User Acquisition

The global mobile ecosystem experienced significant expansion throughout 2021 and into 2022, characterized by record-breaking consumer spending of $170 billion and a projected ad spend of $336 billion. Despite initial concerns regarding privacy changes following the release of iOS 14.5, the industry demonstrated remarkable resilience as App Tracking Transparency opt-in rates reached 25% globally, far exceeding early market expectations. This growth was distributed across key verticals including fintech, e-commerce, and gaming, with mobile e-commerce sales alone reaching $3.56 trillion.

The fintech sector emerged as a primary driver of engagement, with installs and sessions rising by 34% and 53% respectively. While traditional banking and payment apps maintain the highest market share, cryptocurrency and stock trading platforms saw the most intense user activity, with session lengths nearly doubling. However, this heightened interest triggered a sharp increase in acquisition costs, with fintech eCPIs rising from $1.05 to $3.40 over the course of a year. Similarly, e-commerce apps saw a 46% surge in in-app revenue despite rising costs and declining retention, signaling a shift where users are spending more money and time per session even as new user acquisition becomes more expensive.

Mobile gaming remains the dominant force in the app economy, accounting for 52% of total consumer spend. Global game installs grew by 32%, led by the hyper-casual subvertical, though action and adventure titles commanded the highest levels of engagement and session frequency. While Day 30 retention rates for games nearly doubled to 9%, the industry faces a growing divide between high-volume downloads and long-term stickiness. As user acquisition costs continue to climb across all regions—particularly in LATAM and EMEA—the focus for developers has shifted from pure volume to maximizing lifetime value and implementing sophisticated re-engagement strategies to sustain growth in an increasingly competitive landscape.

The 2022 Mobile Ad Creative Index analyzes performance trends and benchmarks across four major mobile app verticals: gaming, e-commerce, entertainment, and finance. The report focuses on the strategic importance of ad creative excellence in a privacy-first landscape following Apple’s IDFA changes. It evaluates five primary ad formats—banners, interstitials, playables, native, and video—across both iOS and Android platforms.

The findings are based on a massive dataset spanning January 1, 2021, to January 1, 2022, encompassing 805 billion impressions, 12.6 billion clicks, and 200 million installs. Data points indicate that while Android remains more cost-effective, with iOS costs often doubling those of Android for the same formats, specific creative types offer distinct advantages. In gaming, playable ads provide the lowest cost-per-install (CPI) at $1.98, though banner ads deliver the highest return on ad spend (ROAS), reaching nearly 22% by day 30. In the e-commerce and finance sectors, banner ads emerge as the most value-driven format, offering the lowest CPIs and high install-to-action rates.

A significant portion of the analysis, supported by GameRefinery and VisualMind technology, examines player motivations. Despite the potential of tailoring creative to specific psychological drivers like "thinking and solving" or "excitement and thrill," the data reveals a massive gap in execution: only 4% of casual game video ads and less than 1% of midcore ads successfully tap into these motivations. The conclusion emphasizes that future performance marketing success depends on "hyper-localization," interactive elements like gamification for non-gaming brands, and iterative creative testing to combat ad fatigue.

The Modern Mobile Consumer 2022: App Discovery Report examines the evolving journey of mobile users from initial app discovery to daily usage and long-term engagement. The primary thesis suggests that the traditional distinction between gamers and non-gamers is increasingly obsolete, as consumer behaviors and attitudes toward advertising are remarkably consistent across different app categories. Findings indicate that mobile gaming has become a universal hobby, with 60% of non-gaming app users playing mobile games daily, tying with social media for the top usage category.

Data highlights the dominance of in-app advertising as a discovery tool, with 70% of gaming audiences and 78% of a control group reporting they have downloaded apps after seeing mobile advertisements. While most users maintain over 20 apps on their devices, the majority only engage with five to ten apps daily. To break into this limited rotation, the research suggests that video ads, app store promotions, and interactive formats are the most effective. Furthermore, rewarded ads—traditionally associated with gaming—show broad appeal, with 33% of non-gaming audiences paying more attention to ads that offer in-app incentives.

