Most mobile app developers know in-app advertising can be an excellent source of additional revenue.  Unfortunately, figuring out exactly how much money an app can make from mobile advertising can be a difficult task. This is especially true given the many variables that go into determining eCPM (effective cost per thousand impressions).

So, to help developers get a rough idea of how much they can make from in-app advertising, we have pulled together a simple mobile advertising revenue calculator.

Before you start digging in, please keep the following in mind:  

  • The calculator includes default numbers for interstitial and banner advertising. By default, banner advertising is selected. To get a better understanding of these and other terms, check out our mobile advertising glossary
  • You can find your average minutes per session from your analytics provider, such as Flurry. This number is important because, the longer a person plays your app, the more opportunities there are to serve advertising impressions.
  • Likewise, you can get ahold of your daily user sessions from your analytics provider. Keep in mind that daily sessions are what counts when it comes to advertising revenue, not installs. This is one of the reasons that it is so important to focus on retention and engagement and not just acquisition.
  • We have given a recommendation for “ad impressions per minute”. While this can vary by app, the default numbers should give you a good idea of where to start.
  • Fill rates and eCPM can vary dramatically from network to network. Make sure that you ask any mobile ad network for this information before working with them.

So, that’s it. I hope that you find this to be a useful too. If you have any suggestions regarding how we can make it better, please let us know.

About Ryan Morel: 

Ryan is the CEO of PlacePlay, a mobile advertising network that helps iOS and Android developers to increase their app revenue and installs.  Ryan lives in Seattle with his wife, daughter, and dog.