Free-to-play gaming has evolved significantly with complex games and in-game economies, yet a consistent issue persists: most mobile game players do not pay. Only 1.83% of users make in-app purchases, leading to 98% enjoying games without any financial contribution. Traditional monetization models depend on a few paying players and increasingly ineffective ad strategies, revealing a growing risk in relying on them. As a result, the focus must shift to finding ways to monetize the vast majority of players who engage but do not spend or respond to ads.
The majority of mobile game revenue comes from a tiny percentage of players, with only 1.83% of gamers making in-app purchases, leading to a concerning revenue disparity.
While display ads and rewarded videos have traditionally helped bridge the monetization gap, their effectiveness is declining due to falling eCPMs, stricter privacy policies, and ad fatigue.
Despite innovations in design and user engagement loops, the persistent challenge remains: a large majority of players enjoy games without ever spending money.
Monetization strategies must evolve beyond reliance on paying users and ads, seeking new ways to engage the 95% of players who don't spend or consume ads.
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