One doesn’t have to be a big corporation to create high-quality mobile gaming apps, or basically the majority of mobile apps. Even small indie studios manage to release extremely successful products that enjoy popularity among players. Mobile game players also enjoy different variations of games, models of game monetization, and different in-game perks – from the get up to 100 free spins for $1 casino-like bonuses to in-game items or even in-game tokens that can be sold or exchanged.
The most complicated part for the developers here is to choose the monetization model to generate revenue in a way that their audience finds the most suitable. Creating revenue from mobile games involves employing strategies and techniques by game developers. Essentially, it’s the art of turning user engagement into financial success. Developers have introduced various approaches like in-app purchases, advertisements, and subscription services to cater to a diverse gaming audience. In this post, we describe in detail several of the most popular strategies to choose from.
Pre-Rolls & In-App Advertising
An effective advertising approach is the skippable pre-roll. In this format, players see a brief video ad lasting around 10 to 15 seconds, ensuring a more palatable viewing experience.
While some players hate pre-rolls, it’s fair to say that pre-rolls stand out as one of the most effective current advertising methods. The goal is to capture the user’s attention without causing frustration within the app experience.
Some players hate pre-rolls and claim that no one would ever buy from a pre-roll but the numbers show the opposite. Also, pre-rolls’ main goal is to create brand recognition and make potential customers remember and recall the brand as something they are already familiar with.
The good thing about pre-rolls is that they go before the actual gaming experience and therefore do not interrupt the game. Users not only find them less disruptive but also tend to remember the ad more effectively when presented as pre-rolls. Even if the users skip, the brand recognition still increases, so it’s still a win-win scenario.
In addition to pre-rolls, there are mid-rolls, strategically placed in the middle of videos. While mid-rolls see more playtime, they don’t enjoy the same positive perception on the player’s part due to the interruption they create. The only way to prevent the user from growing annoyed is to keep the mid-rolls sweet and short.
In-App Purchases for In-Game Benefits
In-app purchases, more often called microtransactions in video games, today stand out as the most widely used and efficient method for game monetization. This involves offering players the opportunity to buy virtual items like skins or weapons, premium content, or in-app currency, enhancing their overall gaming experience.
In-app purchases may be used as a single monetization model, or in combination with ads, subscriptions, sponsorships, etc.
When the base game is free and some extra experiences are offered as in-app purchases, it’s crucial for players to experience a sense of security throughout the purchasing process. Any hint of pressure from the developer might lead them to reconsider their engagement with the game altogether. If the pricing appears intrusive, disrupts the overall gaming experience, or unfairly favors paying players, it can evoke frustration among users, potentially causing them to transition from paying to nonpaying players or look for other games.
Affordable Subscriptions
Opting for the classic and proven approach of subscriptions remains a valuable choice. Introducing subscription features to your apps and games can significantly boost your revenue while requesting only a small monthly or yearly fee that will be affordable for the majority of players.
Offering extra content for subscription instead of a complete subscription-based paywall not only creates more loyalty among players and caters to the needs of different players in the community, but allows to test ideas and make subscribers feel like they are included in something special. Offering an affordable subscription is also giving loyal players a method to show appreciation for your content.
Pay-to-Play Games
Some mobile game developers choose to go for the pay-to-play model, hiding all the content behind the paywall. While this model has slowly been losing its popularity lately, it is still okay for monetization and many old-fashioned users still prefer it due to the “pay once and play as long as you want” concept.
However, to keep up with other competitors that might be more generous in giving their content away and more flexible in their monetization strategies, game developers that go for the pay-to-play model should put even more effort into providing unique and exceptional-quality content. They have to ensure the ongoing value of the game for a longer period of time, fix the bugs really quickly, and be careful with the initial price. It still makes sense to utilize various marketing tools and offer discounts, etc., from time to time.
Sponsorships as Monetization Model
Sponsorship is a classic strategy of game monetization. While it may be a bit hard for new companies or new products, with the right communication strategy and marketing, it is possible to find sponsors for ad placements and create more or less stable revenue streams.
Nowadays, it is totally possible to integrate sponsorships seamlessly with apps and games. The promotion can be integrated into the game content, obviously noticeable, or barely noticeable, depending on the campaign’s goals and other variables. In fact, attentive users already know that integrated sponsorship ads are now part of our daily experience in many ways.
The point of sponsorship, similar to the pre-rolls, is not an instant purchase from the player. Rather, most ads are created to inform potential customers about the brand and increase brand recognition.
Moreover, sponsor companies can also provide some extra marketing of the app (if this is relevant for their customers) on their platforms like social media, or other ads. This is also a great boost for the game or app that increases trust in the game developer. However, it’s crucial to market with caution. Excessive inclusion of heavyweight advertisements may cause distancing users, giving your app an expensive corporate feel that might not resonate really well, especially if users are out there for gaming and fun.
