How Monetization Trends are Revolutionizing Mobile Game Apps

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The mobile gaming industry has come a long way to become the most thriving field in the tech industry. The worldwide popularity and profitability of gaming have resulted in numerous transformations, the monetization of games is one of them. Top game development studios have, in fact, developed a wide range of options for monetization.

Developers who earlier used to depend on in-app purchases have moved on to advertisements, and the app bidders are now able to have increased revenue with reduced dependency on waterfall optimization.

In this blog, we have listed some of the significant monetization innovations introduced in the gaming industry.

Expanding Revenue Source Leads

Most mobile game development services embrace the freemium monetization model, which often earns income through in-app purchases. However, it has several complications such as its dependency on users’ infrequent/least app purchases. According to research conducted by an app testing business, only 2.2% of players send money, and the remaining 46% comes from spenders. As a result, the majority of game creators use both the freemium model and advertisement as revenue sources that attract a large player base.

A well-known game app developer said in an interview that most of their income comes from advertisements. As a result, they have provided a freemium model so that whenever a player watches a video ad, they receive a coin that they can use to access any in-game materials or hints.

Many game development companies and mobile game businesses believe that advertisements irritate gamers. They believe in either putting customer experience first or using advertisement to generate revenue. But in truth, all seasoned players and avid gamers are aware that advertisements are a crucial component of mobile games.

According to a Mobile Game Study, around 73% of players are satisfied with the ad-funded mobile game model when given the option of seeing advertisements or paying to play the game. Additionally, the game publishers and developers feared that it would have a negative effect on in-app purchases. The monetization of games has improved more for those who have included ads in their gaming apps. Many players who watch the videos have a tendency to purchase those items, and some even spend money on in-game micro-interactions.

Careful Placements of Ads for Greater Value and Retention

The game creators and publishers have discovered that the flow and ad structure integrated into the game are dependent on making money. Understanding the subtleties of ad placement can increase player engagement, participation, and minimal churn without hampering the player’s gaming experience.

The rewarded videos are the most successful and effective type of advertising, apparently because they give players a chance to receive rewards for watching commercials while playing. In general, players appreciate gaining extra rewards or points in games without having to pay for them or wait, so both marketers and the game app benefit from player goodwill. Therefore, rewarded videos can be tried by game creators who want to reduce the requirement for in-app payments. It results in longer engagements, an interested audience, and higher CPMs.

Giving players native ads provide them with an integrated experience that can be tailored to the interface of the game. The developers can use the metadata from Facebook’s advertisers to generate an ad video or a unit-static display. The native advertisements are more likely to receive a 3X better user retention rate because they are made to look like the game.

Without Disrupting User Experience

It’s crucial to research how gamers react when an advertisement appears on their gaming screen. This knowledge greatly aids designers in creating enjoyable gaming experiences.

The ideal stage to place an advertisement is when players are looking for the notification tab or engaging in any other straightforward activity that does not detour their gaming experience because this is when they are not paying attention to the important component of the game. Ad placement in this style is user-initiated, supporting increased conversions.

Likewise, posting an ad after completing a specific task increases the chances of users paying attention to see it. For instance, a player may see an advertisement after finishing a level.

Bidding to Improve the ROI

The Waterfall mediation system is one of the outmoded methods of connecting ad sellers and buyers. Many gaming companies are performing app bidding and testing its impact on income against the Waterfall system.

What is Waterfall Mediation?

It is a technology that connects various ad networks in a daisy-chain fashion and enables publishers to charge more for each impression. Publishers rank the ad networks according to their historical average cost. The rankings can be adjusted, either automatically or manually, after a certain amount of time based on past performance. Although the waterfall can function, it has numerous drawbacks, including the inability to determine the true value of the inventory, costly maintenance, complex setup, and a lack of revenue production.

Creating Opportunities for both Advertisers and Publishers

Bidding helps the publishers to organize an open and impartial auction over their advertisement inventory, thereby offering each ad an opportunity during increasing demand. Therefore most of the publishers have realized that bidding is the future. Also, accessing the bid in real-time helps the publishers to exclude the historical mediation stack and prioritize the winning bids based on the data.

Publishers can organize an open and fair auction over their inventory of ads through bidding, it will give each advertisement a chance as demand rises. Therefore, the majority of publishers have realized bidding is the future. Additionally, having access to the bid in real-time enables publishers to prioritize the winning bids based on data and eliminate the historical mediation stack.

Bottom Line

With the growing popularity of games worldwide and innovative ideas to monetize them, this is the right time to invest in the gaming business. At present, there are many top game development studios but go with a company that offers you a comprehensive solution- from designing to launching and its monetization to ensure the success of game apps.

WebMobril Gaming Studioz is the premium Game Development Company that creates avant-garde mobile game apps built with fun-filled features and robust technology. They are well-rounded with cutting-edge technologies, which they incorporate to offer exceptional game development services.


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