In-app Advertising Market

Global In-app Advertising Market Size (2024 to 2029)

The global in-app advertising market was estimated to reach USD 242.09 billion in 2024 and USD 602.39 billion by 2029, growing at a CAGR of 20% during the forecast period.

In-app advertising became an accelerated marketing channel for most advertisement agencies and companies. The major advantage of the in-app advertisement market is that it allows enterprises to customize ads with higher accuracy based on customer requirements. The basic requirement for the success of the pay-per-click model is achieving a high click-through rate. In-app advertising responds to a natural evolution of how people are using their smartphones and other mobile devices. Consumers are accustomed to preferring mobile apps to the mobile Web. In-app ads are more user-friendly and appealing than the traditionally displayed ads using the Web. In-app ads possess the added advantage of advanced location targeting and relevance in advertisements.

MARKET DRIVERS

The primary driving factor for the growth of the global in-app advertising market is the increase in smartphone usage and the rising usage of different smartphone applications that consumers regularly use, like WhatsApp, Facebook, and many more. Moreover, the increase in the number of smartphone application downloads from the iOS store and Google Play store can also contribute to the global in-app advertising market growth. 

MARKET RESTRAINTS

The key restraining factor hampering the growth of the global in-app advertising market is technical issues. For example, testing ads for in-app advertising on several smartphone software, like iOS and Android, consumes much time as both software display content differently.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global In-App Advertising Market Analysis By Platform

The Android segment has constituted a major market share in recent times and is anticipated to grow at the highest rate over the projection interval. The rapid increase in tablets and smartphones is the key driver over the forecast period. Due to the lower penetration rate of supported devices, the market share of other platforms like BlackBerry, Windows, and Java is anticipated to grow slower. 

Global In-App Advertising Market Analysis By Type

The banner ads segment dominated the market and is expected to continue the same trend. However, the interstitial ads segment is anticipated to be the fastest-growing segment over the projection interval. These ads are full-screen ads consisting of a video, text, or image that appears during the transitions occurring in a mobile application. These ads have become less intrusive and offer a more immersive experience as they are aligned with pauses or breaks in the content.

Global In-App Advertising Market Analysis By Application

The Social Media segment dominated the market and is expected to continue the trend over the forecast period due to the regular use of Social Media applications compared to other smartphone applications. Moreover, the increase in the adoption of smartphones and the rising number of freely available mobile messaging applications are also expected to contribute to the growth of this segment. In addition, the higher use of mobile messaging applications in emerging regions such as Latin America and the Asia Pacific is also expected to contribute to the demand for the in-app advertising market over the forecast period.

REGIONAL ANALYSIS

The in-app advertising market, by region, is anticipated to lead by North America during the forecast period and The Asia-Pacific and Europe are the followers in order. Some of the driving factors for the global in-app advertising market in North America are the early adoption of the technology and the increasing demand for mobile in-app advertising across various businesses. Additionally, Facebook Inc., Google LLC, Verizon Communications Inc., Tapjoy, Inc., and other key players in the region also contribute to the growth of the in-app advertising market in North America.  In addition, Asia-Pacific is also expected to hold a significant share of the global in-app advertising market. China is dominant in the in-app advertising market in this region.

KEY PARTICIPANTS IN THE GLOBAL IN-APP ADVERTISING MARKET

The key players in the ecosystem of the in-app advertising market include Facebook Inc. (US), Verizon Communications Inc. (US), Microsoft Corporation (US), The Rubicon Project, Inc. (the US), Google LLC(US), Apple Inc. (US), Tapjoy, Inc. (US), Amobee Inc. (US), MoPub Inc. (US), and InMobi (US), among others.

RECENT HAPPENINGS IN THE GLOBAL IN-APP ADVERTISING MARKET

• Rubicon expanded Fastlane, a next-generation header bidding feature, to in-app advertising in August 2019. It is the first and only header bidding solution available in the industry for in-app desktops and ecosystems. This integration is anticipated to maximize marketers' ad inventories by increasing campaign performance.

• Touchpoints and playable ads are two new mobile native ad units added by Verizon in February 2019 as part of its Moments ad suite. The introduction of these ad units is aimed at supporting gaming and e-commerce advertisers with high conversation rates.

• Tapdaq, Inc., an ad mediation and app monetization platform, was acquired by Tapjoy in November 2018 and thus aimed at offering cutting-edge tools to monetize mobile content and audiences to app and game developers through the expansion of the service offerings.

DETAILED SEGMENTATION OF THE GLOBAL IN-APP ADVERTISING MARKET INCLUDED IN THIS REPORT

This global research report is segmented and sub-segmented by platform, type, application, ad format, and region.

By Platform

• iOS

• Android

By Type

• Interstitial Ads           

• Video Ads

• Native Ads

• Rich Media Ads

By Application

• Entertainment & Social Media

• Gaming

• News & Sports

• Online Shopping & Fashion

By Ad Format

• Non-Video Ad-Format

• Video Ad-Format

By Region

• North America

• Asia-Pacific

• Europe

• Middle East & Africa