Key Points

  • Ad monetization is the process of monetizing content with advertising.
  • This monetization method has existed for centuries, but in the modern day, publishers have to embrace ad tech to stay competitive.
  • Done right, monetization within the ad space can support a publisher's business growth over the long term.

Ad monetization has been happening for hundreds of years. Some say it first started with European newspapers nearly 400 years ago. Others say it began much earlier than that, with advertisements appearing on papyrus and walls in ancient Egypt, Rome, and Greece.

In any case, this revenue generation technique has been around for a long time for publishers. And what ad monetization is today couldn't look more different from what it was in its humble beginnings.

Today, publishers are faced with dozens of decisions regarding their digital advertising and monetization efforts. Successfully navigating all of those obstacles begins with a clear understanding of the answer to a simple question: What is ad monetization? Read on to find out.

Ad monetization is the lifeblood of countless publishers' business models. If that's true for you, you should know you can increase your ad revenue. And Playwire has built the ad monetization platform that can help you do it. Contact us to learn more.

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The Complete Guide to Ad Monetization

The Complete Guide to Ad Monetization

Ad Monetization Defined

Let's begin with a simple definition of ad monetization:

What Is Ad Monetization?

Ad monetization is a way for publishers to generate revenue by displaying advertisements in or on their content. Businesses and ad agencies pay publishers to place their ads in their content based on the publisher's ability to reach an audience the buyer wants to reach. Ad monetization can take many forms, including traditional insertion order (IO) buys, programmatic advertising, and header bidding.

Ad Monetization FAQs

Monetizing content with advertising is a broad subject with more than enough nuance to generate a lot of questions. You'll find the answers to some of your most pressing questions about ad monetization below.

What are the ways to do ad monetization?

There are dozens of ways to do ad monetization. Each time there is a major development in ad tech or the internet at large, we get even more methods of monetizing with ads.

With that said, here are some of the most common methods of ad monetization:

  • Banner ads
  • Video ads
  • Contextual ads
  • Native ads
  • Interstitial ads
  • Rewarded ads
  • Ads sold via direct sales
  • Ads sold via programmatic advertising

Each of these ad types and strategies comes with its own sets of pros and cons, but most publishers use one or more methods described above.

Can ad monetization be used in combination with other revenue strategies?

Absolutely. In fact, many digital publishers use ad monetization as just one of several monetization methods.

Common examples of this include offering paid subscription packages that remove ads from a website or app. Other publishers may sell physical or digital products alongside the ad placement.

What is the easiest way to monetize with ads?

For most publishers who are just dipping their toes into ad monetization, the easiest way to get started is with one of the established platforms, such as Google AdSense.

Platforms like this may come with limited demand or below-maximum cost per mille (CPM) rates, but they make up for it for early-stage publishers by taking care of all of the background tools required to run digital ads, such as servers.

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Ad Monetization Resource Center

The Complete Ad Monetization Resource Center

Are direct sales still a viable method of ad monetization?

While the vast majority of digital advertising is now done via automated and highly modern methods like programmatic advertising, direct-sold ads remain a key part of many publishers' ad monetization strategies.

There's a great reason for that: Direct sales can lead to higher CPMs for every ad impression. When you have enough brand recognition as a publisher to get the attention of advertisers or direct buyers, you can command higher prices for the privilege of reaching your unique audience.

What tools will I need to monetize my website with ads?

The tools you will need to monetize your website with ads will depend heavily on the method of advertising you choose. If you want to go all-in on programmatic advertising without relying solely on an all-in-one prebuilt ad monetization platform, you will likely need the following tools in your ad tech stack:

  • An ad server
  • Ad exchanges
  • Ad networks
  • Supply-side platforms (DSPs)
  • A data management platform (DMP)
  • A consent management platform (CMP)
  • A header bidding wrapper
  • A list of header bidding demand sources

AdTech Stack - 3D-11-1Related: Learn more about all of the components of the ad tech stack in detail.

Can app publishers monetize their apps with advertising?

Desktop and mobile app developers can and often do monetize their apps with advertising. Many of the same tools and techniques used in web advertising apply to app advertising, although their setup and implementation usually involve integrating various software development kits (SDKs). 

While each individual app ad unit, tool, and demand source may look somewhat different for in-app advertising compared to web advertising, an app monetization strategy is just as important a source of revenue for many app publishers.

What Is Ad Monetization with Playwire? Better.

In its simplest form, ad monetization is the process of displaying advertisements from other businesses in, on, or near your content to generate ad revenue. But as any modern publisher knows, it gets a lot more complicated than that really, really quickly.

What is ad monetization with Playwire? It's better - more effective, more lucrative, and easier because it's all done for you by industry-leading ad tech experts and proprietary revenue amplification software.

When you're ready to maximize your revenue, you're ready to reach out to Playwire. Contact us online to learn more about how we can help you grow.

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