The Top 20% Of Mobile Users Contribute To At Least 80% Of All Mobile App Ad Revenue!
- Soom.la commissioned a study of more than 2 billion ad impressions across 25 different games and apps and more than 200 countries … here are their very interesting findings …
- It seems that the legendary 80 / 20 rule also applies to those who spend money in apps, as well as applying to those who view ads
- These numbers emanate from the heaviest app and game users viewing lots of ads to attain the rewards that they want
- According to soom.la, these numbers prove the existence of ad whales
- Yaniv Nizan, CEO of Soomla, is quoted as saying that …
Mobile monetization is shifting towards ad driven models and companies need to adapt quickly. Publishers who relay on averages for mediation, attribution, and optimization decisions will not be able to stay competitive as the market is adopting new monetization measurement tools with deeper insights into specific segments.
Publishers who do utilize the new monetization measurement methods are often able to translate the insights into increased revenue. We have publishers who were able to double their advertising revenue with a few simple actions once the data was easily accessible.”
- Nizan adds …
This impacts the ability of the publishers to make game optimization, attribution, and mediation decisions. These decisions should be based on granular data and not on averages. What the report shows is that there is a huge variance … up to 19 times in the monetization levels. It means that using the average can lead to many wrong decisions.”
- Other findings of the soom.la study are that …
- in some apps, the users who generate many impressions are not the ones generating the ad revenue
- users tend to stay in the same segments over time
- those classified in the top-revenue segment in the first month often contribute 67% of the revenue in the next month
- in this top segment, the users’ average revenue is six times the average
- ad rates (eCPM levels) are higher in the second month for users who had high eCPMs in the first month
- ad revenues are concentrated among fewer users than otherwise thought, regardless of geographic region
- the variance between the ad whales and those that are at the bottom of the revenue charts can be as much as 19 times!
- these ad-whales operate like payers, impelling companies to focus upon retaining and acquiring such high value users
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