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Mobile video ad spend almost doubles in 2017

Report comes from real-time advertising platform Smaato

Mobile video advertising spend has almost doubled in the past 12 months, according to the latest report from real-time advertising platform Smaato. 

The research revealed that in-app ad spend took at least 85 per cent of mobile ad spending in each of the top 20 mobile advertising markets worldwide.

The data also shows that mobile video ad spending growth continues to outpace that of all other mobile ad formats. Video ad spending has almost doubled, showing more tha 90 percent growth in one quarter alone. Ad spaces that played mobile video ads earned 4.1 times higher eCPM (effective cost per mille — the revenue per thousand viewing the ad in other words) on average than those with non-video ad formats.

“Although in-app advertising already became more than three quarters of the worldwide ad spending on our platform last year, there was clearly still more upside, as in-app established its global mobile ad spending dominance in 2017,” said Ragnar Kruse, CEO and co-founder of Smaato.

“Given consumers’ pronounced shift to in-app over the past year, it is not surprising that advertisers followed, especially considering the significant targeting precision and tracking accountability advantages that in-app advertising give advertisers versus any alternative – whether mobile web, desktop or traditional television.”

The report also found that – unsurprisingly – that millennials are the targets of the vast majority of mobile ad spending in comparison to Gen Z, Gen X and Baby Boomers, capturing a 79 per cent share globally.