The 2021 Liftoff Mobile Ad Creative Index Report: New IDFA Rules May Prompt Ad Creative to Be Android’s for the Taking

Is the Spotlight on Video Ads Fading? 2020 Saw Dramatic Drop in ROI 

Video ads were a smart and strategic investment last year, driving 60% higher purchase rates than banners for mere pennies more. But this year, the video spotlight is fading, and the format now offers the lowest return on ad spend (ROAS). Despite slightly lower costs year-over-year, the category is still the priciest among ad types ($47) and, notably, the only category whose conversion rates declined year-over-year (down 1.5%).

With COVID-19 driving increased mobile use and generating a more captive audience for long-form video ads, it’s still too early to say video ads have hit the ceiling. Nevertheless, marketers looking for peak advertising engagement at moderate costs may wish to consider different methods. Interstitials, for example, delivered the highest engagement at moderate costs. This form has already demonstrated substantial value among gaming apps, with the highest conversion rates among ad types (8.1%).

With Shopping and Finance Apps Booming, Ad Creative Excels at a Fraction of the Cost

Apps that drive longer value amidst the epidemic, like shopping and finance apps, have had the strongest retention rates over the past year, and the data sees that loyalty reflected in acquisition costs. Shopping apps saw a cost decrease between 75% to 85% year-over-year across all ad formats, the highest being for interstitial ads. In finance apps, banner and native ad costs both saw a dramatic drop of nearly 91%, with video and interstitial formats decreasing 72% and 62% respectively. 

While the number of mobile users is at an all-time high, user acquisition costs are at an all-time low. It’s also the best time for mobile marketers to make a splash.

Research Methods

The 2021 Liftoff Mobile Ad Creative Index Report draws from an internal data analysis from January 1, 2020 to October 31, 2020. Spanning nearly 400 billion impressions, over 6.2 billion clicks, 275 million installs and 7.7 million first-time events in about 1,800 apps, the report delivers key takeaways on how banner ads, interstitials, video, interactive and native ads perform.