SINGAPORE, 26 Nov 2024 – Moloco, a leader in operational machine learning (ML) and performance advertising, today announced the results of a new research study, Beyond Borders: Mobile Gaming Insights for Global Growth, which shows that mobile gaming app marketers are overly focused on a limited number of countries. This research revealed that Singapore-based mobile gaming app marketers allocate only 20% of their user acquisition budgets to Asia Pacific (APAC), with higher relative spending in North America (37%) and Europe (28%).
This local trend mirrors a global pattern, with 71% of the mobile gaming app marketing spend focused only on a limited number of countries – specifically the U.S. (40%), U.K. (6%), Germany (5%) and Japan (4%). The research suggests that mobile gaming app marketers around the world may be missing out on hidden opportunities in additional countries that would accelerate user acquisition (UA), tap into high-value users, and drive significant growth. For Singapore marketers, this could mean doubling down on diversifying marketing spend globally, which could offer opportunities both high user engagement and growth potential.
“This research encourages marketers to broaden their approach beyond familiar territories,” said Nopparat Yokubon, Country Lead, AUNZ / SEA, Moloco Ads. “While Singapore-based marketers are already more distributed in their budget allocations compared to their U.S. counterparts, there remains significant opportunity for more targeted diversification globally. Notably, markets like Hong Kong, South Korea, and Japan demonstrate an even more balanced investment across global markets, serving as strong examples of how diversified strategies and experimentation in less saturated regions can help unlock high-value user segments.”
The study also revealed that:
- Singapore-based marketers are increasingly investing in other regions. 15% of their mobile gaming user acquisition budgets directed to Latin America (LATAM), the Middle East and North Africa (MENA), and Sub-Saharan Africa. This trend highlights how Singapore marketers are seeking global opportunities beyond traditional markets.
- Mobile gaming app marketers in China are leading the way in diversifying global marketing spend and growth. As an export-oriented market that aims to acquire users outside of the home country, China is ahead in terms of diversified global growth. Only 36% of spend is directed at the U.S., Canada and Mexico with greater relative spend in Europe, Asia Pacific and other global markets.
- High-value users exist beyond geographic boundaries. 70-85% of in-app purchase revenue is driven by the top 10% of payers in each market that was researched. Distribution of payer value is relatively consistent across markets and genres indicating potential for expansion with targeted user acquisition strategies.
- Paid user acquisition can unlock opportunities in new markets. While paid user acquisition is most scalable in countries that receive significant marketing spend such as the U.S., Japan, and South Korea, there are pockets of opportunity to target high-value users in countries such as Brazil, Greece, Iceland, Netherlands, the United Arab Emirates, and South Africa.
“It’s tempting to focus on large markets because they’re familiar and marketers are used to advertising there,” said Sarah Yamanouchi, Head of Growth Marketing at Rec Room, the publisher of a popular free online multiplayer game. “However, there is significant opportunity beyond these traditional markets where the competition is lower and hitting your KPIs can be much more efficient.”
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Methodology
To inform this research, Moloco data scientists analyzed performance outcomes from thousands of mobile gaming apps, focusing on those that monetize primarily through in-app purchases (IAP). IAP refers to transactions made within mobile apps that allow users to buy virtual goods or premium features. Unless otherwise stated, the timeframe for the data was September 2023 to September 2024. The research data set included:
- More than 4,000 gaming apps across key mobile gaming genres
- More than $3 billion in D7* revenue from paid and organic sources
- Data collected from 195 countries, including Singapore
In addition, Moloco data scientists utilized information from data.ai, a Sensor Tower company, for details about install estimates, overlaid with Moloco’s predictive models, providing a broader view of global paid user acquisition activity.
To access the full research and the complete methodology, please visit Beyond Borders: Mobile Gaming Insights for Global Growth.
About Moloco
Moloco’s mission is to empower businesses of all sizes to grow through operational machine learning. With Moloco’s machine learning platform for growth and performance, every app publisher, commerce marketplace, and streaming business can now unlock the value of their unique, first-party data. Moloco Ads helps mobile apps acquire and retain high-value users while giving transparency and control back to marketers. Moloco Commerce Media is an enterprise software solution that enables retailers and marketplaces to build their own ad business with a flexible solution that delivers relevance, results, and automation for scaled and streamlined ad operations. Moloco Streaming Monetization enables streaming media companies to revolutionize their monetization strategy by building an outcomes-based ad business that delivers relevancy for users and results for advertisers. Moloco was founded in 2013 by a team of machine learning engineers and has offices throughout the US, the UK, Germany, Korea, China, India, Japan, and Singapore.
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