Square Enix to move away from traditional games toward mobile games
Japanese game publisher and developer Square Enix has been a powerful name in the game industry for several years. The company is responsible for some of the most beloved franchises in the industry, but has recently begun to struggle with its most recent titles and endeavors. This is largely due to the fact that gaming is changing, as are the gamers. As older gamers give way to a new generation, Square Enix is finding that more people are inclined to play games on their mobile devices. In an effort to retain its place in the game industry, Square Enix has begun to set its sights on mobile games.
A new generation spurs a new focus for the developer
The developer has announced that it will be transitioning away from the big-budget games that had made it famous in the past. While Square Enix will not be abandoning its efforts to make such games, much of the company’s focus will be attributed to mobile games. This new focus will not only affect the company’s publishing initiatives but also the development aspect.
Mobile games may help Square Enix connect with a new generation of gamers
The company has high hopes for mobile games, largely due to the popularity of these games with consumers. The success that mobile games represent is most evident among independent developers. Games like Angry Birds and Temple Run have become unexpected phenomena in the game industry and both of these games have proven to be strong revenue streams for their developers. Square Enix believes that mobile games can help it overcome the failures of its past and make it a more recognizable name with a new generation of gamers.
Company likely to face many challenges
Mobile games are popular, but there are many challenges that exist in moving away from traditional, big-budget projects. The first involves the relatively low attention span that consumers have when it comes to mobile games. Another challenge is represented by the fact that mobile games must often include micro-transactions in order to generate a profit, a practice that is somewhat controversial among gamers.
Mobile games are getting more attention in the marketing sector
Mobile games have come to represent some of the highest rates of consumer engagement within the mobile sector. Consumers throughout the world have proven that they have an insatiable appetite for mobile games and the popularity of these games continues to grow rapidly. Mobile games are not only growing more popular with consumers, of course, and advertisers are beginning to look at these games as ideal platforms through which to connect with consumers.
Report shows that advertisers are beginning to favor mobile platforms
Advertisers are beginning to focus on mobile games more heavily around the world. A new report from App Annie and IDC notes that as mobile games grow among consumers, so too does the amount of money that advertisers are spending on such games. Advertisers do not typically invest in the development of games, but they do purchase marketing space within that game. Marketing in console games has been tricky due to the fact that consumers can rarely engage typical in-game marketing. This is where mobile games shine for advertisers.
Mobile games could be ideal marketing tools
Mobile games are, essentially, nothing more than applications for mobile devices. These applications are lightweight programs that are somewhat fluid when it comes to the features that they offer. This means that it is relatively simple to include some kind of advertisement into these applications. Moreover, these advertisements can actually be interacted with by consumers, making them quite effective when it comes to consumer engagement. Mobile games, which already involve consumer participation, have proven to be effective marketing platforms due to the fact that consumers will often interact with ads they see in their mobile games.
Advertising revenue in the mobile games sector to reach $12 billion this year
According to the report from App Annie and IDC, the total advertising revenue coming from the mobile games space is expected to reach $12 billion this year. Advertisers are likely to continue focusing more heavily on mobile games in the future in order to engage a new generation of consumers. Consumers have, thus far, been relatively welcoming to the advertisements that they see in mobile games, though some argue that these ads detract from the gaming experience.