ICYMI: Game developers tap web stores for MASSIVE revenue increases – Games Growth with Upptic

If you missed our podcast with Appcharge CMO Gil Tov-ly a few weeks ago, here are the highlights – filled with by-the-numbers information and actionable steps you can take to start increasing your game revenue through web stores!

A New Era for In-Game Purchases

Web stores are rapidly becoming a crucial component of the gaming industry’s monetization strategy. According to Appcharge, over 65% of the world’s top-grossing games have already integrated web stores into their ecosystems. These platforms offer players exclusive deals and a more personalized shopping experience compared to traditional in-app purchases (IAPs).

The shift towards web stores is driven by several factors, including the desire to provide players with better value and to maintain a direct relationship with them. Web stores typically offer better margins for publishers, with commissions as low as 5%, compared to the 30% cut taken by iOS and Android platforms. This significant difference allows publishers to reinvest in their games and offer more enticing deals to players.

The Impact of Apple’s App Tracking Transparency

One of the pivotal changes that prompted this shift was Apple’s introduction of App Tracking Transparency in 2021. This policy significantly impacted the efficiency of digital marketing, making it harder for game publishers to reach their audiences through traditional app store channels. As a result, the industry began exploring alternative methods to maintain and grow their player base.

The Advantages of Web Stores

Web stores offer several key benefits:

• Higher Purchase Rates: Appcharge reports seeing up to 80% purchase rates and 70% repeat purchase rates in well-designed web stores.
• Enhanced Player Engagement: Players are more likely to return to a web store that offers exclusive deals and better value.
• Direct Communication: Publishers can maintain direct contact with players through various channels – building stronger relationships and loyalty.

The Future of Game Monetization

The podcast also touched on the future landscape of game monetization. With ongoing legal and regulatory changes, publishers are likely to see more options for integrating alternative payment methods within their apps. This could lead to a more diverse and competitive ecosystem, similar to the PC gaming market where multiple platforms coexist.

Gil emphasizes that while web stores are not meant to replace in-app purchases, they provide a complementary revenue stream that can significantly boost overall income. By offering players multiple purchasing options, publishers can enhance the overall player experience and drive more frequent transactions.

Case Studies and Success Stories

Several game studios have successfully leveraged web stores to their advantage. For example, studios like Playtika and Plarium have long operated web stores alongside their mobile games, achieving significant profitability. Other companies, like Huuuge Games, have reported that up to 12% of their total revenue now comes from web store transactions.

These success stories highlight the potential for web stores to transform the economics of game publishing. By understanding their player base and tailoring offers to specific segments, publishers can maximize the value derived from their most dedicated players.

Start now to stay ahead

As the gaming industry continues to evolve, web stores represent a promising avenue for publishers to enhance their monetization strategies and build stronger, more direct relationships with their players. Gil encourages game developers to explore this option and start integrating web stores into their business models to stay ahead in a rapidly changing landscape.