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In the world of AdTech, OEM stands out as a powerful strategy thanks to its deep integration within the mobile device ecosystem. Through this unique approach, advertisers receive unprecedented access to users via multiple touchpoints, ensuring high levels of engagement not available with traditional mobile advertising. Here, we’ll look at why OEM ads are transforming into a vital tool for advertisers and the different ad formats available.

Understanding OEMs

OEM advertising involves partnering with device manufacturers to place ads right within the device. In other words, ads can show up in places where users often interact with the device, like the home screen, lock screen, or system apps. This seamless user experience is less intrusive and more engaging than traditional ad placements. 

Let’s compare: Traditional vs. OEM Advertising

Traditional mobile advertising encompasses a range of methods employed across various digital platforms. Common formats include:

• Banner Ads: Static or dynamic ads placed within apps or on web pages. While they offer visibility, they might blend into the background and be overlooked by users.
• Interstitial Ads: Full-screen ads that appear at natural transition points, such as between game levels. These can be effective but may disrupt the user experience if not timed well.
• Video Ads: Short clips that play before, during, or after user-selected content. These ads can be engaging but require user attention and are often skippable.
• Rewarded Ads: Ads that offer users a reward for viewing, such as in-game currency. While popular in gaming, they rely heavily on user motivation.

Despite their effectiveness, these methods don’t always engage and interact with users throughout their mobile journey. If they’re not contextually relevant to the user’s interests, traditional ads tend to be interruptive and easy to ignore. This is the very reason why app marketers often seek innovative ways to ensure engagement and visibility while maintaining a good user experience.

OEM Solutions

OEM advertising offers a more integrated and unique approach. Ads are not just added to the app store; they are woven into the fabric of the device itself.  As a result, users are reached through a variety of touchpoints, from notifications to native system app ads, creating a more comprehensive and engaging experience.

OEM Ad Formats Offered

Let’s look at the various ad formats offered here at AppSamurai:

• Native Placements: Ads are seamlessly integrated into the app’s interface, enhancing user engagement without being intrusive. Native placements are designed to blend with the device ecosystem, providing a smooth and engaging user experience.
  

• Icons: Ads displayed as icons on the home screen or the recommended app drawer provide persistent visibility and easy access for users. Icon ads can also be integrated into app stores. This format keeps the brand front and center, encouraging regular interaction. By targeting users based on their preferences and behavior, this format leverages data insights to deliver highly relevant recommendations.

• Push Notifications: Timely and relevant notifications capture user attention directly from the notification panel, driving engagement and interaction. These ads can be personalized based on user behavior and preferences, increasing their relevance and effectiveness.

• Splash Screen: Full-screen ads that are displayed to provide high-impact exposure and engagement.

• Banner Ads: Placed at strategic locations within the device, these ads deliver consistent visibility without disrupting the user experience. OEM banners often achieve higher engagement rates due to their seamless integration.

• PAI (Play-Auto-Install): Leveraging the peak interest during the setup of a new device, PAI lets users discover and install apps directly from the start, streamlining the conversion process.

The Power of Android

One of the key reasons OEM advertising is so effective is the dominance of Android in the global mobile market. With over 3 billion active users worldwide, Android is the leading mobile operating system, holding a market share of approximately 70-72% throughout 2023​ (Techjury)​​ (Enterprise Apps Today)​. This dominance is particularly notable in countries like India, Indonesia, and Brazil, where Android’s market share exceeds 85%​ (Business of Apps)​. In the United States, about 60% of smartphone users are on Android​ (Enterprise Apps Today)​.

Samsung, a major player in the Android ecosystem, leads the market with a 35% share​ (Enterprise Apps Today)​. This extensive reach provides advertisers with a massive audience, making Android an ideal platform for OEM ad formats. The ability to target such a large user base is a significant advantage for advertisers looking to increase brand visibility and user engagement.

What are the benefits of OEMs? 

Broader Reach and Engagement

With mobile ads integrated into the ecosystem, advertisers can engage users across multiple touchpoints, creating a more immersive and engaging experience. As a result, a brand can reach users who might not be reached through other digital channels.

Enhanced Branding Opportunities

OEM branding campaigns can boost brand recognition in markets where traditional digital channels aren’t as effective.The uncluttered environment of OEM advertising is ideal for apps that want to stand out from the crowd, gain strong impressions, and get installs. You can build a lasting connection with your audience by being present at multiple stages of the user journey.

Sophisticated Targeting

OEM solutions have advanced targeting options that go beyond simple demographics. Based on user preferences, behaviors, and app usage patterns, advertisers can reach specific demographics. With this level of precision, ads are delivered to the best audience, maximizing their effectiveness. For example, a mobile game targeting young adults can be promoted to users who frequently download similar games, increasing the likelihood of conversion. Targeting options include:

• Geographic
• App Category 
• Device Type
• Retargeting
• Keyword Targeting
• Social Demographics (age, gender, etc.)
• User Behavior

Cost-Effectiveness

In comparison to traditional channels, OEM advertising often has lower cost-per-mille (CPM) and cost-per-click (CPC) rates. This lets advertisers reach more people and engage them for less ad spend. Targeting specific audiences also reduces wasted impressions, boosting OEM campaigns’ cost efficiency.

Final Thoughts and Success Stories

OEM’s native ad solutions, combined with Android’s wide reach, give advertisers the chance to engage with a diverse audience through innovative and integrated ads. OEM is becoming increasingly valuable to brands, giving them a way to connect with a wide range of users. 

Check out these OEM success stories to learn more: 

How TapNation Achieved ROAS+ via AppSamurai’s OEM (App Discovery) Campaign

How AppSamurai Boosted First Orders and Revenue for a Global Delivery App

Also, you can read our blog post on mobile games and OEMs to have a better idea on how OEMs help mobile game growth: Go Beyond Traditional User Acquisition: OEMs for Mobile Games

The post An Essential Guide to OEM Ad Formats in 2024 first appeared on AppSamurai.