In-app advertising now accounts for 81% of mobile advertising spend, according to Smaato data


Source Smaato

In-app advertising now makes up 81% of global mobile advertising spend compared to the mobile web. It grew 8 share points during Q3 2016 compared to 2015.
These are the findings from real-time ad platform for mobile publishers and app developers, Smaato, which just released its Q3 2016 Global Trends in Mobile Advertising Report. The results are based on analysis of billions of mobile advertising impressions across the exchange.
Overall, mobile ad spend continued robust growth of 64% during the third quarter last year. Such growth was driven by the Americas (+77%), and the APAC regions (+64%) as well as EMEA (+22%).
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Aside from the usual leaders in ad spend across each region, there were some surprises.
For example, Turkey was the EMEA’s overall growth booster at a rate of 300%. Turkey also currently leads in consumer purchases made from mobile devices (44% compared to a global average of 31%). This may be due to its predominantly young generation with 60% of Turks below the age of 35 years.
Scandinavia also continued strong growth whilst Paraguay noted a jump of 885%, followed by Chile at 204% and Uruguay (+178%), Columbia (+131%) and Peru (+36%).
In-app spending generally saw a better performance compared to mobile web ad spending. The format now outpaces mobile web across most of the leading markets except for Indonesia.
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That’s partially because mobile device owners are spending more time within apps and advertisers are willing to pay to reach those users. Ad blockers aren’t working in apps, which may add another advantage and continue attraction to the format. In addition, in-app eCPMs are twice as high as those of mobile web eCPMs.
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Android is the overall leader in mobile ad spend across Smaato’s platform. For the third quarter in 2016, the OS accounted for 55% of global mobile ad revenue from publishers compared to 41% on iOS (down from 43% in 2015).
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Smaato also offers up some interesting perspective on gender. iOS device ad requests were dominated by woman, whilst men generated more ad requests from Android devices.
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Video performed exceedingly well across the Smaato platform. Indeed, ad spend jumped 557% in Q3 compared to the previous quarter, with video eCPMs growing 62%. When it comes to publisher traffic, video ad requests grew 608% in Q3 compared to Q2 in 2016.
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Overall, full-page interstitial video ads were the most popular video format among advertisers on Smaato and accounted for 41,6% of video ad spend. Medium rectangle video formats drove ad requests at 58,3% of video requests. Smaato expects video to continue to grow in 2017.
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These are certainly interesting figures which may help marketers and advertisers in understanding current trends and developments in global mobile advertising spending.

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