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Gaming the Future: How to Make an Impact With Younger Generations
Gaming has become the dominant entertainment medium for younger generations, with 80 % of under‑18s actively gaming and Gen Z allocating up to 22 % of free time to play. The study, combining first‑party data from SuperAwesome and Anzu with social listening, qualitative research, quantitative surveys, syndicated data, brand lift studies and parent‑tracking panels, covers the UK, France, Germany, the United States and global markets from 2023‑24. A sample of 30 000 children, teens and young adults (ages 4‑24) plus parent responses informs the analysis.
Key findings show that gaming captures more attention than social media for Gen Z, with 55 % of under‑18s reporting a strong affinity for branded in‑game experiences. Younger gamers are highly receptive to ads, with 75 % of Gen Z players in the UK and US saying in‑game ads improve their experience, compared to 34 % of older adults. In‑game advertising drives higher brand recall (+7 pts) and purchase intent (+9 pts) for audiences under 34, and generates a “halo effect” that boosts brand affinity by up to 86 % among under‑18s. Parents report that children influence household spending, with 86 % saying their child’s opinions matter in purchases and 82 % prioritising items for children.
The report recommends a multi‑platform, contextual approach that respects emerging data‑protection regulations and Age Appropriate Design Codes. It emphasizes early engagement before brand loyalties lock at age 16, contextual targeting over behavioural profiling, and rigorous creative vetting to avoid manipulative design. The analysis underscores gaming’s strategic importance for reaching Gen Alpha and Gen Z, offering measurable lift across awareness, consideration and purchase stages.
- Gaming has become the primary entertainment medium for younger demographics, with 80% of under-18s actively gaming and Gen Z dedicating up to 22% of their free time to play.
- In-game advertising significantly outperforms traditional metrics for younger audiences, driving an 86% boost in brand affinity among under-18s and increasing brand recall by 7 points and purchase intent by 9 points for those under 34.
- Younger gamers are notably more receptive to in-game ads than older adults, with 75% of Gen Z players in the UK and US reporting that ads improve their gaming experience compared to only 34% of older adults.
- Children exert substantial influence on household economics, as 86% of parents report that their child’s opinions impact household purchases and 82% prioritize spending on items for their children.
- Gaming captures more attention than social media among Gen Z, with 55% of under-18s expressing a strong affinity for branded in-game experiences.
2026 Global Mobile Gaming Marketing Trends White Paper
The white paper establishes that the mobile‑gaming advertising ecosystem expanded rapidly in 2025, with more than 90 000 active advertisers and an influx of roughly 8 000 new entrants each month, a 22 % year‑over‑year rise. Advertisers increasingly deploy fresh creatives, with video accounting for 74 % of all ads—up 14 % YoY—and Android remains the dominant acquisition platform, though iOS shares grow for mid‑core and hard‑core titles.
Top mobile games in 2025 show a clear split between volume‑driven casual installs and value‑focused premium titles. Casual hits such as Block Blast! and Subway Surfers dominate downloads, while mid‑core and premium games generate the bulk of revenue. Leading spenders—FunPlus, Yotta Games, Hungry Studio—continue to favor Android for lower cost‑per‑install acquisition, whereas iOS delivers higher monetization per install.
The industry is moving from a linear funnel to an “Infinity Loop” model that integrates acquisition, retargeting, and lifecycle actions. Aarki’s supervised‑AI engine demonstrates the potential to boost lifetime value by up to 30 % and reduce campaign volatility, underscoring the importance of a unified, data‑driven full‑funnel strategy that prioritizes LTV over instant installs.
Early‑stage mobile games must achieve rapid habit formation, with 60‑minute daily play by week 2 and high alliance join rates. Paid‑traffic validation is critical; a Day‑1 acquisition rate below 35 % signals readiness issues. Creative trends vary by genre: lightweight socializing and parkour mini‑games dominate SLG spend, RPGs favor narrative IP‑linked content, while simulation and casual titles rely on realistic or viral short‑video formats that capture 70–80 % of impressions.
Regional insights reveal puzzle and casino titles lead creative trends in 2026, with Japan/Korea driving new creative volume and Southeast Asia showing higher local IP acceptance. Mobile‑gaming ad spend rises modestly in Oceania and South America, with Android dominating creative output. A strategic pivot toward “authenticity‑utility‑impact” stacks—solving real problems and building defensible communities—drives higher retention, while AI‑powered creatives accelerate rapid testing. Finally, marketers increasingly adopt AI and programmatic DSPs beyond walled gardens; performance gaps and trust issues persist, yet data show significant install uplifts when CTV campaigns complement mobile ads, indicating a shift toward transparent, scalable programmatic solutions.
