The State of Mobile Gaming

[Music] thank you [Music] even more awesome data now I gave a little bit of an overview in my hilarious slides at the front but now we have some proper data from data AI so I'm pleased to welcome the stage to give us an insight to the state of mobile gaming Chris egleta from data AI ran Applause for Chris please I'm actually not a full Texan I moved to uh Texas from New York in 2008 so no accent sorry to disappoint you but glad to be in this beautiful city still a little jet lagged I'm Chris suglietta I lead games marketing at data AI

uh you may remember us as app Annie DayDay AI is now uh app Annie is now data AI and what that means is we wanted to align our brand with how we go about providing data and we're the first unified data AI company which means we pull data from multiple sources and we use AI to make sure that the quality of the data and the accuracy is spot on we're going to do a lot more exciting things with the AI down the road with our exciting product roadmap so stop by our booth to hear about that please we also work with a number of innovative companies a lot of the best companies and the apps and mobile game Space trust us and so should you um none of this is financial advice especially coming from me so uh please you know you don't need to read the disclaimer but you know take it what it is um this is going to be a mixed message story I'm going to start with the uh the

state of the app ecosystem down into games and then into uh what's happening with a few areas in the game genres so let's start looking at the app ecosystem and the message here is that mobile performance has uh Plateau not the ecosystem performance is something I add in a later version of this deck and so you know we see that Global demand for downloads across the board including apps uh is softening in terms of the growth rate uh and and that's to be expected uh given what's going on uh in the the economy and everything else and we'll see um that spend is kind of following that same trajectory even more dramatically so you know the econ the uh the space for apps is great in terms of new acts coming in uh Etc but of course the global macroeconomic forces are beginning to be reflected in this data and of course the latest changes we're

seeing real time here ought to be even more dramatic as we see it but we do see quite a bit of decline in spend um and let's take a a look here at time spent so spending less but time spent not quite as attracts drastic reduction so folks are just being more discriminate as to where they put their money when they open your game or or uh or app as well and that makes sense as disposable income is going down and you know maybe in this case we're spending Less on you know not having Netflix and a variety of other streaming services maybe we just have one or two instead of three again another look at the global app economy we see spend in the middle has taken a pretty good dive whereas time spent total hours is continuing to grow so you know still we're the the habits we've developed during covid of you know always having our phone that's not changing it's in fact growing

um but when we decide to buy is certainly changing so more competitive there absolutely and again time increasing dollars decreasing let's take a look at year over year this is top 20 mobile markets for the first half of 2022 so this is the freshest data we have and total time is up across the board 11 across all GEOS we see some significant uh growth there in China and India um and some of the Emerging Markets as well um mobile usage so time up again we see significant growth continuing in the U.S um and then you know some of the European countries as well so just to kind of round out that story we're still using our phones we're still on them uh in the app world I'm going to jump to App Store spend

decrease so top 20 mobile markets we see uh in the US on the far left we have stepped down uh in in app spent so maybe that means we're doing one last or one less ubereats or doordash order a week or one less less subscription but the good news is that we'll get into later is we're not seeing quite as much of decline in gaming so this isn't all bad news I really just want to provide a context between App Store spend versus gaming and how people are thinking about their spend uh again spend decrease we can see for the top 20 mobile markets so let's jump into gaming um here's those same three charts so this is a month to month for 2022 uh for games globally and we see downloads holding pretty steady spend after a little bit of a decline earlier in the year has come back super strong that's exciting to see especially coming out of typically a summer slump

as we get closer to the holidays so that makes me pretty bullish not Financial advice um and then total hours as it continues to remain strong and grow so we want to play games we're spending our time there our users our players are spending time there and spend is going up but of course it's more of a competitive environment as well looking across all of those together I'm sorry I've got some duplicate slides in here okay so uh gaming is really continuing to stop up more of that share wallet likely versus other forms of entertainment we see that here in a lot of the largest markets including the US you see the second uh column there for the United States really big jump 2020 to 2021 in terms of game spend in terms of share a wallet so customers who have really discovered games maybe through covid time period or just through new

