Video ads use motion and sound to hold attention in a way static creative cannot. Because they are more engaging, advertisers pay more for them, which makes video one of the highest-earning formats a publisher can run. The trade-off is that video takes up more of the screen and more of the user's time, so where and how it appears matters.
How it works
A video ad plays a short clip inside the app, usually a few seconds to half a minute. Demand sources bid on the placement, and the winning creative streams to the device. Pricing is commonly based on CPV (Cost Per View), where the advertiser pays per completed or qualified view, or on a per-thousand-impression basis. Because a finished view is a strong signal of attention, video placements tend to post higher eCPM than banners or other static units.
Common video ad formats
Rewarded Video. An opt-in clip that grants a reward on completion, popular in games.
Interstitial video. A full-screen video shown at a natural break, often non-skippable for a few seconds.
In-feed video. A clip that plays inside a content feed as the user scrolls.
Opt-in rewarded vs. non-skippable interstitial
The biggest divide in video advertising is consent. Rewarded Video is opt-in: the user chooses to watch in exchange for a reward, so completion rates are high and frustration is low. A non-skippable Interstitial Ad in video form is forced. It interrupts the session and must be watched, at least partly, before the user can continue. Both can earn well, but the rewarded approach protects retention while the forced approach risks it, which is why many publishers lean on opt-in video for their highest-frequency moments.
Why publishers use video ads
Video is where much of the advertising budget sits, so running it well raises a publisher's ceiling on revenue. High engagement lifts eCPM, and rewarded formats in particular tie the ad directly to something the player wants, which keeps the experience positive. The skill is placing video at moments that feel earned rather than intrusive, so the format's higher earnings do not come at the cost of churn. Frequency caps help here, limiting how often a user meets a video so the format stays effective without wearing the audience down.
Video offers inside an offerwall
Video does not only stand alone. Inside an offerwall, a video offer can appear as one reward option among many, sitting next to sign-ups, trials, and other actions. A user browsing the wall might choose to watch a video for a smaller reward or complete a larger offer for more, which lets a single surface serve different levels of intent. This makes video a flexible building block within a rewarded environment rather than only a standalone interruption.
Common mistakes to avoid
Forcing non-skippable video too often, so the extra earnings are offset by lost users.
Judging video only by eCPM while ignoring completion rate and its effect on session length.
Treating all video as equal when opt-in and forced formats affect retention very differently.
Frequently asked questions
Q: Why do video ads earn more than static ads?
Q: What is the difference between rewarded and interstitial video?
Keep reading
Metric
eCPM (effective Cost Per Mille) is a publisher's estimated earnings per 1,000 impressions across any pricing model. It is the standard way to compare how much different ad units, networks, or placements actually earn.
Ad Format
Rewarded video is an opt-in video ad that a user chooses to watch in exchange for a reward, such as in-game currency or an extra life. Because it is voluntary, it is one of the most user-friendly ad formats and tends to earn a high eCPM.
Metric
CPV (Cost Per View) is a video advertising metric that shows how much an advertiser pays for each view of their video ad.
Ad Format
An interstitial ad is a full-screen ad shown at a natural break in an app, such as between levels or screens. It commands full attention and earns a higher eCPM than a banner, but it interrupts the flow, so timing and frequency matter.