- The mobile gaming advertising ecosystem grew by 22% year-over-year in 2025, with over 90,000 active advertisers and 8,000 new entrants joining monthly.
- Video content now accounts for 74% of all mobile game ads, representing a 14% year-over-year increase in usage.
- A shift toward an 'Infinity Loop' marketing model, supported by supervised AI, can increase player lifetime value (LTV) by up to 30% by integrating acquisition, retargeting, and lifecycle management.
- Android remains the primary platform for volume-driven acquisition due to lower costs, while iOS is increasingly favored for mid-core and hard-core titles to maximize monetization per install.
- Early-stage games require a Day-1 acquisition rate of at least 35% and 60 minutes of daily play by week two to signal long-term viability.
3Q FY2021 Presentation Material: Japan
3Q FY2021 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Quarterly Results (April - June 2021) 3. Internet Advertisement Business FY2021 The growth of games and ads exceeded our expectation. The forecast is revised upward again.
- The company's Q3 FY2021 sales reached 192.2 billion yen (up 70.3% YoY) and operating profit hit 44.5 billion yen (up 5.4x YoY), leading to an upward revision of the full-year forecast.
- The game division was the primary growth driver, with sales of 92.3 billion yen (up 151.7% YoY) and operating profit of 44.2 billion yen (up 483.5% YoY), largely attributed to the success of "Uma Musume Pretty Derby."
- The advertising division also performed strongly, achieving sales of 81.8 billion yen (up 27.3% YoY) and operating profit of 5.2 billion yen (up 9.7% YoY) by maximizing advertising effectiveness.
- ABEMA and related businesses saw sales increase by 48.7% YoY to 19.9 billion yen, though they recorded an operating loss of 3.8 billion yen.
- The company maintains a strong financial position, with current assets at 272.8 billion yen (up 50.6% YoY) and cash deposits at 146.6 billion yen (up 62.1% YoY) as of June 2021.
3Q FY2020 Presentation Material: Japan
3Q FY2020 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Quarterly Results (April - June 2020) 3. Internet Advertisement Business FY2020 Results were in line with the forecast despite COVID-19 Q3 impact.
- Overall FY2020 results were in line with forecasts despite COVID-19, with Q3 sales down 0.7% year-over-year to 112.8 billion yen and operating profit down 12.3% to 8.2 billion yen.
- ABEMA's Weekly Active Users (WAU) remained stable after the lifting of stay-at-home requests, with Media sales up 19.2% year-over-year to 13.3 billion yen, though operating profit was a loss of 4.0 billion yen.
- Advertising sales remained flat year-over-year at 64.3 billion yen (up 0.01%) despite COVID-19, with operating profit down 6.0% to 4.7 billion yen, by focusing on advertisers with strong stay-at-home consumer demand.
- Game sales declined 4.0% year-over-year to 36.7 billion yen in Q3, with operating profit down 9.5% to 7.5 billion yen, as quarterly revenue declined after anniversaries of game releases.
- The company's total employee headcount was 5,467 at the end of June, including 295 new graduates who joined in April.
2Q FY2021 Presentation Material
2Q FY2021 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Quarterly Results (January - March 2021) 3. Internet Advertisement Business FY2021 Game and ads performed well.
- Consolidated sales for 2Q FY2021 reached 163.4 billion yen, marking a significant 26.6% year-over-year increase, driven by strong performance in both the game and advertising businesses.
- The company has achieved its full-year forecast for Sales (294.4B), Operating Profit (32.9B), Ordinary Profit (33.0B), and Net Profit (13.6B), with sales progressing at 49% towards a revised 600B target.
- The game business saw success with new titles; "NieR Re[in]carnation" achieved 10 million downloads, and "UMA MUSUME Pretty Derby" exceeded 5 million downloads within 1.5 months of its February 24th release.
- ABEMA's weekly active users (WAU) are consistently in the 12 million range, with a peak of 14.90 million, indicating strong user engagement for the media platform.
- Total employee headcount stood at 5,535 at the end of March, with 300 new graduates joining in April, reflecting continued investment in human resources.
1Q FY2022 Presentation Material
1Q FY2022 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Quarterly Results <sub>(October </sub>- December 2021) 3. Internet Advertisement Business 6. Medium to long-term strategy FY2022 Sales and OP were off to a strong start.
- Q1 FY2022 saw strong overall performance with sales of 171.0 billion yen (up 30.6% YoY) and operating profit (OP) of 19.8 billion yen (up 2.8X YoY).
