The following is a guest post from Ankur Prasad, Head of Partnerships, Developer Marketing at Amazon
Freemium has become the dominant model for mobile gaming. 83% of the top thousand apps monetize via freemium, so it’s very important to understand how to encourage in-app purchases (IAP). At Amazon, we studied 50 of the top performing games to see what they did in order to stimulate IAP. In this blog post, I’ll share some lessons learned so you can apply them to your monetization strategy.
Train your customers. You’ll often hear that to be successful, you have to serve the right in-app items to the right users at the right time. But we’re finding that this may not be enough in such a competitive market. We learned in our study that games that show their users how to acquire in-app items, using prompts or in-game tutorials, show 2.5 times the conversion rate over those that don’t. Additionally, among the games we studied, those that showed players how to use what they purchased demonstrated 65% higher repeat orders than those that didn’t. Clearly, players benefit from training on how to use the in-app-items they acquire, so keep in mind that sometimes a gentle nudge or a bit of training can produce remarkable results. Read more