Introduction: 

The Mobile Ad Industry is made up of 2 parts-

1) Supply, which is to be determined by publishers and

2) Demand, which is reflected in DSP which is the Demand-side platform. DSP enables advertisers to present mobile ads in the publisher’s desktop or mobile inventory. Just like DSP, There is an SSP (Supply Side Platform) that displays mobile inventory across many publishers.

A Mobile Ad Network serves as a middle point between the ends of the value chain, by moving inventory along both supply and demand, directly or by re-booking and reselling inventory.

The Ad Networks that invest in the advertiser-publisher dynamic are not always limited to mobile traffic delivery and showing performance stats, when the budget is high, ad networks take part in ad creatives production. For example, in video advertisements, that have great digital efficiency, the networks can improve the ad campaign efficiency and bring about a rise in revenue.

A Shift in Mobile Ad Industry:

A major shift that the mobile ad industry has seen is that mobile apps are a major place for ads to be shown, which replaced the traditional web on the mobile. This shift also helped in making a new term- in-app advertising. There is a reason behind this change- research says that people spend time with mobile devices, using different apps, not browsing websites unlike before. The mobile apps industry has developed a lot. With new apps coming in every day, it is being said that in-app advertisements have a chance of replacing mobile web ads.

AI or Artificial Intelligence algorithms are appreciated as the best way to solve the many problems that digital advertising goes through. AI is the technology that companies use to curate big data volumes. They search for patterns and insights to make it more efficient. For mobile advertising, it is a new way to fight mobile ad fraud. Video publishers highly depend upon Mobile Ad Networks.

VDO.AI mobile network gives a reporting interface that enables publishers to have a look at their ad impressions and the proceeds on a real-time basis.

Mobile Advertising Business Models:

• With CPM (cost per mile) type, an advertiser has to provide money each time that his/her ads are shown 1000 times which is a mile. It’s the ideal business model for publishers as it permits them to make money every time an advertisement was displayed. The loss part is that they may lose revenue if their website or app audience is interested in a service or product that they advertise.
• With CPC (cost per click) model, an advertiser has to give money for each click that is made on their mobile ad. This model is ideal for advertisers because it permits them to pay only if someone is interested in their product or service. In some cases, it may work for certain publishers as well. For publishers, there is a certain risk involved in this model.
• With CPI (cost per install) model, advertisers have to give money only when a click on ads has concluded into a mobile app install. It is one of the important metrics for marketers to keep track of and measure because it stands for the price they give to get customers and therefore comes in ROI calculations.
• CPA (cost per action) is an evolved part of CPI when the advertiser is asked money for an action such as in-app sale, subscription, forms submit, sign up, and more. This action is taken by users inside an app. This business model gives publishers more chances to monetize their material and more chances for advertisers to enhance their business.
• CPV (cost per view) gives advertisers with video ad campaigns. Advertisers are charged for each time their ad was viewed. With the current time of video advertising, this model is becoming popular.

Conclusion:

In Conclusion, Mobile Ad Industry is made of two parts- supply and demand, DSP and SSP are important to publishers and marketers. A mobile ad network serves as a mid-point between ends of the value chain. Video ads are increasing inefficiency because of ad campaigns. More and more ads are being shifted to apps. The mobile app industry has developed a lot. They are called in-app advertisements. AI algorithms are used to fight mobile Ad fraud. There are 5 business models: CPM (cost per mile), CPC (cost per click), CPI (cost per install), CPA (cost per action), and CPV (cost per view).