As the mobile gaming industry continues to boom, understanding how to effectively monetize your game is crucial for success. With the global market projected to reach 153.5 billion U.S. dollars by 2027, it's no wonder that game developers are eager to tap into this lucrative space.
Mobile Game Monetization Trends
Mobile games generated a staggering 92.2 billion U.S. dollars in annual revenue in 2022 alone. Asia-Pacific accounts for nearly 50 percent of the global consumer spend in mobile games, making it a key market for game developers to target. However, only about 2 to 5 percent of mobile players ever make an in-app purchase, highlighting the need for effective monetization strategies.
The Power of AI in Mobile Apps
Rewarded video ads are the preferred ad format for 76 percent of mobile gamers, and integrating these ads can increase user retention by up to 4 times. Playable ads offer a whopping 3 times higher eCPM compared to standard banner ads, making them an attractive option for game developers looking to boost revenue.
Hyper-Casual & Hybrid Monetization Insights
Hybrid-casual games saw revenue growth of 30 percent in 2023, indicating a shift towards more dynamic and engaging gameplay experiences. The median CPI for hyper-casual games is roughly 0.30 U.S. dollars on iOS, while the Installs Per Mille (IPM) averages around 30-50 on top ad networks.
In-App Advertising & Formats
Rewarded video ads are not only popular with gamers but also effective at driving user retention. Integrating these ads can increase retention by up to 4 times, making them a valuable monetization strategy for game developers. Playable ads offer an average eCPM that is 3 times higher than standard banner ads.
In-App Purchases & Spending Habits
While only about 2 to 5 percent of mobile players make in-app purchases, the top 0.5 percent of mobile gamers account for over 50 percent of all in-app purchase revenue. Battle passes have increased ARPDAU by roughly 20 percent in mid-core games, highlighting the importance of offering appealing in-game purchases.
By leveraging AI-powered insights and adapting to market trends, game developers can unlock new revenue streams and stay ahead of the competition.