inmobi - the economics of building an advertising supported app business
DESCRIPTION
This presentation was given by Gregory Kennedy at the San Francisco Android Meet Up. It provides an overview of different business models and how app developers can use them to monetize their apps.TRANSCRIPT
04/12/2023 1
World’s Largest IndependentMobile Ad Network
The Economics of Building anAdvertising Supported App Business
August 16, 2010
04/12/2023 2
InMobi: Mobile Ad Network
• 21.2 Billion impressions• 6 Offices• Live in 115 countries
• 185 M Consumers reached• 150 employees• Backed by Kleiner Perkins
San Francisco
London
Johannesburg
Mumbai
Bangalore
Tokyo
04/12/2023 3
A Selection of Partners
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Mobile App Landscape
• Highly competitive• Saturation point reached (iPhone)• Market dynamics change daily and hourly!
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The Opportunity
• Still huge opportunity for developers (long tale)• Android eco-system is still emerging• Top apps are worth millions of dollars
Since its release over 6.5 million copies of the game Angry Birds have been purchased.
Over 1 Million sold on Android.
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Revenue Models: Overview
There are only four ways to make money
Each has strengths and weaknessesSome models are more appropriate than others
Paid Downloads Sponsorship
Advertising In App Purchase
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Revenue Models: Paid Download
• Strength: Works best with gaming and utilities• Weakness: Promotion is difficult
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Revenue Models: Advertising
• Strength: Can drive more revenue than paid• Weakness: Requires large installed base
04/12/2023 9
Revenue Models: Sponsorship
• Strength: Great for niche apps• Weakness: Not scalable
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Revenue Models: In App Purchase
• Strength: Requires loyal repeat usage• Weakness: Difficult to achieve app loyalty
04/12/2023 11
App Monetization Matrix
Gaming Specialty Community Utility
Paid Download X XAdvertising X X XSponsor XIn App Purchase X X
• Recommended models by category
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Try Combining Models
• Mix models depending on growth stage• Experiment• Take advantage of global markets
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Build a Business not Apps
• Build a portfolio of Apps• Create synergy between apps• Use loss leaders to build brand• Variable pricing• Develop quality content• Volume of apps also matters• Take maximum advantages of social channels• Exploit global nature of App market
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Tips for Monetizing With Ads
• Test everything• Use data to improve performance• Experiment with ad placement• Experiment for ad format• Try multiple ad networks• Develop directly for ad verticals (cars, travel,
finance, real estate, etc.)
04/12/2023 15
Picking an Ad Network
• Some important questions:• In what regions are you trying to monetize• What platform are you developing for• Type of content games, music, cars• Consider a mediation platform: Mobclix
Think Globally
• eCPMs vary globally but not by a big margin
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Europ
e
North
Am
erica
Asia (E
xcl.
China
and
Japa
n)
Midd
le Eas
t
Africa
129 125
10190
70
Index by regionSourced from our Nework
eCPMs Top 20 Countries
04/12/2023 17
Country Index Range Rank
Australia > 150 1
Malaysia > 150 2
Ireland > 150 3
Thailand > 150 4
South Africa > 150 5
Russian Federation* > 150 6
New Zealand* > 150 7
United Kingdom > 150 8
Italy > 150 9
USA > 150 10
Country Index Range Rank
UAE* 120 to 149 11
Sweden 120 to 149 12
Norway 120 to 149 13
Germany 120 to 149 14
Singapore 120 to 149 15
Saudi Arabia* 80 to 120 16
Brazil* 80 to 120 17
France 80 to 120 18
Spain 80 to 120 19
Jordan* 80 to 120 20
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The InMobi Platform
• Largest independent mobile ad network• iOS friendly - full support for iAd format• Multi-platform iOS, Android, Blackberry, etc.• 40% of our traffic is outside the U.S.
• Live in 115 countries including US
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Our Network
North America3.2 Billion Ad Requests
Europe1.8 Billion Ad Requests
Africa2.8 Billion Ad Requests
Asia Pacific11.5 Billion Ad requests
Middle East 514 Million Ad Requests
• Can offer ad monetization for developers in almost every region, globally.
04/12/2023 20
InMobi World Developer Fund
• $2 Million Dollar World Developer Fund– Normally ad networks share revenue with publishers– We offer you 100% of revenue earned– Program lasts until the fund is gone
• Real support for developers