Global In-app Advertising Market

Global In-app Advertising Market Size, Share, Growth Analysis, By Platform(Android, iOS), By Application(Entertainment, Gaming) - Industry Forecast 2023-2030


Report ID: SQMIG45E2140 | Region: Global | Published Date: February, 2024 | Pages: 157 | Tables: 67 | Figures: 75

Global In-app Advertising Market Insights

Global In-app Advertising Market size was valued at USD 133.27 Million in 2021 and is poised to grow from USD 151 Million in 2022 to USD 410.02 Million by 2030, at a CAGR of 13.3% during the forecast period (2023-2030).

The purpose of the in-app advertising market is to monetize mobile applications by providing a platform for advertisers to promote their products or services directly to app users. For app developers, in-app advertising offers a revenue generation opportunity, allowing them to offer free or low-cost apps to users while generating income from ad placements. Advertisers benefit from reaching a highly engaged and targeted audience, as in-app ads can be customized based on user demographics, behavior, and preferences. The driving factors behind the growth of the in-app advertising market is the increasing penetration of smartphones and the growing popularity of mobile applications. With the rise of mobile app usage, advertisers recognize the potential to reach a large and engaged user base, leading to increased investments in in-app advertising campaigns. Additionally, advancements in ad targeting and tracking technologies enable advertisers to deliver personalized and relevant ads, enhancing user engagement and conversion rates.

The in-app advertising market presents significant opportunities, there are also some restraining factors and challenges to consider. Ad fatigue and ad-blocking software pose challenges as users may become overwhelmed or annoyed by excessive or intrusive ads, leading to a negative user experience. Privacy concerns and data protection regulations also impact the market, requiring advertisers to ensure transparent and compliant practices in collecting and using user data. The global in-app advertising market serves the purpose of monetizing mobile applications while providing advertisers with a platform to reach a large and engaged audience. Factors such as the growing smartphone penetration, advancements in ad targeting technologies, and the popularity of mobile apps drive market growth. However, challenges such as ad fatigue, ad-blocking, and privacy concerns need to be addressed. The market presents opportunities through the integration of advanced technologies, interactive ad formats, and programmatic advertising.

US In-app Advertising Market is poised to grow at sustainable CAGR for the next forecast year.

Market snapshot - 2023-2030

Global Market Size

USD 133.27 Million

Largest Segment

Android

Fastest Growth

Android

Growth Rate

13.3% CAGR

Global In-app Advertising Market ($ Bn)
Country Share for Asia Pacific Region (%)
Global In-app Advertising Market By Platform ($ Bn)
Global In-app Advertising Market By Platform (%)

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Global In-app Advertising Market Segmental Analysis

The global in-app advertising market is segmented on the basis of platform, application, and region. In terms of platform, the market is segmented into android, iOS, and others. Based on classification by application, the market is segmented into entertainment, gaming, social, online shopping, payment & ticketing, news, and others. By region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

In-app Advertising Market Analysis by Platform

The iOS segment in the in-app advertising market is expected to experience significant growth with the highest compound annual growth rate by 2030. This growth can be attributed to recent updates in the iOS operating system, which give users more control over their data privacy. With the option to share or withhold their IDFA data, users can protect their personal information and make informed decisions regarding data sharing with applications. The iOS platform is known for its advanced features, user-friendly interface, and strong security measures, leading to increased adoption of iOS devices, particularly in countries like South Korea, China, and Japan. The growing popularity of iOS devices in these regions is driving the growth of the iOS segment in the in-app advertising market.

In 2022 the Android platform accounted for a significant revenue share of over 64.0% and is expected to maintain its dominance throughout the forecast period. Unlike iOS, Android is an open-source operating system that runs on a wide range of devices from various manufacturers. Advertisers often target high-end Android devices based on specific device models to reach high-quality users. The Android platform offers flexibility and accessibility, making it a popular choice among device manufacturers and users alike. The increasing focus on data privacy and the development of enhanced advertising solutions present numerous growth opportunities for the Android platform segment in the future.

