Magazines were quick to jump on the app bandwagon in 2011 and 2012, but if you scroll through the App Store or Google Play, you may notice that many of these apps haven’t been updated in a year or more! In fact, many magazines currently see a majority of their impressions on mobile web, not on their native apps. But that’s all about to change.
It’s nearly impossible to argue against the power of the freemium monetization strategy many mobile apps are migrating to. Freemium apps are free to download, but charge for premium content, bonus features, or other in-app purchases. AppAnnie’s data shows that 93% of mobile games and 57% of non-gaming apps are monetizing with freemium upgrades, and the magazine publishers are taking notice.
According to AdAge, a huge part of the problem is that magazine publishers have struggled to find a way to make mobile ads appealing to their audience, rather than intrusive. Additionally, they have not seen the ROI from mobile that they see coming from TV or print advertising.
The reality is, there is big money in mobile. Magazine publishers are starting to realize that targeted, relevant in-app ads that are served to their audience in the right way can be an effective monetization strategy. AdAge found that magazines are beginning to test, “sponsored skins, full-screen pre-roll and interstitial ads, and of course, native ad units.”
Many magazine publishers are venturing back into the app space with a fresh, freemium frame of mind. They have seen what is working well for other app categories, and tailoring it to what they think their audience wants. Troy Young, president of Hearst Magazines Digital Media said, “I think [the app space] is actually getting more interesting, not less.” It remains to be seen if magazine impressions shift from mobile web back to apps, but if the rest of the mobile app ecosystem is any indication, it is highly likely.
It’s nearly impossible to argue against the power of the freemium monetization strategy many mobile apps are migrating to. Freemium apps are free to download, but charge for premium content, bonus features, or other in-app purchases. AppAnnie’s data shows that 93% of mobile games and 57% of non-gaming apps are monetizing with freemium upgrades, and the magazine publishers are taking notice.
According to AdAge, a huge part of the problem is that magazine publishers have struggled to find a way to make mobile ads appealing to their audience, rather than intrusive. Additionally, they have not seen the ROI from mobile that they see coming from TV or print advertising.
The reality is, there is big money in mobile. Magazine publishers are starting to realize that targeted, relevant in-app ads that are served to their audience in the right way can be an effective monetization strategy. AdAge found that magazines are beginning to test, “sponsored skins, full-screen pre-roll and interstitial ads, and of course, native ad units.”
Many magazine publishers are venturing back into the app space with a fresh, freemium frame of mind. They have seen what is working well for other app categories, and tailoring it to what they think their audience wants. Troy Young, president of Hearst Magazines Digital Media said, “I think [the app space] is actually getting more interesting, not less.” It remains to be seen if magazine impressions shift from mobile web back to apps, but if the rest of the mobile app ecosystem is any indication, it is highly likely.
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