Mobile gaming has undergone a notable change in recent years, shifting from a specialized hobby into a global industry giant.
With countless players worldwide and a continually growing selection of games to discover, mobile gaming has transformed not only our recreational pursuits but also changed how individuals generate income from their creations through platforms like an earning mobile app.
A common way to generate income in this industry is by utilizing in-game advertising. This includes tactically placing advertisements in games to create income. For example, the Antony Starr mobile game ad trend highlights how celebrity endorsements can enhance game visibility. Many gamers wonder, ads stand for what in video games—simply put, they are essential revenue drivers that fund free gaming experiences.
As reported by Oberlo, the anticipated growth of the US mobile advertising market in 2024 is expected to rise by 11.1%, totaling $216.4 billion. Despite a potential minor deceleration in 2025, expenditures are expected to hit $235.7 billion, fueled by an annual growth rate of 8.9%.
When diving into mobile games, one question frequently arises: what currency is the best to use for mobile games? This varies depending on the platform and game, but optimizing purchases can significantly improve a player’s experience.
If you’re a marketer looking to enter this flourishing sector, there’s significant opportunity in store. Whether you aim to design the best free mobile ads or monetize through an earning mobile app, you just require a reliable mobile app development firm that can assist you in creating and monetizing a gaming application.
This partnership can enhance your profits and offer users a captivating gaming experience. Many even ask, can you really make money playing games on your phone? The answer is a resounding yes, thanks to ad revenue models and the rise of gaming apps offering monetary rewards.
In this article, we will examine the main sources of income that support the gaming industry, the revenue models, the metrics, and the best strategies for maximizing ad revenue.
Now, without any delay, let’s begin!
What does Mobile Game Advertisement Revenue mean?
Mobile game advertising revenue pertains to the earnings that mobile game developers and publishers make from mobile ads displayed within their games. These mobile game ads play a pivotal role in monetizing games, especially those available as free or freemium options, which attract a wide audience of players.
Numerous mobile games are available for free or as freemium options (you can play without cost but may make in-app purchases) to attract a wide audience of players. But how do game developers get money to make games? One primary way is through ad revenue click-throughs, where players interact with ads integrated into the game. Additionally, platforms now offer innovative ways to watch ads for a company and get paid, further expanding monetization options for developers.
Game developers generate revenue from these games through different advertising techniques. They also leverage platforms that integrate earning mobile app functionality, allowing players to gain rewards while the developers benefit from ad engagement.
In simple terms, mobile game advertising revenue signifies the overall financial gain derived from different advertising sources integrated into the game app. For those wondering how to make money by making ads, game developers use strategic placements to boost revenue, creating a win-win scenario for players and advertisers alike.
This implies that you can begin generating income from mobile games by collaborating with a reliable game app development firm that can handle your development responsibilities and ensure effective ad integration strategies.
But what is the revenue generated by games from advertisements? To find your answer, you will need to go to the following section for the information.
How Much Do Mobile Games Make From Ads?
Mobile gaming applications can produce average daily ad revenue fluctuating between $10 and $200 from advertisements. For developers exploring game apps to make money, this represents a cautious estimation for an application that has just 1,000 active users.
Still, the path to generating revenue from mobile game advertising is characterized by challenges such as low-quality advertisements, unhappy users, and unproductive monetization strategies. Developers striving to create the best game apps to make money must implement effective strategies to balance user experience with revenue generation.
To calculate individual earnings from ads in mobile games, split the total earnings by the entire number of ad impressions. This is a critical metric for those seeking to understand what are ads in gaming and how they contribute to monetization. Subsequently, multiply this result by 1,000. The result shows the total advertising revenue from the game, referred to as the eCPM value.
For those asking how to make money making video games, partnering with a reliable developer to integrate an earning mobile app model can optimize income while maintaining an engaging user experience.
What are the Varieties of Mobile Game Advertising?
Mobile game advertising includes different ad formats aimed at captivating players while also generating income.
The amount you can earn from advertisements on an app depends on the kind of mobile game advertising you have utilized. Here are various forms of mobile game promotion:
Banners Ads
Banner ads are a form of graphic advertisement that appears on web pages, mobile apps, or other online spaces.
