Appsworld 2016 - Ad Monetization Strategies - Josh Curtis
-
Upload
josh-curtis -
Category
Mobile
-
view
58 -
download
4
Transcript of Appsworld 2016 - Ad Monetization Strategies - Josh Curtis
Mobile Games: Ad Monetization
Strategies
Josh Curtis BD Evangelist, Latam & NA
[email protected] Social Media: joshfcurtis
May, 2016AppsWorld NA
3
2
Who am I?
BD Evangelist working with game developers in North & Latin America
Help game developers monetize their games through Advertising
300,000+ games 160+ countries 40 Billion game sessions per month 1 Billion monthly uniques
3
3
Agenda
1. Industry Overview
2. Key Monetization Metrics
3. Ad Monetization: Formats & Best Practices
4. Key Takeaways
3
7
50% of Ad Revenue from US
DATA: Chartboost Advertising, May 2016
50% 50%United StatesRest of World
3
8DATA: Chartboost Advertising, May 2016
7% : China & UK each
4% : Australia, Germany, Canada each
26% of Ad Revenue from 5 Next
Ad Revenue from Top 676%
3
9
65% of advertising money earned still comes from iOS
35%
65%iOS
Android
DATA: Chartboost Advertising, May 2016
3
10DATA: Game Sessions
Americas is 50/50-ish Europe is Android Asia: it depends
But platform varies widely by region
51% 49%
Americas
62%38%
EMEA
47% 53%
APAC
3
12
Monetization has 2 key components
AdvertisingIAP
ARPPU eCPM
95-99%1-5%
ARPPU ($) $ Revenue / (# Users * Payer Rate %) eCPM ($)
$ Effective Cost Per 1,000 Impressions
= based off IR, CTR, Ad Bid
eCPM calculated off "Install Rate (IR), Click-Through-Rate (CTR), and the Advertiser bid that reflects the overall competitiveness of the campaign"
3
13
Uniques (DAU + MAU) # Unique users who use your app
Bootups # of times app is opened up
Impressions # of Ads shown to users
Click-through Rate (CTR)
% of users who Click or Tap an Ad in your game
Install Rate (IR) % of Users who Install an App from an Ad in your game
eCPM ($)$ Effective Cost Per 1,000 Impressions = based off IR, CTR, Ad Bid
Revenue eCPM x # Impressions = Revenue
KEY ADVERTISING METRICS:
Metrics to track monetization
3
14
Example Calculation: Daily Revenue
DAUs 50,000
Impressions 100,000
Ratio Impressions / Uniques 2:1
eCPM ($) $10 per Thousand Impressions
Revenue $1,000
CONCLUSION
For $1,000 / Day, 100,000 Impressions If 2:1 ratio of impressions / uniques: 50,000 Users
REVENUE GOAL: $1,000 / DAY eCPM ($) x Impressions (#) = $ Revenue $
3
15
eCPM is a Variable
Ratio of Unique Users : Impressions
Ad Formats & Ad Locations
Devices: iOS vs Android vs Tablets, etc
User: Country, Hardcore vs Casual, Genre
Conversion & Ad Engagement Rates
Ad Traffic Sources
3
18
Mobile banners
Lower eCPM
Take up visual & interaction space
Usually not “pretty”
Can work well for certain apps
3
19
Static interstitials
Medium eCPM
Adaptable look & feel
Can be natural between levels
High Volume of Inventory
3
20
Animated GIFs
Medium to High eCPM
Adaptable look & feel
Interstitial but with some cinematic experience
Relatively new format
3
21
Interstitial Video Ads
High eCPM
Can be entertaining
Opportunity to demonstrate or describe gameplay
Can be skippable
Offers rewarded ad opportunity
3
22
Rewarded Video Ads
Higher eCPM
Same Pros as Interstitial Video
Great Player Experience
Can boost Retention
Rewards Player- relevant reward and amount (currency, life, skin, etc.)
3
25
eCPM
User experience
Var eCPM
$8 - 15
$6 - 14
$7 - 13
$5 - 10
$2 - 6
DATA: Chartboost Advertising, US, May 2016
$0.50 - $1
3
27
Know Your Users & Create Different Experiences
User Revenue
Frequency of booting up
Devices: iOS vs Android, Phone vs Tablet, etc
User Demographics, Location, etc
Conversion & Ad Engagement Rates
Create extra triggers to test & turn on or off: Capping, formats, locations
3
28
General Rules of Thumb: Ad Monetization in Mobile Games
Placement of ad should feel “natural” as part of the gameplay
More Users = More Money from Ads! Scale is important
Show Ads at key game “break” intervals
Choose the right ad formats for you
Focus on sweet spot: Retention + Revenue
3
29
Best Practices Recap
1. Development, design & placement of ad products cannot be an afterthought
2. Know your users & treat them differently
3. Set up revenue goals for your users
4. Experiment & Optimize: Test, Test, Test!
5. Treat the ads business like a business line: Invest in it & hold it accountable for revenues
Thank You!
Josh Curtis BD Evangelist, Latam & US
[email protected] LinkedIn: joshfcurtis Twitter: joshfcurtis
Cell: +1 909-524-2262