Mobile games continue to generate a great deal f attention in China. This week, China Mobile, one of the country’s largest telecommunications companies, announced that 25% of the applications downloaded from its Mobile Market app store were games. Moreover, these mobile games account for the vast majority of the revenue generated from all of the applications found on the company’s Mobile Market. This makes the mobile games sector the most lucrative sector in the mobile space, at least in China.
Majority of revenue in app market comes from games
According to China Mobile, mobile games represent 87.5% of total revenue earned by the Mobile Market. These games are rampantly popular among Chinese consumers, many of whom use them for entertainment purposes or, quite simply, to pass the time. China Mobile notes that the number of people willing to pay for mobile games is significantly higher than those willing to pay for games on other platforms. Up to 30% of mobile consumers, for instance, have paid or are willing to pay for mobile games of some kind, whereas 1-2% of consumers are willing to pay for PC games.
In-app purchases are becoming more common
China Mobile also notes that consumers are willing to have the fees tied to their mobile games included in their regular phone bill, with approximately 70% of mobile gamers favoring this practice. In-app purchases have also become the stable of the mobile games sector in China, with 90% of all games in the Mobile Market offering some form of in-app purchase. China Mobile expects that in-app purchases will eventually replace the pay-to-download model that has long dominated the applications market, leading most, if not all, mobile games to be free.
China sees economic growth in games
Mobile games have become a strong force in the Chinese economy. For several years, China’s game industry has been somewhat isolated, largely restricted to the borders of its native country. Despite this, the industry has become very affluent in the economy by providing consumers with countless hours of entertainment.
Denny is a graduate of the California State University of Northridge where he majored in Journalism and American History. Denny writes for Mobile Commerce Press on a part time basis while also working on his own ebook, The Only Mobile Marketer Left Standing. We've been told this title may change at least a hundred times before or even after publishing.