Mobile advertising – a rapidly growing sector under digital advertising has been outpacing other sectors and will continue to do so due to the ever increasing penetration of mobile devices and as a result of easy and affordable internet access.
In the last few years, it has only proven to be a boon to advertisers, agencies and brands by providing an opportunity to connect with consumers on their current preferred first screen, mobile.
2017 continues to be promising for this sector. Here are a few trends that are predicted to follow in the near future:
1. Mobile Internet Ad Spending in India
Indian mobile internet ad spending stood at approximately 347 Million U.S. dollars in 2016 and is predicted to reach 1 Billion U.S. dollars by 2018.
2. Ad blocking
In India where digital is still evolving, ad blocking isn’t rampant but it has started to pose threats to intrusive pop-up ad networks. Currently the ad blocking penetration in India is at 2% of the total internet population that is about 4 million and this number will grow rapidly. (Source)
3. Online video ads will continue to be in demand
2016 was a year of fortune for the online video advertising industry during which an overwhelming growth of 200% was recorded. (Source) The major contributors to the increased consumption of video content is attributed to the rollout of easy and affordable internet access. Continuing customer acquisition wars between Telcom giants will ensure that 2017 will continue to be the year for online video advertising.
4. Programmatic advertising
The growth of programmatic advertising has been comparatively slow compared to the global growth because digital is still a young industry in India and the knowledge and expertise in the domain is very limited. However advertisers are learning that with programmatic, they can implement cost effective, better optimised campaigns and engage their audiences at the right time and right place. Thus programmatic like online video, is sure to see an exponential growth in the coming years.
5. Native advertising
Native will make up 57.4% of worldwide mobile display advertising in 2017. Additionally, native video ads have seen greater brand lift compared to pre-roll video ads and are generally seen as more integrative and less intrusive according to the consumer (44%). Native mobile ads also increase brand awareness and are better for engagement. (Source) However, like programmatic, the concept of native ads is also new and is expected to pace in the coming years.
6. Advertising on Mobile Games
Mobile gaming turned out to be a gold mine for Indian advertisers as the number of game downloads has jumped 200% between 2014 and 2016 and the growth continues to be promising in the near future. According to a NASSCOM report, approximately 40 to 50 Million people play games on their mobile devices and 86% of the total internet users play at least 1 game every day. An interesting insight here is that gamers’ in India prefer to watch In-game video ads (rewarded videos) rather than make in-app purchases.
Overall, the coming years are likely to be very exciting for the mobile advertising industry. Existing and emerging technologies will continue to grow and are prone to achieve greater success provided, their solutions offer an alternative to the threats posed by ad blockers.
(Disclaimer: This is a guest post submitted on Techstory by the mentioned authors. All the contents and images in the article have been provided to Techstory by the authors of the article. Techstory is not responsible or liable for any content in this article.)
Feature Image: morketing.cn
About The Author:
A graduate of Symbiosis International University with a degree in advertising, she is working towards supporting GreedyGame in saving the world from intrusive ads