How Much Ad Revenue Can Apps Really Make in 2026? [The Definitive Guide]

In 2026, a mobile app with 100,000 monthly active users (MAU) can realistically generate between $5,000 and $100,000+ in monthly ad revenue. This wide range depends entirely on the app’s category, user geography, high-performing ad formats, and monetization strategy. Finance and mid-core gaming apps are on the higher end, while hyper-casual games and utility apps occupy the lower to mid-range.

Ad revenue for apps isn’t one-size-fits-all. It depends heavily on:

• App Platform (iOS or Android): iOS typically commands higher eCPMs (effective cost per thousand impressions) than Android.
• Ad Formats: Different formats have vastly different earning potential.
• App Type: Some app categories are more lucrative for advertisers than others.
• Audience: Advertisers pay more to reach users in certain countries.

Here are MonetizeMore’s eCPMs and RPM estimates (revenue per mille) to give you a clearer picture:

App Platform	Ad Format	eCPM (Estimated)	RPM (Estimated)	Notes
iOS	Banner	$0.50 – $2.50	$0.25 – $1.25	Poorest earning potential, good for high-traffic apps
iOS	Interstitial	$3.00 – $8.00	$1.50 – $4.00	Shown between screens, moderate app ad revenue
iOS	Rewarded Video	$10.00 – $30.00	$5.00 – $15.00	High user engagement, highest earning potential especially for gaming
Android	Banner	$0.25 – $1.50	$0.12 – $0.75	Lower eCPMs than iOS
Android	Interstitial	$1.50 – $5.00	$0.75 – $2.50	Similar to iOS but generally lower revenue
Android	Rewarded Video	$5.00 – $20.00	$2.50 – $10.00	Still strong app ad revenue, but lower than iOS counterparts

Recent data shows that eCPM values continue to rise, particularly for high‑engagement formats:

Ad format	2026 global eCPM benchmarks	Source and details
Banner (mobile)	US$1.20 – US$2.00	Mobile display banners generate about US$1.20–US$2.00 per thousand impressions globally.
Native ads	US$2.50 – US$3.80	Native ads blend into app content and command higher rates.
Interstitial ads	US$3.50 – US$6.00 (global); US$10.45 on Android in the United States	eCPM of US$10.45 for in‑app Android interstitial ads. MAF’s rewarded‑ads study states that interstitial video ads eCPMs in the US average US$14.08 on Android and US$14.32 on iOS.
Rewarded video ads	US$16.49 (Android) and US$19.63 (iOS) in the US	Rewarded ads provide in‑app rewards in exchange for viewing; they attract high engagement and are the most lucrative mainstream format.
Offerwall / Play‑to‑earn	≈ US$530 eCPM	Offerwalls (interactive lists of rewarded offers) produce extremely high eCPM because users opt in and complete tasks; MAF reports an average eCPM of US$530, with retention improvements (+45.8 % day‑1; +86.1 % day‑7; +71.7 % day‑14).
Video pre‑roll ads	US$7 – US$12	Video pre-roll ads have a CPM of US$7–12.
Push notifications	US$0.30 – US$1.50	Push notification ads have modest CPM but are useful for re‑engagement.
Country variations	CPMs vary widely: US (US$5 – 12), UK (US$4.5 – 10), Germany (US$4 – 9), Canada (US$4 – 8), Australia (US$3.50 – 7), India (US$0.40 – 1.50), Brazil (US$0.80 – 2.20), Philippines (US$0.30 – 1.00), Nigeria (US$0.25 – 0.80). Publishers should adapt pricing to target higher‑value regions.

These benchmarks highlight two broad trends:

(1) full‑screen, high‑engagement ads (rewarded video, interstitial, offerwall) continue to command premium rates.

(2) regional differences persist, with developed markets like the US and UK delivering eCPMs many times higher than emerging markets.

 

Example:

A gaming app on iOS with 100,000 daily active users showing rewarded video ads could potentially generate:

-100,000 users * 0.10 videos per user * $20.00 eCPM = $200,000 (potentially!).

How Much Money Can You Expect from An App?

