Baidu Survey: Online Advertising Effectiveness in Indonesia Still Low

Although many think that In-App Purchase will be the future of app monetization mobile current contribution mobile advertising still dominates for developer revenue, as well as being an effective way to build market share. As of 2015 in Indonesia, according to a study entitled "Mobile Apps Market Study Indonesia" what Baidu does, mobile advertising contributed $20,8 million of total app revenue mobile devices of $28,1 million.

Regarding effectiveness mobile advertising In building public awareness, Baidu Indonesia Managing Director Bao Jianlei conveyed about the characteristics mobile advertising in Indonesia:

"A total of 27% of users smartphone in Indonesia every month they always click on online advertisements that visit their devices. Uniquely, the majority of online advertising enthusiasts come from the C class socio-economic segment, aged between 23-32 years and most of them are male. The characteristics of online advertising audiences found through this study can be taken into consideration for marketers in preparing the right form of communication."

The effectiveness of online advertising in Indonesia is still low

However, if you look at the results of in-depth research, online advertising as a whole still shows low effectiveness in Indonesia. Meanwhile, advertisements on social media and search engines are considered to have better effectiveness due to their ability to build a high level of awareness among device users phones.

From the Baidu survey, it was found that 68% of respondents claimed to be aware of the presence of advertisements on social media and 13% admitted to accessing these advertisements. Meanwhile, as many as 69% of respondents are aware of ads on the search engine they are currently using on their devices and 12% decide to click on the ad.

And the following is the percentage of online advertising usage and user traction from various platform online advertising in Indonesia:

“Video Ads is one of the advertisements whose presence is quite successful in building audience awareness. However, its effectiveness is still low considering that only a few viewers decide to access it. The implication or meaning of this fact is that advertisers must really pay attention to the attractiveness of the content delivered so that the level of interaction that is built with their viewers can be even deeper,” concluded Bao Jianlei.