Platform Market: Marketers Bet on Microdramas Despite ROI Concerns

Marketers are increasingly investing in microdramas and microseries, short-form vertical video content originating from China, as a new advertising channel. Brands like Crocs, Nuuly, and P&G's Native have created branded productions. Research from Snap and Ipsos shows 42% of daily social media users watch microdramas. Microdrama apps like ReelShort and DramaBox are gaining traction, with in-app ad revenues growing 31% and 29% in Q1 2025. However, marketers face a KPI conundrum, as direct ROI from microdramas remains unclear. Some, like Bob's Discount Furniture, report significant success, with over 152 million views and $9 million in attributable sales from their series, encouraging a second season. Others, like dentsu, emphasize cultural impact over traditional metrics. Despite audience attention being captured, lack of clear ROI may threaten the channel's sustainability.