Week in Review – consumer spend in mobile apps to increase and social media predicted to lead engagement

Anne Freier

In Mobile Advertising. December 8, 2017

Facebook is apparently testing pre-roll video ads for its Watch platform shows. If true, the move marks a significant u-turn in the company’s policy after it rejected pre-roll ad formats, because they were annoying. Indeed, CEO Mark Zuckerberg has previously stated the format was not suitable for the social media network.
Last week, Instagram announced that it now has 25 million active business profiles, an increase of 10 million from July 2017. What’s interesting is that at least half of these profiles are not even linking back to an outside website which suggests that they view the photo app as its own entity.
Apple has launched a new way for app developers to acquire new users. The pay-per-install ad product is called Search Ads Basic and is aimed at predominantly smaller app developers, running alongside Search Ads Advanced (renamed from Search Ads). The ads appear at the top of the App Store search results field under a set of keywords and developers only pay once a consumer clicks on them.

New research by Evolved Intelligence, the fraud and security solutions provider for mobile phone operators, shows that 80% of mobile owners would lose trust in their mobile operator if it was hacked or otherwise attacked by fraudsters. At least a quarter of consumers said that they would swap operators for that reason.
Although consumers aren’t keen on clicking on mobile ads, mobile app ads are seeing greater engagement, according to a survey by mobile partnership platform Button, and App Annie, the mobile app data provider. The survey among 1,106 US smartphone owners also found that many respondents feel that they are missing out on great new apps (37%) and find them hard to discover (38%).
According to research by WATConsult, mobile adverts may be less engaging than desktop ads. It’s a serious finding considering that a majority of people now use smartphones to view ads (75%) compared to just 42% viewing them on desktops.
Publishers are engaging more heavily with header bidding as they launch more strategic implementations of the technology. According to a new report from mobile advertising company PubMatic, header bidding impressions through the platform increased 220% year-on-year in Q3 2017 including a 252% jump in mobile web impressions and 214% through desktops.
According to the latest eMarketer figures, in 2017 there will be 2.73 billion mobile phone Internet users worldwide. An estimated 87.4% of them will be using smartphones to access the Internet. The latest predictions by the research firm also highlight that around 47% of people globally are using desktop or mobile devices to go online at least once a month. By 2019, over half of the population will be online.
Global consumer spending in mobile app stores is predicted to increase 30% year-on-year to $110 billion in 2018, according to research by App Annie. The latest predictions also suggest that games will account for the majority of spending with non-gaming related app spend catching up faster year by year. The shift is largely due to subscription models as well as a maturing app market.
According to research by Instagram based on its 800 million-strong community, social platforms are one of the key drivers of consumer engagement in 2018. The photo app predicts that in 2018, social media will become a main station for commerce and drive direct sales through engagement. Indeed, 62% of Millennials are already saying that they are more likely to become loyal customers if a brand engages them on social media platforms. Instagram has been testing its Shopping feature in the US this year.

As we get ready for the new year, we’ve checked in with Josh Stivers from Immersion to find out more about his predictions for 2018. Spoiler alert – it’s all about haptics.

Amobee, the digital marketing tech company, has launched a new brand safety programme to ensure marketers that they are buying inventory from a safe and transparent ecosystem with effective reach. The Amobee Inventory Accountability Program is based on an early detection system that features advanced tech and partnership integrations to prevent fraud before it can even reach the platform..
Smaato, the mobile advertising platform for publishers and app developers just announced new initiatives for in-app viewability measurements. The company is now providing advertisers with a more proven way to transact viewable, in-app impressions across mobile video, interstitial and banner ad format thanks to an integration with Moat as part of its iOS and Android SDKs.
Location data expert Blis recently launched a new analytics tool that lets marketers assess consumer behaviour through mobile location and movement data. The ‘Smart Trends’ feature incorporates in-store behavioural insights and is capable of comparing locations and brands.