Engagement isn’t a term you hear mobile developers talk about a lot, but with thousands of apps being introduced into the Apple and Google ecosystems every day, competition is fierce and maximizing the time spent in their app is top of mind for many developers.
Focusing on engagement is a huge step to taking advantage of that growth, especially for the Free-to-play (F2P) games offering In-App Purchases (IAP) that have risen to dominance in their category. F2P games games account for about 90% of the estimated $30.3 billion dollars in mobile games revenue over the course of 2015.
To put that in perspective, that’s slightly larger than the U.S. coffee industry.
The wider app economy is even bigger. Developer Economics estimates that the total market size for apps will be $143 Billion by the end of the year. That’s a huge number, but every single user has a finite amount of time and money, making maximizing engagement the best path for developers to get their piece of those mobile gaming billions.
Think acquiring users is tough? Turns out that just getting a user isn’t enough. According to Teradata, 70% of people who download an app have either deleted or completely stopped using it within 30 days. This is where engagement comes in.
A good engagement solution integrates seamlessly with an app and actively incentivizes users for doing what you really want them to do: use the app. The big winners in mobile right now win consistently, and they do so because they know that the install isn’t the end of the journey for a customer. They rely on the customer engaging with their app.
Using Engagement Makes Monetary Sense
Great engagement can definitely increase revenue, but it’s not always a straight line. Enhancing engagement complements traditional user acquisition methods and well-executed ad implementations for maximum lifetime value (LTV) per user without taxing development resources.
It results in higher direct revenue in the form of IAP, which makes it ideal for the many F2P games dominating the charts.
Higher engagement also boosts ad views which incrementally increases developer revenue. Experienced developers can use engagement tools not only to reward their best players, but also give everyone more reasons to keep playing.
Ultimately, good engagement tools are great for both players looking for more, as well as developers seeking healthy ways to support their businesses.
Join the Conversation
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