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Asia, the Present and Future of Mobile Advertising

Apr 4, 2019 5:01:17 PM

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Underestimating the power of the Asian market is a lethal mistake for today’s mobile marketers. The explosion of mobile video access and usage across the Asia Pacific market has Asian marketers and brands catching up rapidly to their European and North American neighbours, both in spend and technological development. As GDPR and increased regulations affect digital advertising policies and budgets in the Western markets, e-commerce’s Asia takeover will only continue in the world’s fastest-growing internet region.

For the first time ever, 2019 is projected to see more than half of ad spend in Southeast Asia be on digital platforms. While it’s no secret that advertisers are increasingly moving to mobile devices, the Asian market is already far ahead of its global peers. The average user in Southeast Asia spends 3.6 hours per day using mobile internet compared to 2.0 hours in the United States and 1.8 hours in the U.K.

A 2017 survey showed 53 percent of Asian mobile users watch online videos on a weekly basis compared to 43 percent of users in the U.S., Canada and Europe. Social networks were visited weekly on mobile phones by 69 percent of Asian users compared to just 52 percent in Western nations.

The proliferation of mobile advertising on apps, compared to mobile web, also gives advertisers a new leg up in that they can use programs like Pocketmath’s AppGraph to target users based on their app usage and even reach their competitors’ user base with their advertisements. A rapidly growing pool of users combined with the world’s highest level of mobile consumption and rapidly advancing targeting methods means a perfect storm for continued mobile growth and boom for advertisers on these platforms.

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Over the next four years, mobile ad spend in Asia Pacific is expected to grow 88.6 percent, a significantly higher rate than North America (75 percent) and Europe (60.9 percent). The three countries in the region with the highest growth rates by 2022 are China, India and Indonesia, which account for around 40 percent of the global population. While Western countries may have initially led the way in advertising technology, Asia Pacific’s staggering growth cannot be underestimated.

In Southeast Asia, the internet economy has more than doubled since 2015. Younger, digitally native consumers are becoming a larger portion of the marketplace. Low-cost smartphones make mobile connection more affordable for the masses, while widespread connectivity links more users than ever before. As national and regional economies grow, e-commerce is taking more and more of a market share. Banking transfer apps and cash on delivery are major ways for companies to overcome low credit card ownership in the region.

Google and Facebook, two titans of mobile advertising on their respective platforms, are focusing more and more on the region in order to grow their user bases. Anchored by online shopping companies like Lazada, Shopee and Tokopedia, the world’s most populous continent has gained considerable purchasing power and influence.

In Asia Pacific, a generation raised on smartphones and video on the go is primed to become the primary consumers in their markets. As mobile advertising continues its rapid growth and takeover of the overall and digital advertising spheres, Asia-based companies like Pocketmath will continue to ride this wave of innovation in order to deliver brands and companies the best way to reach their targets in a rapidly evolving marketplace.

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