Apps have the potential to generate millions of dollars in income each year. However, the majority of apps that achieve this are rather few in number. The bulk of the apps are flops that don’t actually make money whatsoever.

So, it’s an immensely tough exercise to establish an estimate on how much money an app can make given the large number of applications and the huge variety in the amount of cash they bring in for their publishers.

Apps ranked in the top 200 on the app store earn an average of $82,500 every day. When we broaden that range and look at the income numbers for the top 800 apps, the daily income falls to roughly $3,500.

This disparity is also evident across genres; for example, gaming apps earn roughly $22k per day, whereas entertainment applications earn only $3090. Having said that, there is no universal answer to how much income an app can generate.

How Does Advertising Revenue Work?

App developers use key metrics like ARPDAU (Average Revenue Per Daily Active User), ARPU (Average Revenue Per User), and ARPPU (Average Revenue Per Paying User) to measure ad performance and overall monetization.

To optimize ad revenue, developers rely on analytics and reporting tools that break down earnings by ad format, such as interstitial ads, banner ads, mobile video ads, and rewarded video ads. This data helps them determine the most profitable ad types and adjust their monetization strategy accordingly. Rewarded video ads, in particular, often generate higher engagement and revenue since users voluntarily watch them in exchange for in-app rewards.

Industry trends shaping monetization in 2026

• Automation and AI – Business of Apps reports that manual campaign optimization is “effectively over” in 2026; AI now powers creative generation, bid optimization and predictive analytics. Advertisers demand predictable ROAS and are cutting networks that do not produce incremental value. Publishers should adopt machine‑learning driven bidding, ad personalization and dynamic pricing.
• Mobile Gaming Leads the Pack: The mobile gaming sector generated nearly $92 billion in ad revenue in 2024 and continues its upward trajectory. It serves as a benchmark for sophisticated ad monetization, pioneering the use of rewarded video and offerwalls.
• On‑device ad placements – OEMs like Samsung and Xiaomi are introducing native ads in system apps, lock screens and app stores. This provides new inventory and reduces user drop‑off because users can install apps directly from mini‑cards. Apps should explore partnerships with OEM ad networks for incremental reach.
• Hybrid monetization dominance – With subscription ARPU 4.6× higher than ad‑only, and IAPs representing nearly half of mobile revenue, combining ads with IAP and subscriptions is now the default strategy. Paid tiers reduce ad fatigue while rewarded ads convert non‑payers into purchasers.

The 5 Critical Factors That Determine App Ad Revenue

Your app’s revenue is not a single number; it is an outcome of several interconnected variables.

1. Ad Format & Strategy: A strategic mix of the formats above is crucial. An app relying solely on banners will earn a fraction of what an app using rewarded video and interstitials can. The key is to match the format to natural pauses in the user experience.
2. Geography of Your Audience: Users in the U.S., Canada, the UK, and Japan generate the highest eCPMs because advertisers spend more to reach these high-value consumers. An app with 10,000 U.S. users can often out-earn an app with 50,000 users from a Tier-3 region.
3. App Category (Niche): Gaming, Finance, and Utility apps consistently generate the highest ad revenue. This is driven by high user engagement (gaming) or high-value user intent (finance), which attracts premium advertisers.
4. User Engagement and Retention: The more time users spend in your app and the more frequently they return, the more ad impressions you can serve. High retention is a direct multiplier for your ad revenue potential.
5. Ad Density and Placement: Finding the perfect balance is essential. Too few ads leave money on the table, while too many ads (ad fatigue) frustrate users and cause them to churn, killing your long-term revenue.

Ad revenue from mobile games

As part of an app’s monetization strategy, mobile game ad revenue refers to money made by in-game advertisements including such rewarded ads, offerwalls, interstitials, and playable ads instead of in-app purchases.

The revenue from gaming ads is estimated by multiplying the number of impressions an ad receives on an ad platform by the eCPM. Ultimately, mobile game advertising revenue has shown to be quite profitable, with mobile games, and is on track to generate $39.8 billion in advertising revenue alone.

What Do Subscription Apps Earn?

