In a recent article, we mentioned seeing mobile app developers like SuperCell, MachineZone and Eat24 run ads in the Superbowl. This kickstarted a trend where mobile performance advertisers have expanded off-platform to channels like TV and OOH (out-of-home) to accelerate their success. We expect this growth to continue throughout the year.
Here are 4 trends for performance advertisers that we’ll see as the year progresses:
1. Budgets will increase.
The writing is on the wall: Performance advertising on mobile is working. US mobile app-install ad revenue is projected to grow to $6.8B by the end of 2019, and as we told Digiday, accounts for a little over 50% of revenue on our platform.
Unlike brands, who often have a preconceived notion of what works and what doesn’t, performance marketers will try nearly anything, and if it works, they’ll do more of it. Look for more experimentation in the coming year.
3. Performance campaigns stretch across the globe.
Rather than just focus on one market or language, companies will still buy centrally from one point, but encompass as many as 120 geographies and 20 different languages.
4. Dollars will continue to flow into video.
As we told VentureBeat last year, video ads are now the #1 way for the top-grossing app developers to acquire new users. And as technology continues to improve around serving high-quality mobile video ads in high-value formats (native, in-feed), we know that ad spend will follow.
In fact, a recent survey of Top 100 grossing app developers on iOS and Android revealed that 76% of developers have shifted more of their app-install spend into mobile video over the last six months – and they expect this trend to continue into 2016 and beyond.