APAC Leads Global Mobile Programmatic Media Buying: PubMatic

The influx of 359 million mobile users over the next five years will great a greater urgency for advertisers and agencies in the APAC region to balance and transition their ad strategies from desktop to mobile, according to the latest Q1 2019 Quarterly Mobile Index by PubMatic.

“Marketers need a mobile-first strategy to follow consumer device usage, liberated from the confines of a desktop screen and related usage behavior,” said the report, adding that general industry understanding and acceptance for programmatic is still lacking in the APAC region.

Based on 13 trillion advertiser bids on a monthly basis, the report said that while the fragmented ad tech market is complicated by sub-regional industry misconceptions, advertisers and agencies in the APAC region are starting to see the benefits of targeting mobile-first consumers through automated media buying.

Turning to programmatic methods to better reach and target customers, PubMatic said that advertisers and agencies in the APAC region weight programmatic media spending on mobile apps, continuing to outpace mobile web and desktop growth.

The report did not mention how many of the mobile phones are part of intelligent device farms that boost the numbers in order to create attribution fraud.

“In-app ads tripled in platform spending and impressions over last year, driving overall regional growth in mobile programmatic ads,” said the report, adding that even though just 7% of digital advertising dollars in the APAC region flow through programmatic, the dramatic uptake in mobile ad volume is linked to the rise in an urgency to reach mobile-first customers.

In an effort to reduce the impact of ad fraud on digital advertising, the report found that global advertisers and agencies had shifted their budgets to private market places (PMPs) for Android inventory.

With most PMPs led by and initiated by advertising agencies, the shift may have been pushed by media buying agencies for than advertisers, with PubMatic adding that the Android impression volumes in-app for PMPs are up 58% while the inventory volume in the open market is down by 16%.

This has been supported by data from eMarketer, which found that due to ongoing issues of ad quality and brand safety associated with open market buying, by 2021 advertiser will spend $15.97 billion on PMPs while only spending $13.77 billion on open exchanges.

Babar Khan Javed
Babar Khan Javed
Babar Khan Javed is the Global Technology Analyst for Branding In Asia.

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