Subscription apps are yet another excellent way to make money via in-app purchases. Tinder is the greatest example of a comparable money-making app. Even though the Tinder app is available for free download, users must pay for features such as unrestricted swipes. This functionality provides users with an infinite number of possibilities to find a match.

Furthermore, Tinder’s “Passport” add-on enables people to connect with users in different regions, whereas “Boost” allows users to appear at the top of that list in front of nearby Tinder users. These in-app services, which were only accessible to the public if they paid for them, earned approximately $407.4 million in revenue.

How much money do apps make per advertisement?

The proportion of money an app makes for each ad is determined by numerous factors like the app’s genre, the ad unit, the user’s demography, etc. It is estimated that the average income for rewarded video advertisements in the United States is $0.02 per impression. The overall payout per completion for interstitials is $0.16.

In terms of genre, casino and action games provide the highest revenue per rewarded video ad, while hyper-casual and casual games generate the least, although they compensate for the revenue with a higher volume of impressions.

Ad Unit Varieties

The sort of ad unit will have an impact on revenue. One or more ad units may be used in a mobile app. Too many units on a mobile device may limit income and drive customers away. Finding the correct balance of ad units is crucial for increasing income while maintaining the app’s functionality and purpose.

Most mobile apps serve to display and video ad units. The banners that appear on the screen are known as display advertisements. The placement varies, although it is normal for a bar to take up just under one-third of the upper or bottom screen. Full-screen pop-up ads that last a few seconds or play a video are also employed.

Structure of CPM Pricing

A CPM pricing model determines revenue. CPM is an abbreviation for cost per mille (thousand) initial impressions. The worth of impressions varies depending on the people and market.

A finance sector app is more likely to have a greater CPM value than one with a low price point and tight margin offering.

The revenue calculation is just the number of views multiplied by the CPM and divided by 1,000. If you receive 10,000 impressions and your CPM price for an ad unit is $8, your earning will be $8*(10,000/1000) = $80.

Settle the Potential

The revenue potential for mobile app advertising is practically limitless, as long as marketers are ready to spend and consumers interact with your app. When your customer base expands, so does your revenue. The number of downloads has no direct relationship with advertising revenue. Users must continue to engage with the app and stay on the page to genuinely make cash.

Developing apps that add value and maintain users will result in increased advertiser value and income over time. Evaluate your potential revenue by investigating average CPM values in your sector and comparing them to your expected download and impression figures. It is tough to predict impressions for a new app; however, one that has been tested and has statistics exhibiting visitor trends over time can accurately estimate revenue possibilities based on the current traffic conditions.

Pricing Models Explained

CPM stands for cost per mille (1,000) impressions. Other measures are often used to assess outcomes and costs. The ad or organization operating on their behalf uses a cost per click (CPC) and cost per acquisition (CPA) to define campaign Key Performance Indicators or KPIs.

Monitoring CPC or CPA is done routinely on the ad server-side because clicks and purchases or conversions are recorded when a customer clicks through from the ad to an external website. Your compensation is normally calculated by measuring the ad clicks from your site as the publisher.

How Does Revenue Work?

The quantity of real visitors who make impressions on the adverts delivered to your site determines revenue. The CPM is decided upfront in a straight buy ecosystem.

The CPM will change in an auction system, and your earnings will be less static. When the desire for relevant topic matters pushes up ad pricing, this might work to your benefit.

Finance and other high-value themes command greater CPMs and income prospects, but getting clicks is also quite competitive. As a publication, you will be paid by your ad manager, but the CPM will not always be displayed. This figure is calculated by comparing your traffic against the payment.

Calculating Your App’s Potential Earnings

While benchmarks provide a guide, ad revenue calculation can be done using this formula:

Monthly Ad Revenue ≈ (Daily Active Users × Average Sessions per User × Ads per Session) × (eCPM / 1000) × 30 Days

Based on this, here are realistic monthly revenue ranges for an app with 100,000 Monthly Active Users (MAU):

App Type	Estimated Monthly Ad Revenue (From successfull apps)
Hyper-casual Game	$5,000 – $20,000
Mid-core Game	$30,000 – $80,000
Finance or Utility App	$50,000 – $100,000+
Entertainment/Social App	$20,000 – $70,000

Case Studies: From Potential to Profit

Data is useful, but real-world results show what’s possible with expert optimization.

