The mobile gaming industry is the fastest and popular sector in the gaming industry and this is an exceptional opportunity for people who are planning to invest in this industry.
The large user base has led to the growth of the mobile games and mobile game industry, and many game developers are striving to make it exciting and interactive. The success of a game is based on several elements from market research, the game idea to its launch in the market. Further, the popularity of the game, earnings, and retaining the users also determine the game’s success.
Rise of the mobile gaming industry
The mobile gaming industry is highly competitive and revenue-generating. According to the report released by SuperData Research, mobile gaming has increased up to 18% in 2016 than the previous year with $40.6 billion. Also, another report by Newzoo, Games & Esports and Market Research stated that 51% of the revenue generated by the gaming industry in 2018 is by mobile game, while 25% and 24% are from the console and PC games. It is expected that the mobile game will continue to increase by 2021 to 59% with an overall revenue generation of $180.1 billion.
Looking at the immense growth of the mobile gaming industry, many venture capitalists are interested in investing in the games.
Things to keep in mind before investing
If you are a venture capitalist who is interested in investing in mobile games, there are several factors that have to be discussed before getting into it. When you invest your money in a project, follow a few things like:
Planning: Study the game plan to know about the game. The game has to be novel and interactive so that it attracts the users to spend more time in the game.
Cost Requirement: Determine the cost required to develop the game. Discussing the investment prior to the development phase helps you to decide whether to proceed with the process or not.
Game knowledge: Though you are not technically aware of the game development process, you have to know the basic knowledge about the game process to ensure it is working according to the plan.
Track record: Before investing in a team or company, check for the track record to know about their previous projects, achievements, stability, etc.
Experienced team: Look for a team that has the best skillset, who have worked in different types of projects and have knowledge about the latest techniques and tools.
Marketing Strategy: Plan the marketing strategy ahead, so that it helps in setting the goal and to determine the targeted markets.
Advantages of investing in mobile game development
While investing in any business, there is a probability that you might gain or lose. But choosing the best business gives you the best returns.
Persistent market: The gaming industry has come a long way since its evolution. It is evident that a small gaming sector has now flourished into the topmost industry in the digital market. With new technologies and development tools, this industry has a futuristic scope. So it is beneficial in investing in mobile game development.
Flourishing industry: Gaming is never-ending. The number of gamers downloading a mobile game app increases every day. Players are ready to spend money on paid games and in-app purchases. Therefore, investing in mobile games with monetization generates more revenue.
Mass coverage: Mobile phones are common and everybody owns it, but it wasn’t the case as long back players used to spend money to play the Playstations. However, with the use of mobile phones, players can simply download the games for free and start playing them. Therefore, mobile games have a large user base.
Revenue generation: The compound annual growth rate of the gaming industry between 2012-2021 is estimated to increase by 11% out of which 26.8% of the revenue is generated by mobile games. Investing in a promising industry is a wise option.
Connectivity: With the availability of the internet connection, the players can enjoy an uninterrupted gameplay environment. Apart from the players, even the publishers can instantly update and improve the games. Digitization is an asset for mobile game development.
Instant version update: It is easy to update and correct the bugs in the game app, players need not wait for days to play the revised version of the game and keeps the players intact.
Easy to use: While developing a game, the developers are keen on making user-friendly games that attract the players to stick to the game for a long time. Invest in games that are user-friendly.
Ways to invest in a booming platform
Investing in mobile game development provides profits, gives potential earnings and generates more revenue. There are many excellent mobile game development companies present in the market and are in need of investors who can help them in launching their game. Therefore, if you are interested in investing in this profitable industry, here are a few ways you can follow.
If you have a game idea and if you are ready to invest, you can outsource with a mobile game development company.
Some game development companies require funds to develop and deploy their game ideas. Investing in those games will help them in envisioning their game in the market. However, the profit solely depends on the success of the game.
There are several popular games available in the market and are sure to generate revenue, investing in games like that can generate assured returns and profit. Or if you are not interested in investing in an existing game, try to invest in any game that you feel is worth investing in. Though you might not get an assured return, you can try this, as it is more affordable than the popular games.
“Don’t be afraid to start over, it’s a brand new opportunity to rebuild what you truly want”
Mobile game development is a sustainable process and its growth is inevitable. Investing in a game, be it a new game idea or a popular game or any game has its own perks. Sometimes the returns might be higher than the investment, while sometimes it is not possible to retain even invested some. Follow the ideas and do market research before investing.