Document Title: The State of Mobile Game and App Markets: H1 2022
Executive Overview
Market Contraction, but Not Uniform:
Overall mobile‑app and game ecosystem shrank – 6.2 % YoY drop in the number of advertisers and a 27 % decline in total creatives.
The contraction was regional: Europe, North America, and Oceania bore the brunt, while Tier‑2/3 markets (especially Hong Kong, Macau, and Taiwan) surged – advertiser counts rose 37 % YoY.
Creative Strategy Shift:
Marketers moved away from “quantity‑over‑quality” to higher‑quality, user‑generated‑content (UGC)‑style creatives.
This pivot drove a 27.8 % YoY reduction in total mobile‑game creatives (down to 15.8 M), while the advertiser base remained relatively stable (≈ 45.1 K).
Performance‑Driven Campaigns:
Adoption of cost‑per‑play (CPP) and in‑app‑purchase‑return‑on‑ad‑spend (IAP‑ROAS) optimization grew sharply.
Machine‑learning‑powered tools—predictive analytics, automated bidding, and the new SKAdNetwork 4.0 attribution framework for iOS—helped offset rising cost‑per‑install (CPI) pressures and improve early‑stage ROI measurement.
App‑Store Search Dominance:
64.7 % of all app installs in H1 2022 originated from App Store search.
Consequently, publishers and marketers doubled‑down on App Store Optimization (ASO) and Apple Search Ads, treating search visibility as a primary acquisition channel.
Growth Outlook:
Future expansion is expected to be driven by emerging markets (Tier‑2/3 regions) and increased reliance on AI/ML‑based campaign automation.
Continued investment in high‑impact, UGC‑styled creatives and search‑centric acquisition will be critical to sustain performance as CPI trends upward.
Section‑by‑Section Highlights
| Section | Core Findings |
|---------|----------------|
| 1 – Market Landscape | • 6.2 % YoY decline in advertisers; 27 % drop in creatives.<br>• Steepest losses in Europe, NA, Oceania.<br>• 37 % YoY advertiser surge in Hong Kong, Macau, Taiwan (Tier‑2/3).<br>• Shift to higher‑quality, UGC‑style creatives and predictive‑analytics‑driven campaigns (incl. SKAdNetwork 4.0). |
| 2 – Creative & Optimization Trends | • 27.8 % YoY reduction in total mobile‑game creatives → 15.8 M.<br>• Advertiser count stable at ~45.1 K.<br>• Widespread adoption of CPP and I