Half of In-Game Purchases Made by 0.15% of Users

Posted by: Maxine Brimmer (2 years, 7 months ago)

If you often find yourself splurging on mobile games, you may just make up part of the tiny majority responsible for over 50% of all in-app purchases. According to analytics company Swrve, around 0.15% contribute half of all in-app revenue to mobile gaming companies.

What this means is that while 99.85% of mobile gaming users spend limited amounts of money or opt for free options, the tiny remaining portion of the population pays as much as everyone else put together. Freemium gaming models are very common these days, with games such as CandyCrush offering users the chance to either pay their way forward or to simply wait and be patient until they can win enough points or regenerate lives. While many people manage to restrain themselves from overspending, little in-app purchases of a dollar here and there can soon add up.

In an interview with tech news site VentureBeat, Swrve chief executive Hugh Reynolds acknowledged the importance of focusing on these few paying users. Although many users opt never to pay money, the true goal for gaming companies according the Reynolds is to turn players into purchasers.

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