MTA Martech Advisor
“The tremendous popularity of Free-to-Play games have proven that, on the whole, mobile gamers much prefer this model to paying for games up front. But the term “Free-to-Play” has taken on an ominous tone for many gamers who view the model with a skeptical eye. In fact, the app stores are littered with negative reviews for games that consumers feel are too aggressive with their IAP, or too stingy with their free content.
So what happened? Where did the F2P model get off track? The problem stems from the balancing act that F2P developers are forced to carry out between their need to generate revenue and their player’s wishes to get what they can for free.
Some developers focus too intently on things like Average Revenue Per User (ARPU) and forget other important metrics that speak to the overall health and sustainability of their app. In the long run, games with strong engagement, retention and growth rates deliver far greater revenue and create a much more stable business than games with high ARPU numbers.
The good news is that it is possible to both monetize your game effective and still provide a great user experience.”
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