Fifty-four percent of mobile gamers prefer the “freemium” business model, according to a report released by rewarded ad provider, Tapjoy. The Modern Mobile Gamer: Advertising Preferences Revealed explores the ways in which US consumers interact with mobile advertising within a gaming app. Out of the 2,615 survey participants, 21 percent said they preferred free, ad-supported games while only 14 percent preferred a paid business model without ads.
So does this mean that mobile gamers love advertising? Well, sort of—it’s more like consumers are willing to support the developer in exchange for in-game goodies.
Rewarded ads offer an interactive way for users to “pay” for use of an app without being intrusive like a pop-up ad or flashing banner. In fact, a recent study by NPD revealed that a majority of mobile game users prefer to earn in-game currency over paying real money.
Thanks For Watching
Tapjoy found that 79 percent of US consumers surveyed prefer opt-in ads that offer rewards such as in-app currency over mandatory ads such as pre-roll videos. This number is even higher—83 percent—for those who play at least 12 hours per week.
“It’s natural that consumers want to be rewarded for their engagement and attention,” Shannon Jessup, chief revenue officer at Tapjoy told AListDaily. “They shouldn’t have to suffer through disruptive and annoying pre-rolls or pop-ups that offer zero value when they could instead choose to engage with ads that actually offer some type of in-app reward.”
Survey respondents who interact with rewarded ads in exchange for virtual currency or in-game content prefer to watch videos, the study found, at 63 percent. This was far and away the most popular type, followed by installing apps at 10 percent, playable ads at nine percent and filling out a survey at eight percent. The least favorite type of rewarded ad comes in the form of subscribing to a service, at only one percent.
Rewarded video ads are not only the most preferred method for consumers, but 51 percent are willing to watch four or more such videos per day. This trend holds true across a broad mix of demographic backgrounds, Tapjoy reported.
Moved By Movies
Survey respondents prefer video ads that pertain to Movies and Entertainment more than any other category provided, at 55 percent. Food and Restaurants came in second at 46 percent, followed by Retailers (25 percent), Fitness and Healthcare (22 percent) and Local Services (19 percent).
At 44 percent, humor is the best medicine for consumers watching a video ad, followed by storytelling at 27 percent. Common assumptions about ad preferences may not as true as once thought—ads with sex appeal and famous celebrities were the least popular genres among the options provided at 13 percent each.