The state of ad creatives in app marketing:
2024 edition

With contributions from:
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Key findings

2% of creative variations consume 68% of ad spend Only 2% of ads make up for 68% of budgets, while almost 90% of spending is directed towards just 10% of ads.
22% higher IPM for non-gaming ads with UGC on social media UGC works best in a social environment for both non-gaming (+22%) and gaming (+12%) apps; real-life footage outperforms animated ads by 15% for non-games.
+20% IPM for game ads without UGC on ad networks, DSPs Gaming creatives had a 20% higher IPM when UGC was not used; animated ads generated a 26% higher IPM than creatives with real-life footage.
Hypercasual games hit an IPM of 48 on ad networks Game genre excels at capturing attention with creatives to drive downloads with a 47.6 installs per mille (IPM) on ad networks; RPG games clocked in a modest 3.1 IPM.
6% day 30 retention for ads with combo of scene types A 6% rate recorded for video gaming ads with a mix of UGC, gameplay, and animated plus real-life footage on ad networks. 
30% better retention rate for longer video ads Gaming video ads above 15 seconds had a 30% higher day 30 retention rate on social platforms.
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Introduction

AI-driven Mad Men: ad creatives in 2024

Data sample *

220k creative variations analyzed by AppsFlyer’s AI **
2k apps covering gaming and non-gaming categories
720M non-organic installs driven by the analyzed creatives

* All results are based on fully anonymous and aggregated data. To ensure statistical validity, we follow strict volume thresholds and methodologies and only present data when these conditions are met

** Powered by AppsFlyer’s AI-powered creative optimization solution; a min. of $50 in ad spend per creative per month was applied

“Strong creative assets are the foundation of successful campaigns. They grab attention and drive engagement. But great ideas need a plan. Integrating content creation with strategy, while considering trends and brand originality, is key. This approach will also foster a symbiotic relationship and more collaboration between marketing campaign managers and creative teams.”

Dana Shaviv
UA Technical Lead – Social
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Top trends

The 50-variant chase: hunting for creative winners

Share of cost by % of creative variations


The IPM equation: engagement vs cost

IPM by category and media type


Few ads getting all the attention

IPM distribution by % of creative variations


CPI: Balancing volume vs. value

CPI of video ads on ad networks (USD)

Gaming groupings combine the following genres: Casual: Puzzle, Party, Action, Match, Simulation, Tabletop, Kids I Hypercasual: Hypercasual I Casino: Casino I Midcore: Shooting, Strategy, RPG I Sports & Racing: Sports, Racing

Download table: CPI by country, category, platform, media type, and ad type *

Gaming groupings combine the following genres: Casual: Puzzle, Party, Action, Match, Simulation, Tabletop, Kids I Hypercasual: Hypercasual I Casino: Casino I Midcore: Shooting, Strategy, RPG I Sports & Racing: Sports, Racing

Scene success varies heavily by context

Gaming (left chart) and non-gaming IPM by media type: AI-powered scene breakdowns 

Examples of scene types
UGC by Buff
Animation by Lucky Buddies
Gameplay by Buff

 “Automation is revolutionizing user-generated content (UGC) by empowering everyday users with innovative storytelling tools. Creators are increasingly adopting automated voiceover tools, setting the stage for a new wave in pop culture.”

Liraz Dvora
Head of Creative, Global Gaming

Scene combinations reveal top performers 

IPM by media type: Combined AI-powered scene breakdowns

X = Not in use
V = In use
Scene combo examples
UGC & gameplay by Buff
Real-life, animation & gameplay by Lucky Buddies
UGC, animation & gameplay by Buff

Download table: Country-level IPM scene breakdown combos


Want to dive deeper into the report? Watch our webinar

Ads that stick: The retention formula

Gaming and non-gaming day 30 retention rate by media type: AI-powered scene breakdowns

Day 30 retention rate by media type: Combined AI-powered scene breakdowns 

X = Not in use
V = In use

Download table: Country-level day 30 retention scene breakdown combos


15+ second videos work better on social

Day 30 retention rate by length of video ad: AI-powered breakdowns

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Experts’ corner

Q&A with Liraz Dvora, Head of Creative, Global Gaming

What are the top 3 trends you think will dominate the creative process in 2024?