In-app Advertising Market Analysis by Application

The gaming segment in the in-app advertising market is projected to witness a strong compound annual growth rate (CAGR) of over 14.05% from 2023 to 2030. This growth is fueled by technological advancements in smartphone hardware and software, which have significantly improved the gaming experience on mobile devices. The increased accessibility and popularity of mobile gaming have attracted advertisers to invest in various advertising formats within gaming applications. By leveraging these platforms, advertisers can effectively target a specific audience and benefit from high effective cost per mille (eCPM) rates. Video and banner ads offer a more engaging experience for gamers, further driving the growth of the gaming segment during the forecast period.

The entertainment segment emerged as the dominant segment in the in-app advertising market, capturing the highest revenue share of approximately 24% in 2022. This trend is expected to continue throughout the forecast period. The popularity of entertainment applications, particularly over-the-top (OTT) platforms, has soared in recent years. Advertisers recognize the potential of these platforms to reach their targeted audience, utilizing valuable information such as viewing habits, demographics, and user preferences. By leveraging this data, advertisers can optimize the performance of their advertising campaigns and effectively engage with their target audience.

Global In-app Advertising Market By Platform, 2021 (%)

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Global In-app Advertising Market Regional Insights

In 2022, Asia Pacific emerged as the leading market for in-app advertising, capturing the highest market share of nearly 35.0% and is poised to maintain its dominance over the forecast period. This growth is primarily driven by the increasing internet penetration and widespread use of smartphones in countries like China, South Korea, and Japan. The region's large population and rising adoption of mobile devices create a fertile ground for the in-app advertising market to thrive. Marketers in the region are leveraging advanced analytics solutions, powered by machine learning and artificial intelligence, to gain insights into consumer behavior and effectively target their advertisements on various mobile applications.

North America is expected to witness substantial market growth, accounting for a significant market share of more than 31% by 2030. The region boasts a large user base of smartphones, and the popularity of mobile streaming services such as Hulu, Amazon Prime, Netflix, and other video streaming platforms has contributed to the growth of the in-app advertising industry. Additionally, the flourishing gaming market and the increasing adoption of mobile shopping, which offers a seamless and convenient shopping experience, are further fueling the demand for in-app advertising in North America.

Global In-app Advertising Market By Region, 2023-2030
  • Largest
  • Fastest

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Global In-app Advertising Market Dynamics

In-app Advertising Market Drivers

Increasing Smartphone Penetration

  • The growing penetration of smartphones worldwide has been a significant driver for the in-app advertising market. As more people rely on mobile apps for various activities, advertisers see the potential to reach a large and engaged audience through in-app ads.

Shift in Consumer Behavior

  • The shift in consumer behavior towards mobile usage and mobile-centric activities, such as social media, gaming, and online shopping, has fueled the demand for in-app advertising. Advertisers recognize the need to reach consumers where they spend the most time and engage with them through targeted in-app ads.

In-app Advertising Market Restraints

Ad Blocking and User Privacy Concerns

  • The rise of ad-blocking software and growing concerns about user privacy pose challenges for in-app advertising. Users increasingly seek to control their online experiences and may block or limit the display of ads, affecting the reach and effectiveness of in-app advertising campaigns.

Ad Fatigue and Intrusiveness

  • Excessive and intrusive ads can lead to ad fatigue among users, resulting in decreased engagement and ad effectiveness. Advertisers need to strike a balance between delivering relevant and engaging ads while ensuring they do not disrupt the user experience.

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Global In-app Advertising Market Competitive Landscape

The global in-app advertising market is a highly competitive landscape with several key players vying for market share. These companies employ various strategies such as partnerships, acquisitions, and product innovations to strengthen their positions in the market. The market is dynamic and competitive, with players constantly innovating to provide more effective targeting capabilities, ad formats, and measurement solutions to advertisers. Partnerships and collaborations between app developers, advertisers, and ad networks are also common to leverage each other's strengths and expand market reach.

