As mobile app usage keeps increasing, in-app advertising has become a crucial strategy for companies looking to reach and engage their target audiences effectively.
Whether you are an advertiser aiming to optimize your marketing efforts or an app developer seeking to monetize your app, understanding in-app advertising is essential for achieving your campaign’s goals.
- What's in-app advertising?
- Different formats of in-app ads
- How does in-app advertising work?
- What are the benefits?
- Why choose Mapendo for your in-app advertising campaign
- Conclusion
In-app advertising represents the display of paid ads within mobile apps. Both app developers and advertisers can benefit from this strategy. Developers can monetize their apps by collaborating with advertisers who will pay to show their ads on the app, whereas advertisers can benefit from displaying their ads and attract a large number of new users.
In-app ads are especially important when it comes to free apps, since they represent the only way for developers to generate revenue without making users pay to use the app. In this case, in-app ads represent the only source of revenue, together with in-app purchases. On the other hand, advertisers can profit from in-app ads as they offer a direct channel for them to reach their target audience.
In-app advertising encompasses several formats in order to enhance user engagement and meet different marketing objectives:
- Banner ads. Rectangular ads that appear at the top or bottom of the app screen. They can be static or animated and are typically less intrusive, allowing users to continue interacting with the app.
- Interstitial ads. Full-screen ads that cover the interface of the app. They are usually displayed at natural transition points in the app, such as between game levels or during loading screens.
- Native ads. Designed to blend seamlessly with the app’s content, they match the look and feel of the app environment, thus providing a non-disruptive experience.
- Video ads. Short video clips that play within the app. They can be rewarded, where users receive in-app rewards for watching the ad, or non-rewarded, where the ad is a part of the app experience.
- Playable ads. Interactive ads that allow users to engage with a mini version of a game or app. They are aimed at encouraging users to download the app or game.
In-app advertising consists of a collaboration between app developers, representing the sellers, and advertisers, who are the buyers. However, it also involves a series of steps and other platforms supporting the ad campaign.
Here’s how it works:
- App developers integrate a Software Development Kit (SDK) provided by an ad network into their app. This SDK enables the app to serve ads and track performance metrics.
- When the user opens the app, it sends an ad request to the ad network, including information about the user (such as location, their phone’s operating system, and overall behavior) to target relevant ads.
- The ad network matches the request with suitable ads based on the user’s profile and the advertiser’s targeting criteria. Real-time bidding (RTB) often occurs, where advertisers bid for the ad space in milliseconds.
- The selected ad is delivered to the app and displayed to the user. Depending on the ad format, it might be shown immediately or at specific points during the app usage, such as between levels or during loading screens.
- The ad SDK tracks user interactions with the ad (impressions, clicks, conversions) and reports back to the ad network. This data helps optimize future ad placements and measure campaign effectiveness.
In-app advertising offers numerous advantages for advertisers, app developers and users:
- Targeted advertising. In-app ads can leverage user data, such as location, behavior and preferences, to deliver highly targeted and relevant ads to each user. This increases the likelihood of user engagement and conversion.
- Monetization for developers. In-app advertising provides a big revenue stream for app developers, enabling them to offer free or low-cost apps to users. By integrating ads, developers can earn money based on ad impressions, clicks and conversions.
- Non-disruptive experience. Well-implemented in-app ads can be non-intrusive and seamlessly integrated into the user experience. Formats like native ads and rewarded videos offer a valuable experience to users while also delivering the advertiser’s message.
- Real-time analytics. In-app advertising provides real-time data on ad performance, enabling advertisers to make informed decisions and optimize campaigns quickly.
Mapendo is the ideal partner to run user acquisition campaigns for your apps, targeting high-quality users.
Unlike traditional pricing models that pay advertisers based on impressions (CPM), Mapendo uses cost per install (CPI) and fixed cost per action (CPA), ensuring that you only pay for tangible results.
This performance-based approach maximizes your ROI by aligning costs with actual user engagements and actions, such as app installs or specific in-app actions you expect users to take. By leveraging contextual targeting and real-time analytics, Mapendo efficiently carries out a high-quality user acquisition campaign, thus helping you reach your goals with precision and efficiency.
Another main feature of our user acquisition platform is the use of multi-page ads, designed to provide users with an interactive and creative experience. This is one of the best strategies to acquire high-quality users because if the user decides to click on the ad and install it, the action will represent the result of an informed decision made by the user after trying out the app or game.
In-app advertising represents a powerful tool in the digital marketing landscape, offering numerous benefits for advertisers and app developers alike. With diverse formats like banner ads, interstitial ads, native ads, video ads and playable ads, in-app advertising caters to a wide range of marketing objectives and user experiences.
Choosing a valuable partner like Mapendo can enhance the effectiveness of your in-app advertising campaign. By focusing on user acquisition and employing performance-based models, Mapendo ensures that your investment is directly tied to significant outcomes, thus delivering high-quality users and driving sustainable growth.
