, I have been informed about many telemarketing companies who indulge in unsolicited commercial communication, specially unwanted messages from the real estate brokers have been a real pain. This regulation will bring relief to the consumers."