In-app Advertising Market Top Player’s Company Profiles

  • Google LLC (US)
  • Twitter, Inc. (US)
  • InMobi (India)
  • Unity Technologies (US)
  • AppLovin Corporation (US)
  • ironSource Ltd. (Israel)
  • Vungle Inc. (US)
  • Tapjoy Inc. (US)
  • AdColony (US)
  • Liftoff Mobile Inc. (US)
  • Fyber N.V. (Germany)
  • AdAction Interactive (US)
  • Adikteev (France)
  • Digital Turbine, Inc. (US)
  • MoPub Inc. (US)
  • Ogury Ltd. (UK)
  • Smaato Inc. (US)

In-app Advertising Market Recent Developments

  • In April 2023, Twitter announced that it would be launching a new in-app advertising platform, MoPub, which would allow advertisers to reach users across Twitter's mobile app and website.
  • In March 2023, Facebook announced that it would be launching a new in-app advertising platform, Audience Network, which would allow advertisers to reach users across Facebook's family of apps and websites.
  • In February 2023, Google announced that it would be expanding its in-app advertising platform, AdMob, to include new features such as native ads and rewarded video ads.

Global In-app Advertising Key Market Trends

  • Personalized and Targeted Advertising: Advertisers and marketers increasingly focused on leveraging user data and advanced analytics to deliver tailored advertisements to specific target audiences. By utilizing information such as demographics, interests, browsing behavior, and location, advertisers were able to create more relevant and engaging ad experiences. For example, an e-commerce app might display personalized product recommendations based on the user's previous purchases or browsing history. This trend not only enhanced the user experience but also improved the effectiveness of advertising campaigns by reaching the right users with the right message.
  • Rise of In-Game Advertising: With the increasing popularity of mobile gaming, advertisers recognized the potential of reaching a highly engaged and captive audience within mobile games. In-game advertising involves integrating brand messages or advertisements directly into the gameplay experience, such as banner ads, interstitial ads, rewarded videos, or branded in-game items. For example, a car manufacturer might sponsor a racing game and feature their vehicles within the game environment. In-game advertising allows advertisers to connect with users during their leisure time and create immersive brand experiences. This trend was driven by the rapid growth of the gaming industry and the willingness of users to engage with advertisements in exchange for in-game rewards or enhanced gameplay.

Global In-app Advertising Market SkyQuest Analysis

SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Services team that Collects, Collates, Correlates, and Analyzes the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.

According to our global in-app advertising market analysis, the widespread use of smartphones and the increasing popularity of mobile applications across different industries are the key drivers. Advertisers are leveraging in-app advertising to target specific demographics, engage users with interactive content, and drive brand awareness and conversions. The global in-app advertising market is witnessing robust growth driven by the increasing adoption of mobile applications, the availability of diverse advertising formats, and advancements in targeting and engagement technologies. While challenges exist, the market offers ample opportunities for advertisers and app developers to connect with their target audience and drive impactful advertising campaigns.

Report Metric Details
Market size value in 2021 USD 133.27 Million
Market size value in 2030 USD 410.02 Million
Growth Rate 13.3%
Base year 2021
Forecast period 2023-2030
Forecast Unit (Value) USD Million
Segments covered
  • Platform
    • Android, iOS, and Others
  • Application
    • Entertainment, Gaming, Social, Online Shopping, Payment & Ticketing, News, and Others
Regions covered North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA)
Companies covered
  • Google LLC (US)
  • Twitter, Inc. (US)
  • InMobi (India)
  • Unity Technologies (US)
  • AppLovin Corporation (US)
  • ironSource Ltd. (Israel)
  • Vungle Inc. (US)
  • Tapjoy Inc. (US)
  • AdColony (US)
  • Liftoff Mobile Inc. (US)
  • Fyber N.V. (Germany)
  • AdAction Interactive (US)
  • Adikteev (France)
  • Digital Turbine, Inc. (US)
  • MoPub Inc. (US)
  • Ogury Ltd. (UK)
  • Smaato Inc. (US)
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Table Of Content

