Criteo, MoPub see 90% jump in conversions with in-app native ads

Brief:

Ad-tech firm Criteo saw click-through rates (CTRs) for in-app native advertising on MoPub, the Twitter-owned mobile monetization platform, that were four times greater than for banner ads, per an announcement. Total conversions for Criteo advertisers on MoPub inventory jumped 90% in Q2 2019 from the prior year.
MoPub's publisher partners generated a cost-per-impression (CPI) from Criteo that was 45% higher than the average for programmatic ad exchanges. Criteo's app business grew 54% in the past year, said the company's EVP of global supply Marc Grabowski.
Criteo plans to work with MoPub to scale upward and provide more formats, including video, to advertisers through real-time in-app bidding in the coming months, per the announcement.

Insight:

Criteo's reported ad metrics from MoPub indicate that in-app advertising delivers solid results for marketers while also generating more revenue for app publishers. Native ads that match the look and design of surrounding app content aim to be less intrusive for users and complement the user experience (UX). They can drive higher engagement among a variety of apps aside from popular social media platforms, as Criteo's results suggest.

The addition of video formats should be positive as more mobile users consume video on their wireless devices, especially as high-speed 5G service becomes more popular in the next few years. Currently, more than one-fourth (28%) of surveyed marketers said they have trouble delivering video to in-app users, per a survey by mobile video software company Penthera. The biggest issues that marketers cited with in-app video were awareness (50%), low engagement (41%) and inadequate metrics (40%).

Meanwhile, native advertising is forecast to grow its share of U.S. display ad spending to 65% next year from 48% in 2016, eMarketer estimates. Programmatic placement is the preferred way to buy non-social native ads that are typically seen on mobile phones. By next year, 89% of U.S. native ads will be mobile, up from 85.2% in 2018, the researcher said in a separate report. In addition, 88% of native ads will be purchased programmatically in 2020, up slightly from 87% last year.