Advancing interactive engagement: 2024 is shaping up to be a year of dynamic interaction with users. Shoppable videos transform browsing into buying with a click, while live streams engage audiences in real-time, setting new participation standards. With AI, content customizes to viewer preferences, deepening the connection between content and viewer through authenticity and personalization.

Creators at the forefront: This year remains centered on the power of authenticity and the incredible variety emerging from creators across the globe. With the creator economy booming (we’re talking potentially hitting $480 billion by 2027, according to Goldman Sachs). Anyone with a story can find their audience. Accessible tools enable anyone to produce professional-quality content. The influence now extends beyond follower counts, with micro-influencers impacting communities through genuine connections.

All types of automation tools: Streamlining tasks and fueling idea generation. Integration of automation tools is reshaping creative workflows. McKinsey highlights that a third of companies now embed such tools in their processes, underscoring its role as a pivotal creative resource.

In which areas of the creative process will automation be most impactful this year?

Automation could significantly transform tasks that are traditionally time-consuming and manually intensive. For instance, creative optimization will be elevated to a new level.

When streamlined, automation can analyze thousands of creative examples—far beyond human capacity. This enables the optimization of content across various channels, tailored to key performance metrics.

Additionally, automation is revolutionizing user-generated content (UGC) by empowering everyday users with innovative storytelling tools. Creators are increasingly adopting automated voiceover tools, setting the stage for a new wave in pop culture.

What should marketers watch out for when using automation in the creative process?

While AI boosts efficiency and innovation in creativity, there are a few “watch out” areas: While automation improves efficiency in the creative process, it also comes with challenges that we need to manage carefully:

Loss of human touch: Sometimes, content created with too much automation might lack emotional depth. It’s important to keep a human element in our work to ensure it feels genuine and culturally appropriate.

Over-reliance on automation: Depending too much on automation can limit our own creative ideas, leading to content that is too similar and lacks innovation. While automation is a useful tool, it should support, not replace, our creativity.

In summary, using automation effectively in creativity means finding the right balance between its benefits and maintaining our own creative and cultural insights to create truly engaging content.

What do you think makes for a creative winner in a “short vertical video” ad format?

To excel in the “short vertical video” ad format, capturing the viewer’s full attention within the first two seconds is crucial. Achieving this requires crafting a compelling hook that combines both visual and audio elements effectively. Since users tend to quickly skip through content, it’s essential to immediately engage them.

Though a winning “short vertical video” ad not only grabs attention but also delivers performance which means balancing upper funnel and lower funnel metrics. A winner creative will balance upper funnel & lower funnel metrics by utilizing the platform advantages and language while using the creative or game elements that drive the most impact.

Looking only at the upper funnel metrics will tell us if creatives are appealing or not but looking at lower funnel metrics will tell us if the creative attracts the relevant audience

For example, in RPGs, leveling up your character is a big deal. It’s what keeps players hooked. So on ad networks, the focus of the creative content is showcasing actual gameplay. Meanwhile, on short video platforms, the goal is to spark excitement by showcasing character upgrades and progress through creators. They share their reactions to game highlights, making ads more genuine and appealing. Featuring standout characters or cool gear helps draw in engaged gamers likely to stick around.

Trends come and go very fast on TikTok. How do you recommend detecting the latest trends and riding them early?

To effectively detect and leverage the latest trends on TikTok, active engagement on the platform is irreplaceable. This approach ensures a deep understanding of its trends and dynamics, enabling effective communication with its community.

Equally important is the ability to distinguish trends beyond short-term moments. Understanding long-term trends unlocks relevant insights and creative opportunities for brands.

As gaming becomes increasingly influential in broader culture, we can look to the #GamingOnTikTok community as a key driver in bringing the macro trends shaping our platform to life

Innovative gaming brands on TikTok are creating on-trend and exciting content that resonates with fans. They show that understanding and tapping into current culture is crucial for achieving business success today.
  
For example, Bytro Labs launched a successful TikTok campaign. They enlisted creators to produce content that combined engaging hooks with the latest trends. The campaign featured videos in split-screen mode showcasing gameplay at the bottom with a creator reacting at the top, resonating with the platform’s trends towards immersive engagement and UGC. Starting in Germany and expanding globally, they maintained a consistent global brand while adapting their ads to fit local culture. This strategy of aligning with trends and cultural nuances significantly boosted ROAS.

Spark Ads vs classic app install campaigns: how to approach from a creative standpoint?

