Adjust has launched User-Level Ad Revenue reporting, in collaboration with ad mediation platforms ironSource and Fyber. It enables app publishers to measure revenue generated from users who engage with in-app advertising.
Today’s industry standard is based on reporting aggregated and averaged ad revenue data. Adjust said this prevents app publishers from tying back ad revenue data to user acquisition sources or breaking it down to any segmentation level.
The data they receive is aggregated across an entire network. As such, in-app ad revenue is shown as equally distributed among a user base. However, it said, the majority of this ad revenue is actually generated by a small group of users - referred to as ‘ad whales’, who often make up 80 per cent of the advertising revenue for mobile apps.
User Level Ad Revenue allows app publishers to tie back monetization revenue to the source of the user and compare with the cost of acquiring those users, enabling marketers to calculate average revenue per user (ARPU) and lifetime value (LTV). This data can be used to calibrate their ad spend more efficiently, hone optimizations to reach users that click, and retarget effectively.
“We are excited to introduce ad revenue on a user level together with our partners,” said Adjust CTO and co-founder, Paul H. Müller. “These granular, detailed insights into ad revenue and where it actually comes from enable marketers to optimize user acquisition campaigns and drive ROI more effectively.”
By 2020, Statista predicts that mobile apps will generate $188.9bn, via app store purchases and in-app advertising. Ad revenue, generated from in-app advertising, has gained momentum as a viable monetization model for many app publishers. AppAnnie predicts a 60 per cent increase in apps monetizing through in-app advertising in 2019.