A journey of monetization in
Apps & Games
DevGamm > Minsk > Belarus
Rami Jawhar
Google
1. Myths and facts about monetization
2. Current monetization practices
a. Seamless UX with native ads
b. Improve user engagement with rewarded ads
3. The future lies in smarter monetization
Agenda:
1.Myths and facts about monetization
Great apps
shouldn’t generate revenue.
The myths say so. ● Monetization bothers users
● Monetization via ads hurts users
experience
● Monetizing with IAP is the only
strategy
● Apps only need one
monetization strategy
Google Confidential and Proprietary
Less than
1%of apps are now
paid for at the point
of download
Juniper, April 2015 and Juniper website, The App Landscape Today, Feb 2015
Myth: People prefer high-quality apps they can pay for
Google Confidential and ProprietarySource: Swrve, Jan 2015
of mobile gamers
spend in apps
2.3%
Myth: Monetizing with IAP is the best strategy
Reality: 97% of users do not spend on apps
24%
Direct Sales
20%
In-App Purchase
20%
Subscriptions
3%
Others
15%
Investments
18%
Ads
Google & Advertiser Perceptions, 2T de 2015, encuesta a desarrolladores de aplicaciones de EE. UU.
que obtienen entre 50.000 USD y 1 millón de USD al año
* IDC/App Annie: Mobile App Advertising and Monetization Trends 2013–2018 (Tendencias de la publicidad en aplicaciones móviles y
la obtención de ingresos en 2013–2018) y Google/ Ipsos, encuesta de panel sobre desarrolladores, 3T de 2015
Google Confidential and Proprietary
Myth: Apps only need one monetization strategy
Reality: Most Successful developers diversify their revenue
“OK Google, How can I
monetize my game smartly?”
2a.Seamless UX with native ads
Native ads are based on flexible components
User
BanneradNativead
User
Advertiser
Advertiser
Headline: Duck Adventure App
etc.
●Decided to use native ads
●600% Increase in CPM
●Grew CTR by 6x
Mind Games
Improve user engagement with rewarded ads
2b.
Users: Engaging, Opt-in experience
Advertisers:
Reach engaged users
Publishers:
High CPM and
retention
Done well, rewarded ads benefit everyone.
Pou
The future lies in smarter monetization
3.
Información confidencial propiedad de Google
Google Confidential and Proprietary
Reached level 5
Average 3 minutes
per session
Spent $10 past 30 days
Custom
Audiences
Build custom audiences
Proprietary + Confidential
Source: RadiumOne, January 2016
Realize the full value of each user
Each user is different and has a different value. Treat them differently.
Google Confidential and Proprietary
users who are likely to
spend on IAP
users who
click on adsAd
users who share
on social media
Firebase for Ads Monetization
User targeting
A/B Testing Implement Ads Performance tracking
Create userlist
Control ads behavior
Create parameter for A/B testing
Control ads behavior
MeasurementImplement ads
Ads placement
Frequency
User targeting
Reward itemAds
Lunosoft increased by 500% it’s revenue by segmenting users
Users Product ActionSegmentation Monetization Results
Test 1
Test 2
Conversions
None
Arbitrary Sampling
6 days
duration
IAP Offer
145.000 impressions
0,74 USD per 1000
impressions $ 107
4 days
duration
Likely
Spender?
IAP Offer
6.000 impressions
23,88 USD per 1000
Impressions
$ 140
Interstitials Ads
139.000 impressions
4,22 USD per 1000
impressions $ 587
Yes
No
Uplift
1. App monetization works
2. Diversify monetization strategies
3. Pick the right ads for optimal user experience
4. Understand your users and their value
5. Create value for and from each user
Thank you!
rjawhar@google.com

A journey of monetization in apps

  • 1.
    A journey ofmonetization in Apps & Games DevGamm > Minsk > Belarus Rami Jawhar Google
  • 2.
    1. Myths andfacts about monetization 2. Current monetization practices a. Seamless UX with native ads b. Improve user engagement with rewarded ads 3. The future lies in smarter monetization Agenda:
  • 3.
    1.Myths and factsabout monetization
  • 4.
    Great apps shouldn’t generaterevenue. The myths say so. ● Monetization bothers users ● Monetization via ads hurts users experience ● Monetizing with IAP is the only strategy ● Apps only need one monetization strategy
  • 5.
    Google Confidential andProprietary Less than 1%of apps are now paid for at the point of download Juniper, April 2015 and Juniper website, The App Landscape Today, Feb 2015 Myth: People prefer high-quality apps they can pay for
  • 6.
    Google Confidential andProprietarySource: Swrve, Jan 2015 of mobile gamers spend in apps 2.3% Myth: Monetizing with IAP is the best strategy Reality: 97% of users do not spend on apps
  • 7.
    24% Direct Sales 20% In-App Purchase 20% Subscriptions 3% Others 15% Investments 18% Ads Google& Advertiser Perceptions, 2T de 2015, encuesta a desarrolladores de aplicaciones de EE. UU. que obtienen entre 50.000 USD y 1 millón de USD al año * IDC/App Annie: Mobile App Advertising and Monetization Trends 2013–2018 (Tendencias de la publicidad en aplicaciones móviles y la obtención de ingresos en 2013–2018) y Google/ Ipsos, encuesta de panel sobre desarrolladores, 3T de 2015 Google Confidential and Proprietary Myth: Apps only need one monetization strategy Reality: Most Successful developers diversify their revenue
  • 8.
    “OK Google, Howcan I monetize my game smartly?”
  • 9.
  • 10.
    Native ads arebased on flexible components User BanneradNativead User Advertiser Advertiser Headline: Duck Adventure App etc.
  • 13.
    ●Decided to usenative ads ●600% Increase in CPM ●Grew CTR by 6x Mind Games
  • 14.
    Improve user engagementwith rewarded ads 2b.
  • 16.
    Users: Engaging, Opt-inexperience Advertisers: Reach engaged users Publishers: High CPM and retention Done well, rewarded ads benefit everyone.
  • 17.
  • 21.
    The future liesin smarter monetization 3.
  • 22.
    Información confidencial propiedadde Google Google Confidential and Proprietary Reached level 5 Average 3 minutes per session Spent $10 past 30 days Custom Audiences Build custom audiences
  • 23.
    Proprietary + Confidential Source:RadiumOne, January 2016 Realize the full value of each user Each user is different and has a different value. Treat them differently. Google Confidential and Proprietary users who are likely to spend on IAP users who click on adsAd users who share on social media
  • 24.
    Firebase for AdsMonetization User targeting A/B Testing Implement Ads Performance tracking Create userlist Control ads behavior Create parameter for A/B testing Control ads behavior MeasurementImplement ads Ads placement Frequency User targeting Reward itemAds
  • 25.
    Lunosoft increased by500% it’s revenue by segmenting users Users Product ActionSegmentation Monetization Results Test 1 Test 2 Conversions None Arbitrary Sampling 6 days duration IAP Offer 145.000 impressions 0,74 USD per 1000 impressions $ 107 4 days duration Likely Spender? IAP Offer 6.000 impressions 23,88 USD per 1000 Impressions $ 140 Interstitials Ads 139.000 impressions 4,22 USD per 1000 impressions $ 587 Yes No Uplift
  • 26.
    1. App monetizationworks 2. Diversify monetization strategies 3. Pick the right ads for optimal user experience 4. Understand your users and their value 5. Create value for and from each user
  • 27.