Games & Names #1 - Tapping into Hybridcasual & H1 Trends!

Stan's Dispatch ??

Hey-hey, Digital Quirites! Stan is here, your fellow industry colleague and ‘Games & Names’ podcast host. Welcome to the first edition of the G&N newsletter. We’re really excited to share this freshly baked issue with you and packed it with the best stuff possible. Make yourself comfortable, prepare your favorite beverage, and let’s dive in! ??

What's the buzz, tell me what's happening?

In addition to our podcast*, I'm launching a biweekly newsletter with the juiciest and most interesting industry insights. Latest mobile market trends, hidden gems worth paying attention to, game deconstructions, author columns, and hot discussions — all is inside.

Definitely not ‘yet-another-gaming-newsletter’ with dry statistics and not very useful facts here. I’ve gathered the crème de la crème of mobile gaming insights and sprinkled it with some experts’ opinions.

We’re really curious about your feedback. So don’t forget to like, share, and tell us what you think in the comments! Good luck and have fun ??

*haven't heard our podcast yet? Then don't forget to check all the links below!

Mobile Apps Market Tidbits ??

In this permanent section twice a month I will share the most interesting insights from the mobile market analysis provided by the AppMagic team.

Now that we've crossed the six-month mark, let's catch up on what's been happening in casual gaming.

• Merge-2. In H1 2023, we saw a 60% revenue hike in the genre, with the anticipated Love&Pies order system leading success stories. Keep an eye on Gossip Harbor and Seaside Escape, their revenue growth is flawless. Despite 44 new 2023 titles, none cracked $50k/month in Tier-1 West countries, except Merge Cooking.

• Idle RPG. H1 2023 saw a 20% market surge, driven by numerous new releases, with Legend of Slime stealing the spotlight. Of the 154 new titles, only four crossed the $50k/month milestone, marking a 2.6% success rate. Interestingly, South Korean publishers were behind most of these hits.

• Idle Tycoon. Monthly revenue has stagnated since December '22. Among 190 titles introduced in 2023, just one surpassed the $50k/month, resulting in a 0.5% success rate. Watch Frozen City for its aggressive scaling, and Idle Lumber Empire, which revived in popularity since February 2023.

• Match-3 Tile. Throughout 2022, 280 titles were launched with a 2.2% success rate. Yet, H2 2023 saw a leap to 203 new releases, but a steep drop in success rate to 0.4%, where Happy Match Cafe: ASMR stood alone. The market specifically dipped for Zen Match, despite Triple Match 3D's 50% revenue growth since 2022's end.

• Survival Arena. Survivor.io continues to rule the market, raking in over $3M monthly. Only Zombie Waves and Pickle Pete pose notable competition. Despite an excessive influx of 258 new projects in H1 2023 (compared to Match-3's 80), the success rate dropped drastically from 3% in 2022 to 0.8% in H1 2023.

Do you feel like you need a broader perspective? Tune in to AppMagic’s Casual Mobile Gaming in H1`23 report for more details!

G&N Ep.3 - Hybridcasual Hype ??

This summer was all about hybrid casual gaming on Games & Names podcast. We’ve invited Thibault de Vésinne-Larüe from Voodoo to share some insights on how they’re making $100M in this genre. Read what we've discovered below!

Hybrid casual games are…

Voodoo defines ‘hybridcasual’ as not necessarily mixing gameplays of different genres, but rather adding not typical for the genre monetisation methods. To give you an example, think of Archero, Project Makeover, or Mob Control.

When it comes to the gameplay the general goal is to make the game as catchy as possible and sprinkle it with liveops. If it’s too complex, like with midcore or puzzle, simplify it using hypercasual elements. If it’s too straightforward (hypercasual), add more levels and create a more powerful meta.

As for the monetisation methods, hybrid casual games incorporate a mix of varied techniques which on average can be broken down to 1/3 in-game purchases, 1/3 rewarding videos ads, and 1/3 interstitial ads. Here you need to do everything to keep a long-term engagement.

Why the niche will finally shape itself this time?

While we saw a bunch of waves in the past when hybrid casual tried to outline itself as a genre, now factors that might help to achieve it come together:

• The negative effect of IDFA changes on the studios' revenues;
• Escalating CPI for Hypercasual games which complicates new launches;
• Rising CPI for Casual games which makes developers explore monetisation strategies beyond IPs;
• Upcoming privacy policy alterations from Apple and Google

All of them combined with the economic downturn bring developers to look for better methods for reducing CPI and increasing LTV.

