Mobile adspend is increasing in India, as elsewhere, but the convergence of a number of factors means it will rocket in the next few years, a new study suggests.
The Disrupting Mobile Ad Tech in India: Delivering User Experience report was based on a survey of 70 leading marketing and advertising decision makers across sectors by digital media company MoMAGIC.
This found that, already, 84% of respondents claimed mobile ad spend has increased exponentially over the past two years, with even more growth forecast for 2020.
“Mobile advertising in India is all set to take a quantum jump in the next two years with more and more Indians moving to consuming content, especially videos, on their mobile phones,” said Arun Gupta, CEO & Founder of MoMAGIC Technologies.
“With mobile data prices in India being the lowest in the world, advertisers and marketers have changed their strategy to get quantifiable results with deep user insight,” he added, in remarks reported by Exchange4Media.
Currently, mobile advertising accounts for less than half of all digital advertising expenditure for a majority of marketers; but for almost a quarter (23%) of respondents it was more than 50%.
This proportion will only grow as more marketers tap into the capabilities on offer; more than half (54%) of respondents thought mobile ads are more effective than other digital channels in reaching the right target audience, while over a third (36%) highlighted the better engagement levels possible with the interactivity of mobile ads. Measurability and ROI are not important considerations at this point.
At the same time, however, targeting emerged as the single biggest pain point, cited by 31% of respondents, ahead of not knowing their consumers’ behaviour and what is driving purchase decisions (23%) and fraud (21%).
The report added that advertising stakeholders are aware of the importance of UX and are experimenting with newer ad formats and content types, including content gamification, splash ads, video and other immersive formats.
But this willingness to trial new formats is offset by a continued reliance on metrics like click-through rates.
The Disrupting Mobile Ad Tech in India: Delivering User Experience report was based on a survey of 70 leading marketing and advertising decision makers across sectors by digital media company MoMAGIC.
This found that, already, 84% of respondents claimed mobile ad spend has increased exponentially over the past two years, with even more growth forecast for 2020.
“Mobile advertising in India is all set to take a quantum jump in the next two years with more and more Indians moving to consuming content, especially videos, on their mobile phones,” said Arun Gupta, CEO & Founder of MoMAGIC Technologies.
“With mobile data prices in India being the lowest in the world, advertisers and marketers have changed their strategy to get quantifiable results with deep user insight,” he added, in remarks reported by Exchange4Media.
Currently, mobile advertising accounts for less than half of all digital advertising expenditure for a majority of marketers; but for almost a quarter (23%) of respondents it was more than 50%.
This proportion will only grow as more marketers tap into the capabilities on offer; more than half (54%) of respondents thought mobile ads are more effective than other digital channels in reaching the right target audience, while over a third (36%) highlighted the better engagement levels possible with the interactivity of mobile ads. Measurability and ROI are not important considerations at this point.
At the same time, however, targeting emerged as the single biggest pain point, cited by 31% of respondents, ahead of not knowing their consumers’ behaviour and what is driving purchase decisions (23%) and fraud (21%).
The report added that advertising stakeholders are aware of the importance of UX and are experimenting with newer ad formats and content types, including content gamification, splash ads, video and other immersive formats.
But this willingness to trial new formats is offset by a continued reliance on metrics like click-through rates.
Sourced from Exchange4Media, Ten News; additional content by WARC staff
