In-App Advertising - Russia

Russia

Highlights

Ad spending in the In-App Advertising market in Russia is projected to reach US$1.60bn in 2024.
The market is expected to exhibit an annual growth rate (CAGR 2024-2030) of 7.57%, leading to a projected market volume of US$2.48bn by 2030.
The average ad spending per mobile internet user in the In-App Advertising market in Russia is projected to be US$12.15 in 2024.
In a global context, China is anticipated to generate the highest ad spending, amounting to US$132.80bn in 2024.
In Russia, the In-App Advertising market is witnessing a surge in demand, driven by the increasing smartphone penetration and app usage among consumers.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The In-App Advertising market in Russia is experiencing significant growth and development.

Customer preferences: Russian consumers are increasingly using mobile applications for various purposes, including communication, entertainment, shopping, and information. This growing reliance on mobile apps has created a favorable environment for in-app advertising. Users are becoming more accepting of advertisements within apps as long as they are relevant, non-intrusive, and provide value. Advertisements that offer personalized recommendations, discounts, or exclusive content are particularly well-received by Russian consumers.

Trends in the market: One major trend in the Russian In-App Advertising market is the increasing adoption of programmatic advertising. Programmatic advertising allows advertisers to target specific audience segments and optimize their campaigns in real-time. This trend is driven by the growing availability of data and advanced analytics tools, which enable advertisers to better understand their target audience and deliver more relevant and engaging ads. Programmatic advertising also offers cost-efficiency and scalability, making it an attractive option for both large and small advertisers. Another trend in the Russian market is the rise of native advertising. Native ads seamlessly blend into the app's user interface, providing a more natural and less disruptive advertising experience. Native ads are often designed to match the look and feel of the app, making them more engaging and effective in capturing users' attention. Advertisers are increasingly leveraging native advertising to deliver their messages in a non-intrusive manner and enhance user experience.

Local special circumstances: Russia has a large population of smartphone users, with mobile penetration rates steadily increasing. This widespread use of smartphones creates a vast audience for in-app advertising. Additionally, the popularity of social media platforms and messaging apps in Russia provides advertisers with opportunities to reach a highly engaged audience. Advertisers can leverage the popularity of these platforms to target specific user groups based on their demographics, interests, and behavior.

Underlying macroeconomic factors: The Russian economy has been recovering from a period of economic instability, and this has had a positive impact on the In-App Advertising market. As the economy improves, businesses are investing more in advertising to promote their products and services. Advertisers are also exploring new ways to reach consumers, and in-app advertising presents a cost-effective and targeted solution. Furthermore, the increasing availability of high-speed internet and the growing popularity of mobile devices contribute to the expansion of the In-App Advertising market in Russia. In conclusion, the In-App Advertising market in Russia is experiencing growth and development due to customer preferences for relevant and non-intrusive ads, the adoption of programmatic and native advertising, the widespread use of smartphones and social media platforms, and the recovery of the Russian economy. These factors create a favorable environment for advertisers to reach a large and engaged audience through in-app advertising.

Data coverage:

The data encompasses B2B enterprises. Figures are based on in-app advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers ad spending on advertisements displayed within a mobile application.

Modeling approach:

The market size is determined through a combined top-down and bottom-up approach. We use market data from independent databases, the number of application downloads from data partners, survey results taken from our primary research (e.g., the Consumer Insights Global Survey), and third-party reports to analyze and estimate global in-app advertising spending. To analyze the markets, we start by researching digital advertising in mobile applications for each advertising format, incidents of in-app and mobile browser usage, as well as the time spent in mobile apps by categories. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as GDP, mobile users, and digital consumer spending. Lastly, we benchmark key countries and/or regions (e.g., global, the United States, China) with external sources.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year.