What is an Offerwall?
Quick Definition: An offerwall is an in-app ad unit, popular in mobile gaming and rewards apps, that functions as a storefront of rewarded offers. It allows publishers to earn revenue by presenting a list of performance-based tasks, like playing a new game or completing a survey, for users to complete. In exchange for their action, users receive valuable in-app rewards, creating a user-initiated ad experience that boosts both revenue and long-term retention.
An Introduction to the Offerwall
An Offerwall is an entire section inside an app, often labeled “Free Points” or “Earn Rewards,” where users can browse a list of actions to perform. Each action has a corresponding reward of in-app currency. Instead of showing just one ad, an offerwall provides a diverse marketplace of choices, putting the user in complete control of how they engage.
The types of offers displayed on an offerwall can vary widely, from simple actions to more involved tasks:
- Watch a video.
- Take a survey.
- Install another app.
- Reach Level 5 in another mobile game.
- Sign up for a free trial of a service.
- Make a purchase on an e-commerce site.
Typically, the larger the reward, the more effort is required from the user. This allows publishers to cater to different user segments, from casual users willing to watch a video to highly engaged “power users” willing to complete complex tasks for a large payout of virtual currency.
How Offerwalls Generate Revenue
Offerwalls are a pure performance-based model. The publisher only earns revenue when a user successfully completes an offer. Most offers are based on a Cost Per Action (CPA) model, where the advertiser behind the offer pays the publisher a fee for the completed action. The publisher then passes a portion of that value on to the user in the form of the in-app reward.
Why are Offerwalls Important?
- Empowers Users: It gives users choice and control over how they engage with ads and earn rewards, leading to a positive user experience.
- High Revenue Potential: For highly engaged users, offerwalls can generate significantly more revenue per user than traditional ad formats.
- Drives Deep Engagement: The tasks often encourage users to engage deeply with another app or brand, providing high-quality traffic for advertisers.
- Acts as an IAP Alternative: It provides a valuable alternative for non-paying users to earn premium currency, keeping them active and engaged in the app’s economy.
Related Terms
- In-App Ads: An offerwall is a unique ad unit that contains a multitude of other ad offers.
- Offer Program: The portfolio of campaigns from advertisers that are displayed on an offerwall.
- Cost Per Action (CPA): The primary pricing model for most of the tasks listed on an offerwall.
- Rewarded Ads: While a rewarded ad is a single ad-for-reward exchange, an offerwall presents a menu of such exchanges.
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