1. OnPoint Global: The Power of Format Diversification
   • Challenge: Relying on standard ad formats was limiting revenue growth.
   • Solution: MonetizeMore implemented high-eCPM offerwall ads, giving users a new way to engage and earn rewards.
   • Result: Ad revenue increased by a staggering 106% on only a 57% traffic increase, proving that the right ad format can more than double earnings.
2. FinanceEasyTips: Thriving in a Cookieless World
   • Challenge: Declining traffic and the phase-out of third-party cookies threatened revenue stability.
   • Solution: MonetizeMore rolled out its Publisher Provided Signals (PPS) and Publisher Provided ID (PPID) solutions to enhance ad targeting with privacy-safe data.
   • Result: Despite falling traffic, the app’s RPM (Revenue Per 1,000 Impressions) increased by 50%, demonstrating the critical importance of modern identity solutions.

Action plan to improve app revenue in 2026

1. Adopt a hybrid monetization strategy – Combine free‑tier advertising with IAPs and subscriptions. Offer a subscription or premium tier that removes ads and adds value (extra features or content). Hybrid models dominate top‑grossing apps and deliver much higher ARPU.
2. Focus on high‑engagement ad formats – Prioritize rewarded video ads and interstitial ads. Rewarded videos in the US yield eCPMs around US$16–20 and increase retention and IAP propensity. Integrate offerwalls or play‑to‑earn mechanics for further monetization, but ensure they appear at natural break points so as not to disrupt gameplay; these formats can yield eCPMs over US$500.
3. Segment users by geography and value – eCPMs differ greatly by country; targeting high‑value regions (US, UK, Germany, Canada, Australia) can yield 4–10 × higher revenue. Use segmentation to serve premium ad formats to these audiences while using lower‑cost formats in emerging markets.
4. Leverage AI‑driven optimization – Implement ad‑mediation tools and AI‑powered bidder algorithms to optimize fill rates, floor prices, and eCPM automatically. According to Business of Apps, automation and AI are now standard for staying competitive. Use predictive models to show ads at the optimal moment (e.g., when user engagement dips) and to personalize the reward value.
5. Maximize user retention and engagement – High retention directly improves ad revenue. Rewarded ads and offerwalls significantly boost retention (up to 3.5× compared with users who don’t engage). Provide real value through in‑game rewards or real‑world incentives, and ensure ads appear at natural pauses. Use A/B testing to fine‑tune ad frequency and placement.
6. Improve measurement and fraud detection – Use comprehensive measurement platforms (e.g., PubGuru, AppsFlyer) that offer ad‑revenue callbacks to attribute revenue accurately.
7. Diversify user acquisition channels – Reduce reliance on a single network by testing alternative sources (OEM ad networks, alternative app stores, influencer marketing). Business of Apps highlights that advertisers are consolidating partners and focusing on those that deliver incremental value. Explore on‑device placements offered by OEMs to capture users before they reach the app store.
8. Ensure compliance and user trust – Respect privacy regulations (GDPR, CCPA, ATT) and provide clear consent flows. Offer control over data and ad personalization; privacy‑conscious apps are more likely to retain users.

Most Profitable Ad Formats for Different App Genres

The most profitable ad formats vary by app genre, as different types of apps engage users in distinct ways. Here’s a breakdown of the most effective ad formats for various app categories:

1. Gaming Apps

The global gaming market is projected to generate approximately $205 billion in 2026, with mobile gaming accounting for over half of that revenue (estimated at $107 billion). While in-app purchases (IAPs) remain strong, hybrid monetization (mixing IAPs with ads) is now the dominant revenue driver.

• Rewarded Video Ads: These remain the king of monetization in 2026. Players voluntarily watch ads to gain lives, currency, or cosmetic items, leading to high CPMs (Cost Per Mille) and user retention.
• Playable Ads: Highly effective for user acquisition, these interactive ads allow users to play a “micro-version” of a game before downloading, ensuring higher quality leads.
• Interstitial Ads: Still effective when placed at natural breaks (e.g., end of a level), though developers are increasingly using “smart” frequency capping to prevent user churn.

