A journey of monetization in apps

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DevGAMM Conference

Rami Jawhar, Strategic Partner Manager (Google’s Apps and Gaming), Google

Software

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:

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?”

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.

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

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