The research methodology involved a large-scale survey of 30,457 respondents conducted in April and May 2022. The sample included 18,894 consumers from gaming apps and 11,563 from non-gaming apps within the ironSource network, supplemented by a 500-person third-party control group to eliminate bias. All participants were verified adults aged 18 or older. The geographic scope is global, focusing on the broader mobile app economy. Conclusions emphasize that successful user acquisition strategies must prioritize interest-based relevance, humor, and rewarded engagement to capture the attention of the modern mobile consumer.

The global mobile application market experienced a pivotal transition in the second quarter of 2022, characterized by a 2.5% year-over-year decline in total downloads to 35 billion. While Google Play maintained the largest volume with 27.2 billion installs, the most significant development occurred within the United States, where consumer spending on non-gaming applications surpassed gaming revenue on the App Store for the first time. This shift was fueled by a 40% compound annual growth rate in subscriptions, with non-game subscription revenue soaring 129% above 2019 levels. This trend underscores a fundamental change in consumer behavior as 400 non-game titles generated over $1 million in quarterly revenue, signaling a maturation of the subscription economy.

The gaming landscape remained highly competitive, led by the resurgence of Subway Surfers, which achieved its best performance since 2014 with over 80 million downloads. While Garena Free Fire continued its dominance on Google Play, particularly in Asia, the quarter was defined by the successful entry of mid-core titles like Apex Legends Mobile and Diablo Immortal. Regional growth was most pronounced in Indonesia, which surpassed 2 billion quarterly downloads for the first time, while the U.S. market saw a resurgence in travel and ticketing sectors as consumers returned to pre-pandemic activities.

Publisher dynamics remained concentrated among established giants, with Meta and Google maintaining their global leadership. Meta saw an 11% year-over-year increase in downloads, driven by its ownership of four of the top five most-installed apps worldwide. The industry also witnessed significant consolidation and strategic shifts, notably Take-Two Interactive’s rise to the top of the U.S. gaming market following its acquisition of Zynga, and Miniclip’s acquisition of the Subway Surfers franchise. These movements, combined with the rising influence of domestic publishers in China and the U.S., illustrate a market balancing global scale with localized dominance.

The mobile app industry experienced a period of robust expansion throughout 2021, characterized by $170 billion in consumer spending and $288 billion in advertising expenditures. Despite the implementation of Apple’s App Tracking Transparency framework, the sector demonstrated unexpected resilience as global opt-in rates reached 25%, significantly outperforming initial industry forecasts. This growth was distributed across several key verticals, with fintech and gaming leading the surge in installs at 35% and 32% respectively, while e-commerce maintained steady upward momentum with a 12% increase in downloads.

Fintech emerged as a primary driver of engagement, particularly within the asset management and cryptocurrency subverticals. While traditional banking and payment apps maintained the highest share of installs, crypto apps achieved record session lengths exceeding 15 minutes. This heightened engagement occurred alongside a sharp rise in acquisition costs, with effective cost-per-install (eCPI) for fintech apps more than tripling. Consequently, developers are increasingly pivoting toward subscription-based models to ensure long-term profitability and offset the rising price of user acquisition.

The e-commerce and gaming sectors mirrored this trend of higher costs paired with increased user value. Although e-commerce retention rates saw a slight decline, total in-app revenue jumped by 46%, driven by longer session durations in marketplace apps. Similarly, the gaming industry saw hyper-casual titles dominate download volumes while adventure and strategy games secured deeper engagement. Across all sectors, the transition toward higher-quality user bases is evident; while it is becoming more expensive to acquire users, those who remain are spending more time and money within apps, making retention and lifetime value the critical metrics for sustained success in a maturing mobile market.

