The Rise of Programmatic: 160M Users Engaging with Full-Screen Ads

So, you're scrolling through your favorite app, and suddenly - bam! 

A full-screen ad appears. But instead of the usual skip-and-forget, you actually engage with it. Sounds familiar? You're not alone. 160 million users are actively interacting with full-screen ads daily in the U.S. alone, and the secret sauce behind this engagement? 

Programmatic advertising.

Programmatic isn’t just another industry term, it's the engine driving digital ad spend past the $1 trillion mark. With automation, precision targeting, and real-time bidding, brands are making every ad dollar work harder, smarter, and faster. 

Global ad spend surpassed the trillion-dollar mark for the first time in 2024, with a robust 10.5% growth rate according to WARC data. This unprecedented milestone, representing the strongest growth in six years and an incremental $104 billion in advertising spend worldwide, signals a fundamental shift in how brands connect with consumers.

And as competition heats up, full-screen formats (think rewarded videos and interstitials) are proving to be the most captivating way to grab user attention. And as we already mentioned in our iGB Barcelona article, one trend stood out loud and clear: 

Media buying isn't just about getting in front of users, it's about getting the right data to engage them. 

As privacy changes push advertisers toward first-party data strategies, programmatic full-screen ads are leading the charge in high-impact, high-engagement media buying.

The Power of Full-Screen Ads in Engagement & Performance

So, what makes them so effective? As their name says, full-screen ads take up the whole screen, which means no distractions. Whether it’s an interstitial ad that gets 5x more engagement than a banner or a rewarded video ad with a 90% completion rate, these formats give brands the space to tell a story, show off a product, or drive an action without fighting for attention.

And let’s be real, getting and keeping someone’s focus these days is no easy task. People are bombarded with content 24/7, so when you find a way to get them to actually watch and engage with an ad, that’s huge.

To fully leverage the power of full-screen ads, it's important to understand the different formats available and how they contribute to those impressive engagement numbers. As you might guess, choosing the right format can make all the difference in campaign performance.

That’s where experience in media buying really comes into play. It’s not just about running ads,  it’s about knowing what works, when to use each format, and how to optimize performance. A well-placed interstitial or a perfectly timed rewarded ad can change it all, and we are here to help you understand it.

Rewarded Ads

Rewarded ads have become a cornerstone of the full-screen advertising ecosystem, particularly in gaming apps. Users choose to watch these video ads in exchange for in-app rewards such as extra lives, currency, or premium content access. This opt-in nature creates a value exchange that users actively participate in rather than passively experience.

These ads achieve completion rates of up to 90%, dramatically outperforming traditional video formats. More importantly, the data shows that users who engage with rewarded ads are 4.5x more likely to make in-app purchases later, which only proves their ability to positively influence the entire user journey. 

Interstitials Ads

On the other hand, Interstitials expand the reach of full-screen formats beyond gaming, effectively capturing users across entertainment, social media, and lifestyle apps. These ads appear during natural transition points in the user experience, between levels in a game, articles in a news app, or after completing a task in a utility app. Lightricks put this to the test with their creative apps, using interstitials to boost engagement and revenue while keeping the user experience smooth. Their approach shows how well-placed ads can enhance monetization without pushing users away.

While pricing has been trending upward for interstitials, particularly on iOS where they've seen significant price increases in Q1 2025, they remain effective for broad audience reach. When positioned right, they flow seamlessly with the content, grabbing attention without disrupting the experience. 

Playable Ads

Next, playable ads offer users an interactive mini-version of an app or game before downloading, creating a hands-on preview experience. This format has proven particularly effective for acquiring high-intent users, as those who install after trying a playable ad typically show better retention and engagement metrics.

The interactive nature of playables addresses a key challenge in the current landscape where IPMs (installs per thousand ad views) have been declining across platforms. In Q4 2024, IPM dropped 33% on iOS and saw substantial decreases on Android as well. Playables help counter this trend by creating deeper engagement with potential users.

Static Images & Auto-Play Video Ads

Traditional full-screen static images and auto-playing videos still have their place in the ecosystem, particularly for brand awareness and storytelling campaigns. They create a dynamic brand experience without requiring user interaction, making them suitable for broad awareness goals.

Each of these full-screen ad formats offers distinct advantages, and the right choice depends on campaign goals, audience preferences, and timing considerations. As the pricing data shows, understanding when to deploy each format is crucial. For example, rewarded video costs decreasing post-Black Friday while interstitials command premium prices, particularly on iOS.

But these aren’t the only benefits.

How Full-Screen Ads Offer Big Opportunities at the Right Price

When it comes to full-screen ads, there’s a lot more to pricing than meets the eye. While ad costs can fluctuate, 75% of full-screen ad impressions are priced at or below the average cost, meaning there’s plenty of room for advertisers to land premium placements without burning through their budgets.

Not all ads are priced the same, though. The top 5% of rewarded video impressions on iOS go for around $100 CPM, but the majority of impressions remain affordable. That’s because pricing follows a positively skewed distribution. That means that most ad placements are reasonably priced, while a small percentage of premium spots command higher rates.

Platform choice also plays a big role. iOS ads have historically been more expensive than Android, thanks to Apple’s strong user demographics and monetization potential. But with App Tracking Transparency (ATT) limiting targeting capabilities, more advertisers are shifting their budgets to Android, where targeting remains more flexible and pricing is often lower.

And if timing is everything, then Q4 is the time to hold back. User acquisition spending actually dropped 24.5% in Q4 2024, as smart advertisers focused on Q2 and Q3, when ad prices are lower and competition is less intense.

Bottom line? With the right bidding strategy, advertisers can maximize impact without overpaying. Smart media buyers, especially those leveraging programmatic, know how to find the sweet spot, and that is high engagement at the best possible price.

Leveraging Full-Screen Programmatic Ads

Full-screen ads may be stealing the show, but a winning media buying strategy is what ensures they actually deliver results. With privacy restrictions tightening and competition heating up, advertisers need a smart, data-driven approach to maximize ROI. That means leveraging first-party data, perfecting timing, and embracing AI-powered creative personalization. 

AI-Driven Creatives

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One of the biggest shifts shaping this evolution is the rise of AI-driven creative optimization which is making full-screen ads more personalized, engaging, and effective. Full-screen ads are already among the most effective digital formats, but AI is making them 10 times more powerful. Instead of relying on generic, one-size-fits-all messaging, AI allows advertisers to dynamically adjust their creatives in real time, tailoring them to user behavior, engagement patterns, and contextual signals. 

This ensures that users are not only more likely to engage with an ad but also that the messaging resonates on a deeper level. Looking forward, AI will play an even bigger role in programmatic advertising, refining everything from ad visuals to call-to-action placements based on real-time performance data. The ability to continuously optimize creatives will make full-screen ads an essential tool for brands looking to cut through the noise in an increasingly crowded digital space.

Privacy-First Advertising

Another key transformation in mobile ad monetization is the shift toward privacy-first advertising. With third-party cookies disappearing and Apple’s App Tracking Transparency (ATT) policy limiting access to user data, advertisers can no longer rely on traditional tracking methods. First-party data offers several critical advantages over third-party alternatives. It's generally more accurate, since it comes directly from user interactions with a brand's own properties. It's more reliable and stable, not subject to the whims of platform policy changes. Perhaps most importantly, it's built on direct relationships with users, making it more ethical and transparent - qualities increasingly valued by consumers.

Yes, first-party data and contextual targeting are becoming the foundation for high-performance advertising. Brands that invest in collecting and leveraging their own data, whether through direct user interactions, app behavior, or owned channels, are seeing better engagement and retention. 

The statistics back this up: ATT opt-in rates remain low, with the best quarter of 2024 seeing just 16.35% of users consenting, meaning only about 4% of app installs provide full IDFA visibility. This makes traditional tracking unreliable and forces advertisers to adopt more ethical and transparent data collection strategies. Brands that prioritize first-party data not only gain a competitive advantage but also build stronger relationships with their audiences, leading to higher engagement and long-term loyalty. Check this video if you want to learn more about programmatic advertising in a privacy-first world.

Other Programmatic Advertising Strategies

At the same time, ad channels are diversifying beyond mobile, presenting new opportunities for advertisers willing to expand their programmatic strategies. While mobile still dominates, channels like Connected TV (CTV), podcasting, and retail media are experiencing rapid growth. CTV, in particular, is proving to be an exciting frontier, combining the targeting precision and measurement capabilities of digital advertising with the high-impact, engaging nature of television. As streaming continues to replace traditional linear TV, CTV programmatic ad spend is projected to grow by over 20% annually through 2027. 

Mastering the Programmatic Full-Screen Future

The future of programmatic advertising is being shaped by the power of full-screen ads. With 160 million users actively engaging with these formats every day, they are proving to be more than just another ad type, they are redefining how brands capture attention and drive meaningful interactions. 

It’s important to emphasize that simply running full-screen ads isn’t enough. As privacy regulations continue to evolve, advertisers who adapt by leveraging data-driven programmatic solutions will maintain a strong competitive edge. 

Looking ahead, programmatic advertising and full-screen formats will become even more integrated, with improvements in creative personalization, real-time bidding algorithms, and measurement capabilities. These innovations will allow advertisers to better understand how their campaigns influence the customer journey, moving beyond just immediate conversions to long-term brand impact. 

The industry is shifting towards an era where AI fine-tunes ad delivery, optimizing every impression based on engagement signals and behavioral data. As a result, brands that embrace this data-driven, AI-powered future will see stronger engagement, higher conversion rates, and more efficient ad spend.

Programmatic full-screen ads are leading this shift, and those who invest in their potential now will be the ones who dominate in the years to come. The question is, are you ready to take your programmatic strategy to the next level?