Our reviews went from 3.2 stars to 4.4 stars in six weeks. We didn't change the gameplay. We didn't fix bugs. We didn't add features. We just changed how we showed ads.
The old approach: force users to watch interstitials after every level. The new approach: offer them extra lives or bonus coins in exchange for watching a video—their choice, their timing.
Rewarded video didn't just improve our rating. It increased our revenue by 40%. Turns out, when you treat users with respect, they'll actually watch more ads—not fewer.
Why Rewarded Video Works
- User-initiated: Users choose to watch, creating positive engagement
- High completion rates: 90%+ completion is common
- Premium eCPMs: $10-50+ depending on geo and vertical
- Positive sentiment: Users appreciate the value exchange
📊 Benchmark Data
Top-performing apps see 30-40% of DAU engaging with rewarded video, with an average of 2-3 views per engaged user per day.
Placement Strategy
Best Placement Opportunities
- Extra lives or continues: When a user fails, offer to continue in exchange for watching
- Currency multipliers: Double or triple earned rewards
- Daily bonuses: Enhance regular reward cycles
- Unlock premium content: Temporary access to premium features
- Speed up progress: Skip wait timers or accelerate building
Timing is Everything
The best rewarded video placements occur at moments of high engagement:
- After completing a level (offer bonus rewards)
- When the user needs help (extra lives, hints)
- At natural break points in gameplay
- When checking in for daily rewards
✅ Do
- Make the value exchange clear
- Show the reward before watching
- Deliver rewards immediately
- Allow users to decline gracefully
❌ Don't
- Force users to watch
- Hide or obscure the reward
- Make ads required for core gameplay
- Show too many in a single session
Reward Value Optimization
The reward must feel valuable enough to justify 15-30 seconds of attention:
- Too low: Users won't bother watching
- Too high: Devalues your in-app economy
- Just right: Meaningful but not game-breaking
"We found our sweet spot when the reward value equaled roughly what users could earn in 5-10 minutes of gameplay. It felt fair to everyone."
— Game Developer, ClicksFlyer Client
Frequency Capping
Balance revenue potential with user experience:
- Session caps: Limit total views per session (5-10 typical)
- Placement caps: Limit views per placement type
- Time cooldowns: Minimum time between placements
- User preference: Let power users watch more if they want
Technical Best Practices
Preload Ads
Always preload rewarded video ads so they're ready when the user wants them. Nothing kills engagement faster than a loading spinner when someone is ready to watch.
Handle Edge Cases
- What if the ad fails to load? Have a backup or graceful fallback
- What if the user closes early? Consider partial rewards
- What if there's no fill? Show a message and try again later
Verify Completions Server-Side
Use server-side callbacks to verify ad completions before granting rewards. This prevents fraud and ensures accurate tracking.
Measuring Success
Track these KPIs to optimize your implementation:
- Engagement rate: % of DAU who watch at least one RV
- Views per engaged user: Average RV views per user who watches
- eCPM: Revenue per 1,000 impressions
- ARPDAU: Total ad revenue per daily active user
- Retention impact: Does RV viewing correlate with better retention?
A/B Testing Ideas
- Test different reward values
- Compare placement locations
- Try different CTA copy
- Experiment with visual presentation
- Test frequency cap settings
Rewarded video, when implemented thoughtfully, creates a win-win-win: users get value, developers get revenue, and advertisers get engaged viewers. Focus on the user experience first, and the revenue will follow.