Performance marketers, especially those with an app-based business, will vouch for the many benefits that in-app advertising has to offer. Ever since the growth of mobile ad tech in 2012, the spend on in-app advertising is increasing — Market Research Future estimates a 21% compounded annual growth rate with the market worth $218 billion by 2023.
For mobile advertisers, factors such as higher user engagement, better click-through and conversion rates, and higher LTV, have made in-app advertising a medium of choice for many years now.
This also means that brands and agencies — until now largely focused on web and offline — can no longer ignore the channel of in-app advertising.
Users are Where Mobile is
Brands and agencies are getting increasingly aware of where the customers are and how much more time they are spending on their mobile devices. Advertising dollars are now being allocated in bigger proportions to reach these valuable users and convert them into high-paying customers.
According to eMarketer, mobile will surpass TV this year as the medium attracting the most minutes in the U.S. It’s easy to understand why even traditional brand players such as Ikea have taken the mobile route to reach out to their users and increase engagement by using targeted campaigns that encourage customers to visit its locations and browse the company’s products. Still waiting for someone to come across your billboard?
The Promise of Rich Creatives
A static banner at the top of the page? Yes, we are all too aware of seeing those on desktop. But what if we told you that you can add sound and touch, allow users to shake or tap or swipe on the screen while they engage with your app’s ad – now that’s a rich experience!
Rich media ads in the form of video and interstitials have been highly successful in capturing user’s attention. There’s also the non-intrusive nature of native ads that pull advertisers to experiment with the format to attract users. Creatives on mobile are now entering a whole new phase of innovation with offerings such as experiential playable ads, rewarded, and dynamic creative optimization- these provide more options for brand advertisers looking for additional ways to reach their users.
Take the example of Starbucks, which realized in-app’s potential way back in 2014: on the surface, it is a company selling coffee. Its mobile strategy is a chapter for future marketing textbooks! Starbucks’ ad campaigns using Mobile Rich Media Interface Definitions (MRAID) allows users to experience sophisticated ad units and engage them with the brand.
Enhanced Targeting, Better Transparency
Traditionally, the desktop environment is based on cookies, whereas in-app advertising is based on device IDs that provide brands and agencies better data into their users. For example, using location data can make geo-targeting more valuable to find users based on campaign goals.
Burger King’s “Whopper Detour” is one such successful example of that uses location data to “reward” app users to upgrade to the new version of their app. The burger giant promoted to give 1-cent Whoppers to users who downloaded the new app and were able to avail the promo offer if they were near to the rival’s McDonald’s locations, boosting app downloads by 1.5 million.
Additionally, working with partners on in-app advertising can also offer more transparency and brand-safety with the capability to whitelist/blacklist placements and viewability optimization, helping brands to get more out of their marketing dollars.
Granular Data Insights and Reporting
Offline advertising can seem like throwing things into a black hole and then sending a rover to retrieve insights into how something performed. In-app advertising, with its ability to offer real-time reporting and granular measurement, can minimize this gap.
For agencies, working mobile advertising partners, this means they have access to real-time campaign reports to help them continuously optimize campaign performance and see true results. Brands and agencies can expect real-time insights into creative performance, audience targeting, and day parting. Some partners are also able to share advanced analytics on demographic and psychographic data learnings on user targets base.
Discover UA and Retargeting Together
Creating a more holistic approach to customer acquisition is an important step in the mobile industry’s evolution. Acquiring customers right from the start can mean brands can save precious time and money by extending beyond growing the customer base and take a holistic end-to-end view of customer acquisition and management.
Most UA and retargeting partners tend to offer only either UA solutions or retargeting solutions. However, advertisers can find the most value for their strategy when these two concepts are approached right from the start, following the natural curve of the mobile user journey.
Are you a brand advertiser looking to get better KPIs for your advertising? Get in touch with us to know how in-app advertising can help you find more value!