Singapore – A new report from PubMatic has revealed that around 70% of APAC marketers are spending on in-app advertising, with 8 in 10 marketers seeing improved brand awareness and are paying off for brands.
At 88%, Singaporean buyers are most likely to buy in-app, while Japanese buyers are doing far less in-app buying, at just 47%. Across countries, performance-focused buyers are more likely to advertise in-app than brand buyers, at 77% and 60% respectively.
Despite this discrepancy, marketers across regions say that brand awareness is the leading benefit of in-app advertising, regardless of their primary advertising objectives.
In terms of mobile game advertising, the study shows slightly over half of marketers that currently incorporate in-app ads in their marketing strategies also invest in mobile gaming ads. Of the APAC marketers surveyed, 52% have an in-game marketing strategy, with a wide variance of adoption across countries: only 15% of Japanese marketers are spending on in-game ads, versus 77% of marketers in Singapore.
Moreover, most advertisers who are reluctant to invest in mobile gaming ads cited their primary reason as misalignment with company or brand values, or misalignment with target audiences.
Meanwhile, programmatic was the preferred in-app buying option for 62% of advertisers – reflecting the need for agility through data-driven precision, adaptability, and cost-efficiency – while the remainder transacts directly with publishers. Direct buyers cited “audience targeting precision” as the top reason for how they purchase, followed by “more control over ad placement” and “customisable solutions tailored to specific goals of our brand”.
Lastly, around 86% of in-game advertisers in Singapore and 80% in South Korea plan to increase, or maintain, the same budget for in-game advertising – meaning brand buyers are the biggest revenue opportunities for gaming publishers. Only Japanese marketers are hesitant to go all-in on in-game advertising right now, due to the aforementioned concerns around audience alignment. Marketers also reported the biggest appeal of in-game advertising to be the ability to create positive associations of their brand with mobile gamers.
Lashanne Phang, vice president for mobile at PubMatic, said, “The findings show there are more chances than ever for in-app publishers to attract ad spend from brand buyers looking to invest in mobile gaming. But, in today’s increasingly complex and dynamic landscape, it will be vital to work with a tech partner that can provide transparency, control, flexibility and guidance if they are to unlock the full potential of in-app and in-game advertising and capture incremental dollars from diverse channels and geographies in 2024.”
She added, “When choosing a tech partner, app publishers should look for a company that provides unique demand and effective measurement tools, while offering customised, curated packaging to ensure control over audiences, inventory and data.”
