App Monetization in 2023: Challenging, and More Fruitful Than Ever
Best practices in 2022, together with an outlook on top performing app monetization strategies in 2023.
〰 brought to you by Revlum clients and partners, with a network of 70+ million users 〰
What are the best App Wall monetization strategies?
1. Configure your App Wall to work in tandem with your in-app purchases
At first, many publishers wonder how implementing an additional monetization tool into their current revenue model will impact their KPIs and overall profitability.
The key question in the minds of most publishers is whether users will reduce their in-app purchases because they can now earn virtual currency through completing challenges on the App Wall?
Brief answer: Revlum works in a way that complements your in-app purchase ecosystem, not as a substitute for it.
Together with our clients and partners, we’re running continuous daily tests to ensure an optimal combination of revenue-generating activities is being executed at all times.
Changes from in-app purchases to App Wall incentives were crucial for our creators. Even if some users did make the transition from IAP to App Wall, we think they would have done so anyway and made up the difference in revenue from ads. So, it's far more convenient to engage in a game than part with cash.
〰 Dana Lung, Chief Digital Officer @ Slypp
2. Bring your users truly exciting incentives
Users that we’re targeting primarily in our App Wall activities are experienced in their interaction with your application as well as your competitors on the market. These users have come to expect App Walls in the apps they consume.
When faced with an App Wall for the first time, users can easily understand the benefits of interacting with the challenges listed on it. They also realize that these challenges will be available to them to engage with whenever it’s most convenient for them to do so.
In the last user survey we conducted, 86,3% of the users stated how they were very happy to have the option of earning in-app currency or enjoying a premium benefit in exchange for completing a challenge for a brand they trust.
A number that says much about how much consumers love App Walls is that 54,2% of them would quit playing the game if the App Wall was removed.
There was no drop in IAP income for us to report. That has resulted in a substantial increase in our income. According to my talks with players, my analysis of user feedback, and my examination of user forums, our users really benefit from the rewarded advertising and greatly enjoy having an extra source of in-app coins and diamonds that they use to unlock new skins and power-ups.
〰 Trevor Gearty, VP Growth @ ReadyScale
3. Find the right mix of monetization activities
Revlum is not claiming that rewarded videos and IAP should be replaced by our solutions such as the App Wall. Our data states they should be utilized as powerful allies, which they truly are when combined and placed properly.
None of our publisher partners had a drop in revenue coming from rewarded videos, whereas all of them have reported a rise in overall app revenue. These results are not surprising though, as Revlum is a supportive tool that nurtures the publisher’s monetization activities, focusing on improving the highest performing ad strategies.
Users on mobile platforms have seen a variety of ad systems function poorly and well, and they have evolved to the point where they value having agency over how they engage with a publisher's advertising.
We first restricted access to the App Wall and rewarded videos to users who did not purchase in-app currency (IAP), but later realized they were integral to the success of the whole system. We investigate all the available optimization settings before releasing the Revlum App Wall. Several possible points of access were tested and fine-tuned for optimal use. Multiple promotional offerings of the in-app currency were conducted, and with a few adjustments, we made it work well for our game.
〰 Rob Wojcik, Monetization Lead @ Dunk Chronicles
Video ads and the Revlum App Wall are a winning combination. In comparison to publishers who used only Rewarded Video, those who used both saw an increase in revenue of 112,5%.
4. Reward your users with a taste of the premium experience to create loyalty
App Wall enables you as the publisher to build loyal audiences by giving them your app’s most valuable functionality or currency for free (at least for the end-user). Getting the product into customer’s hands is one of the most known sales tactics, which perfectly translates into the digital world as well.
Once your users have experienced the value you can provide to them in exchange for real money, they will be able to make calculated decisions on how much they are willing to spend within your app’s ecosystem. And the data speaks in your favor as these are the users which are 10-15x more likely to make in-app purchases. This is one of our proudest statistics to share in general.
Actually, there is a favorable relationship between an App Wall and IAP. By using Rewarded Videos, you may get a taste of what the full Nifty game universe has to offer. If the App Wall makes people feel welcome, they're more likely to come back. If at all doubtful, give it a go. The best method of making money from a game is one that was designed with it in mind. Our primary game audiences are comprised of young people who have lots of time to play but little funds to spend on in-game extras. Users often chose to invest time and effort required to earn a single Nifty crystal than spend a dollar on a 50x bundle of them.
〰 Miguel Ferrón, CTO @ Nifty
5. Adjust your monetization focus in real-time
Our clients continuously report an uptick in IAP after deploying our solution. The decline in IAP is small to none, while additional revenue streams provided by Revlum always surpass this difference by significant amounts. According to all the findings from our in-house team, combined with the data of our publisher partners, the conclusion is that Revlum's App Wall is a useful addition to in-app purchase (IAP) revenue. Continuous tweaks will ensure long-term growth and more efficient app monetization.
We decided to try out the App Wall layout in ARSpace. 24% of those who saw our ad on Google Play did it in the form of an App Wall version, which included attention-grabbing in-game promotions (pop-ups, modals, and similar). Analytics showed no decline in IAP after five weeks. Therefore, in-app purchases were steady, but the income from the App Wall rose. After that, we conducted split-tests amongst many App Walls and ultimately settled on Revlum. Giving out free coins had us scared that we'd lose gamers or throw off the game's equilibrium. A/B testing, strategic rollout, and some basic data analysis are all you need to get started.
〰 Tormod Mogensen, Head of Product @ ARSpace