Voodoo’s approach to hybrid casual games creation

After of long process of ups and downs, Voodoo has outlined two approaches for building hybrid casual games:

1. Use an existing game. Adapt an existing game that's been market-tested and successful for 4-5 years, adding a hybrid layer to it (e.g. Ball Blast, Mob Control).
2. Launch a new game. Choose gameplay that has a potential for disruption, and release a new game modifying conventional setup, rules and introducing diverse monetisation strategies – everything to enhance game engagement (e.g. Block Jam and Infantry Attack).

Metrics indicating that the game is worth launching

Voodoo identifies three major ones:

• Retention. A game with potential should have at least 45% D1 retention, 15% D7 retention (20% for puzzles), and 10% D30 retention.
• Users’ daily playtime. It's important to check users' engagement and how often they return to the game.
• CPI. This is something that applies to both existing and new games, no matter what development strategy the company uses.

When it comes to the gameplay, there’re three more:

• Addictive gameplay;
• Strong potential for revenue generation;
• The feasibility of simplifying existing gameplay

So, it’s always about the balance between catchy gameplay and the right monetisation mix that allows you to decrease CPI and improve LTV.

Author's Vertical ???

In this section, we publish interesting insights and thoughts from our guest authors. Today Michael Kopelovich dropped by to share thoughts on designing effective Ad Removal offers. Michael, the floor is yours!

Thanks, Stan! Ads play a vital role in generating mobile game revenue, but their constant presence can disrupt the player experience. The solution? Ad removal offers. However, their presentation can greatly influence their success.

A common mistake is the absence of an in-app landing screen. Some games directly present 'remove ads' button, which immediately prompts payment. While efficient, it lacks transparency about the offer's details, potentially creating hesitation among players.

Yet, there are games with well-designed ad removal screens, providing clear pricing and persuading copy. But even here, a missed opportunity is the lack of added incentives. Simply offering ad removal may not be compelling enough for a purchase.

The best approach? Combine ad removal with a bundle of bonuses! Players don’t just appreciate tangible rewards—they expect a package. It's not uncommon to see offers that include not just one, but several incentives like in-game currency, special skins, free upgrades, coins, diamonds, and even temporary power-ups, all alongside the primary ad removal benefit.

Top-tier gaming companies, such as Supersonic Studios, Voodoo, Homa, and Lion Studios, champion this approach. Evidence of its success can be seen in the top 100 casual games. It’s not merely about dismissing ads—it’s about presenting players with a comprehensive package they can't resist.

In conclusion, while ad removal offers are essential for casual game revenue, their design and presentation are equally crucial. When done right, they can both enhance the player's experience and boost developer profits.

Reading recommendations ??

Assembled for you the latest insightful analytical reports gathered by AppMagic’s team – thank me later :)

1. Best Practices for Research and Analysis of Hypercasual Game Trends with AZUR Games and FreePlay. In this article, AppMagic together with AZUR Games and FreePlay are outlining how and where to look for hypercasual game trends and how to choose which mechanics to implement into a new game.
2. Skibidi Toilet: A Viral Trend We Deserve. Uncovering this summer hypercasual games favourite trend “Skibidi Toilet”: its history, influence on the market dynamics, and best cases inspired by it.
3. Top 10 Hypercasual Games in Q2 2023. Traditional AppMagic’s hypercasual games market analysis with the market dynamics overview and deep dive into the new popular titles in the niche.
4. miHoYo Games hit $8B in user spending this July. If you still haven’t heard about Genshin Impact publisher’s new milestone, you surely need to jump right into this!

Smarter every day ??

Don't forget to catch up with 'Games & Names' newest episodes:

• Apple Podcasts
• Spotify
• YouTube

In an informal 'friday-dinner-with-friends' atmosphere, we chat with industry experts and share actionable insights. Game design, UA marketing, narrative, production, running a company, or creating one – our topics are wide and broad, just as our smiles. So grab a cup of tea or coffee, tune in, and spend an hour with us!

Acknowledgments and farewells ??

Many thanks to you, dear reader, for staying with me until this part - I hope it was worth your time! :)

Also, grand merci to everyone who participated in the creation of the content:

• Jessi Kroon, Senior Game Designer at Product Madness;
• Kirill Vaganov, Business Development Manager at AppMagic;
• Our friends from Azur Games and FreePlay;
• Kevin Wolstenholme, Studio Community Director at?Homa Games?& Director of?Homa Academy;
• Sabina Magomedova, Producer at?Playduck;
• Michael Kopelovich, Data Analyst at ironSource

See you in two weeks, I'm already preparing something very special!

One more thing! ??

We’re really curious about your feedback. So don’t forget to like, share, and tell us what you think in the comments! Good luck and have fun ??