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Finance

Kongregate finds avid players account for 90 percent of game revenue

Kongregate finds avid players account for 90 percent of game revenue

Thu 14 Jun 2012 9:52pm GMT / 5:52pm EDT / 2:52pm PDT
OnlineFinance

Committed free-to-play gamers are the key to successful monetization

According to a study by GameStop's Kongregate web game portal, committed users account for more than 90 percent of a game's total revenue. Kongregate reviewed more than 150 microtransaction-based titles for the study. COO Emily Greer believes the key to a successful free-to-play game is managing the end-game, the part that matters to long-term players.

"Too many titles introduce monetization elements without the end-game in mind," saiid Greer. "Players often tune out these advances, primarily because they have little long-term value to the user or the player is not yet connected to the game."

Kongregate found that only 30 percent of those who played a title less than ten times bought virtual items, amounting to only 3 percent in average total revenue. Devoted players played the game more than 50 times and accounted for only 2 to 10 percent of the total userbase, but had a 3,000 percent higher average revenue than their neophyte counterparts.

"Your committed players will provide you with the bulk of the game's lifetime value," adds Greer.

[Via Gamasutra]

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