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How Advertising Works

You have an app or are in the process of developing one, but you need a way to make money from it and grow your business. The good news is that you have options. Your choices today are growing and include direct sales, in-app purchases, and advertising. Here at ONE by AOL: Mobile Self Serve, we're seeing more developers turn to ads as a way to offer content for free, while still generating income and expanding the lifetime value of their users. The "freemium" model is quite popular and thousands of developers are monetizing their free applications with advertising.

If you are interested in getting started with in-app advertising, here are a few things that might be helpful to know about the mobile advertising ecosystem before diving in.

How Mobile Advertising Works

The mobile advertising market works like any other: there is a finite supply of space to advertise on (also known as "inventory") and a growing demand to advertise in that space. As app usage increases so does the amount of inventory - very similar to page views on the web.  ONE by AOL: Mobile Self Serve helps developers make money from their inventory without having to employ their own sales force or create their own ad serving technology and infrastructure.

The Opportunity for Developers

At ONE by AOL: Mobile Self Serve we work with advertisers of every size, including major brands like McDonald's, Buick, Hyundai, Patagonia and Paramount Pictures. While their advertising messages and objectives may be very different, they have one thing in common. They're eager to create an engaging consumer experience through a variety of different types of interactions, messages, and content that is unique to mobile. Of course, as mobile evolves, new devices and ad formats enter the market and quickly create a change in the demand for advertising. The price of in-app inventory can increase with this demand, especially if there is a shortage. For example, inventory that allows brands to engage with consumers through the latest mobile video ad formats is highly valued by premium brand advertisers right now.

The Content Factor

If you want your inventory to compete for these high-eCPM ad campaigns, you will need content that advertisers are comfortable with and that's relevant to a brand's target consumer. Applications that feature adult or potentially offensive content that can be construed as inconsistent with a brand's image are not popular with premium advertisers. Ultimately, they are buying your inventory. Make them happy with it so you can compete for more of their business. Be sure to think about the content factor early in the development process and create applications that are advertiser-friendly, pleasing user experiences, and easily targeted. It can be your ticket to success in the mobile advertising ecosystem.

Have questions about mobile advertising or working with ONE by AOL: Mobile Self Serve? Contact us

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