Understanding the Revenue Streams of Game Apps

Have you ever wondered how much money game apps make from ads? The gaming industry has seen exponential growth over the years, and with it, the revenue generated through advertising has become a significant part of the ecosystem. In this article, we will delve into the various ways game apps monetize through ads and provide you with a comprehensive understanding of the numbers involved.

Types of Advertisements in Game Apps

Game apps utilize different types of advertisements to generate revenue. Here are some of the most common ones:

• Interstitial Ads:

• Video Ads:

• rewarded Video Ads:

• Banner Ads:

• Native Ads:

Interstitial Ads

Interstitial ads are full-screen advertisements that appear at natural breaks in the game, such as between levels or after a player completes a task. These ads can be static or interactive and are designed to capture the player’s attention for a few seconds. According to a report by App Annie, interstitial ads accounted for 30% of all ad revenue generated by game apps in 2020.

Video Ads

Video ads are another popular revenue-generating method for game apps. These ads can be short (15-30 seconds) or longer (up to 60 seconds) and are often rewarded to the player with in-game currency or other benefits. According to a study by Sensor Tower, video ads accounted for 45% of all ad revenue generated by game apps in 2020.

Rewarded Video Ads

Rewarded video ads are a type of video ad that offers players a reward, such as in-game currency or items, in exchange for watching the ad. These ads are highly effective in increasing user engagement and revenue. According to a report by App Annie, rewarded video ads accounted for 25% of all ad revenue generated by game apps in 2020.

Banner Ads

Banner ads are small, non-intrusive advertisements that are displayed at the top or bottom of the game screen. These ads are less intrusive than other types of ads and can generate a steady revenue stream. According to a report by App Annie, banner ads accounted for 5% of all ad revenue generated by game apps in 2020.

Native Ads

Native ads are designed to blend in with the content of the game app, making them less intrusive than other types of ads. These ads can be in the form of sponsored content or recommendations and are often placed within the game’s interface. According to a report by App Annie, native ads accounted for 20% of all ad revenue generated by game apps in 2020.

How Much Money Do Game Apps Make from Ads?

Now that we have an understanding of the different types of ads used in game apps, let’s look at the revenue generated from these ads. According to a report by Sensor Tower, the global mobile gaming market generated $77.2 billion in revenue in 2020, with $44.3 billion coming from in-app advertising. This means that approximately 58% of the total revenue generated by game apps comes from ads.

Let’s take a closer look at the revenue generated by different types of ads:

Ad Type	Revenue Share
Interstitial Ads	30%
Video Ads	45%
Rewarded Video Ads	25%
Banner Ads	5%
Native Ads	20%

Factors Influencing Ad Revenue

Several factors can influence the revenue generated by game apps through ads. Some of these factors include:

• Game Popularity:

• Ad Placement:

• Ad Frequency:

• Ad Quality: