Lesson Goal

By the end of this lesson you will have chosen one primary revenue model for your current game, plus one backup option you can pivot to later if the first model underperforms.

You will also have a short one-page note that explains why this model fits your game, your players, and your platform.


Why Picking a Model Early Matters

Many indie teams build for months, then bolt on monetization at the end. That usually leads to:

  • Tension between fun and revenue (late “grind” systems).
  • UI that feels like it was glued on in a hurry.
  • Prices and offers that do not match how people actually play.

Choosing a model now does not lock you into every detail. It gives you a direction so that:

  • Your progression systems support the way you charge.
  • Your UX and UI have the right hooks (store, bundles, trials).
  • Your analytics plan tracks the metrics that matter for your chosen model.

Step 1 - Describe Your Game and Player in One Paragraph

Before comparing models, capture what you are monetizing.

Write a short paragraph for your game:

  • What genre is it?
  • How long do players typically play per session?
  • Is it a one-off experience or something you expect players to return to daily or weekly?
  • Who is your primary audience (for example: students with limited time, mobile commuters, PC enthusiasts)?

Keep this description open while you read the rest of the lesson; you will keep referring back to it when evaluating each model.


Step 2 - Understand the Main Revenue Models

At a high level, most indie games fall into one of these models:

  • Premium (one-time purchase):
    • Player pays once, gets the whole game.
    • Great for finite experiences: story games, puzzles, short roguelites.
  • Free-to-play with IAP:
    • Game is free to install, revenue comes from in-app purchases.
    • Works well for long-term, replayable games: idle games, roguelites, live service experiences.
  • Ads-supported:
    • Revenue from showing ads (interstitial, banner, rewarded).
    • Often combined with F2P; great for casual mobile where not all players will spend money.
  • Hybrid models:
    • Premium + DLC, F2P + battle pass, free demo + paid unlock.

Each model shapes:

  • How you design progression.
  • Which metrics matter most (conversion rate, ARPDAU, retention).
  • How your UX feels (store-first vs story-first).

Step 3 - Match Models to Your Game Characteristics

Use your game description from Step 1 as a filter.

Premium is a good fit when:

  • Your game has a clear, contained experience (for example, a 6–12 hour story).
  • Players are likely to play through once or a few times.
  • You want to keep UX simple and do not want to manage a store or economy.

F2P with IAP fits when:

  • You are building a long-term game with repeatable loops (roguelite, idle, PvP, co-op).
  • You are comfortable designing currencies, progression systems, and offers.
  • You expect to update the game regularly and support it over time.

Ads-supported fits when:

  • Your game is short-session and especially mobile.
  • You can place ads at natural breaks (between runs, levels, or sessions).
  • You are okay trading some UX friction for monetization on non-paying players.

If you feel yourself trying to stretch your game to match a model you are not excited about, note that friction. It is often a sign the model and design are not aligned yet.


Step 4 - Choose One Primary Model and One Backup

Now make a decision:

  1. Pick one primary model for the current version of your game.
  2. Pick one backup model you could pivot to if data later tells you the first is not performing.

Example outcomes:

  • Primary: Premium, Backup: Premium + DLC.
  • Primary: F2P with cosmetic IAP, Backup: F2P with optional battle pass.
  • Primary: Ads + optional “remove ads” IAP, Backup: Premium with free demo.

Write down:

  • Why this model makes sense for your game loop and audience.
  • What this model implies for your design and content pipeline (for example, “we need a stable long-term progression system”).

This note becomes the anchor for future monetization decisions.


Step 5 - Define a Simple First-Version Scope

Whatever model you chose, scope a minimum viable monetization (MVM) for your first test build.

Examples:

  • Premium:
    • A single price point and a clear value proposition on your store page.
  • F2P with IAP:
    • One soft currency,
    • One or two starter packs,
    • A simple store screen.
  • Ads:
    • A single rewarded ad placement in a natural break (for example, watch ad → extra life or bonus coins).

You can always expand later. The goal is to avoid designing an entire monetization universe before you have any player data.


Common Mistakes to Avoid

  • Picking a model because another game succeeded with it, not because it fits your design.
  • Trying to do everything at once: premium, ads, IAP, subscriptions, and DLC in one go.
  • Ignoring platform norms (for example, aggressive ads on a platform where premium is standard).
  • Not documenting why you chose a model, which makes later pivots chaotic.

Keep your first version pragmatic: one model, one or two core mechanics that support it, and a clear reason behind the choice.


Quick Checklist

Before you move on, make sure you can answer:

  • What is my primary revenue model?
  • What is my backup model if the first one underperforms?
  • Why does this model fit my game’s genre, session length, and audience?
  • What does my minimum monetization scope look like for the first test build?

If you can answer those questions in a short paragraph, you are ready for the next lesson.


Next Lesson Preview

In the next lesson, you will map your chosen revenue model onto your game loop, identifying exactly where and how monetization fits into the player experience without breaking flow or trust.

Bookmark this lesson and keep your one-page revenue model note handy; you will refer back to it often as the course gets more technical and data-driven.