Conversions Using Game Partnerships
Video games are one of the most top grossing ways to place advertising or collaborations. With an ad revenue of up to 24 billion USD, spending on advertising within video games are rising above 4 billion USD—which, debatably, is an incredibly cheap investment for the potential returns. With the improvements of mobile games as a whole, the market for video game advertising is becoming even cheaper and to a wider audience.
Advertising on games are a slow moving yet efficient way of spreading brand awareness and dragging in conversions. Especially if you partner with games that are somewhat in-tune to your brand. As digital advertising brings in more data, it could prove to be an even more profitable investment than many other types of digital marketing. Especially if you are aiming for a lower budget advertising.
Lower Investment Costs
Game-based partnerships and advertising is still relatively cheap despite the potential abundance of data and possible conversion it drives. With the average price per engagement staying way under 45,000 IDR or somewhere under 3 USD per engagement.
Something that game partners often claimed to be “much cheaper than less engaging alternatives” especially considering how much of a user’s digital footprint you gain access to should this type of partnership be done. With the game companies handling the maintenance and necessary changes to the game, the partner doesn’t need to worry about too many side costs (such as maintenance or upkeep costs) that may hinder revenue.
Various Type of Engagement
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The type of engagements that comes from this partnership also varies. Among them are some of the following:
- Social Media shares of ongoing about partnership/campaign, creating more brand awareness for you from the users and earning more potential users.
- Organic Conversion where users may not only use your services for the benefits but also everything else that you provide.
- Cyber Footprint of users that logs in through other means than the designed partnership
- Behavior Analytics be it from a user’s spending habits of in-game currency to how often they would use benefits your service provides.
Study Case: Kota Kita
As an example of how a partnership with a video game works, we take a look at Kota Kita by Agate. The game had first been drafted years before its first partnership. However, was finally finished and launched at April 2018. And in under a year that it had been up, the game had accumulated at least 500.000 users. And with the 500.000 users it had, over 50% of them contributed to the game partner’s conversion rate. As for the rate charged was much under 30.000 IDR or somewhere under 2.1 USD per engagement. Which were even less so than market average.
How the Partner was Advertised by Kota Kita
Due to the partner having their own game channel, the way Agate approached this partnership/collaboration was to put in a login option to the game through the partner’s channel. Logging in to play the mobile game would in turn help save their progress, this is the same benefit earned by players even should they log in with Facebook or Google. However, with the partner’s channel, a user would gain additional benefits and premium rewards for the game.
This generated a lot of interest and in turn engaged them enough to not only register for the partner’s channel but use the partner’s channel for its other uses. With a special note being that the 50% conversion rate for the partner does not include the small percentage of people that had already had an account for their channel. And with the active daily user count reaching 45 to 60 thousand users per day, the partner has a share of said active user.
Insights from Partnership
The partnership had been an enormous success due to the sheer numbers of users playing the game, even if they do not log in with the partner’s channel. As, it was found out that logging in with a social media account also proved beneficial due to the user data it provided. And this, in turn, was shared with the partner, letting them earn valuable insight to potential customers.
Data driven from a user’s Facebook or Google account is invaluable as it contains information such as preferences, digital behaviors and interests. All of which can become a treasure of an asset for market studies and predictions outside the game-based partnership.
Other Means of Game Advertising
A full partnership is of course not needed for spreading your name to a game’s user. Even simple ads that pops in on a game meant to be a simple time-waster can help. Though it may prove intrusive should it be done wrong, when a user is fond of the game and the advertisement appears enough, it might even just condition them enough to eventually click on the advertisement and thus, the potential of a customer is realized.
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