Tag: mobile games

Mobile games and the trend of in-app purchases

| March 22, 2013

Mobile Games and in-app purchasesIn-app purchases are becoming a prominent trend in mobile games

In-app purchases have become very common in the world of applications, especially where mobile games are involved. Many mobile games are using in-app purchases in order to generate revenue. These games offer virtual currencies and in-game items that make  the gaming experience either more fun or less of a challenge. Many consumers have shown willingness to make in-app purchases because it allows them to skirt the otherwise unappealing aspects of certain mobile games. The value of these in-app purchases has been a debated issue, especially as some consumers begin to consider the practice somewhat dubious.

Developers leverage in-app purchase to generate revenue

Mobile games developers are in a somewhat precarious position when it comes to selling their products to mobile consumers. It is considered a nearly impossible feat to sell these consumers mobile games that cost more than $5, as mobile games typically offer significantly less content than those designed for consoles, which tend to be sold for $50 or more. The appeal of mobile games is that they offer entertainment at a very low price, with many of these games being completely free. Developers, however, have to generate a profit in order to stay in business. Apart from advertising, in-app purchases are considered the best way to produce revenue.

Mobile games may be more expensive than they appear

In-app purchases allow developers the opportunity to generate more money as they are not considered a one-time affair. With conventional games, such as those for consoles, the consumer pays for the game itself but may never make another purchase in the future. In-app purchases can encourage consumers to continuously pay for features they find engaging, and purchases can be made with little more than a few taps of the finger. While this may be a good way for developers to generate revenue, in-app purchases in mobile games have been causing some problems for consumers in recent months.

In-app purchases lead to young consumers spending money

Mobile games are enjoyed by consumers of all ages, but the primary demographic for most of these games falls in the 12-17 age range. Children that play mobile games are not typically concerned with spending money while they are enthralled in their gaming experience. As such, they are more likely to conduct in-app purchases without permission, just so they can access certain features of a game more quickly. In 2011, Garen Meguerian’s 9-year-old daughter spent more than $200 playing a simple mobile game, which lead Meguerian to file a lawsuit against Apple claiming that the company had made it too easy to conduct in-app purchases.

Mobile games aid the resurgence of UK game industry

| March 21, 2013

Mobile Games UKUK game industry sees promising growth with the help of mobile games

The game industry in the United Kingdom is on the rise, according to a new report from Games Investor Consulting, a business intelligence firm focused on the game industry. Gaming continues to gain momentum all over the world as games become more accepted in modern society. In the past, games were considered a very niche market and those that played games where shunned in some communities. Now, however, nearly everyone with a mobile device plays mobile games, and gaming has become a prominent part of many cultures around the world.

Gaming is gaining more acceptance in society

Gaming becoming more accepted around the world has very positive implications for the game industry, of course. According to the report from Games Investor Consulting, the game industry in the UK is showing promising growth. In terms of employment, the industry grew by 4% in 2012, ending a three-year employment decline. The number of game development studios in the UK grew from 329 to 448 last year. Many of these studios have a strong focus on mobile games, which have become a very important interest for the game industry as a whole.

Mobile games help boost performance of UK industry

The report notes that investments in game studios rose from $620 million in 2011 to $650 million in 2012. Investors are showing support for studios that have been making mobile games. These games have become a formidable force in the game industry because of their appeal to consumers. Many people are tethered to their mobile devices and have turned to mobile games to fill out portions of their day. Many of these games are free, which is part of their attraction, but they also offer additional services for a fee. Mobile games are also very strong advertising tools, with consumers constantly being exposed to advertisements as they play these games.

Games Tax Relief initiative may add further momentum to game industry growth

The UK’s game industry is expected to continue growing partly because of mobile games, but these games are not the sole contributing factor to this expected growth. The UK government is currently preparing to launch the Games Tax Relief initiative, which is expected to be enacted in April of this year. The initiative will provide game development studios with tax breaks, offering financial relief to several companies, both large and small, throughout the country.