The 7 Sins of Mobile Ad Monetization You have monetized your app but are you doing it right? Is there a potential to tweak your monetization strategy a little bit for greater returns? In this webinar we discuss the seven deadly sins of mobile ad monetization aka things you absolutely shouldn’t be doing while monetizing your apps. These are the fundamental errors made while monetizing that you can absolutely avoid.

1. The 7 Sins of
Mobile Ad
Monetization
Presented By:
Tanvi Kapoor
Product Marketing Manager

2. – Introduction
Agenda
– Ad Monetization – The
Seven Deadly Sins
– Q&A

3. There are primarily 3 ways of making money from mobile apps
IAP in Numbers
2013
Mobile App Store Downloads
(in Billions)
13.4
5%
12.5
Average Conversion
Rate in 2012-13
17%
Mobile Ad Revenues
(in USD Billion)
Share of App Store
Revenues
11.1
9.1
167
6.6
57.3
211.3
127.7
2013
2014
Paid-For Downloads
1
17.2
9.7
82.8
2%
2012
24.5
2015
2016
Average Conversion
Rate in 2017
11.4
13.5
2012 2013 2014 2015 2016
Free Downloads
Paid App Downloads
2
In-App Purchases
3
Advertisements
And mobile advertising is growing

4. The mobile is a very personal device
While
watching TV
Lying in bed
Commuting
During
outings
~250 data
points/user/month
3 bn+ input data points
in 24hrs
Playing
Shopping
Data collected from each user interaction is extremely valuable

5. …And more targeted
Helping advertisers reach their
objectives by reaching
Their target consumers
With the right message
At the right time
In a relevant context
In the right location
With a compelling experience
Advertisers are getting more ROI

6. Advertising basics : Metrics that matter

7. Photo credit: Flickr/xchanttelx
Ad Monetization – Seven Deadly Sins

8. 1. Believing Inventory is Homogenous

9. 7 Deadly Sins of Ad Monetization
Believing Inventory is Homogeneous
Developers don’t tend to categorize their inventory.
Solution
• Know your premium inventory
• Distribute your inventory appropriately
+10%

10. Understand the value of your inventory
App Launch
Placements
Reserve this
premium inventory
for House Ads
In-App
Advertising
Reserve in-game ad
slots for nonintrusive ad units
Advertising At
Natural Break Points
Use Interstitials at
natural break points
like a score board

11. 2. Sending Low Quality Signals

12. 7 Deadly Sins of Ad Monetization
Sending Low Quality Signals
Data, Data, Data.
Solution
• Cleaner signals result in better targeting
• Lat/Long, Country, State, City,
Demographics, Keywords, App Category
+20%

13. Data is what makes your inventory valuable to an advertiser
Telco/Device
Geo Targeting
Demographic
Content
Behavioral
Context
Retargeting
Telco
Country
Gender
Auto
Shoppers
Home
Clickers
Education
Finance
Movie Buffs
Office
App Owners
Holiday
Weekend
Site visitors
Model
City
Language
Manuf.
Music
Travelers
Zip
Multicultural
OS
Geo Fencing
Weather
Moms
Household
Financials
News
Games

14. 3. Ignoring User Profiles

15. 7 Deadly Sins of Ad Monetization
Ignoring User Profiles
Know when and what to show. More exposure != $$
Solution
• Work with a partner who takes the
user profile into account
• Create flexible streams for a
custom experience
+15%

16. Leverage each user profile differently
Competitive Gamer?
Acquire similar
users
Casual/Achiever?
Promote Level
Ups, VG and Assists
Socialite?
Go Viral with
Social Taunts
Non Paying User?
Monetize through
Ads
Who is the user?

17. And show the most relevant ad to your non-paying users
Travel
Enthusiasts
InMarket
for Cars
New
Mothers
Gaming
Enthusiasts

18. 4. Ignoring Usage Behavior

19. 7 Deadly Sins of Ad Monetization
Ignoring Usage Behavior
Monetize with ads but not at the cost of losing your users
Solution
• Analyze how many times you show
an ad to a user during a session
+10%

20. Control the experience for your users
PLACEMENT
•
•
For casual games, place interstitials every
2-3 levels, for midcore games – after
every level
For PvP games, the best placement is
after a turn is over and in general during
passive screens
FREQUENCY
•
TIMING
•
If avg user time on your app is 5
mins, the best time to show an
interstitial is just before they leave the
app – for example at 4 mins. This
ensures you are able to monetize the
users while maintaining the interaction
flow
Measure usage statistics to ensure insession retention rate does not drop
faster than the user engagement rate
with the ad unit
VARIETY
•
Work with a partner who will allow ad
rotation at adequate refresh intervals and
ensures the advertisements are rotated
for your site. This helps manage ad fatigue
and prevents ad blindness.

21. 5. Not Adopting New Ad Trends

22. 7 Deadly Sins of Ad Monetization
Not Adopting the Latest Ad Trends
Developers tend to not update their apps with new formats
Solution
• Keep up to date with the flavor of
the season
• Advertisers will focus their spends
on the best performing ad format
+15%

23. In-app experience is key for ad monetization
18X
Custom Interstitials
with Frames
Custom Interstitials
with Animations
Video Ads
12X
8X
Average CTRs
x
Banners
Interstitials Custom Ads
Video Ads

24. 6. Not Choosing the Right Partner

25. 7 Deadly Sins of Ad Monetization
Not Choosing the Right Partner
How many networks can you partner with? The more you
add, the heavier your app will be.
Solution
• Use a Mediation Partner
• Choose networks with a
combination of scale and
performance
+20%

26. Demand diversity is essential for performance
CPG & Retail
Entertainment
News &
Directories
Auto
Telecom
Travel
Finance

27. 7. Ignoring Industry Evolution

28. 7 Deadly Sins of Ad Monetization
Ignoring Industry Evolution
Thinking the new OS does not affect you is a deadly sin
Solution
• Update your SDKs!
• Optimize for newer platforms
• Keep up with App Store policies
+10%

29. What is happening in the industry
64 bit processor support. More
bits, More power, Better Games
Automatic app updates to ensure
100% of your customers have
your update
Deprecation of UDID and MAC
address

30. Questions?

31. App Spotlight
Write to us: developer@inmobi.com
InMobi features a new app every month

32. Thank You
www.inmobi.com
TANVI KAPOOR
E: tanvi.kapoor@inmobi.com