Executive Summary

Market overview

  • Exhibit: Executive Summary – Chart on Market Overview
  • Exhibit: Executive Summary – Data Table on Market Overview
  • Exhibit: Executive Summary – Chart on Global In-app Advertising Market Characteristics
  • Exhibit: Executive Summary – Chart on Market by Geography
  • Exhibit: Executive Summary – Chart on Market Segmentation
  • Exhibit: Executive Summary – Chart on Incremental Growth
  • Exhibit: Executive Summary – Data Table on Incremental Growth
  • Exhibit: Executive Summary – Chart on Vendor Market Positioning

Parent Market Analysis

Market overview

Market size

  • Market Dynamics
    • Exhibit: Impact analysis of DROC, 2021
      • Drivers
      • Opportunities
      • Restraints
      • Challenges
  • SWOT Analysis

KEY MARKET INSIGHTS

  • Technology Analysis
    • (Exhibit: Data Table: Name of technology and details)
  • Pricing Analysis
    • (Exhibit: Data Table: Name of technology and pricing details)
  • Supply Chain Analysis
    • (Exhibit: Detailed Supply Chain Presentation)
  • Value Chain Analysis
    • (Exhibit: Detailed Value Chain Presentation)
  • Ecosystem Of the Market
    • Exhibit: Parent Market Ecosystem Market Analysis
    • Exhibit: Market Characteristics of Parent Market
  • IP Analysis
    • (Exhibit: Data Table: Name of product/technology, patents filed, inventor/company name, acquiring firm)
  • Trade Analysis
    • (Exhibit: Data Table: Import and Export data details)
  • Startup Analysis
    • (Exhibit: Data Table: Emerging startups details)
  • Raw Material Analysis
    • (Exhibit: Data Table: Mapping of key raw materials)
  • Innovation Matrix
    • (Exhibit: Positioning Matrix: Mapping of new and existing technologies)
  • Pipeline product Analysis
    • (Exhibit: Data Table: Name of companies and pipeline products, regional mapping)
  • Macroeconomic Indicators

COVID IMPACT

  • Introduction
  • Impact On Economy—scenario Assessment
    • Exhibit: Data on GDP - Year-over-year growth 2016-2022 (%)
  • Revised Market Size
    • Exhibit: Data Table on Global In-app Advertising Market size and forecast 2021-2027 ($ million)
  • Impact Of COVID On Key Segments
    • Exhibit: Data Table on Segment Market size and forecast 2021-2027 ($ million)
  • COVID Strategies By Company
    • Exhibit: Analysis on key strategies adopted by companies

MARKET DYNAMICS & OUTLOOK

  • Market Dynamics
    • Exhibit: Impact analysis of DROC, 2021
      • Drivers
      • Opportunities
      • Restraints
      • Challenges
  • Regulatory Landscape
    • Exhibit: Data Table on regulation from different region
  • SWOT Analysis
  • Porters Analysis
    • Competitive rivalry
      • Exhibit: Competitive rivalry Impact of key factors, 2021
    • Threat of substitute products
      • Exhibit: Threat of Substitute Products Impact of key factors, 2021
    • Bargaining power of buyers
      • Exhibit: buyers bargaining power Impact of key factors, 2021
    • Threat of new entrants
      • Exhibit: Threat of new entrants Impact of key factors, 2021
    • Bargaining power of suppliers
      • Exhibit: Threat of suppliers bargaining power Impact of key factors, 2021
  • Skyquest special insights on future disruptions
    • Political Impact
    • Economic impact
    • Social Impact
    • Technical Impact
    • Environmental Impact
    • Legal Impact

