Over the past few years, the massive creative shift towards mobile video has fueled the development of brand-new video ad formats, like rewarded video ads, for instance, which have become a real hit among developers of mobile apps.
However, in spite of their initially wider adoption by app developers, rewarded video ads can, in fact, become a winning monetization strategy for website publishers, too, both on desktop and mobile web.
What are Rewarded Video Ads?
Just to remind you, rewarded video ads are short, closable, yet non-skippable full-screen video ads (~15-30 seconds in duration), incentivized to watch, in exchange for a certain reward.
Namely, in the web context, a scope of rewards is huge and varies across market niches, e.g.
- online shops may offer users to earn coins for their website e-wallets and further spend them on purchases;
- online magazines may reward readers with access to exclusive editorial content, usually available to only Premium subscribers, and more.
Likewise as with mobile apps, monetizing a website with rewarded video ads
implies two core benefits for publishers:
- Website Ad Revenue Growth
On average, rewarded video eCPM rates are comparatively higher, than with other ad formats, and can range between $10 and $50, according to various sources.
More importantly, rewarded video ads drive exceptionally high opt-in, ad completion and ad engagement rates.
- Better User Retention
Quite predictably, providing bonuses or premium benefits to website users in exchange for watching rewarded video ads encourages many of those, e.g. who were initially unwilling to subscribe, to change their mind.
How to Maximize Website Ad Revenue with Rewarded Video Ads
The following monetization tips for publishers will help you smoothly integrate rewarded video ads into the current ad stack and maximize your ad revenue, while keeping website users’ experience non-disruptive.
1. Determine your reward strategy
In brief, there are two main options to select from:
- One-time Rewards (usually with a limited validation period): coupon codes for discounts or a free product/service/subscription, etc.
This type of reward can be a good choice, if making a purchase on your website doesn’t imply users’ registration; and there’re quite many of returning visitors, who’ve incompleted purchases before.
How it works? Upon rewarded video ad completion, an end-card with a coupon code displays on screen with an option to copy it to clipboard.
Suggested ad placements: a product description page, directly in the shopping cart – among other available payment options, etc.
- Cumulative Rewards – bonuses or coins, accumulated in user’s website account, etc.
This type of reward should work better on websites with mostly registered audience.
How it works? Upon rewarded video ad completion, a user receives a particular amount of coins/bonuses on their website e-wallet, and can further spend accumulated coins on website purchases.
Suggested ad placements: directly in the shopping cart – among other available payment options; user’s e-wallet or profile page, etc.
Tip! Compress your video, if you have doubts that the file is too large for the smooth display.
NB! If you selected supposedly the right ad placement, yet the ad display rate remains low, this can indicate the offered rewards don’t seem good enough to users.
Instead of offering excessively valuable rewards, which can have a negative impact on website purchases, consider allowing users to select a type of reward themselves. This can help you understand, which rewards generally perform better.
As for the number of rewarded ads available for watching per one website user, we’d recommend 2-3 ads a day max., with intervals. Otherwise, a reward might simply become less valuable.
2. Provide full video ad control
Providing website users with full ad control helps maintain the non-disruptive advertising experience, while keeping user engagement rates high.
Namely, ensure a rewarded video ad includes:
- Visible “Exit” (“X”) button*
*A tap on the button generates a popup asking a user whether they really wish to exit, and warning them of the reward loss, in case of closing the ad.
- Countdown timer
- Volume dial
- Interactive call-to-action
3. Select demand partners wisely
To ensure the rewarded video ad integration runs smoothly, and your ad revenue grows at the expected pace with no harm to user retention, it’s crucial to select your demand partners wisely.
That is, ensure your video ad provider can offer:
- Global demand, both in terms of geo- & industry coverage
- High eCPM & fill rates
- Qualified technical support: before, during and after the integration.