Tag: mobile games

Mobile games account for majority of mobile applications market revenue for 2012

Mobile games generate significant profits

Mobile applications represent a huge and massively lucrative market. According to Flurry, a leading analytic firm operating in the mobile space, mobile applications accounted for $10 billion in revenue during 2012. The firm has released a report concerning the lucrative mobile applications business, which highlights the impact of free mobile games. The report shows that though free mobile games do not cost anything to play, that account for the majority of the revenue seen in the mobile applications market.

80% of revenue generated through free mobile games

Mobile games are among the most popular applications that are available to consumers with smart phones and tablets. These games often provide hours of entertainment and are typically designed to be very addicting. For many, mobile games are valuable assets because most of these games are free-to-play. Most of these games are filled with advertisements, however, which is part of the reason why they are generating so much money. According to the Flurry report, free mobile games accounted for 80% of the $10 billion in revenue the app market saw t his year.

In-app advertisements help generate revenueMobile Games market revenue

In-app advertisements are not the only thing generating income for mobile games. Many games come equipped with a “cash shop,” which offers bonuses, new equipment, and exclusive features to gamers that want to spend money on the game itself. These cash shop marketplaces are very common in free-to-play games and account for the majority of the revenue they manage to generate. The report also shows that consumers spend large amounts of time on free-to-play games, thus increasing the likelihood that they will purchase something from the cash shop.

Free-to-play games are a lucrative business

The free-to-play model has become very lucrative for developers of mobile games. The report suggests that most developers have yet to identify the ideal niche in which these types of games flourish. Companies like Electronic Arts and Zynga have managed to find a way to make free-to-play games highly appealing to consumers with some cash to spend. Though the latter has been experiencing financial problems of late, Electronic Arts may serve as a powerful example of how to develop games that emphasis participation in a cash shop.

Mobile games dominate applications space

 

Mobile GamesMobile games account for majority of revenue in apps market

Mobile technology has become an important aspect of the lives of consumers throughout the world. The advent of mobile technology paved the way for applications, pieces of software that provide consumers with a wide variety of services. The mobile applications business has become very lucrative, especially for the developers of mobile games. A new report for Canalys, a market insight and analysis firm, shows that mobile games are a major player in the applications space, and that game developers account for the majority of revenue generated therein.

Report shows that games are far more popular than other applications

According to the report, mobile games are among the most popular applications for Android and iOS mobile platforms. These games occupy a variety of genres and some have become the most favored forms of entertainment for some consumers. According to Canalys, some 25 mobile games developers accounted for more than half of the revenue generated through the applications market in the U.S. during the first 20 days of November. These developers accounted for more than $60 million in downloads and in-app purchases over this period of time.

Games offer versatile experiences

Mobile games are dominating the applications space. This may be due to the simplicity of mobile games and the lengths developers go to in order to ensure constant engagement with consumers. Other applications, such as GPS navigation apps, are not as popular because they are not exceedingly entertaining and serve one function. Mobile games, however, provide consumers with a source of entertainment that can be easily attained and customized to suit their interests.

Developers face major challenges despite success

Though mobile games have come to play a domineering role in the applications market, developers are still faced with significant challenges. The success of mobile gaming has attracted a veritable tide of new development studios, which are over-saturating the market and making it difficult for consumers to find games they are interested in and those that offer a quality experience. Marketability is also a serious challenge, as developers of mobile games do not typically operate with a strong marketing budget that can reach millions of consumers.