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10. Market Overview: common trends
• Interstitials and banners account for
the majority of the ad revenue. Lead to
lower retention rate, but will remain major
formats for ad-based apps in 2017.
• Native is a good replacement for banners
and will gain more advertisers.
• Rewarded Videos remain a good alternative
to in-app purchases, but low ARPDAU.
11. Market Overview: common trends
• Auction Based Ad Mediation will continue
to ramp up and be adopted by publishers.
• Hyperlocal targeting is growing.
Pass device location to attract advertisers.
• Ad Revenue attribution per user cohort
becomes real, just like with in-app
purchases. Leads to more accurate LTV.
12. Ad Formats Performance Overview
ARPDAU eCPM
Retention
Effect
Impressions
per DAU
Interstitials 0,013 $ 5,97 $ Bad 2,28
Banners 0,009 $ 0,4 $ Bad 22,9
Rewarded
Video
0,007 $ 6,76 $ Good 0,87
Native Ads 0,007 $ 1,1 $ Good 6,39
Video
Interstitials
0,006 $ 4,74 $ Bad 0,2
17. Video Interstitials Overview
ARPDAU eCPM
Retention
Effect
Impressions
per DAU
Video
Interstitials
0,006 $ 4,74 $ Bad 0,2
• Can be a good addition to interstitials
19. Rewarded Videos Overview
ARPDAU eCPM
Retention
Effect
Impressions
per DAU
Rewarded
Video
0,007 $ 6,76 $ Good 0,87
• Programmatic drives branding demand
• Mostly CPI advertisers
• Neutral effect on retention
• Offers great eCPM, however ARPDAU is typically low due
to low # impressions per DAU
21. Native Ads Overview
ARPDAU eCPM
Retention
Effect
Impressions
per DAU
Native Ads 0,007 $ 1,1 $ Good 6,39
• Great alternative to banners
• Programmatic is growing => Branding advertisers
• Neutral effect on retention
• 30% - 200% eCPM improvement compare to banners
29. Forecast for 2017
• Interstitials will remain accountable for the majority
of mobile game ad revenues.
• Native Ads will be adopted by publishers to improve
retention rate and monetize non-paying users.
• Videos will remain a good alternative to monetize
non-paying users, however, its volume and ARPDAU
will stay relatively low.
30. Forecast for 2017
• Programmatic Native and Video will continue to
grow, bringing more branding advertisers and ad
networks into the space.
• Ad Revenue attribution per user cohort will become
available to publishers, just like IAP revenue attribution.
• Traditional Waterfall model will be replaced with
Header Bidding (Flat Waterfall) model.