The publisher growth formula: 3 reasons why ad network diversification matters

As the in-app advertising market is projected to reach nearly $353 billion by 2024, growing annually at 9%, it’s essential for app developers to have strategies in place to maximize revenue. One effective approach is diversifying ad networks, similar to how a diversified investment portfolio spreads risk and maximizes returns. Just as financial advisors recommend against investing in a single mutual fund, app developers should use multiple ad networks to optimize revenue growth.

Understanding the mobile in-app ecosystem

To understand why ad network diversification is crucial, it's important to first provide a high-level overview of the mobile ecosystem to help put in context the importance of revenue diversification. Typically, publishers use a single mediation platform to monetize their app inventories. These platforms connect developers with ad networks, where advertisers purchase ad space. In short, mediation platforms manage the auction from multiple ad networks to help publishers maximize revenue. 

However, the diversification and quality of advertisers depend on the specific ad networks integrated into a publisher’s mediation platform. By integrating with multiple ad networks, developers can connect with a broader and more varied range of advertisers across different verticals and regions. This strategy offers three key benefits: ensuring revenue stability, accessing higher-quality demand, and increasing bid competition.

Top 3 reasons to diversify ad networks

We spoke with Anton Kvashnevskiy, Head of Business Development & Ads Monetization at Nexters, for his insights on the importance of ad network diversification.

NOTE: All quotes mentioned below are direct remarks from Anton Kvashnevskiy

1. Ensure revenue stability

Relying on a single or a few ad networks can make developers vulnerable to revenue fluctuations. To maintain revenue stability, diversification is essential:

“Performance can vary when a key partner's results shift. At Nexters, we continuously test new partners to ensure our monetization stream remains steady” 

With Moloco SDK, publishers gain direct access to Moloco's global network of diverse advertisers across various verticals, reaching users across 6.7 billion devices in over 190 countries, ensuring consistent demand.

2. Access high-quality, incremental demand 

Maximizing the value of impressions depends on high-quality, incremental demand through accessing a wide range of advertisers who are willing to pay a premium for high-valued ad space.

"We frequently encounter the same ads in our games, leading to lower conversion rates. However, by integrating Moloco's SDK, we were able to attract incremental budgets and advertisers, significantly boosting our conversion rates” 

To access strong demand, it’s important to partner with the right ad network. Moloco SDK distinguishes itself by offering direct access between its demand and supply partners, bypassing intermediaries with cost saving going directly to publishers. Additionally, Moloco’s SDK demand is incremental and is not accessible through other exchanges. 

3. Maximize earnings with increased competition

By working with diverse ad networks, developers can increase competition for their ad space, leading to higher returns. The industry’s shift towards in-app bidding has made it easier for all players to compete for impressions in real-time auctions, improving eCPMs. Distributing inventory across multiple ad networks is now more important than ever to maximize bid competition and achieve higher earnings.

"By integrating multiple monetization partners using in-app bidding, we've seen an uplift in our eCPMs and ARPDAU. We’re gaining more value with less effort fixing pricing that is required with a waterfall model.”

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Diversification is a necessity, not a strategy

In a booming in-app advertising market, diversification is no longer just a strategy — it’s a necessity. By expanding your ad networks, you not only safeguard revenue but also unlock the full potential of your inventory. The future belongs to those who broaden their reach, attract top-tier demand, and maximize earnings through a diversified approach. Don’t settle for less when more is within reach.

Interested in learning more about Moloco SDK? Reach out to us today.

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