Hello SuperScale, I am working on an older game that monetizes only with IAPs. Currently, we are working on ad implementation and we do not have much experience with ad monetization. What is the most important and what should we be careful about? Thank you. Tomasz.
Answer from our Expert:
Hi Tomasz, very good decision and a good question.
There are many things that can be said about ad monetization, I will try to be short and to the point:
- Rewarded ads are the most valuable ads. Start with these and then follow with interstitials. Not many games are using banners since revenue uplift is typically only up to 10%.
- KPIs: In casual games, it is feasible to convert at least 40% of players on rewarded videos with multiple ads per DAU. This should generate significant revenue for your company.
- In-game economy: New taps will speed up the progression and change the in-game economy which you will need to adjust.
- Mediation: Do not rely on just one ad network. Set up mediation and connect at least four ad networks.
- Cannibalization: Ads could decrease IAP revenue, especially if you have it highly optimized. Monitor it. Small amounts of cannibalization are not a problem if you are earning more than before.
- Design, learn, test & iterate: Measure your results and find out what works best for your game.
Hope it helps. Good luck with the implementation
Michal Minarik, Head of Game Design & Monetization