Market Size by Region

  • Chart on Market share by geography 2021-2027 (%)
  • Data Table on Market share by geography 2021-2027(%)
  • North America
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • USA
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Canada
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Europe
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • Germany
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Spain
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • France
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • UK
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of Europe
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Asia Pacific
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • China
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • India
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Japan
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • South Korea
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of Asia Pacific
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Latin America
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • Brazil
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of South America
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
  • Middle East & Africa (MEA)
    • Chart on Market share by country 2021-2027 (%)
    • Data Table on Market share by country 2021-2027(%)
    • GCC Countries
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • South Africa
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)
    • Rest of MEA
      • Exhibit: Chart on Market share 2021-2027 (%)
      • Exhibit: Market size and forecast 2021-2027 ($ million)

KEY COMPANY PROFILES

  • Competitive Landscape
    • Total number of companies covered
      • Exhibit: companies covered in the report, 2021
    • Top companies market positioning
      • Exhibit: company positioning matrix, 2021
    • Top companies market Share
      • Exhibit: Pie chart analysis on company market share, 2021(%)

Methodology

For the Global In-app Advertising Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:

1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.

2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the Global In-app Advertising Market.

3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.

4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.

Analyst Support

Customization Options

With the given market data, our dedicated team of analysts can offer you the following customization options are available for the Global In-app Advertising Market:

Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.

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Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.

Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.

Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.

Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.

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FAQ's

Global In-app Advertising Market size was valued at USD 133.27 Million in 2021 and is poised to grow from USD 151 Million in 2022 to USD 410.02 Million by 2030, at a CAGR of 13.3% during the forecast period (2023-2030).

The global in-app advertising market is a highly competitive landscape with several key players vying for market share. These companies employ various strategies such as partnerships, acquisitions, and product innovations to strengthen their positions in the market. The market is dynamic and competitive, with players constantly innovating to provide more effective targeting capabilities, ad formats, and measurement solutions to advertisers. Partnerships and collaborations between app developers, advertisers, and ad networks are also common to leverage each other's strengths and expand market reach. 'Google LLC (US)', 'Facebook, Inc. (US)', 'Twitter, Inc. (US)', 'InMobi (India)', 'Unity Technologies (US)', 'AppLovin Corporation (US)', 'ironSource Ltd. (Israel)', 'Vungle Inc. (US)', 'Chartboost Inc. (US)', 'Tapjoy Inc. (US)', 'AdColony (US)', 'Liftoff Mobile Inc. (US)', 'Fyber N.V. (Germany)', 'Aarki Inc. (US)', 'AdAction Interactive (US)', 'Adikteev (France)', 'Digital Turbine, Inc. (US)', 'MoPub Inc. (US)', 'Ogury Ltd. (UK)', 'Smaato Inc. (US)'

The growing penetration of smartphones worldwide has been a significant driver for the in-app advertising market. As more people rely on mobile apps for various activities, advertisers see the potential to reach a large and engaged audience through in-app ads.

Personalized and Targeted Advertising: Advertisers and marketers increasingly focused on leveraging user data and advanced analytics to deliver tailored advertisements to specific target audiences. By utilizing information such as demographics, interests, browsing behavior, and location, advertisers were able to create more relevant and engaging ad experiences. For example, an e-commerce app might display personalized product recommendations based on the user's previous purchases or browsing history. This trend not only enhanced the user experience but also improved the effectiveness of advertising campaigns by reaching the right users with the right message.

In 2022, Asia Pacific emerged as the leading market for in-app advertising, capturing the highest market share of nearly 35.0% and is poised to maintain its dominance over the forecast period. This growth is primarily driven by the increasing internet penetration and widespread use of smartphones in countries like China, South Korea, and Japan. The region's large population and rising adoption of mobile devices create a fertile ground for the in-app advertising market to thrive. Marketers in the region are leveraging advanced analytics solutions, powered by machine learning and artificial intelligence, to gain insights into consumer behavior and effectively target their advertisements on various mobile applications.

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