APAC Spends Big on Rewarded Videos and Holiday Periods

Insights from Smaato’s Global In-App Advertising Trends Report Showcases APAC’s Penchant for Rewarded Video

Smaato, the global in-app advertising platform, shares further insights on APAC from its Global In-App Advertising Trends Report’s spotlight on the region.

With APAC on track to see a 25% increase in mobile ad spending in 2019, this edition of the report dives deep into the trends of importance for APAC from the first half of 2019.

In-App eCPMs Across APAC  

  Country Indexed eCPM
1 New Zealand 220
2 Australia 184
3 China 156
4 Singapore 156
5 South Korea 148
6 Indonesia 92
7 Malaysia 84
8 Thailand 80
9 Japan 68
10 India 68
APAC Average 100

 Comparing in-app eCPMs across APAC, Smaato found that the English-speaking markets of New Zealand and Australia topped the charts. This is possibly due to the ease with which advertisers can adapt existing in-app ad campaigns from other top global markets such as the UK and the US.

Separately, China, Singapore, and South Korea boast high eCPMs in the region due to their users’ unique in-app behavior and usage.

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Video Consumption Is Driving Mobile Usage and In-App Ad Spending

The report highlights significant video ad request growth from H1 2018 to H1 2019. The top five APAC markets that experienced the most significant growth were India, China, Thailand, South Korea, and Indonesia.

Country Video Ad Request Growth
1 India 281%
2 China 197%
3 Thailand 190%
4 South Korea 150%
5 Indonesia 111%

Smaato notes that with mobile users in APAC spending more time in-app, and particularly within short-form video apps such as TikTok, advertisers are receiving an influx of video ad requests on which to bid.

The report also showcases distinct regional differences between which video ad formats attracted the highest shares of ad spending. Rewarded video came out on top in APAC at 35% of total video ad spending, whereas it was the least used format in the Americas and EMEA at approximately 10% of video ad spending.

Rewarded Video Interstitial Outstream
APAC 35% 53% 12%
EMEA 11% 54% 36%
Americas 9% 79% 11%

The recent Smaato and Liftoff In-App Engagement and Conversion report highlights that amongst all in-app ad formats, video posted both the highest eCPMs and engagement rates. Rewarded video ads have particularly great ROI for advertisers, with 86% lower eCPMs than overall video while maintaining similar conversion rates. Marketers in APAC have already wised up to these advantages of rewarded video, ahead of their counterparts in other regions. One potential explanation for the predilection for rewarded video would be the popularity of mobile gaming in the region, as rewarded video tends to work well with the format.

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In-App Spending During Holiday Seasons in APAC

The report also examined two major holiday periods in the region, Ramadan and Lunar New Year. Smaato discovered that in-app ad spending rose significantly during Ramadan. Average daily ad spending during the month of Ramadan was nearly 2.5 times higher than that of the month prior, a 143% increase.

The Ramadan boost was most marked in Indonesia, with the country seeing an average increase in daily ad spending of 79%. Malaysia saw a rise of 38%, and Singapore achieved an 18% uplift.

A spike in mobile usage during the Lunar New Year led to rising in-app ad requests to the Smaato platform during this celebratory period. China, for example, saw a 25% increase in daily in-app ad requests.

Delynn Ho, General Manager, Smaato APAC says, “The holidays may represent a missed opportunity for marketers. An influx of in-app ad requests during the holiday period shows the great potential to connect with mobile users who are using apps to exchange messages with friends, watch videos, play games, and exchange virtual gifts and red envelopes.”

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