Rewarded Mobile Apps Have Completely Flipped the Script Between Brands and Consumers

Rewarded Mobile Apps Have Completely Flipped the Script Between Brands and Consumers

Latest Tapjoy research report finds that 75% of mobile gamers are most likely to watch rewarded videos when offered the chance, and they may not even have a celebrity in them!

The oldest marketing myth that “Sex sells” has been blown to pieces. In an insightful research report by Tapjoy, ‘Sex Appeal’ was among the least appealing elements to mobile app consumers. It can now be firmly established that user experience is indeed central to mobile app engagements in 2017 and not obsolete or “dark” content. According to the report–

Ads with Sex Appeal (13 percent) or a Famous Celebrity (13 percent) were among the least popular types of ads, although men were more likely to say they enjoyed ads with Sex Appeal than women.

Even as mobile apps offering virtual reality and augmented reality continue to drive innovations for practical purposes, video mobile app advertising is the most profitable platform. Yes! Consumers want their apps free and their ads rewarded on top of it. And, the new study by Tapjoy, expounds that mobile gamers in the US prefer opt-in, rewarded advertisements over mandatory ads such as pre-roll videos by a 4-to-1 margin. Findings from the study were released today in a research report titled “The Modern Mobile Gamer: Advertising Preferences Revealed.” So, marketers should now believe that it is much easier to develop rewarded mobile app ads that tend to engage users for the longest time rather than relying on cookie-cutter content that look awfully out of place and context.

The study also found that videos are far and away consumers’ favorite type of rewarded ads on mobile — preferred by at least 6X over playable ads, app installs, surveys and other types of advertising offers.

Study Reveals the Best Practices in Rewarded Mobile Apps Advertising

Tapjoy, the provider of the Maximum Impact Platform™ for mobile advertisers and app developers, found that 80% of US consumers indicate that they prefer opt-in ads that offer rewards, such as in-app currency, over mandatory ads, such as pre-roll videos.

Content that Drive Highest Engagement on Mobile app Advertising
Content Categories Driving Engagement on Mobile App Advertising


Shannon Jessup, Chief Revenue Officer at Tapjoy
Shannon Jessup
Chief Revenue Officer at Tapjoy

In an exclusive interview with MarTech Series, Shannon Jessup, Chief Revenue Officer of Tapjoy, explained the trends in mobile gaming apps and how marketers can incentivize the platform. Shannon said, “Mobile apps have completely flipped the script between brands and consumers, and consumers now have much more control than ever before.”

She adds, “As this study shows, consumers want to download apps for free, but they are more than willing to watch videos in order to unlock content within those apps. We have seen this trend played out across our platform as well, as we’ve experienced a 120% year-over-year increase in rewarded video views between April 2016 and April 2017.”

The Modern Mobile Gamer: Advertising Preferences Revealed
“The Modern Mobile Gamer: Advertising Preferences Revealed”

One of the key insights of the study is the difference between viewability/ attention span enjoyed by different videos based on the mobile apps’ content. As Shannon puts it —

“The most obvious way for marketers to boost rewarded advertising is simply to continue pouring their budgets into the channel. But, it’s also important that marketers understand the types of rewards that consumers want, the type of ad creative that really resonates with consumers who engage with rewarded ads, the type of context and placements where the ads run, and so on.”

“Rewarded” Video Ads Get More Attention From Customers

Rewarded videos are 100 percent optional and skippable for consumers while delivering nearly perfect viewability and completion rates for brand advertisers. Rewarded ads — sometimes called “opt-in ads” or “value exchange ads” — empower consumers to earn free access to premium content or upgraded features in mobile apps by watching videos or engaging with brands.

Why consumers prefer to view rewarded video ads on mobile apps?

Shannon elaborates, “When brands help consumers unlock premium content inside their favorite apps, it helps build a strong affinity between the brand and the customer. We have found that these ads deliver a higher eCPM than traditional ads because of the extremely high engagement and conversion rates.”


"The Modern Mobile Gamer: Advertising Preferences Revealed"
Consumers prefer videos ads by at least 6X over other formats

Moreover, rewarded ads provide users with a great introduction to an app’s virtual economy and its premium content. Therefore, they help users to engage with the app on a “deeper level.”

BTW– Would the results vary for B2B mobile apps consumers?


Shannon succinctly explains, “Even B2B customers play mobile games, so mobile game inventory is a great way to reach B2B audiences as well as B2C audiences. So no, I don’t believe the results of this report would vary for B2B customers.”

Other Key Findings from the Tapjoy Report

Other key findings from the study include —

  • Freemium mobile apps are preferred over paid apps

A majority of consumers prefer their mobile apps to be supported by opt-in, rewarded advertising (54 percent), rather than mandatory ads such as pre-roll videos (32 percent) or by paid downloads (14 percent).

  • Consumers are willing to watch 4+ videos per day

More than half of US consumers — 51 percent — said they are willing to watch at least four videos per day in exchange for rewards. Thirty-seven percent said they’d watch six or more videos per day.

  • Humorous videos get the most attention

Forty-four percent of consumers say that humorous content appeals to them most while watching video ads on mobile. The next most popular genres were ads that featured Storytelling (28 percent), Product Demonstrations (26 percent) and Special Effects (24 percent).

  • Movie trailers are most liked category

More than half (55 percent) of consumers say that ads for Movies & Entertainment are most likely to interest them, followed by ads for Food & Restaurants (46 percent), Retailers (25 percent), Fitness & Healthcare (22 percent) and then Local Services (19 percent).

According to a report, gaming apps generated $50.4 billion in annual revenue in 2016, compared to relatively low $11.5 billion that were spent on non-gaming apps worldwide. Most marketers would agree that there is a huge opportunity for brands to refine their campaigns by leveraging mobile advertising to attract, engage and delight consumers beyond the modest 5″ screens. It would be interesting to know how many mobile apps consumers actually try before making their purchase? Any clue!

Previous ArticleNext Article

Leave a Reply

Your email address will not be published. Required fields are marked *