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Mar 20 2023
More developers are looking into the Games-as-a-Service model right now. It has seasonal content placement and an infinite layering of updates. GaaS may prove to be more advantageous for both developers and users. Let's take a look at how it works.
You'll dive into the following topics:
GaaS most commonly refers to the type of games in which you can get a free part. They have enough content for users to experiment with the gameplay and fundamental mechanics. Subscriptions and in-game stores provide revenue for developers. The major sales driver is new seasons with subscription-based unique content.
In fact, the previously popular Pay-to-Play model eliminates the ability to earn money from a game once it has been purchased. Even in-game stores can only sell cosmetic items (items that have no effect on gameplay and are purely cosmetic in nature).
When store items exceed their limits, it usually results in negative reviews and lowers the churn rate. Users are irritated when they are offered additional game elements "to make the game complete" after paying the full price.
In other words, GaaS is effective at monetizing games in the long run because it assists in making a profit with each new season. The only constraints here are the developers' imagination and the release schedule.
Engagement is closely related to the expectation of new content at all times.
Seasonal content distribution is also beneficial to user retention metrics. If a player does not log in for an extended period of time, there is always the possibility that they will return when the next update is released.
GaaS (Games as a Service) bridges the gap between customers and game developers. Players are aware that a new season will arrive and that their adventure will continue, whereas game developers are more secure and have more opportunities for long-term planning.
According to market research, the GaaS strategy lowers the cost of acquiring new customers and retains users better than pay-to-play games. This experience, however, is related to console and PC games. What about the mobile sector? It's complicated, to say the least.
In addition to paid gaming apps, the App Store has a comprehensive Arcade subscription, and Google Play has Google Play Pass. The free-to-play model with in-game stores has long been shown to lag behind pay-to-play games, but we can now say that the latter is evolving. GaaS can be thought of as a new stage of it.
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GaaS has a greater impact on today's gaming industry than appears at first glance. This strategy alters our approach to game development as well as content consumption.
For developers who choose GaaS, it is an opportunity to avoid creating another 'franchised' game and spending money on promotion and user acquisition.
This method opens up new avenues for budget planning and audience comprehension. Each GaaS-based project serves as a sandbox, allowing you to collect the most successful mechanics through trial and error. The developer decides how frequently paid updates or seasons will be released.
In-game stores are the most lucrative business option. GaaS breaks the taboo of obtaining OP for money while avoiding turning a game into a pay-to-win quest. That is, in-game purchases do not elevate anyone above others.
Most of the time, they only serve to save players time that would otherwise be spent leveling up. The balance remains first: those who choose to pay should not receive anything that cannot be obtained through consistent playing.
A higher retention rate has shown that users are willing to invest more time in GaaS-based projects, so it's not surprising that developers have begun to take advantage of the cloud gaming benefits. You can now play from almost anywhere and on almost any device.
Genshin Impact, a hugely successful project by Chinese developers, can be considered a GaaS flagship. This open-world RPG is available for PC, PlayStation 4, PlayStation 5, iOS, and Android.
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Players have complete access to the lore; new seasons and festive game events are added on a regular basis for free. Advanced characters who have more chances to complete end-game activities can subscribe to Genshin Impact. Furthermore, there are several in-game currencies that can be obtained without making any donations.
GaaS projects do not really aim for an endpoint adventure in terms of content consumption. Such games are not story-driven; instead, they emphasize replayability and procedural rhetoric. A similar situation can be found in the market for TV streaming services.
Today's gaming industry is shifting away from franchises and toward series.
Unsubscribed players may not have access to new maps or characters, seasonal updates, or exclusive items. You don't want to miss a season because it will render your items useless.
The most popular model today is to sell items through in-game stores during events such as Chinese New Year, Valentine's Day, or a game's birthday. During these times, event-themed items are released, and graphic ASO is updated.
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New updates are frequently provided for free now so that users can experiment with the mechanics and delve deeper into the game.
Earning crystals is already a trend.
From those same crystals to extensive currency systems, in-game currencies have come a long way. Players can receive a specific and unique type of currency for various types of events. In-game currencies serve various functions and can be replenished in a variety of ways.
Because they encourage users to explore all of the content, the mechanics are closely related to retention rate.
Game bundles are a ready-made set of several games, which are usually offered with a discount. Because stores can combine products on their own, game bundle mechanics are more inherent in console and PC gaming.
New games by the same developer are more likely to be sold in-game in mobile gaming. "Have you finished this campaign? We have more adventures in store!"
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Some gaming platforms provide a large number of games that users can access after downloading an app. Some of these platforms allow users to earn money while playing, which is an intriguing new trend in the gaming community.
With the industry's current intense and rapid development, games are becoming a more appealing platform for advertising. In-game advertisements enable game developers to diversify their revenue streams beyond the Games as a Service model. Advertisements today are not always annoying banners; on the contrary, advertisers are attempting to provide visually appealing and memorable content, which is sometimes even styled after the game in question. One of the most common ad formats is video.
With the rise of GaaS, the gaming industry's approach to content creation and distribution has shifted. In order to achieve a higher retention rate, the mobile gaming market has had a significant impact on the PC and console gaming markets, forcing them to adapt and shift from increased private copy sales to ongoing revenue from a single product.
GaaS is so successful and promising that it already serves as a sandbox for new ways of interacting with players, which would be financially advantageous and beneficial to both users and developers.
The GaaS philosophy is to make games more accessible to users while also making developers more profitable.
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