The cell gaming trade has matured into one of the aggressive landscapes in digital enterprise. With fewer new titles launching, legacy hits dominating the charts, and a whole lot of video games combating to maintain gamers hooked by means of recent content material drops, the query isn’t whether or not cell gaming will proceed to develop, however how builders and publishers can thrive in such a crowded house.
To unpack these dynamics, we spoke with Mariusz Gąsiewski, trade professional and Head of Cell Gaming & App Technique at Google. On this dialog, Mariusz shares why long-term success in cell is extra of a marathon than a dash, how monetization fashions are evolving, and what methods builders ought to embrace to interact each high-value gamers and broader audiences throughout markets.
AppSamurai: We all know cell gaming isn’t going wherever, nevertheless it’s extra aggressive than ever. With fewer new titles rising and a whole lot of current video games continually pushing out recent content material, what approaches are literally proving profitable in retaining gamers engaged?
Mariusz Gąsiewski:
I imagine there may be nonetheless important potential in cell gaming, because it stays a large enterprise. Nevertheless, I don’t assume there’s any “magic jiu-jitsu transfer” or a easy information on “how to achieve 5 steps.” The cell gaming trade has professionalized, making it extra of a marathon than a dash. At this time, actual success comes from a strategic mixture of excelling in product improvement, knowledge evaluation, person suggestions, progress, and a long-term method to firm constructing (month by month).
AppSamurai: In considered one of your current reviews, you famous a definite break up between the monetization fashions of the highest video games by income and people by downloads. What does this distinction reveal concerning the evolution of monetization in cell gaming, and the way may it sign the place the market is headed subsequent?
Mariusz Gąsiewski: True. A disproportionately excessive focus of in-app and subscription income is held by a small variety of top-performing video games. These are sometimes legacy titles, launched years in the past, which have undergone in depth monetization testing and optimization. Their progress is usually pushed by person acquisition campaigns focusing on high-value gamers who’re more than likely to spend. Moreover, many of those video games give attention to mature Western markets the place obtain charges are stagnating and even declining. Consequently, a small fraction of the participant base is liable for the overwhelming majority of the income.
AppSamurai: You’ve written, “The much less informal the sport, the much less it relies on advert monetization.” This shift has contributed to the saturation of the informal style, whereas additionally bettering the person expertise. Out of your perspective, how does this development reshape the aggressive space and what strategic benefits or pitfalls does it create for publishers?
Mariusz Gąsiewski:
Whereas total advert income within the cell market is rising sooner than in-app buy (IAP) income, there may be restricted public knowledge out there on the expansion of advert monetization. A key distinction is that advert income is considerably much less concentrated amongst top-performing titles in comparison with IAPs.
Because the cell gaming panorama turns into more and more aggressive, it’s tempting for builders to focus completely on high-spending audiences. The technique of accelerating “purchaser charges” amongst a small pool of customers has grow to be a standard mannequin, particularly in Western markets. Nevertheless, it is a harmful path, because it results in the trade persistently over-monetizing the identical small group of gamers. When progress is solely targeted on high-value customers, total obtain numbers stagnate and develop far more slowly than income.
This example creates a big alternative: creating experiences tailor-made to non-paying customers, who will be monetized successfully by means of advertisements. The potential is best in rising markets, the place promoting already constitutes a significant supply of gaming income.
AppSamurai: Cell apps now play a central function within the lives of youthful audiences, driving a elementary shift in conduct and expectations. How ought to builders adapt their design, content material, and monetization methods to interact -and retain- these rising and extra ‘’emotional’’ generations?
Mariusz Gąsiewski:
In a current report I printed on non-gaming apps, I examined how completely different generations method cell functions. The evaluation revealed that cell apps are significantly important for youthful audiences, who’re extra inclined to make use of them to actively analysis manufacturers, merchandise, and providers. They’re additionally extra keen to type a reference to a model by downloading its particular app. Moreover, youthful persons are extra prone to pay for cell apps than older generations. These components mixed current a compelling case for manufacturers focusing on this demographic to speculate closely of their cell app technique.
Nevertheless, capturing the eye of this youthful demographic presents a novel set of challenges. Their brief consideration spans imply that an app has a really restricted window to exhibit its worth. Due to this fact, a transparent worth proposition, an efficient onboarding course of, and the strategic use of information to personalize the person expertise are extra essential than ever for fulfillment.
AppSamurai: High quality and person suggestions are as essential to progress as paid acquisition. Past advertising, which core product and design priorities ought to builders give attention to to create an app that delivers long-term retention and loyalty?
Mariusz Gąsiewski:
Lengthy-term retention and loyalty are about creating worth for customers. Whereas eye-catching creatives, sensible advertising, and the novelty impact can entice customers and make them keep for a number of days, constructing long-term retention requires a deep understanding of a particular viewers phase—based mostly on analysis, knowledge, and conversations with potential and current customers—and addressing their wants higher than different firms. It is a very tough job, particularly now that the variety of downloads in lots of markets is stagnating and even declining, and numerous apps are competing for customers’ consideration.
Defining and correctly speaking an actual worth proposition is vital right here. That worth proposition isn’t only a tagline within the app; it must be demonstrated in person opinions within the app retailer earlier than an individual even downloads the app. In keeping with a significant analysis undertaking by Google, the important thing triggers for app downloads are social proof, current model relationships, and the detailed data offered within the App/Play Retailer. A vital (and sometimes forgotten) facet is the onboarding course of, which ought to talk the app’s options step-by-step with out overwhelming the person with data. That is particularly vital now, as trendy advertising based mostly on AI capabilities can usher in customers who usually tend to pay. This success can masks issues with the app’s onboarding and UX, making it appear to be the app is working nicely when it would solely be succeeding with a really small, particular phase of customers.
