Half of all in-app purchases in mobile games are made by 0.15% of gamers

TECHi's Author
Opposing Author Recode Read Source Article
Last Updated
TECHi's Take
Rocco Penn
Rocco Penn
  • Words 94
  • Estimated Read 1 min

Do you play a lot of Candy Crush Saga or Clash of Clans but almost never spend any money on in-app purchases? If so then you’re free riding on the backs of a tiny number of users who are spending ungodly sums on virtual goods that enhance their enjoyment of their favorite games. Re/code reports that a new study from app-testing firm Swrve claims that half of all in-app purchases are made by just 0.15% of mobile gamers, which is pretty stunning considering how lucrative in-app purchases have become for mobile game developers.

Recode

Recode

  • Words 146
  • Estimated Read 1 min
Read Article

Oh, you’ve spent a couple dollars on Candy Crush? How cute. In a mobile monetization report released today, app testing firm Swrve found that in January, half of free-to-play games’ in-app purchases came from 0.15 percent of players. Only 1.5 percent of players of games in the Swrve network spent any money at all. The latter finding is in line with what the advocates of free-to-play have been saying for years: Players don’t have to pay anything to enjoy the game. But the former stat underscores the importance of big spenders, or “whales” in industry lingo, to the app ecosystem. Broken out as a percentage of only players who pay anything at all, Swrve’s report still points to whales. As the chart below shows, the top 10 percent of that 1.5 percent of paying players produces a dramatic upswing in revenue from even the 20th percentile group.

Source

NOTE: TECHi Two-Takes are the stories we have chosen from the web along with a little bit of our opinion in a paragraph. Please check the original story in the Source Button below.

Balanced Perspective

TECHi weighs both sides before reaching a conclusion.

TECHi’s editorial take above outlines the reasoning that supports this position.

More Two Takes from Recode

Cisco is spending $1.4 billion to begin its Internet of Things expansion
Cisco is spending $1.4 billion to begin its Internet of Things expansion

Expanding into the emerging Internet of Things market shouldn't be too hard for Cisco considering how it's the largest manufacturer of networking…

Marissa Mayer has written a kill list for Yahoo’s employees
Marissa Mayer has written a kill list for Yahoo’s employees

The fate of Yahoo's employees is being determined by where they are on the new kill list that CEO Marissa…

Twitter just lost four of its top executives
Twitter just lost four of its top executives

We won't know until later today what exactly happened at Twitter on Sunday, but we do know that whatever it…

Twitter’s former CEO has founded a new personal fitness startup
Twitter’s former CEO has founded a new personal fitness startup

Former Twitter CEO Dick Costolo announced on Tuesday that he's taking on two new jobs, the most notable of which is the…