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Why the Mobile Game Industry Needs Intelligent Revenue Management?

Why the Mobile Game Industry Needs Intelligent Revenue Management

Mobile Game

Around 80% of the application store’s income makes up more than $50 billion in aggregated market value. And it is estimated to go as far as $180 billion by the next year. However, as per several evaluations it has been suggested that game publishers are in dire need to change their strategies to grow, if they wish to survive sufficiently and witness their industry prosper.

Fading Margins

Commercial domain works differently when it comes to game applications for mobile phones. In other industries, similar to telecommunication and the locomotive manufacturing, chances to enhance market benefits have expired.

Ever since marketing has become costly due to its excessive development, preservation too has become an important aspect. Industries are trying to assign third parties for their marketing strategies to bring in more customers and retain the active ones.

Price directories have surpassed expectations and with this many developers present within the business, it has become harder to maintain paid UA with positive net. On the other hand, marketers have devoted themselves to paid users. Even though it has been a successful attempt, it might not last for long.

Consequently, more and more game applications are being created; an estimated amount of 4.3 million games are present on app stores currently and the count is nearer to saturation levels.

Intellectual Revenue Precincts 

Mobile game marketers are required to exceed conventional marketing methods if they intend to keep firm grounds for their businesses. Same level of convolution and cleverness should be implemented that can be used to attract viewers and turn them into active users.

This consists of proficiencies of modern mechanics and artificial intelligence to forecast and deliver the best actions that are adequate for user levels.

Shrewd revenue management platform contains perspective analytics, optimizing personalization systems, and data visualization. When put together, these combinations can improve user engagements, monetization and retention. As for smartphone game publishers this could mean an effective and personalized loyalty programs and worldwide expense optimization.

These features will be optimized within the game data and remain improving as they catch up with the players conduct. It can be customized according to the game’s appearance and composition, enhancing the native player involvement.

Comprehensive Price Optimization

Even the best mobile game developers are required to set aside a budget according to the conversion rates for different countries. However, this methodology does not take several economic factors into account such as GDP, exchange rates and unemployment rates. Followed by costs for smartphones, stats based on operating systems and seasonality.

With the collaboration of a minimal overhead, IAP pricing for each country can be increased and decreased on the basis of transaction frequency.

 The golden age of launching mobile games has come at its highest point, those who devote time and effort in to retaining customers and making the most of profits from users are going to flourish.

Now that you have understood the factors that influence revenue management, here are some hacks to improve mobile games revenue;

Hacks to improve revenue for mobile games

 Due to the tough competition present within the market, developers are facing difficulties as they propel to create games that are lucrative and as far as monetization is concerned, a good timing is everything.

  • Profiting from seasonality:

Mobile phones have become an important part of our lives and they are the first place we seek closure with distraction and separation, especially if we are in movement. It is a fact that mobile games engagement increases during certain months such as summers and holidays, when people aren’t as overwhelmed by responsibilities.

According to different studies, conversion rates increase at 8.3% during the months of June and July, when schools are off. On the other hand, it becomes less costly to attract users during summers; similarly, holidays provide the same openings to boost IAP revenue.

Several data charts show that install to purchase rates are at the peak during January, as people are often gifted new devices on the occasion of Christmas. This concludes that holidays and summers are the most effective months to run personalized IAP possessions. Tactics such as sales, discounts and bundles can be used to make it more eye pleasing.

  • Identifying the prime time:

In the US alone consumers spend at least 24 minutes a day alone playing mobile games. Mobile usage usually peaks between the hours 6.Pm and 10.Pm, this is when people leave work and are preparing to sleep.

 By the help of behavioral data, mobile game developers can understand and aim for specific prime times. And in manner to increase user engagement it is crucial to predict prime time slot as it results in an increase in profit and promotions.

Machine model learning can be implemented to optimize pricing on the basis of behavioral economics, making sure that the best offer is accessible.

  • Greeting the newbies:

First three days are precarious for new users, not only for forming trust but also for influencing IAP revenue. On an average 18% of the revenue generated by applications comes from purchases made during the first days. But there is always a chance that the user might wait for some time before they can whip out their cash for the mobile game.

As per the statistics, only 37% of the users continue to make purchases long after their first one. However, loyalty programs can aid at influencing users to increase conversion rates.

 To capitalize on the first day value, developers can use a number of tactics such as setting an IAP promotion that activates once the user faces a challenging level. Messages can be sent across to the users directly to notify them of purchasing opportunities, ensuring that they don’t miss out on it. Keeping in mind that circumstantial in-app messages are more effective than push notifications. However, the latter can be used to reengage erstwhile player segments.


Build a user’s persona along with undermining their behavioral patterns, this will help you form seasonal promotions, prime time slots and new player engagement strategies for revenue management.


About Author: Susan Daigle is a professional writer and she usually covers the game development topics and have also research on it. She also guides some developers on the latest technology of game development.

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