Monetization strategy
Define your monetization approach with Unity Ads. Select ad formats, set revenue goals, and plan when and how to show ads in your app.
Read time 5 minutesLast updated 15 days ago
Incorporating Unity Ads is simple, but maximizing monetization requires an effective implementation strategy. When considering this, it is important to first understand how Unity Ads generates revenue, then determine the design and placement of ads in your project accordingly. In this guide, we share effective strategies and tips for optimizing your Unity Ads implementation using rewarded ads.
Note
Starting April 1, 2026, apps that monetize with Unity Ads through direct integration through the Advertisement Legacy Package might see reduced ad performance. To avoid reduction in performance, switch to integrating Unity Ads as a bidder.The Unity Ads network will continue to support and provide fill for all apps using direct integration. However, to maximize revenue and performance, the recommended best practice is to install the Ads Mediation package for LevelPlay, Unity's ad mediation platform.
Understanding how ads generate revenue
Every time your game requests an ad, Unity Ads holds an open auction for advertisers to bid on your impression. The highest bidder provides an ad. Advertisers can bid on different impression types to provide a diverse source of revenue streams. The following types are listed in escalating order of expected earning potential:- Ad start (the player triggers an ad)
- Completed view (the player watches an ad to the end)
- Click (the player clicks the ad, leading to an external product link)
- Install (the player clicks out to the external product page and installs the product)
Rewarded ads
Rewarded ads provide in-game rewards to players in exchange for watching ads. When done right, the incentive to voluntarily watch ads makes rewarded ads an extremely effective form of marketing as it helps create a positive player experience. Rewarded ads monetize better, typically yielding higher quality impressions. They can also help drive engagement and retention. As a byproduct, they increase the likelihood of players investing further through in-app purchases. Like any other game mechanic, remember that effective ads implementation requires carefully considered game design. Think of the following tips as recommendations; the best approach will ultimately depend on the specifics of your game and incorporate input from marketing, production, and game design disciplines within your team.Let the player choose
Allow players to opt in to watching ads, so they can choose between skipping them or receiving a reward. When players voluntarily watch an ad, they are more likely to pay attention and show interest in the advertised product. This in turn increases the quality of your impressions.
Identify the right incentive
Encouraging players to voluntarily watch an ad requires a compelling incentive. Successful implementations tend to offer in-game currency, power-ups, additional lives, or consumable items such as potions that help players recover and flourish in the game.
Identify the right placement
When considering your placements, think about stress points in your game that might be a good opportunity for an injection of resources. Consider the following examples to spur the creative process.Special shops
Implement a special shop type where the player can purchase unique items in exchange for watching an ad.
Augment retention mechanics
Augment retention mechanics by boosting their rewards in exchange for watching an ad. For example, double the rewards from a daily login bonus, or offer extra daily attempts to win in-game prizes.
Mini games
Create a fun mini-game available to players that choose to watch an ad.
Extra lives
Allow players to continue playing if they run out of lives, in exchange for watching an ad.
Double up
When starting a new game session, promote engagement by presenting a chance to receive 30 minutes of double points or earned currency in exchange for watching an ad.
Competitive edge
Offer a power-up or boost if the player is about to lose, in exchange for watching an ad.
Get creative!
Offer players earned currency when they don't have enough to purchase an item at a shop; place a character or shop right before a challenging boss fight that offers to completely heal and regenerate the player character's resources; offer a unique consumable boost to help push players who continue to fail a mission over the top. As you can see, many of these examples drive retention and engagement in addition to boosting the quality of impressions.Pair rewarded ads with in-app purchasing
Because rewarded ads are effective retention mechanics, they complement in-app purchasing systems quite well. Rewarded Ads often generate engagement through reward and investment, which encourages further investment through other monetization channels. Strive for a diverse monetization approach that provides opportunities for both. For example, consider running Rewarded Ads that grant small amounts of premium currency, offsetting the cost of paid content. Players with some premium currency might buy more currency to supplement a purchase rather than let their currency go to waste. It is important that your ads integration encourages in-app purchases instead of competing with them and cannibalizing revenue.Don't lose sight of your game's economy
Ad rewards should complement in-app purchase items rather than compete with them. As a general rule, Rewarded Ads should provide small benefits that drive engagement & retention, while in-app purchases should provide larger benefits that feel worth the financial investment. When possible, try to avoid offering purchasable items as ad rewards. Aside from not wanting to cannibalize in-app purchase revenue, remember that Rewarded Ads infuse the game economy with more digital goods. This can impact game balance and diminish the value of other rewards if not done responsibly. Game designers typically craft their in-game economies meticulously, so double-check that your implementation isn't harmful in that regard and always design incentives in keeping with their expected values within the economy. Examples:- If a special sword sells in the IAP store for $4.99, but players can get it in exchange for watching an ad, they will never have a reason to buy it. Offering small amounts of premium currency that can be applied towards purchasing the sword is a better approach.
- If the reward for watching an ad is on par with the reward for winning an extremely challenging battle, the experience of succeeding feels cheapened and can hurt engagement.
- If a health potion costs 100 Gold, but players can get health potions free at any time for watching an ad, that can devalue health potions and potentially even Gold itself.