Programmatic advertising inside Xbox/Playstation games
Interest in the Programmatic Advertising industry is growing every year. According to Statista's data for 2024, total global programmatic advertising budgets have already surpassed $500 billion and are rapidly approaching $800 billion by 2028. The majority of these budgets are allocated to mobile applications and the gaming industry, with a special focus on Xbox and Sony PlayStation game development.
Why is this happening? According to WMG International's demand side team, the key factor in an advertising campaign's effectiveness is user engagement. Brands primarily want their ads to be seen, which requires achieving two factors: user interactions and viewability.
Xbox and PlayStation content falls under the CTV (Connected TV) category. Brands are known to pay high CPMs for advertising on various CTV devices, such as Roku, Apple TV, Google Chromecast, Amazon Fire TV, and others. Compared to the previously mentioned devices, Xbox and Sony PlayStation have a significant advantage: they are a combination of CTV and game development, which is highly appealing to advertisers. Furthermore, Xbox and PlayStation games offer additional formats like rewarded video and in-game advertising.
Why do brands pay high CPMs for advertising in Xbox and PlayStation games?
The adWMG team helps to explain this:
- We often gather with friends around our TVs and play games on our consoles. By placing an ad in an Xbox or PlayStation game, advertisers have the opportunity to show it to multiple people simultaneously while paying for a single impression, which doesn't happen when a user plays on a mobile phone.
- Console targeting. Special attention should be given to game advertisers who promote their Xbox and PlayStation games inside other games. In this case, ACR targeting is applied. Your TV knows and transmits information about the connected devices, so game advertisers can always determine if you have the console that supports their game.
- Focus on video advertising. The main format of programmatic advertising in Xbox and PlayStation games is video, with a special emphasis on Xbox/PlayStation rewarded video.
Rewarded video in Xbox and PlayStation games provides a win-win result for both advertisers and publishers. Game advertisers are well acquainted with this format from mobile games. As known, rewarded video offers one of the most effective conversions compared to other formats. adWMG actively creates monetization products for Xbox and PlayStation publishers, allowing publishers to monetize their content at the highest CPMs and keep users engaged in the game.
— WMG International team / adWMG
Another significant advantage of programmatic advertising for Xbox and PlayStation game developers is that they can promote their Xbox and PlayStation games on mobile and desktop screens. By applying device targeting in the WMG DSP UI interface, Xbox/PlayStation game advertisers can significantly expand their audience reach, and using promotion codes in their ad creatives allows them to effectively track the conversion source.
We hope you found this material useful.
Play games, create and advertise your games on Xbox and Sony PlayStation consoles, as well as on web and mobile in-app inventory. The WMG International / adWMG team will help you achieve maximum conversion results and maximize your programmatic monetization revenue.
Your adWMG team.