genres or or new marketing to those demographics have really stayed on and are continuing to show that they find Value in what we do that's on iOS that data and this is what I was saying earlier is the mobile ecosystem is healthier than ever so Publishers have released one point seven million new apps uh and 300 000 new games so we just see overall uh a lot of opportunity in the space and a lot of you know Supply leading to increased demand and you know really this this this title this slide is really meant to show that there's still a lot of opportunity for these new games to drive a ton of Revenue 174 of them have generated over 100 million dollars in 2021 I'd consider that to be a pretty significant business of course so plenty of opportunity as

well even with some of the metrics getting a little flatter during this time period and of course the global economic situation and then growing inclusively so about 50 of games now uh spend uh is is female and we see that Roblox leads that and that doesn't surprise me my daughter's 10 years old and her number one ask is can I have a Roblox gift card my son is eight same thing so they may be playing different games within Roblox but it's exciting to see um just that this pie is kind of growing overall and that it's it's inclusive it's it's not only male uh dominated and further gen Z so these are your 10 to 25 year olds are gaining the most ground as you know these are the folks we can monetize so I I know with my nephews and my kids a lot of that is uh some allowance and sort of Christmas gifts and stuff and and the rest I assume comes from jobs a lot of that uh

coming from Japan um and just kind of across Europe and South Korea driven by a variety of games in a variety of genres so nice to see that that gen Z is really enjoying kind of the full Gambit of games and genres out there I want to take a look at some highlights across genres and just take a pause here this is the game IQ taxonomy this is one of our big feature upgrades uh data I data AI subscriber can get and allows us to look into specific genres and sub-genres and then the features within them and so from that we can pull a lot of interesting insights I'm going to kind of flash them here but I encourage you I don't know if we'll be able to do questions here so come by the data AI booth and we can walk through kind of a deeper level discussion and we could even show you game IQ so hyper casual or casual games uh not a

surprise they lead in downloads that's the model there um that's not news um but I think what's interesting is that the type of game mechanic and the sub genres are constantly changing what's carrying that top spot in volume download so using Game IQ and if you're developing hyper casual games or publishing hyper casual games from small Studios taking a look at what's working and and what's coming out of fashion real time it's a big play here as uh you know a lot of these titles have a very simple mechanic and they do get tired so kind of seeing what what's been played out you may not want to mimic that game versus what's coming in and and what you could imagine could be derived from what's currently popular very smart move in this space enabled by game IQ uh further on that same note you know it depends where you're publishing so hyper casual tastes differ by region so you

know what's popular in the U.S is going to be different than Brazil and Indonesia didn't realize we had so many animations here and you know in terms of the the recent continued success in gaming and spend um you know top five uh genres by growth in terms of download uh 2022 verse 2021 uh we see a lot of simulation uh creative sandbox Roblox shooting Etc but what I think is interesting here is that RPG on the spend side continues to be super strong um with fantasy Westward Journey leading globally in that genre let's take a look further at that so RPG games are among the most successful genre for monetization um and we see that number four is slot Social Casino continues to kind of carry very high span I believe they have the

highest spend per user in any genre so interesting to see that while new users are coming in and enjoying some of these RPG games that the classic slots genre which is it's really not been known for for generating a lot of new users continues to to drive really hard with their social features and this is the kind of thing that you can unlock by looking at game IQ from data AI um let me just take a quick look at the kind of things that uh game IQ and particularly data AI can help deliver you know we're great for competitive analysis uh for ASO developing your product roadmap I'm going to be doing a seminar with Joe Kim coming up uh later this quarter to do um uh feature analysis and expected outcomes modeling stay tuned for that please join our newsletter to learn more and then Business Development you know what what's a proper Target how do they fare with data ai's mobile performance

score um expansion and then optimizing your ad monetization so that was a very quick I think I went too quickly view I'd like to invite you to our booth to ask any questions or get a deeper view of this this deck will be available as well for you to consume there's a lot of information there and probably something we should chat about thank you for joining today appreciate your time thank you okay wow that was very rapid that was very rapid I would normally uh pause for questions but we are a bit late and you've already invited people to your booth yes so do go and see Chris on his Booth but we're going to move straight along because thank you not your fault but we were labeled thank you very good but it's great data fantastic thank you