These ads are referred to as “banners” because they are normally shown in a rectangular shape on top and bottom as well as on the sides of the screen.
One of the aims of advertising in these sections is to draw your focus without disturbing the functionality that you are trying to enjoy.
You are most likely to come across banner advertisement in mobile applications, mobile sites and even in typical websites.
Despite being present for quite some time and both recognizable and ubiquitous, their effectiveness depends mainly on the design and placement of the advertisement and its relevance to the target audience.
Interstitial Ads
In mobile advertising, an interstitial ad is a full-screen advertisement that is shown during transitions in the mobile application’s content or user interface.
The intention is for such advertisements to attract the entire attention of the user because they are larger and more dynamic in nature.
In most cases however, the ad covers the whole screen which interrupts the user from interacting with the application until they have moved to the subsequent screen or step.
Playable Ads
Playable ads are considered to be a new ad style that is found in mobile applications or games.
Unlike standard ads that are either images or videos, playable ads allow users to briefly play an ad about a game or app.
You can interact with the advertisement by experimenting with a brief interactive demonstration of the game or application’s key features. These demos typically require just a few seconds to a minute to experiment with.
Rewarded Ads
Rewarded ads are the ones that require a user’s action on an advertisement, providing a reward like currency in the game, power-ups, additional lives, or access to premium content.
In most cases, the user will be willing to watch a rewarded advertisement, and after viewing it, the user will be able to claim the reward that he/she expected in the application or game.
For instance, this kind of advertising is often used as a strategy to monetize free apps or games and help users at the same time by letting them enhance their experience or progress at a quicker rate.
Offerwall
Offerwalls, similar to rewarded ads, encourage users to engage with advertising content by providing incentives.
They showcase a dedicated page that contains a catalog of diverse tasks that can be completed, including downloading other mobile games, engaging in surveys, testing trial services, or making purchases.
Since these tasks require more time and effort, offerwalls typically provide rewards of better quality than rewarded ads.
What are the Different Revenue Models in Mobile Gaming?
Various revenue models are frequently employed in the mobile gaming sector to earn income from mobile games.
So, how do ads from various models generate revenue? Here are several main revenue models that can assist you in earning money through mobile games:
Freemium
The freemium revenue model is a frequently employed approach in mobile gaming. This signifies that you are able to download and begin playing the game without any cost. However, to generate revenue, the developers provide additional items such as content, features, or virtual goods that you can purchase while playing the game.
Premium
You initially pay to download and play a mobile game in the premium revenue model.
Unlike free-to-play games, premium games do not disturb you with in-app advertisements or the need to purchase during gameplay. You pay once, and you get the full experience of the game, and no additional cost is charged.
In-Game Advertisement (IGA)
There are different kinds of advertisements embedded in the gaming experience, which is referred to as the in-game advertising (IGA) model. The goal of these advertisements is to not disturb during the game, and they usually match the setting of the game.
Advertisements in video games can be found in several places: as banners, video advertisements, or full-page ads. They`re a brilliant way to earn income without having your players pay out of their own pockets.
It’s essential to consider incorporating in-game advertisements into your strategy for generating revenue. It’s all about maximizing the potential of players who haven’t invested money in the game so far.
In-App Purchases (IAP)
In this sense, IAPs are a revenue stream without which players can purchase. Items like virtual goods, coins, or special features can be bought. This business model is typical for games with free downloadable content.
If you’re developing a mobile game and wish to implement this profitable strategy, you can readily seek assistance from a company specializing in Android or iPhone app development. They are able to help you execute it effectively.
Final Words
As observed, the future appears promising for the mobile advertising sector, with forecasts indicating significant revenue increases.
This highlights the potential and power of in-game advertising as a source of revenue, even amidst shifting market conditions.
As mobile gaming continues to develop, the strategies for increasing ad revenue will also advance.
Developers must strike the right equilibrium between generating revenue and providing gamers with an excellent experience.
Ultimately, the financial success of mobile games through advertisements depends on providing content and ads that genuinely resonate with the selective gaming audience.
Pure Website Design, an on-demand app development company with extensive expertise in game development and monetization strategies, can assist you in reaching your revenue objectives by creating your ideal game project.