The holiday period is one of the most important times of the year for Gaming companies. This year could look like no other holiday season we’ve seen. It’s been an unprecedented year for gaming, that will be reflected in the next few weeks, here’s why.
There are more new gamers online than ever before
76% of global consumers say they’re spending more time on their smartphones since the start of the coronavirus (COVID-19) outbreak. People across all generations are spending more time with Gaming, Apps and E-Sports during COVID-19. On top of this, the big new-generation console launches during this period are likely to lead to an influx of players.
There will be a steadier ramp up to e-commerce demand
While there are more e-commerce advertisers online, companies are encouraging earlier purchases to manage shipping deadlines. Predictions point to consumers planning their gifting purchases earlier. This could lead to a less pronounced spike in prices and an even steeper price drop after the last shipping date than in the years before.
More people are likely to be online during this season
With global restrictions and a return to lockdown in large parts of Europe and the world, people are likely to travel less and spend more time at home.
This suggests a large holiday opportunity for Gaming advertisers. Analyses of Mobile game downloads and in-game revenue from Sensor Tower and internal Facebook analysis of prices point to the following trends:
Downloads and in-game revenues peak during the holiday season
For the past 4 years we’ve observed that the highest number of mobile game downloads happened in each year’s holiday season. This effect is similar on Google Play and on the iOS App Store.Interestingly, Google Play downloads have stabilized at a higher level post the COVID-19 peak in Q2, while App Store downloads seem to have stabilized back at their pre-pandemic levels.
Like downloads, in-game revenues have also peaked during each year’s holiday season. It’s worth noting that the App Store revenue is much more pronounced in its spikes than Google Play. Therefore, it’s worth accelerating your iOS campaigns a few days before Christmas day to start monetizing players during the festive peaks.
Holiday opportunities extend until the end of January
There’s a lot more to the Holiday season opportunity on Facebook than Black Friday, Christmas and New Year’s day. From an internal analysis, we observed the following trends:
It’s worth expanding in geography and OS
Cost fluctuations are less pronounced due to focus on other, region-specific holidays in Asian markets like Taiwan, Korea and Japan. This offers gaming developers a great opportunity to diversify spend internationally for user acquisition.
Japan in particular, offers an interesting opportunity. In this market, in-game revenues typically peak dramatically on the 1st day of each month where a lot of in-game events are set to happen. This effect is even stronger on January 1, with the start of ”Shogatsu” where in-game revenues typically almost triple due to holidays, special in-game events, businesses being closed and monetary gifts being made.
Markets like Brazil and Russia also see efficient opportunities arise after Christmas.
Stay active and adopt strategies to maximize profitable user acquisition, including:
Scale up with lower cost inventory after the last shipping date from mid December with: