Mobile games market to reach new heights in near future
Juniper Research, a leading market research firm, has released a new study concerning the future of the mobile games market. The study, “Mobile and Tablet Games — Discovery, In-App Purchases and Advertising 2013-2017,” suggests that the mobile games market is poised to see major success and growth in the near future, especially as more consumers get their hands on mobile devices like smart phones and tablets. As mobile device proliferation becomes more widespread, mobile games are expected to begin having a major impact on the global game industry.
Market to exceed $3 billion by 2017
According to the study, global sales of mobile games are expected to reach $3 billion over the next four years. The rapid adoption of tablet devices is cited as one of the key drivers behind this aggressive growth. In-game purchases are also becoming more common among consumers, especially where virtual currencies are involved. Many mobile games offer virtual currency, which can be purchased with actual currency. Virtual currency can be used to purchase a wide assortment of goods in games and this type of currency has become very popular among avid gamers.
North America and Asia will power growth
The study shows that the North American and Asian markets will see the most growth in the mobile games market. These two regions will account for 86% of in-game transactions by 2016. China, in particular, will see a major surge in mobile games as the country’s game developers become more ambitious. Juniper Research notes that the Chinese market reached $1 billion in 2012 and this momentum has yet to show signs of dissipating.
Smart phones to beat out tablets
Despite the growing popularity of tablet devices, smart phones will continue to be the most popular platform on which to make in-game purchases. Consumers continue to show favor for smart phones because of their versatile nature and the fact that can be used for much more than mobile games. Tablets boast of some versatility as well, but do not offer the same features that consumers have come to appreciate with smart phones.
GungHo Online sees major revenue spike through mobile games
GungHo Online Entertainment, a Japanese game publisher, recently acquired Grasshopper Manufacture, an innovating game developer that has a strong focus on mobile games. Since the acquisition, GungHo Online has been seeing significant increases in its revenues, largely due to the popularity of mobile games in the Japanese market. Japan has long been on the cutting edge when it comes to technology and gaming, so it is no surprise that Japanese consumers have been adopting mobile technology en masse. This widespread adoption has given consumers access to a vast assortment of mobile games, but consumers have shown strong interest in a particular game that is netting GungHo Online a great deal of revenue.
Financial report notes GungHo Online pulling in $65 million in monthly revenue
GungHo Online recently released its latest financial report, which suggested that one of its mobile games is bringing in a proverbial fortune on a regular basis. The report highlights Puzzle & Dragons, which was developed by Grasshopper Manufacture. Game industry analysts claim that this single mobile game is bringing in more than $65 million on a monthly basis due to popular in-game purchases and advertising. The game is only a year old, having been released in February 2012, and boasts of more than 8 million users.
Company claims growth has yet to slow
The success of the company’s mobile games have lead to a spike in profits. GungHo Online saw its sales grow by more than 168% in 2012, with operating profits climbing a staggering 690% during the same period. GungHo notes that it is still see aggressive growth in mobile games. In January 2013 alone, the company reported that sales had reached $91 million, growing by 1,022% from what they had been in 2012.
Mobile games beginning to dominate the game industry
Mobile games continue to prove that they have become a very lucrative market for the game industry. These games had once been considered a marginal sector of the game industry that would never serve as more than a gimmick for consumers. Due to strategic in-game transactions and advertising, however, mobile games have become a very influential part of the game industry as a whole, with many developers that have long been focused on consoles now making the transition to become more mobile-oriented.
