Ronnie05's Blog

Mobile Gaming:Engagement, Discoverability and Growth!

Posted in Gaming by Manas Ganguly on January 14, 2011

A very basic game of catapulting birds across a distance to break eggs which are heavily fortified. That’s Angry birds for you. However this description misses out on the slick gaming interface and the stickiness that has catapulted Angry Birds as one of the highest downloads in history of mobile gaming.

The potential that is offered by Mobile Gaming as an industry is immense. Thanks to games such as Angry Birds, spending on mobile game advertising increase by more than 900 percent according to a new report by Juniper Research. Even then, ad spending will still pale in comparison to direct player spending. Juniper envisions aggregate mobile game ad spending of $894 million in 2015, up from an estimated $87 million in 2010, as more brands show interest in targeting mobile game players.

Despite this increase, Juniper thinks direct revenues from paid downloads and in-game purchases will continue to represent the vast majority of mobile game revenues in five years’ time. The value of these revenues will be 10 times larger than those for advertising in 2015. Juniper forecasted that the total end-user revenues for mobile games will hit $11 billion annually worldwide by 2015, nearly double the $6 billion recorded in 2009, driven by in-game purchases. In-game purchases currently representing roughly 80 percent of all revenue on games for iOS devices. Titles such as Rovio’s Angry Birds that offer full, ad-supported versions are making a significant impact on the mobile game ad market. The beauty of engaging gaming titles is that while users get great games for free, advertisers get significant product/brand exposure.

Citing the profusion of titles and developers, Discoverability — or users’ ability to sift through the tens of thousands of games on the App Store to find the true gems — will remain a hurdle for developers.Discoverability can be a ‘chicken and egg’ problem: high downloads lead to prominence, but achieving a high number of downloads is largely dependent on already being prominent. Consequently, a small minority of games achieve very high downloads, whilst the vast majority achieve very small download figures

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