There has been a 170% increase in Demand for Location Data and 20% increase in CPM, with mobile ad players reaping the benefits of a more personalised, relevant and timely user experience, according to new research.
Inneractive, an independent global mobile ad exchange today announced that based on an examination of their 2016 mobile ad traffic, they saw a rise of 170% in ad requests containing location data, and a ~20% in eCPM for ad requests that included GPS data for five of their top publishers. This research demonstrates that location-based mobile advertising is fast becoming a competitive differentiator as mobile ad players enjoy the benefits of providing a highly personalized relevant and timely user experience.
Inneractive examined their mobile ad traffic based on over 800 million unique monthly users worldwide and more than 2.5 million ad requests processed every minute to determine the increase in demand for location data. They examined parameters such as bid depth, win bid, clear rate and eCPM for five of their top publishers over the course of a year to measure ad performance.
“Location data delivers a win-win-win situation, with users receiving more relevant ads and advertisers and publishers enjoying higher engagement”, said Roni Anavi-Fass, VP Product at Inneractive. “The data on our platform shows that ad requests are enriched by GPS information, and location data has a higher value on exchanges.”
Additional key findings from Inneractive platform traffic:
– The number of bid requests in China grew by 33% and eCPM nearly doubled, as the rise in demand has allowed Chinese publishers to raise the prices for their traffic.
– There was an increase of 133% in video ad requests which is no surprise, however banner ads are still very popular with their eCPM growing by 81%.
– The number of programmatic private deals created between April and December 2016 grew 5x, while revenue from private deals, during the same time period, grew 13x, suggesting not only that this method of selling is being more widely adopted, but also that publishers are shifting more premium inventory to this channel.
For more information, please go to the Inneractive white paper The Rise of Geo Location Data in Mobile Advertising (link) and the Inneractive 2016 Mobile Trends.