As app developers, we understand the importance of maximizing in-app monetization. After all, it’s one of the main methods of generating app revenue. However, with the ever-changing landscape of the mobile market, it can be challenging to keep up with the latest strategies for monetization. As of 2023, one of the most effective strategies that mobile markers have seen work is “Rewarded Playtime”.
What is Rewarded Playtime?
Rewarded Playtime is a unique type of in-app monetization strategy where users are rewarded for playing certain levels or completing certain tasks within a game advertised by your app. Users earn in-app currency for the app while playing the games promoted within the ad unit; upon accruing a certain amount of points the user can convert them for real monetary rewards. These include Paypal top-ups, Starbucks cards, and even PlayStation or Xbox top-ups. Rewarded playtime is a type of monetization that can increase user engagement and retention with the app as it encourages users to come back to the app more often for more offers.
What Rewarded Playtime means for your App?
Rewarded playtime offers just as seamless a monetization experience as rewarded engagement, with users opting to use the in-app ad platform without interrupting their journey within your app. This particular method of monetization is adept at securing in-app user engagement as well as retention through a myriad of reward cash-in options as well as the incentive to keep returning to engage with new advertised offers.
What Rewarded Playtime means for your Advertisers?
Advertisers receive users that spend an increased amount of time in their app, building upon the model of rewarded engagements. Only, through rewarded playtime, users create their own experiences and journeys within the advertised game and normally do not stop short of ‘completing a tutorial’, because they are incentivized to spend more time in the app. A higher amount of time spent in their app means a higher chance that they will turn into loyal users through prolonged exposure. Given that this is a relatively new technology, it is only available in tier 1 GEOs like the US, which means advertisers can use your placements to target users in top geo-locations.
What Rewarded Playtime means for your Users?
As with advertisers, users are also more likely to spend more time engaging with your rewarded playtime monetization tool. It is a win-win situation for them as the ad unit is not one that interrupts their experience with your app, and it gives them the unique opportunity to ‘earn whilst playing’ other games. The in-app rewarded playtime ad platform features a gamified progress system that keeps users engaged and returning to your app to complete new milestones whenever refreshed.
Benefits of Implementing Rewarded Playtime in your App’s Monetization Strategy
The benefits of this strategy are numerous. First, it encourages players to stay engaged with the app for a longer period of time. This increases the likelihood that they will make additional in-app purchases, as they are more invested in the game. Furthermore, it helps to create a more positive user experience, as players are rewarded for their time spent playing.
Additionally, rewarded playtime can help to reduce the amount of churn that some apps experience. When users are rewarded for playing, they are more likely to come back and play the game again. This creates a more consistent user base and reduces the number of users who abandon the app after a short period of time.
Rewarded playtime does not only need to be used to promote other apps; it can also be used to promote other features of the app itself. By offering special rewards for completing certain tasks or reaching certain milestones, developers can encourage users to explore the app and discover its many features via a gamified approach. This can help to increase user engagement and potentially lead to more in-app purchases, as users gain a complete understanding of your intended app experience.
How Does Rewarded Playtime Differ from Rewarded Engagement?
Prioritizing Users and Advertisers Simultaneously
Unlike a traditional offerwall advertisement, rewarded playtime ads prioritize the user and the advertiser simultaneously, for instance: the user earns decent rewards based on the time spent in advertised games, and advertisers receive users that put in real time playing their games which eventually leads to loyal retained users. The more time spent, the bigger the reward, meaning users can play advertised games for hours and complete multiple events in one sitting through rewarded playtime. Rewarded engagements are not able to guarantee advertisers any retention or engagement beyond the completion of a single static event, be it ‘Install’, or ‘Sign Up’. ‘Subscribe’ or ‘Purchase’.
Increased Retention Rates
While a rewarded engagement is good at being a seamless ad platform within an app, rewarded playtime is coveted for its unique ability to bring users back to your app after trying out different offers. The more time they spend in your app, the more rewards users will get and the more likely they are to become invested in your rewarded playtime app, which will subsequently suit the advertisers as well. The ease at which users can earn rewards as well as the variety of ways in which they can trade in their in-app currencies gives users incentives to return to your app; whereas users will experience a more linear user journey through offerwalls as rewarded engagements do not offer a lot of incentive to return to the app itself.
Boosting User Lifetime Value (LTV)
In stark contrast to rewarded engagements’ rigid offerwall offerings, rewarded playtime inventory can boost user LTV by giving players the ability to earn rewards for playing the advertised game itself. This rewards system can encourage players to keep playing and even spend money in the game. The rewards can be used to purchase in-game items, which can increase the user’s value to the game and boost their LTV. Users are incentivized to spend money in games they play because the rewards they receive can be used to unlock special content and even receive discounts on future purchases, further increasing their LTV.
Tier-1 GEO User Targeting
While rewarded engagements have become a relatively commonplace monetization tool and are implemented around the world, rewarded playtime is a new concept and is only available in tier 1 GEOs, as aforementioned. This means that rewarded playtime can only be used in apps that are available in GEOs highly coveted by advertisers, mainly in the US.
Implementing Rewarded Playtime
When using Rewarded playtime, you should focus on providing rewards that are valuable to your target users. Rewards can range from in-game currency to virtual goods or even special discounts. It’s important to make sure that the rewards are enticing enough to encourage users to keep playing and returning to your app. Use analytics to view what options users are mostly opting for to understand which reward style they prefer to cash in their rewards through.
Developers should also consider the type of reward system they are offering. Despite being time-based, you can still choose to offer rewards for either completing specific levels or tasks, or offer rewards for reaching certain milestones (like spending 10 minutes playing the game or unlocking an in-game achievement). This allows you to tailor the rewards system to the specific needs of your app.
Finally, developers should ensure that the rewards system is easy to use and understand. A rewards system that is too complicated or hard to use will not be effective. Users should be able to easily understand how they can earn rewards and what they will receive in return. Difficult or complex prompts within ad descriptions can lead the users to harbor negative opinions towards your ad unit. If a user does not get their reward after completing what ‘they’ perceive to be the required objective, they may not only churn but create negative publicity around your ad implementation.
Rewarded Playtime is an effective way to increase engagement and monetization within an app. By offering users rewards for playing certain levels or completing certain tasks, developers can encourage users to keep coming back and playing more often. Developers should focus on providing rewards that are valuable to users, and ensure that the rewards system is easy to use and understand. With the right rewards system in place, developers can maximize their in-app monetization.