Where can growth begin beyond traditional channels?
If nearly all new users come from Google, Meta and TikTok, your growth bottleneck may involve more than budget.
As more apps compete for similar users, placements and conversion journeys, higher spending may not produce proportional user growth.
The question to reconsider is:
Does your app appear only when users browse social media, watch short videos or search?
Users also discover apps through stores, launcher recommendations, system tools and new devices.
These native smartphone contexts offer potential acquisition touchpoints that OEM advertising can access and traditional UA may overlook.
1. Traditional UA still works, but channels are concentrated
Google, Meta and TikTok remain important international app acquisition channels.
Their mature ad systems, rich user data and scaling capabilities cover search, social and short video. Traditional UA remains a foundation for most apps.
However, prolonged dependence on a few platforms can create challenges:
- Concentrated audiences and contexts
- Stronger competition in popular markets
- Declining attention to repetitive ads
- Channel volatility affecting overall acquisition
- Growth constrained by traffic within a few platforms
OEM advertising aims to complement traditional UA by reaching potential users in additional smartphone contexts.
Traditional UA reaches mainstream platform audiences; OEM advertising adds on-device opportunities.
2. What is OEM advertising?
OEM stands for original equipment manufacturer, commonly referring here to smartphone makers.
OEM advertising uses manufacturers’ system ecosystems and device inventory for exposure, app recommendations and downloads during phone use.
Unlike ads confined to a third-party app, OEM placements can appear in native contexts such as:
- App stores
- Launcher recommendations
- System feeds
- Device pre-installs
- System browsers
- Tools and AI assistants
Users do not always need to open a social app or search for a product to discover a new app.
They may encounter apps while using their phone, browsing a store or receiving system recommendations.
OEM advertising extends app reach from third-party platforms to the device itself.
Figure 1. Traditional UA and OEM touchpoints
3. How does OEM advertising reach users?
OEM advertising is a set of device touchpoints across stages of phone use, rather than one placement.
1. App stores: discovery and downloads
Users can find apps through search, home pages, rankings and recommendations. These contexts are close to download intent and can support install, registration and activation goals.
2. System recommendations: everyday discovery
Launcher cards, App Vault and system feeds can create visibility without active searches, helping brands reach potential users.
3. Pre-installs: connecting from first device use
Pre-installation and device partnerships can introduce apps when users begin using a new device. For tools, content, entertainment and frequently used apps, this may shorten the path to use.
4. On-device contexts: ongoing touchpoints
Browsers, tools and AI assistants can add opportunities during everyday phone use. Their value can extend beyond a single impression to continued user connections.
From discovery and recommendations to pre-installation and continued use, OEM advertising covers multiple stages of device interaction.
4. Which apps should assess OEM advertising?
Apps serving broad needs, frequent use or device-related contexts may be worth assessing. Consider these four categories.
1. Fintech
Fintech apps serve payments, wealth management and other financial needs. Evaluate registration, identity verification, first use and payment, alongside local habits, market conditions and compliance requirements.
2. AI tools
AI tools support productivity, content creation, image editing, translation and everyday efficiency. Store and device recommendations may support acquisition for recurring needs. Assess first use, core feature engagement and subscriptions beyond installs.
3. Casual games
Accessible gameplay suits short sessions. Store recommendations, system recommendations and device exposure can introduce games to players. Evaluate onboarding completion, D1 retention and payments alongside CPI.
4. Short dramas
Drama apps depend on repeated content consumption. A clip may lead to downloading, registration, viewing or subscription. Track installs, registrations, viewing, payment and retention.
Category fit is only a starting point. Suitability also depends on market, audience, goals, creatives and historical acquisition data.
5. Four questions before testing OEM ads
Copying existing creatives to a new channel does not guarantee results. Assess these four points before launch.
1. Does the market fit?
OEM coverage, audiences and device contexts differ across markets. Confirm suitable resources in your target country and whether they reach core users.
2. Does the product address broad needs?
Device-level advertising can suit accessible products meeting common needs. A clear value proposition can help users understand native recommendations.
3. What is the main conversion goal?
Decide which outcome matters most:
- App installs
- Registrations
- Identity verification
- First activation
- Content viewing
- Payments or subscriptions
Different goals may require different placements, creatives and measurement.
4. Can you compare the data?
Assess clicks, installs, activation, retention and payments. Without a clear journey and tracking, it is hard to distinguish valuable growth from additional visibility or installs.
Define the goal, choose the context, then evaluate results. This is more useful than pursuing impressions alone.
6. How to start an OEM test
Start small rather than covering many markets and goals at once.
Step 1. Choose one priority market
Prefer a market with an existing audience or a clear expansion plan. Southeast Asia, the Middle East and Africa, and Latin America are worth assessing, subject to product fit and OEM coverage.
Step 2. Set one core goal
Avoid simultaneously pursuing installs, registration, payment and retention. Focus on one objective, such as valid installs, registrations, activation or payment conversion.
Step 3. Choose suitable device touchpoints
Match stores, system recommendations, pre-installs or other placements to behavior and goals. Different touchpoints have different roles and should not all be evaluated identically.
Step 4. Establish clear tracking
Beyond impressions and clicks, assess:
- Cost per install
- Cost per registration
- Activation rate
- Retention
- Payment conversion
- User quality
Track the full conversion journey to assess whether OEM campaigns bring valuable users.
Step 5. Scale after meeting goals
If tests meet expectations, gradually expand markets, touchpoints or budgets. If not, review user quality, creatives and conversion steps rather than simply dismissing the channel.
The aim is to find suitable markets, touchpoints and journeys—not maximize exposure in one test.
7. Could OEM advertising be your next growth channel?
Google, Meta and TikTok remain important for international app acquisition.
OEM advertising complements these platforms by adding native smartphone contexts and potential audiences beyond traditional UA.
For apps entering markets, diversifying acquisition or reducing reliance on one channel, OEM advertising is worth assessing.
Industry trends alone do not establish fit. Consider category, market, audience, goals, device inventory and campaign history.
If your app is expanding, consider OEM advertising in the next growth test.
DTI can assess your product and market plans to help determine whether OEM advertising suits your next stage.