Both Spark Ads and classic in-feed ads should work in tandem, complementing one another to reinforce the core message effectively. While both campaign types aim to deliver “TikTok first” content that resonates with the platform’s unique culture, they each bring distinct strengths to the table.

Classic ads prioritize creative best practices like engaging hooks, concise TikTok-style text, and captivating gameplay footage to quickly grab attention and drive interest towards app installs. For instance, an ad might tease “3 features you must try in the game,” followed by a showcase of these features and gameplay to visually engage the viewer.

Spark Ads tap into the trust and authenticity of creators or brands. They connect on a personal level, showcasing creators’ genuine experiences. For instance, a creator might share their favorite game features, inviting followers to explore and respond. Brands also use Spark Ads to engage the community, asking for feedback on favorite features to refine their approach. It’s a strategy that makes ads more personal and engaging.

Ultimately, while both Spark Ads and classic in-feed ads aim to generate interest and drive app installs, Spark Ads extend the strategy by incorporating elements of emotional appeal, personal testimony, and community interaction.

Using both ad formats ensures campaigns capture attention with compelling content while also deepening audience connections through authenticity and engagement, thus maximizing the overall impact of advertising efforts on TikTok.



Q&A with Dana Shaviv, UA Technical Lead – Social

How is your creative team set up and how is it connected with the UA team?

Our creative team, encompassing both designers and strategic planners, works hand-in-hand with the UA team to produce impactful content. This collaboration is fueled by a regular exchange of information.

The UA team provides data and insights to ensure the creative direction aligns with what resonates with users. We hold ongoing meetings and sync-ups to discuss successful and underperforming creatives.

This two-way street is crucial. The UA team receives updates on industry trends and potential creative directions from the creatives, while marketing strategists get informed of specific campaign successes and failures. Both sides contribute to the ideation process, analyzing performance gaps and brainstorming improvement strategies.

This includes iterating on existing creatives, scheduling brainstorming sessions, and prioritizing tasks to achieve both quick wins and more innovative, long-term projects.

While AI brings lots of value, what are the “bad” things to watch out for when using AI in the creative process?

Gen-AI is a valuable addition to creative production, facilitating quicker turnaround times, but factors such as loss of creativity and absence of human touch should be considered throughout the process.

While AI can streamline content creation, its overuse risks homogenization,
potentially stifling the unique voices, perspectives, and innovative ideas that human creators bring.

AI’s undeniable boost to productivity is a powerful tool, but it shouldn’t come at the expense of creativity. Human intuition remains irreplaceable, and it’s that spark that fuels content that truly resonates with our consumers who crave originality.

Which metrics do you look at and at what level of granularity do you measure and optimize?

My approach to creative optimization starts with a deep dive into data, uncovering insights and opportunities. I analyze various metrics tailored to specific goals. Initially, I focus on upper-funnel metrics to identify high-performing creatives. This means prioritizing creatives that drive desired
conversions, like app installs. By tracking impressions, views, clicks, installs, and play rates throughout the funnel, I can see which creatives capture attention and motivate users to act.

Once I’ve established user-engaging concepts, I shift my focus to optimizing deeper funnel metrics. My aim here is to enhance user exploration of our games’ features and ensure an optimal gaming experience. This involves monitoring additional metrics that gauge user engagement and satisfaction.

Throughout this process, I maintain a keen eye on revenue and retention KPIs. This ensures that my optimization efforts attract a relevant and engaged audience that generates long-term value.
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Which ad formats (video, banner, playable, etc.) do you expect will work well in 2024?

Video remains a dominant force for social user acquisition. Engaging and thumb-stopping videos will likely stay at the forefront due to their proven ability to drive results.

However, the ever-changing landscape of platform dynamics and emerging trends demands a flexible approach. It is imperative to be agile and have an evolving strategy.

To stay ahead, we’ll prioritize flexibility and explore new ad formats. Diversification is key and experimenting with different formats allows us to adapt and optimize campaigns for maximum impact.

Any other tips/strategies you recommend as far as creative goes?

I believe that strong creative assets are the foundation of successful social media campaigns. They grab attention and drive engagement. But great ideas need a plan. Integrated content creation with social media strategy, considering trends and brand originality.

This approach will also foster a symbiotic relationship and more collaboration between marketing campaign managers and creative teams. This two-way street allows for brainstorming, feedback, and ultimately, more impactful campaigns.
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Key takeaways

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