Samsung & Google fast closing in on Apple's mobile games revenue

Jul 26, 2017

Things just keep getting better for Samsung as each day goes by. The tech company has seen demand for its smartphones rising, also its chip foundry is experiencing good patronage. Another area where Samsung is gaining grounds, as revealed recently, is in the aspect of mobile games monetization. According to a recent report by mobile analytics and marketing platform DeltaDNA, both Samsung and Apple is fast closing the gap hitherto enjoyed by rival Apple in their smartphone's ability to monetize mobile games at higher rates.

Records show that Apple's iPhones have the most ability to monetize mobile games at a far superior rate than those of key competitors in the Western market, notably Samsung and Google. For almost ten years since the launch of the iPhone, its refined user experience propelled by a stunning iOS. This has made the iPhone the smartphone of choice for gamers, with individual iPhone user credited to spend way more on games than what an Android phone spends. But all that is rapidly changing as DeltaDNA has discovered that Samsung's Galaxy S models, as well as Google Pixel series, are not only closing the revenue gap, both brands are well positioned to outpace Apple in terms of the average revenue per daily active user (ARPDAU). As the name implies, the average revenue per daily active user (ARPDAU) is a way of measuring how much revenue is generated daily on mobile phones apps (games) from loyal users.

The study examined the percentage of users who download free-to-play (F2P) games and who go on to spend money each day among those using the latest iPhone, Samsung Galaxy S, and Google Pixel smartphone models. The flagship Samsung Galaxy S8+ which is the most recent model in the study, along with the Galaxy S8, is presently generating the highest ARPDAU and also has the largest payer fraction. This is clearly displayed in the table below.


It should be noted that earlier studies have shown that newer smartphones usually generate more revenue than older models. Also, smartphones with super-sized screens have been discovered to generate revenue more than models with smaller screens even where they have similar hardware. The performance of the smartphone also contributes massively to strong monetization according to Mark Robinson, CEO of DeltaDNA. These factors perhaps explain why the Galaxy S8+ is performing better.

The study is based on data collected from 1.4 million players across North America in the month of June 2017 so, it is pretty recent and in coming months the figures would keep rising. The launch of the Galaxy Note 8 with a far bigger screen size could see Samsung increasing its lead even with the launch of the Pixel 2 and iPhone 8. DeltaDNA sees the game monetization increasing generally as the power and performance of smartphones continue to increase.

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