- Game sales and OP significantly grew, driven by "Uma Musume Pretty Derby," reaching 58.3 billion yen (up 94.7% YoY) and 17.1 billion yen (up 15.1X YoY) respectively.
- Media revenue from ABEMA and related businesses increased to 24.9 billion yen (up 22.4% YoY), though it recorded an operating loss of 3.8 billion yen (an improvement of 80 million yen YoY).
- Advertising sales reached a new record of 87.8 billion yen (up 14.7% YoY), with an OP of 5.7 billion yen (up 0.7% YoY).
- ABEMA has exceeded 76 million downloads in five years and nine months since its launch, with its paid online live entertainment feature "ABEMA PPV ONLINE LIVE" and online sports betting "WINTICKET" contributing to its growth.
3Q FY2022 Presentation Material: Japan
3Q FY2022 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Quarterly Results (April - June 2022) 3. Internet Advertisement Business 6. Medium to long-term strategy FY2022 Game sales declined from the peak made by the title released last year.
- Overall Q3 sales decreased by 10.4% year-over-year to 172.1 billion yen, and operating profit plummeted by 76.7% to 10.3 billion yen, largely due to a significant decline in game sales.
- Game sales decreased by 50.0% year-over-year to 46.2 billion yen in Q3, with operating profit down 77.6% to 9.8 billion yen, attributed to the previous year's peak title release and big events.
- Advertising sales remained strong, growing by 21.6% year-over-year to 99.5 billion yen in Q3, achieving a new record high, with operating profit up 19.0% to 6.1 billion yen.
- Media sales grew by 48.2% year-over-year to 29.5 billion yen in Q3, driven by ABEMA PPV and related businesses, despite an operating loss of 3.9 billion yen.
- SG&A expenses increased by 22.7% year-over-year to 37.8 billion yen in Q3, primarily due to increased marketing expenses for "WINTICKET" and special incentives.
2Q FY2023 Presentation Material: Japan
2Q FY2023 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Financial Summary (January - March 2023) 3. Internet Advertisement Business 6. Medium to long-term strategy FY2023 Quarterly sales hit a new record high.
- FY2023 Q2 sales reached a new record high of 195.6 billion yen, a 2.4% increase year-over-year, despite a 27.0% decrease in operating profit to 18.7 billion yen.
- The media business, particularly ABEMA, significantly reduced its loss, with sales up 22.4% year-over-year to 33.4 billion yen and operating profit improving by 1.3 billion yen year-over-year to -0.5 billion yen.
- The game business showed strong performance driven by anniversaries of major games like "Uma Musume Pretty Derby" and "Granblue Fantasy," with sales of 62.1 billion yen (down 10.0% YoY but up 51.9% QoQ) and operating profit of 15.2 billion yen (down 29.0% YoY but up 191.7% QoQ).
- Ad sales remained stable and hit a new record high of 100.2 billion yen, up 6.7% year-over-year, due to solid client acquisition, though operating profit for this segment decreased by 33.9% to 4.9 billion yen.
- ABEMA's Weekly Active Users (WAU) remained 1.5 times higher than the previous year following the FIFA World Cup Qatar 2022, indicating sustained user engagement.
FY2023 Presentation Material
October 2022 to September 2023 The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various risks and uncertainties. 1. FY2023 Full Year Results (October 2022-September 2023) 2. FY2024 Forecast (October 2023-September 2024) 3. Internet Advertisement Business 6. Medium to Long-Term Strategy 7.
- Consolidated sales for FY2023 reached 720.2 billion yen, a 1.4% increase year-over-year, marking 26 consecutive years of sales growth since inception.
- Operating profit for FY2023 significantly declined by 64.5% to 24.557 billion yen, with the operating profit margin dropping from 9.7% to 3.4%, primarily due to large investments in the Media business (ABEMA) including the FIFA World Cup.
- Net profit for FY2023 decreased by 78.0% to 5.332 billion yen.
- ABEMA, the Media business segment, saw its Weekly Active Users (WAU) grow by 2.4 million year-over-year, reaching an average of 18.79 million in Q4 FY2023, driven by events like the FIFA World Cup.
- The company plans to release more than three new games in FY2024, including "Jujutsu Kaisen Phantom Parade" in late November, and will open a new production studio in Japan to leverage AI and computer graphics.
3Q FY2023 Presentation Material: Japan
3Q FY2023 Presentation Material The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various 1. Financial Summary<sub>(April-June 2023)</sub> 3. Internet Advertisement Business 6. Medium to long-term strategy FY2023 Media and Ads increased the sales.
- Overall Q3 FY2023 performance saw a significant drop in operating profit (down 86.2% YoY to 1.4 billion yen) despite sales remaining flat (down 0.2% YoY to 171.7 billion yen).
