An offerwall is an in-app space that displays ads carrying some sort of task and rewards users in return for completing the task. It is widely used by marketers to monetize their app and increase user engagement. Offerwalls can be anything from watching a video ad to completing a survey within the app, and the reward can range from virtual currency to premium benefits.

What is an offerwall? 

Offerwalls are a profitable monetization strategy for marketers to generate revenue and heighten in-app engagement. With offerwall ads, marketers get paid everytime a user engages with an offer and completes the assigned task. They can designate certain spaces within the app to display the offerwall, which resembles an in-app store with a list of offers users can choose from. Offerwalls have been known to work best in mobile gaming apps since the rewards provide an immediate impact to a user’s gaming experience, but it can be useful across multiple platforms. Below are several examples of offerwall ads and rewards that may be provided: 

Offerwall ads Rewards
- Completing a survey
- Watching an in-app video ad
- Subscribing to a service/program
- Playing a in-app mini game
- Signing up for a free-trial session of a
premium membership
- In-app/virtual currency
- Extra lives
- Extra energy
- Exclusive benefits/discounts
- Extra membership points
- Hints
- Temporary ad removal

How does an offerwall work? 

Offerwalls are executed strategically, with intentions of extending a user’s app session and increasing in-app spends. Marketers typically format the ads so that they appear on a user’s screen at the optimal moment when users are most in need of the reward. 

For example, let’s say a user has spent over an hour trying to level up in a game but is running out of lives. In that moment, an offerwall pops up on their screen with options to earn extra lives. The user who is fully-immersed in the game will most likely take the opportunity to claim this reward and continue playing.

At the same time, offerwall ads are optional, so users have full autonomy to decide whether or not they wish to participate in those tasks. The pop-up offerwall can be disregarded upon a user’s discretion, and there are no penalties associated with opting-out. If a user chooses to engage with the ad, they typically have a range of options to choose from as well. Offerwall ads will list different amounts of currency or different types of rewards that users can decide among depending on their level of interest to continue engaging with the app. 

Benefits of offerwall ads 

Benefits for users 

Improved in-app experience for active users: For user segments like avid online gamers or shoppers who are deeply invested in the app, offering a reward system that prolongs their app session is doing them a favor. Instead of being forced to quit their activity after a certain amount of time, free and accessible opportunities are provided for users to proceed engaging with the app, enhancing their in-app experience. 

Valuable rewards offered for free: A large number of freemium app users today are non-paying users who are reluctant to spend money on premium services or benefits. Offerwall ads give these users a free chance to claim certain exclusive rewards they would otherwise have to pay for. 

Benefits for advertisers  

Increase in retention rate: Offerwall ads are meant to hinder users from quitting the app as much as possible, which is why they are precisely timed to show up the most when a user is hestitating to quit. This is a clever way to immerse users into an app and ultimately convert them into loyal users. With the increased level of user engagement, retention rates will also go up. 

Increase in return on investment (ROI): The higher the engagement with offerwalls, the higher the revenue marketers can generate. An offerwall ad’s ability to conveniently engage users and monetize the app helps marketers gain a valuable source of revenue which directly contributes to a higher ROI.

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