When developing a mobile game in 2025, you’re probably asking one big question: how will I monetise it? That’s what mobile game monetization is all about; how creators make money when people download and play their game.
Game monetization has come a long way since the days when you could take it or leave it with a simple pay-once-only model. Nowadays, most games are free to download; monetization needs to happen intelligently while you play the game. In this blog, we’ll walk you through the best app monetization strategy for mobile games—2025 ed. Don’t worry—we will keep it very simple, so even if you’re brand new, you will see how it can happen.
What is Mobile Game Monetization?
Let’s begin with the fundamentals. Mobile game monetization is the act of generating revenue from a mobile game. It can take a variety of forms. Some games show advertisements, some sell fun in-game purchases and upgrades, and some use subscription services.
Game developers consider different models of mobile game monetization to determine which one will work best. It’s kind of like choosing the best outfit for the weather—you can pick whatever model fits your game and its players best.
In fact, the global mobile game market is expected to generate over $120 billion in revenue by the end of 2025, with more than 70% of that coming from in-app purchases and ads combined (Statista, 2024).
1. In-App Ads – The Classic Way
Probably the most common way mobile games make money is through ads. You have for sure seen this before. You play a game, and out pops an ad. Or maybe you get extra coins but only if you watch an ad.
These are called mobile game ads and come in a few distinct varieties:
Banner Ads: These ads are small and appear while you play.
Rewarded Video Ads: You watch a short video and get something back for it, like coins or an extra life.
Interstitial Ads: These ads are full-screen and show up between levels.
Some players get upset about ads, but if you place them deftly, you can make developers a ton of money without ruining the game.
2. In-App Purchases – Let Players Choose
Another popular monetization method that mobile games will often use is the in-app purchase method. This is when the app is free to download and use to play, but you pay to get items, characters, lives, or even get rid of ads.
I really like the in-app purchase monetization method and can appreciate it as a good monetization method, since if a player wanted to play for free, they could. But if a player wanted extras or wanted to level up quickly there were available upgrades to buy.
In-app purchase monetization methods are often considered the best app monetization strategy for games where the fun factor is high and keeps players engaged.
3. Subscriptions – Monthly Fun
In 2025, many games are moving to a subscription model. This monetization model for mobile games allows players to pay a small fee per month for exclusive content. This could be special levels, characters, or just an ad-free experience.
Subscriptions, like the aforementioned model, work best when regular updates force players to pay up. Consider games that always had new levels or limited events. Players are going to be more likely to subscribe if they feel like they are getting a new and fun experience all the time.
4. Freemium Model – Best of Both Worlds
Freemium is another viable smart mobile game monetization model. The game is free, game content is premium, therefore it is hidden behind a paywall. A player can try the game for free and decide later if they want to pay for the premium content.
The best short description is that you are discounting the experience to players before they can buy it. One could say you are letting them try a product, like free samples. If they like it, they might come back for more. Freemium takes parts of the free experience and incorporates it into the paid experiences which makes it one of the best balancing mobile game monetization models.
5. Selling Digital Goods and Skins
Gamers enjoy customizing both their characters and their game world. This is where digital goods come in. You could sell unique outfits (aka skins), cool animations, or limited-time offerings.
While these items do not necessarily allow you to win, they do allow you to have style. This type of monetization in mobile games is extremely common in multiplayer games where all players can see your avatar.
Choosing the Best App Monetization Strategy
So, which app monetization model is the best? There isn’t a single best monetization model. The model we recommend will depend on the type of game you created the type of audience you are targeting and, how long people are playing it.
Some games perform better with mobile game advertising, while others perform better with paid upgrades or even a subscription method. The best mobile game developers try different mobile game monetization models to see what is the most profitable but also keep the player experience positive.
Final Thoughts
Mobile game monetization in 2025 is about smart and savvy options. With unlimited choices available to developers they now have an abundance of opportunities to monetize their games without negatively affecting the player experience. No matter the genre you are creating, whether it is a puzzle, a wildly popular battle-royale game or an adorable farming simulator, the opportunities for choosing the correct mobile game monetization model are many. Experiment with different opportunities and options, listen to your audience and do not shy away from trying something different.
Remember that a happy player is much more likely to spend money on your game – and that is what successful mobile game monetization is all about!
Photo by Amanz on Unsplash ( Free for commercial use)
Image published on November 19, 2024
