According to the IAB, “opt-in value exchange advertising is an ad format that is growing in importance … numerous studies show the consumer appeal and effectiveness of this tactic, citing benefits such as engagement, brand safety and an enhanced overall user experience.”
Don’t have time to read the entire report? Don’t fret, we’ve gathered some of its highlights.
What's in it for advertisers?
According to the IAB, rewarded ads are designed to:
- Natively address an immediate consumer need
- Capture authentic attention in a 100% share-of-voice brand moment
- Meet consumer expectations
- Be effective for both upper-funnel and lower-funnel metrics
What’s driving rewarded video growth?
According to the IAB, there is an increase in spend as more and more publishers and brands are jumping on the “value exchange bandwagon.”
Here are some more reasons why opt-in value exchange advertising is increasingly driving growth:
- Consumers are becoming increasingly annoyed with disruptive ad formats - especially on mobile devices.
- Brands are looking for new, native, and organic ways to connect with consumers
- Brands are actively seeking ads that perform better, are engaging, viewable, and most importantly, brand safe.
- When it comes to mobile, publishers are seeking ads that both engage and keep viewers on their site
- Publishers desire new streams of revenue
- The technology behind rewarded ads enables scalability of value exchange formats
The research says so
Studies show that consumers overwhelmingly prefer rewarded video ads. In Mary Meeker’s 2017 Internet Trends Report, she cited a study that found 70% of respondents feel positively towards rewarded video. In another study, almost 80% of US gamers stated that they prefer opt-in ads to pre-roll ads.
Rewarded ads are fully customizable, giving brands complete creative control on the entire process.These ads are designed to meet many brand goals: from awareness to user engagement, to performance and growing your audience. Brands can even repurpose existing creatives to be customized with specific goals in mind.
Data, data, data
According to this report, most publishers are consistently delivering rewarded video ads on 90%+ viewability rates in-app.
The future of opt-in ads
When it comes to opt-in value exchange advertising, also known as rewarded ads, the future has never looked brighter. The IAB is predicting some trends for 2019 and beyond that will surely generate more growth, for example. Users are already extremely receptive to this ad-unit, now the IAB predicts that now brands will be far more receptive to opt-in value exchange advertising due to their proven effectiveness.
To sum it all up
Rewarded ads, or opt-in value exchange advertising, are powered by consumer choice. According to the IAB “in a mobile-first environment where disruption is no longer effective, this control is a critical difference.”
While this ad format has been around for quite some time, only now is it picking up steam. Opt-in value exchange advertising has finally gone mainstream, and ironSource is here to show you the way.