Top Game Developers Thriving on Ad Revenue from Reward Video Ads
In the mobile gaming industry, a few developers have mastered the art of generating massive revenue through ad sales, especially with the growing popularity of rewarded video ads. These ads, where users opt to watch videos in exchange for in-game rewards, have become an effective way to increase engagement while generating substantial income. Here’s a look at some of the biggest names in mobile gaming who have perfected ad-based revenue, demonstrating the power of rewarded video ads in monetizing games effectively.
1. Supercell
Founded in 2010 in Finland, Supercell is a household name in mobile gaming, best known for Clash of Clans and Hay Day. Supercell’s games follow a freemium model, combining in-app purchases with ad revenue, particularly rewarded video ads, to generate income. Their games are free to play, which attracts a large user base, but Supercell offers in-game purchases and ad views that allow users to enhance their gaming experience.
With a valuation exceeding $2 billion, Supercell is one of the wealthiest mobile game developers in the industry. Their approach—combining rewarded video ads and engaging in-app purchases—demonstrates how top mobile developers can create substantial revenue without compromising the user experience.
Revenue Strategy Highlights:
- Uses rewarded video ads and in-app purchases to balance free play with revenue.
- Focuses on highly engaging, community-driven games that encourage long-term play.
- Continues to invest in user experience to maintain high user retention and engagement.
2. King Digital Entertainment
Another game developer that has mastered ad monetization is King Digital Entertainment, the company behind the iconic Candy Crush Saga. Established in Sweden in 2003, King faced initial challenges but ultimately found global success. Beyond Candy Crush, King is known for titles like Diamond Digger Saga, Bubble Witch Saga, and Pet Rescue Saga. These games use rewarded ads to engage players and incentivize continued play, creating consistent revenue streams.
King generates billions in revenue, with Candy Crush Saga alone making substantial contributions. Their ad strategy, which includes interstitial and rewarded ads, has been successful in creating an experience that maximizes player engagement without overwhelming them with ads.
Revenue Strategy Highlights:
- Focuses on casual, easy-to-learn games that appeal to a broad audience.
- Integrates rewarded ads that allow users to gain advantages, increasing engagement.
- Maintains a steady player base through user-friendly monetization practices.
3. GungHo Online Entertainment
GungHo, a Japanese game developer, has made its mark on the mobile gaming industry with popular titles like Puzzle & Dragons, which has generated over a billion dollars in revenue. Known for bridging the Japanese market with Western audiences, GungHo effectively uses rewarded video ads to boost engagement in its games. Players can earn in-game bonuses, which keeps them coming back while creating a profitable ad model for the company.
Though Ragnarok DS was their initial claim to fame on Nintendo, Puzzle & Dragons took GungHo’s success to new levels, thanks in part to its creative use of ads and in-app purchases. This strategy has solidified GungHo’s position as a major player in mobile gaming, particularly in the Japanese market.
Revenue Strategy Highlights:
- Utilizes rewarded ads that grant in-game rewards to improve player retention.
- Successfully combines Japanese gaming traditions with global mobile monetization trends.
- Consistently ranks high in mobile game earnings in Japan and increasingly in the West.
4. Machine Zone
Founded in 2008 in California, Machine Zone is a billion-dollar mobile gaming company that uses extensive ad placements to fuel growth. Mobile Strike and Game of War: Fire Age are their most popular titles, both known for immersive gameplay and effective ad strategies. Machine Zone is famous for high-profile promotional campaigns featuring celebrities like Arnold Schwarzenegger and Mariah Carey, which have boosted their visibility in the mobile gaming space.
Machine Zone combines in-game rewarded ads with these high-profile ads, keeping users engaged through both incentives and strong branding. This strategy has earned them a place among the top-earning mobile gaming companies globally.
Revenue Strategy Highlights:
- Uses celebrity-driven marketing and rewarded ads to increase player engagement.
- Creates a sense of prestige and excitement around its games through high-budget ads.
- Appeals to a global audience by providing both action-packed gameplay and valuable rewards.
5. Zynga
San Francisco-based Zynga, established in 2007, is another leader in ad monetization. Best known for FarmVille, Zynga has built a large portfolio of games, including ChefVille, FarmVille 2, and Texas HoldEm Poker. With a large and loyal player base, Zynga has consistently used mobile ads, especially rewarded video ads, to drive revenue. These ads allow players to earn in-game currency and upgrades, which enhances their gaming experience and keeps them engaged.
Zynga’s ad strategy has been a major factor in its financial success, showing that ad-based revenue can be incredibly lucrative with the right implementation. Zynga’s games appeal to casual gamers who appreciate the simplicity of rewarded ads, making it easy to convert players into repeat users.
Revenue Strategy Highlights:
- Leverages rewarded ads in casual games to boost retention and revenue.
- Appeals to a wide audience with easily accessible gameplay and incentives.
- Maximizes engagement by keeping ads light and user-friendly.
Other Top Developers Succeeding with Ads
Several other gaming companies are also seeing success through effective ad monetization:
- Netmarble Games – A South Korean developer known for Lineage 2: Revolution and Marvel Future Fight, Netmarble uses rewarded ads to incentivize in-game purchases and maintain user engagement.
- EA Mobile – Electronic Arts’ mobile division leverages its vast catalog, including The Sims Mobile and Madden NFL Mobile, combining in-app purchases with rewarded ads for substantial revenue.
- Kabam – Known for Marvel Contest of Champions, Kabam uses in-game rewarded ads and virtual currency to keep users engaged.
- Com2uS – This South Korean developer of Summoners War uses rewarded ads and cross-promotional tactics to build revenue across multiple titles.
- Gameloft – With a catalog that includes Asphalt 9: Legends and Modern Combat, Gameloft uses ads as an integral part of its monetization strategy.
Why Rewarded Ads Work for Major Developers
Rewarded video ads have proven to be an incredibly effective monetization strategy, especially for developers with highly engaging games. Here’s why these top developers have chosen rewarded ads as a key revenue stream:
- Higher User Retention – By giving players rewards for watching ads, developers increase engagement without overwhelming users.
- Enhanced User Experience – Users opt in to watch these ads, which means the experience feels voluntary and positive.
- Increased Revenue Potential – Rewarded ads allow developers to monetize non-paying users, creating revenue from a broader audience.
- Sustained Player Engagement – Rewarded ads provide players with incentives, keeping them in the game longer and increasing the likelihood of in-app purchases.
These companies showcase the power of rewarded ads and demonstrate how this ad model can successfully balance user experience with high revenue potential.
