The great ideas from Tom Farrell and originally published by SWRVE are edited and summarized. To read through the original report is highly recommended.
The original article: https://www.swrve.com/resources#whitepapers
If you are in games, your business depends on engaging, retaining and monetizing app users. Failure is not option.
Secret (1): An impressive game and successful user acquisition is NOT enough
- The critical question is “how can your game lead a sufficient number of players to the spending point while maintaining retention rate.”
- How to make it happen? Invest equal amount of game development and user acquisition in testing, optimizing game economy, marketing campaigns and extras.
Secret (2): Conversion is king
- Measure. Successful game companies are very sensitive to conversion between play and pay and benchmark the flow.
- Segment the users. Did you?
- Approach. Build active campaigns to approach specific group of users to give them motivation for spending.
- ROI. Measure ROI on your campaigns.
Secret (3): Download number is NOT the only key
- Average day 1 retention rate is 34%.
- Keep selling after installation. How to raise or maintain retention rate?
- Tutorial is the first user experience.
- Build funnels to identify troubles in the game flow.
- Don’t be lazy for A/B test.
Secret (4): Do you look after your VIPs?
- Averagely, only 1.5% of users pay.
- 10% of all paid users contribute to 60% of all revenues.
- Smart game companies invest heavily in rewarding the VIPs.
- Record all in-app purchase events to create an easy way to target at VIPs.
- Offer big rewards for large purchase, including real-world rewards.
- Don’t forget to improve experience of payers.
Secret (5): Make spending easy
- A/B test and personalize store formats and campaigns
- Promote users in the right place and right time to drive revenue.
- Deliver a killer offer early on and make it happen.
Secret (6): Treat players as individuals
- Use demographic data: age, gender, job, location…
- Use in-app events for behavioral targeting.
- Smart personalized push notification can be significantly more effective.