According to a report by market research firm Newzoo, the number of gamers worldwide is expected to reach 3.42 billion in 2024, a year-on-year increase of 4.5%.Such a huge user base has created a huge development space for the game market. Since mini-game development has the characteristics of low threshold, short cycle and low cost, it has become a good choice for developers to quickly verify market demand.

In fact, developers acquire a large number of users through mini-games, but they also have to bear high server costs and operating expenses. If an effective profit model is not planned after the user growth, it will undoubtedly be a disaster. In the fierce market competition, how can mini-game developers survive for a long time and achieve high profits?

Diversified game app monetization is key

1. Ad monetization

Integrating advertising SDK is a common way to monetize. Developers can display ads on product pages, set up rewarded ads in levels, use splash screen ads, and other advertising formats, and charge advertisers according to CPM or CPT. Although this model may interrupt the game experience, by providing incentives such as props or coins, some users are willing to accept ads, so developers can also gain certain benefits.

2. In-app purchases

Optimize the game experience, design players’ favorite products, and in-app purchases can meet users’ personalized needs. For example, provide character skins, functional props (such as resurrection cards, accelerators, etc.) or opportunities to unlock special levels. If developers have technical advantages and can create content that is both creative and attractive to players, it will not only significantly improve the user experience, but also bring considerable revenue.

This approach is not suitable for all users, especially for small game players, who usually have a low willingness to consume. To achieve a good payment conversion rate, developers need to invest a lot of energy in design, marketing, and user behavior analysis.

3. Subscription model

Introducing subscription services (such as monthly cards, annual cards, etc.) in games can bring long-term stable revenue streams. For users who highly identify with the game, they are willing to pay subscription fees to get more privileges, such as no ads, more generous daily rewards, etc.

Survey data shows that the payment conversion rate of game applications is generally 1%-5%, and the remaining 95% of users are also abandoned by developers. But in fact, being able to maximize free users is the key to developers’ profits!

New application monetization refers to a model that realizes user value monetization by integrating SDK without affecting user experience. For example, with the help of Castar SDK monetization solution, developers can integrate the monetization SDK into their own applications and continue to obtain long-term and stable income after the application is launched. This model not only focuses on user experience, but also provides developers with a reliable way to make money.

In this field, game developers have significant advantages and are also the most profitable group. Because this profit model evaluates and pays fees based on key indicators such as the number of users and activity of the application. Take the Castar SDK, for example, which can bring developers more than $500 per thousand impressions (CPM). You can use this data to estimate your app’s potential revenue.

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