2. Social Media and Content Apps

The social media ad spend is forecast to surpass $1 trillion for the first time in 2026, with social media platforms capturing a massive share of this growth. Social commerce and short-form video dominate the landscape.

• Native Ads: In 2026, native ads have become even more sophisticated, using AI to blend almost imperceptibly with user-generated content in feeds, maintaining high engagement rates without disrupting the user experience.
• In-Feed Video Ads: With the dominance of vertical short-form video (reels, shorts, stories), full-screen vertical video ads that mimic organic content are the most profitable format for social apps.

3. Streaming and Media Apps

The video streaming market is projected to reach approximately $152 billion in 2026, driven by a massive shift toward ad-supported tiers (AVOD). Advertisers are pouring money into “Connected TV” (CTV) and mobile streaming environments.

• Video Ads (AVOD): Pre-roll and mid-roll ads are the standard. However, 2026 has seen a rise in “pause ads” (static ads that appear only when a user pauses content) which are less intrusive and highly viewable.
• Audio Ads: For music and podcast apps, programmatic audio ads remain vital. New “interactive audio” formats allow users to voice-respond to ads (e.g., “Remind me later”) without looking at their screen.

4. E-commerce and Retail Apps

E-commerce is expected to exceed $2.5 trillion globally in 2026, accounting for nearly 60% of all e-commerce sales. The focus is on shortening the path from “ad” to “purchase.”

• Push Notifications: Still critical for retention. In 2026, these are hyper-personalized using AI behavior prediction, alerting users not just to general sales, but to price drops on specific items they viewed.
• Shoppable Native Ads: These formats allow users to purchase products directly within the ad unit without leaving the app environment, significantly boosting conversion rates.

5. Health and Fitness Apps

The health and fitness app market is projected to generate substantial revenue through in-app purchases and ads. While specific ad revenue figures are less frequently reported, the overall wellness app market is expected to reach $19.6 billion by 2026, with ads playing a vital role in monetization.

• Rewarded Video Ads: Similar to gaming apps, offering rewards for watching video ads can be effective in health and fitness apps, encouraging users to engage with ads while maintaining a positive experience.
• Interstitial Ads: These can be strategically placed during natural breaks in the user journey, such as after completing a workout or a wellness quiz.

What Apps Have the Capacity to Yield the Most Money in 2026?

The global mobile gaming market has reached impressive heights, generating approximately $150 billion in revenue in 2025. This figure accounts for about 49% of the total gaming market, valued at $184 billion.

Projections indicate that the mobile gaming market will continue to grow, potentially reaching $118 billion by 2027. Regarding revenue breakdown by platform, the iOS App Store is expected to surpass $40 billion in mobile app revenue. In comparison, Google Play’s mobile game revenue is projected to be around $50 billion.

User engagement remains robust, with reports showing that 56% of mobile gamers play games more than ten times each week, highlighting the addictive qualities of mobile gaming. The growth of the mobile gaming sector can be attributed to several factors, including advancements in gaming technology, such as enhanced visuals and gameplay mechanics, as well as the rising popularity of e-sports.

Tired of not making much from your app? Get started with MonetizeMore’s next level in-app monetization to 5X your app’s ad revenue in no time.

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Frequently Asked Questions (FAQ)

What is a good eCPM for a mobile app in 2026?

A good eCPM ranges from $8 to $20 for high-impact formats like rewarded video and interstitials in Tier-1 countries. For banner ads, an eCPM of $2 to $4 is considered strong. Anything below $1 for banners or $5 for interstitials indicates room for optimization.

How many users do you need to make money from an app?

You can start earning with as few as 1,000 daily active users (DAU), but significant revenue ($1,000+/month) typically begins with 10,000+ DAUs. Scaling to 50,000+ DAUs is where six-figure annual revenue becomes a realistic target with proper monetization.

Which app category makes the most money from ads?

Gaming and Finance apps are the most profitable categories for ad monetization. Gaming apps benefit from high engagement and session length, allowing for more ad placements, while finance apps attract high-paying advertisers due to the high lifetime value of their users.