Casual Game Monetization Challenges

There are many benefits to developing a casual game: a low barrier of entry, cross-platform viability, and high replay value. However, casual games are a highly competitive segment where the audience easily switches between games and has a complex buying behavior pattern, compared to core and hardcore games. To thrive, developers must focus on building a loyal core audience, incremental revenue growth and long-term relationships with players. Rising acquisition costs have increased significantly, while IDFA and ATT changes make it more difficult for developers like you to acquire the big-spending whales needed to offset expenses. Rising platform commissions of up to 30% can eat away at profits. Casual game development businesses are multiplying, so competition is on the rise. Even with the proliferation of casual titles, consumer spending remains the same as in previous years.  In such a saturated market, it’s no surprise that developers are reallocating investments and focus in favor of existing projects. You can still pursue revenue and desire higher profit margins for your existing titles and new games in development. Keep in mind that since casual gaming’s target market is more massive than hardcore gaming, broadening your growth strategy is key. The Opportunity is On the Web The remedy for today’s challenges must include multiplying your sales channels,  increasing player loyalty, concentrating on retention, and maximizing your profit potential. All it takes is the right partner and a solution developed with casual game monetization in mind. A casual game is a mobile game designed for easy and relaxed gameplay, often requiring minimal time commitment and skill level. Despite the lowered entry barrier to gameplay, casual games have a dedicated core player audience who are significant financial supporters. Selling directly to players with your own game-branded web shop allows you to redirect financial supporters to your own web shop where they'll find in-game items with added value and web-exclusive offers. When they buy on the web you keep more revenue, boosting LTV and ARPU. When you motivate players’ purchasing behavior you create more of a purchasing player pool. Tips for a Successful Casual Games Web Shop There are three key attributes that help grab players’ attention, incentivize them to visit your web shop, and keep them coming back to make repeat purchases.

• Bold messaging introduces players to the shop and reinforces its greater value outside the mobile environment.
• Hyper-clear value is a strong incentive that outweighs any friction gamers might feel when purchasing outside mobile.
• Since only a small subsection of casual gamers make planned purchases, nurturing loyalty with promotions, rewards, and exclusive deals is more likely to motivate repeat spending.

Your Web Shop Solution With this approach in mind, Xsolla introduced an expansion to our existing Web Shop solution to help casual games generate more sustainable, lifetime revenue. Web Shop for Casual Games is a direct-to-consumer ecommerce solution that helps you monetize your audience more effectively and save on platform fees by legally selling in-game content on the web. Features Xsolla Web Shop’s features make it simple to reach your core audience directly on the web to generate more value, purchases, and revenue:

• Create promotions and incentives encouraging more visits and purchases.
• Retargeting with Adikteev and YouAppi increases conversion and keeps players informed about exciting offers.
• Personalization management lets you set rules for specific players and cohorts, and helps offers feel more relevant.
• Target whales with added-value bonuses, VIP bundles, high price point offers, and web exclusives.
• Cross-platform analytics including Google and AppsFlyer tools compare web sales with in-game metrics.

Benefits Selling to your players directly via the web can bring incremental revenue of up to 16% in addition to sales from mobile platforms. Adding a well-planned web shop to your arsenal makes up the incremental revenue: saving on commissions, gaining a new paying audience through local payment methods, increasing the average spend of whale players, and boosting the number of repeat purchases.
Earn More for Less If you’re ready to incentivize your players, raise revenue, and pay less for a solution designed specifically with casual games’ monetization in mind? Reach out to our experts and learn how to earn more and spend less with Web Shop for Casual Games.