So i guess Google is on fire today with lots of releases, it just released a new way for Android developers to generate revenue from their mobile applications. it lunched the new monetization option called “Rewarded products” The feature allows non-paying apps users to contribute to an app’s revenue stream by sacrificing their time, but not their money. The first product will be rewarded video, where users can opt to watch a video ad in exchange for in-game currency, virtual goods, or other benefits. Google even showed an example of how the feature works, from the example one would think the video interrupts gameplay in between levels with a full screen takeover. This is not a scenario users would respond well to unless this was presented as the only way to play a popular, previously paid-only game for free, perhaps.
Rewarded video has worked for some apps where users have come to expect a free product. That could include free-to-play games or others services where subscribing is an option, not a requirement. For example, Pandora’s music streaming service was free and ad-supported for years, as it was radio-only. After it introduced tiers offering on-demand streaming to compete with Spotify, it rolled out a rewarded video product – so to speak – of its own. Today, Pandora listeners can choose to watch a video ad to access on-demand music for a session, as an alternative to paying a monthly subscription.
This amazing product also came at a time when apple is experiencing enormous success in it paid subscription, although we all know that subscription is still one of the main factors, outside of games, in app store revenue growth. Rewarded products offer those developers an alternative path to monetization on a platform where that’s often been more difficult, outside of running ads.