Nectar: Why Rewarded Ads?
As Web3 gaming marches toward it‘s first hundred million users, there are two problems that the industry is facing.
- 1.Free is becoming the de-facto cost for a user to onboard to a Web3 game. Developers are going to be seeing the need to find new streams of revenue in addition to what's built into their game economics.
- 2.Web3 product discovery is nearly non-existent. Finding new, Web3-savvy customers is like looking for a light switch in a dark room.
- 1.Free-to-play plus play-to-own mechanics will require experimentation, just like when Web 2 F2P was new. An additional tool in the revenue stack will be welcome.
- 2.Revenue is left on the table when game economies forget about the percentage of players who prefer to pay by engaging with rewarded advertising.
- 3.NFT royalties can be bypassed. Diversified monetization strategies provide a robust and stable revenue stream.
- 4.Macro economic factors reduce the propensity of a user to pay currency for an in-game purchase.
- 5.Bottom line KPIs. Engagement, retention, and ARPU is increased with rewarded advertising.