Google tells Android developers how to squeeze the most money out of mobile gamers
Mobile apps, particularly games, are not just about providing functionality or entertainment to users, they are about making money for developers. This has been the case for some time, and people's reliance on free apps has seen a huge surge in alternative income streams, such as advertising and in-app purchases.
But it's not just developers that reap the financial rewards of micro transactions within apps and games, as Google takes something of a cut. To help improve the flow of money for both parties, Google has shared a number of tips with Android developers that reveal how to "improve game-as-a-service monetization".
The quintet of tips is not exactly rocket science, but it gives an interesting insight into how developers try to coerce games -- and those who would class themselves as casual gamers -- into parting with as much money as possible. Commoditizing users somewhat, Moonlit Wang, Partner Development Manager at Google Play Games, and Tammy Levy, Director of Product for Mobile at Kongregate refer to the "lifetime value of a player" and how it can be increased. The first 30 days of gameplay are particularly important.
It is, supposedly, very easy for "a casual player [to] be converted into a committed fan", and Google says that the best way to maximize profit is to make the game appeal most to those who have already proven to be fans. Google and Kongregate also suggest using targeted offers as this is likely to increase uptake. Oddly, tests showed that low pricing is not necessarily the key to success.
For example, in Kongregate’s game Spellstone, testing two pricing points for a promotion called Shard Bot, which provides players with a daily “drip” of Shards (the premium currency) for 30 days, showed players had a much stronger preference for the higher priced pack. The first pack, Shard Bot, priced at $4, granted players 5 daily shards, and the second pack, the Super Shard Bot, was priced at $8 and granted players 10 daily shards.
The blog post also points out the importance of taking local preferences into account. For example, in the US prices ending in $x.99 (so-called charm pricing) prove popular, but in Japan and Korea, round numbers are preferable. Check out the post to see how your purchasing may be being manipulated, including subtle timing tricks.
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