The advertising revenue engine behind Apple’s app ecosystem has dominated Android for a very long time. Unfortunately for Apple, tides are starting to change.
Android is the New eCPM King
According to a report released by Smaato, Android is the new eCPM king with 55% of the global mobile ad revenue generated by publishers. Apple’s iOS trails with 41% and shares continue to erode.
PubMatic reported that Android’s eCPMs skyrocketed by 79% in Q4 with double-digit growth in each of the previous quarters of 2016. Apple iOS app eCMPs continue to seem vulnerable with a modest 5% rise in Q4.
While Android app eCPMs grew steadily in all regions of the world, iOS apps from Americas saw the eCPMs drop by 5%. Europe, Middle East, and Africa are the regions with the biggest growth. Android eCPMs grew by 110% and iOS eCPMs by 70%.
Ad inventory on Android is also caught up with iOS and is on point to surpass iOS inventory volumes somewhere in 2017.
In-App Ad Phenomenon
In-app accounts for a staggering 81% of global mobile ad spend, with a 8% rise compared with the last quarter.
While some mature markets like the US (83%), Germany (94%), Sweden (90%), or France (88%), still leave some room for mobile web, China’s in-app represents 99% of the total mobile ad spend.
The same trend can also bee seen in emerging markets such as Brazil(84%) and India(83%).
This movement towards in-app mobile ads is largely attributed to increasing advertiser recognition that users spend increasingly more time in their apps. The superior user tracking and ad targeting in the in-app environment also plays a key role in this trend towards in-app.
Other Interesting Mobile Trends
- Men are more likely to own an Android while women prefer iOS. Ads request coming from a female’s smartphone is 1.5 times more likely to come from an iOS device; if the ad comes from a male’s smartphone, the device is 3 times more likely to be an Android.
- Video advertising is growing into the next big thing. Video advertising grew by 557% in the third quarter of 2016 and continues its meteoric growth while Video eCPMs grew by 62%.
- Global mobile ad spending shows no sign of slowing down with a 64% growth in the third quarter of 2016. The growth is fueled primarily by the American region (77%).