- The Game business experienced lower-than-expected earnings, with sales down 27.0% YoY to 33.7 billion yen and an operating loss of 0.1 billion yen, primarily due to a slowdown after major game anniversaries in Q2.
- The Media business, specifically ABEMA, saw improved performance, with sales up 13.1% YoY to 33.3 billion yen and a reduced operating loss of 1.5 billion yen (a 2.4 billion yen improvement YoY).
- The Ads business achieved record-high sales of 105.4 billion yen (up 9.1% YoY), but operating profit decreased by 37.4% YoY to 3.8 billion yen due to continued upfront investment.
- SG&A expenses increased by 5.2% YoY to 39.8 billion yen in Q3 FY2023.
1Q FY2024 Presentation Material
The presentation outlines CyberAgent’s fiscal‑year 2024 first‑quarter performance, emphasizing a robust rebound across its three core businesses—Internet advertising, media (ABEMA), and game development. Consolidated sales reached ¥193 billion, up 15.2 % year‑over‑year, while operating profit climbed to ¥6.28 billion, a 7.5‑point increase from the prior year’s loss. The advertising arm delivered ¥105.3 billion in revenue, up 10.1 % YoY, and an operating profit of ¥5.6 billion, reflecting a 13.3 % YoY gain and sustained improvement in operating‑margin efficiency (OPM). Media operations posted ¥42.7 billion, a 27.8 % YoY rise, though operating loss narrowed to ¥0.9 billion, driven by reduced losses in ABEMA‑related activities. Game sales hit ¥45.0 billion, up 10.1 % YoY and 6.5 % QoQ; operating loss fell to ¥3.4 billion, a 32.9 % YoY decline and 42.4 % QoQ improvement, thanks to a new hit title.
Financial statements show total assets of ¥468.7 billion and shareholders’ equity of ¥129.0 billion, with cash deposits at ¥184.8 billion. SG&A expenses rose 8.1 % YoY to ¥43.7 billion, while headcount increased to 7,336 employees.
Strategically, the company targets a “growth phase” with new digital ad platforms (e.g., ANA Moment Ads), continued investment in ABEMA, and a pipeline of high‑quality games such as “Jujutsu Kaisen Phantom Parade.” Forecasts indicate that FY2024 operating profit will reach ¥30 billion, with sales projected at ¥750 billion. The presentation stresses a commitment to enhancing monetization, AI‑driven advertising efficiency, and extending game lifecycles to secure long‑term profitability.
- CyberAgent returned to profitability in 1Q FY2024 with ¥6.28 billion in operating profit, a significant recovery from the prior year's loss, on consolidated sales of ¥193 billion.
- The company projects full-year FY2024 performance to reach ¥750 billion in sales and ¥30 billion in operating profit.
- The game development segment saw sales rise 10.1% YoY to ¥45.0 billion, with operating losses narrowing by 32.9% YoY to ¥3.4 billion, largely driven by the success of the new title 'Jujutsu Kaisen Phantom Parade.'
- The internet advertising business remains the primary revenue driver, contributing ¥105.3 billion in revenue—a 10.1% YoY increase—and ¥5.6 billion in operating profit.
- Media operations, anchored by ABEMA, grew revenue by 27.8% YoY to ¥42.7 billion, successfully narrowing the segment's operating loss to ¥0.9 billion.
FY2024 Presentation Material: October 2023 to September 2024
October 2023 to September 2024 The future information, such as earnings forecast, written in this document is based on our expectations and assumptions as of the date the forecast was made. Our actual results could differ materially from those described in this forecast because of various risks and uncertainties. 1. FY2024 Full Year Results (October 2023 -September 2024) 2. FY2025 Forecast (October 2024 -September 2025) 3. Internet Advertisement Business 6. Medium to Long-Term Strategy 7.
- Consolidated sales for FY2024 reached 802.9 billion yen, an 11.5% increase year-over-year, marking the 27th consecutive year of sales growth driven by strong performance in three key businesses.
- The company's full-year sales were 436.3 billion yen, up 7.6% year-over-year, indicating market share growth by outpacing overall market expansion.
- The dividend forecast has been raised to 16 yen from 15 yen, with a Dividend on Equity (DOE) guidance of 5%, and the company's ROE, dividend payout ratio, and DOE all exceed the TSE average.
- Operating loss significantly improved year-over-year, with FY2024 showing a 9.5 billion yen increase in operating income compared to the previous year.
- Sales from ABEMA and related businesses grew by 22.4% year-over-year to 107.5 billion yen in FY2024, primarily driven by ABEMA-related businesses and advertising.