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Ad Monetization Design Patterns in F2P Games

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My presentation at Casual Connect Tel Aviv in October 2016: Ad Monetization Design Patters in Free-to-Play Games

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Ad Monetization Design Patterns in F2P Games

  1. 1. Ad monetization design patterns in free-to-play games Eric Benjamin Seufert Heracles
  2. 2. Who I Am Partner, Heracles Owner, Mobile Dev Memo Author, Freemium Economics Formerly:
  3. 3. State of the App Economy
  4. 4. Growth of mobile advertising continues unabated.
  5. 5. Growth of mobile advertising continues unabated.
  6. 6. Growth of mobile advertising continues unabated.
  7. 7. Growth of mobile advertising continues unabated. FB 10Q (Q2 2016)
  8. 8. Growth of mobile advertising continues unabated. GOOG 10Q (Q2 2016)
  9. 9. Video is driving this growth...
  10. 10. Video is driving this growth...
  11. 11. Video is driving this growth...
  12. 12. Video is driving this growth...
  13. 13. Video is driving this growth...
  14. 14. ...and networks / publishers are facilitating this with new formats and tools.
  15. 15. ...and networks / publishers are facilitating this with new formats and tools.
  16. 16. ...and networks / publishers are facilitating this with new formats and tools.
  17. 17. ...and networks / publishers are facilitating this with new formats and tools.
  18. 18. ...and networks / publishers are facilitating this with new formats and tools.
  19. 19. ...but we’re still very much in the Wild West. Good information is hard to come by.
  20. 20. And fraud is rampant.
  21. 21. App Monetization in 2016
  22. 22. The App Monetization Opportunity with Video
  23. 23. The App Monetization Opportunity with Video ● Tap into growing video advertising budgets on mobile;
  24. 24. The App Monetization Opportunity with Video ● Tap into growing video advertising budgets on mobile; ● Leverage eyeballs into revenues by supplying inventory to ever-increasing demand for mobile placements;
  25. 25. The App Monetization Opportunity with Video ● Tap into growing video advertising budgets on mobile; ● Leverage eyeballs into revenues by supplying inventory to ever-increasing demand for mobile placements; ● Prepare for programmatic direct future marketplace with API- and backend-driven ad serving.
  26. 26. The App Monetization Dilemma with Video
  27. 27. The App Monetization Dilemma with Video How to monetize users with ads that don’t displace their attention from your app...
  28. 28. The App Monetization Dilemma with Video How to monetize users with ads that don’t displace their attention from your app... ...yet still convert well enough to maintain viable CPMs.
  29. 29. The App Monetization Imperative with Video
  30. 30. The App Monetization Imperative with Video Build engaging mobile advertising experience on mobile that is integrated natively, brings value to the customer, and is served with intent.
  31. 31. The App Monetization Imperative with Video Build engaging mobile advertising experience on mobile that is integrated natively, brings value to the customer, and is served with intent. Ads must be:
  32. 32. The App Monetization Imperative with Video Build engaging mobile advertising experience on mobile that is integrated natively, brings value to the customer, and is served with intent. Ads must be: ● Native;
  33. 33. The App Monetization Imperative with Video Build engaging mobile advertising experience on mobile that is integrated natively, brings value to the customer, and is served with intent. Ads must be: ● Native; ● User-initiated (pull, not push);
  34. 34. The App Monetization Imperative with Video Build engaging mobile advertising experience on mobile that is integrated natively, brings value to the customer, and is served with intent. Ads must be: ● Native; ● User-initiated (pull, not push); ● Integrated seamlessly into content (not a distraction from app’s use case).
  35. 35. App Monetization Design Patterns
  36. 36. Ads in the Content Channel
  37. 37. Ads in the Content Channel Seamless integration of ads alongside native content created opportunity for high number of impressions / session
  38. 38. Ads in the Content Channel Canonical Example: Facebook Newsfeed
  39. 39. Ads in the Content Channel Instagram
  40. 40. Ads in the Content Channel Rovio Content Channel
  41. 41. Rewarded Video as a Content Driver
  42. 42. Rewarded Video as a Content Driver Rewarded video serves as the primary driver of content delivery, eg. content is mostly unlocked via video rewards in the app’s (mostly games) core use case
  43. 43. Rewarded Video as a Content Driver Flip Diving
  44. 44. Rewarded Video as a Content Driver Nonstop Knight
  45. 45. Rewarded Video as a Content Accelerator
  46. 46. Rewarded Video as a Content Accelerator Video rewards increase the pace at which content is unlocked or at which progression in the app’s core use case is permitted.
  47. 47. Rewarded Video as a Content Accelerator Flip Diving
  48. 48. Brand Placements as a Content Extension
  49. 49. Brand Placements as a Content Extension Branded ad placements extend the available content in the app. Brand advertisements take the form of native content.
  50. 50. Brand Placements as a Content Extension Facebook LINE App
  51. 51. Brand Placements as a Content Extension Crossy Road
  52. 52. Thanks! eric@hrcls.co hrcls.co @eric_seufert

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