Smaato: Mobile Video Ads Outperform Other Ad Formats, Deliver 11x Higher eCPMs

Smaato released its Q1 2016 Global Trends in Mobile Advertising report, which highlighted the growth of mobile ad spending from Q1 2015 to Q1 2016.

Mobile advertising platform Smaato released its Q1 2016 Global Trends in Mobile Advertising report, which highlighted the growth of mobile ad spending from Q1 2015 to Q1 2016. Specifically, Smaato said global ad spend on its platform increased 89 percent from Q1 2015 to Q1 2016.

Breaking this growth down by region, Smaato’s report showed the Americas had the highest ad spend growth, at 123 percent from Q1 2015 to Q1 2016. The Americas were followed by APAC at 65 percent ad spend growth and EMEA at 32 percent ad spend growth year-over-year.

Smaato Global Trends in Mobile Advertising 2016

When looking at global ad spending in specific app categories, Smaato found arts and entertainment apps accounted for over half of total ad spending on the Smaato platform in Q1 2016, at 52 percent. Arts and entertainment apps were followed by hobbies and interests apps (15 percent) and society apps (nine percent).

Smaato Global Trends in Mobile Advertising 2

Breaking the arts and entertainment app category down into subcategories, Smaato found music apps accounted for 59 percent of ad impressions in the arts and entertainment category in Q1 2016. Music apps were followed by celebrity fan and gossip apps, which accounted for 11 percent of ad impressions in the arts and entertainment category in Q1 2016.

Finally, when looking at different kinds of mobile ads, Smaato found mobile video ads outperform all other mobile ad formats. Specifically, when compared to traditional ad formats, like text and image ads, Smaato found mobile video ads deliver 11 times higher eCPMs (effective cost per thousand impressions) for publishers, at a 1,042 percent uplift.

In a statement, Ragnar Kruse, CEO and co-founder of Smaato, commented:

Mobile video advertising is showing enormous growth potential, helping publishers to boost their monetization efforts and advertisers to engage their target audiences better. It’s very encouraging to see the continued overall strength of quarterly mobile ad spend growth, which is up 89 percent globally.

I’m also impressed by the immunity of mobile ad spend to downward macroeconomic factors. For example, Brazil’s emerging mobile market saw quarterly mobile ad spend grow a surprising 121 percent in Q1 year-over-year—almost as much as the healthy U.S. market at 130 percent—despite major economic and political challenges.

Smaato’s complete report is available here.