How to Earn Money from AdMob: The Ultimate Complete Guide for App Monetization
Earning money from mobile applications has become easier than ever thanks to Google AdMob, one of the most powerful advertising platforms designed specifically for app developers. Whether you're a beginner or already have apps on Google Play and the App Store, AdMob can turn your mobile application into a daily source of passive income.
In this comprehensive guide, you will learn how AdMob works, the best strategies to increase revenue, the types of ads that make the most money, and the common mistakes to avoid to protect your account and maximize earnings.
What Is AdMob and How Does It Work?
AdMob is Google’s platform for placing ads inside Android and iOS apps. It connects your application with millions of advertisers competing to show their ads to your users—meaning you earn money every time users view or interact with ads.
AdMob revenue is based on:
Impressions (CPM/eCPM)
Clicks (CTR)
Engagement and traffic quality
Country of users and app category
Ad format used
The platform pays monthly once you reach the payment threshold, usually $100.
Main Ad Formats in AdMob (and Which Ones Pay the Most)
1. Banner Ads
Small ads displayed at the top or bottom of the screen.
Pros: Stable impressions and easy integration.
Cons: Lowest eCPM among all formats.
2. Interstitial Ads
Full-screen ads displayed during natural breaks (e.g., after finishing a level).
Pros: High eCPM + high fill rate.
Cons: If overused, they can annoy users.
3. Rewarded Video Ads
Users voluntarily watch a video in exchange for a reward (coins, hints, features).
Pros: Highest engagement + very high eCPM.
Best For: Games and freemium apps.
4. Native Ads
Ads that match your app design.
Pros: High CTR + premium user experience.
Perfect For: News apps, content apps, and social apps.
5. App-Open Ads
Ads shown immediately when the user opens the app.
Pros: Extremely high eCPM + guaranteed impressions.
Important: Must not be shown too frequently.
How to Earn Money from AdMob (Step-by-Step Guide)
1. Create and Publish a Good App
AdMob can’t earn money without real traffic.
Your app must:
Solve a problem
Offer value
Be simple to use
Load fast
Be available on Google Play or the App Store
2. Integrate Google Mobile Ads SDK
Every ad requires the official SDK to work.
Use test ads first to avoid invalid activity.
3. Create High-Quality Ad Units
You can create:
Banner ad units
Interstitial ad units
Rewarded video units
Native ad units
App-open units
Place them in strategic positions, not in random or forced locations.
4. Use AdMob Mediation (Highly Recommended)
Mediation allows multiple ad networks to compete for your ad spaces.
Benefits of mediation:
Up to 50% more revenue
Higher eCPM
Better fill rate
Stronger demand from multiple advertisers
5. Enable Bidding (Open Bidding)
Ad networks bid in real-time.
This increases:
Competition
Price per impression
Total daily revenue
6. Optimize Your Traffic Quality
The two most important factors for earning money:
High retention users
Users from high-revenue countries (US, UK, Canada, Australia, Gulf countries)
7. Use Rewarded Ads Strategically
Rewarded ads are the most profitable.
Examples:
“Watch a video to get 50 coins.”
“Watch a video to unlock a level.”
“Watch a video to continue playing.”
Users love this format—and advertisers pay more for it.
8. Improve eCPM with Smart Placements
Best placements:
Between levels (games)
After completing a task
Opening the app (app-open ads)
Inside content feed (native ads)
Worst placements:
Ads every 5 seconds
Ads that block essential features
Ads placed where users click by mistake (violates policy)
Best Tips to Increase Your AdMob Earnings
✔ 1. Keep Users Engaged Longer
More usage time = more impressions = more money.
✔ 2. Reduce App Crashes
A crashing app loses impressions and destroys eCPM.
✔ 3. Test Different Ad Formats
A/B testing helps discover the most profitable format for your audience.
✔ 4. Optimize Your App for High-RPM Countries
One US user can earn more than 20 users from low-RPM countries.
✔ 5. Don’t Overload Users with Ads
Too many ads = users uninstall your app
Uninstalls = lost revenue + lower store ranking
✔ 6. Monitor Invalid Activity
Avoid:
Clicking your own ads
Encouraging users to click ads
Using bots or fake traffic
Placing ads in deceptive spots
Any violation may result in permanent account suspension.
How Much Can You Earn from AdMob?
AdMob earnings vary depending on:
App category
Traffic origin
eCPM
Daily active users
Retention rate
Examples:
A small app with 3,000 daily users: $5–$20/day
A medium app with 20,000 daily users: $30–$150/day
A big app with 100,000+ daily users: $200–$1,000+/day
Rewarded and interstitial ads bring the highest revenue.
Common Mistakes That Reduce AdMob Income
Avoid these:
Showing ads too frequently
Using only banner ads
Ignoring user experience
Neglecting mediation and bidding
Not analyzing your analytics
Using clickbait methods (violates policy)
Final Advice: How to Succeed with AdMob
To build a long-term income source with AdMob:
Build a good app
Attract real users with valuable content
Use smart ad placements
Optimize constantly
Focus on user satisfaction first
Follow all AdMob policies strictly
Success with AdMob doesn’t happen overnight, but with the right strategy your app can generate a stable monthly income and grow year after year.