The mobile game advertising landscape in the United States remained resilient throughout the first half of 2021, showing no immediate negative impact from industry-wide privacy changes such as the Identifier for Advertisers (IDFA) updates. Data indicates that mobile games continue to dominate the share of voice (SOV) across major ad networks, with several networks reporting an increased focus on gaming-related advertisements. The industry is characterized by a strategic alignment between specific ad networks and target demographics, where networks like YouTube cater to younger, male-dominated audiences interested in strategy and RPG titles, while platforms like Adcolony attract older, female-focused demographics, particularly within the casino genre.

Video remains the primary creative format for mobile game advertisers, though playable ads have gained significant traction. While playable formats were historically reserved for hypercasual and puzzle games, mid-core titles such as Call of Duty: Mobile and State of Survival have increasingly adopted simplified mini-game versions of their titles to drive user acquisition. This trend highlights a broader shift toward creative experimentation, which also includes the use of relaxing background music to differentiate casual titles and the deployment of real-world conversational ads that emphasize social proof or financial rewards.

The analysis, which covers the period from 2018 through the second quarter of 2021, utilizes data from major ad networks including AppLovin, MoPub, Facebook, AdMob, and Unity. Findings suggest that successful user acquisition strategies rely on matching game genres with networks that possess compatible user bases. As the market evolves, publishers are increasingly leveraging these granular insights to optimize their creative assets, moving beyond traditional video formats to more interactive and narrative-driven advertising techniques that capitalize on player psychology and specific genre appeal.

The 2021 mobile gaming landscape was defined by a transition toward creative-led advertising strategies necessitated by rising acquisition costs and shifting privacy regulations. As iOS privacy changes prompted a strategic pivot toward Android platforms, the industry experienced a 200% surge in ad creatives and a 34% year-over-year increase in CPMs on major platforms like Meta. With the United States emerging as the most expensive market at an average CPM of $28.18, advertisers increasingly prioritized data-driven optimization and regional targeting to maintain return on investment amidst a broader 5% slowdown in total advertiser market growth.

While casual and puzzle games maintained the highest volume of individual advertisers globally, RPGs consistently dominated in total creative output across key regions, including Southeast Asia, Hong Kong, Macao, and Taiwan. To combat market saturation, developers shifted toward high-engagement formats, specifically vertical video ads exceeding 30 seconds and playable end cards. These creative strategies, often incorporating celebrity endorsements and real-people trailers, became essential tools for driving conversions in a competitive environment where traditional tracking methods faced significant headwinds.

Looking toward future growth, the industry is increasingly focused on globalization and the refinement of hybrid monetization models. Developers are diversifying revenue streams by integrating NFTs and combining traditional in-app purchases with ad-based structures. Furthermore, the adoption of privacy-compliant user acquisition, such as early SKAN testing and AI-driven optimization, has become a prerequisite for success. As companies expand into emerging markets like the Middle East and the CIS, the combination of M&A activity, social feature integration, and sophisticated monetization frameworks will remain central to navigating the complexities of the post-privacy mobile ecosystem.

The white paper argues that mobile‑game advertising has entered a new phase of intensity and sophistication, driven by rapid creative growth, the dominance of video formats, and evolving privacy regulations. In 2021 ad creatives surged by 200 % YoY while CPMs rose 34 %, with video ads now accounting for over 85 % of spend. The market continues to expand, projecting more than 70 000 advertisers by 2023, yet advertiser growth has slowed post‑pandemic to just 5 % YoY. Android remains the primary platform, hosting roughly two‑thirds of advertisers, and high‑spending Tier 1 markets—particularly the United States, Japan, and Korea—retain their status as key targets for publishers.

Geographically, the United States shows a casual‑game bias among advertisers (26 % of spend) but still supports high‑spending titles such as Free Fire and Subway Surfers. China’s landscape is shifting from RPGs to casual titles, with puzzle games capturing the largest creative share. In the Middle East, strategy and shooter games like Rise of Kingdoms and PUBG Mobile dominate downloads and revenue, whereas the CIS market displays a more diversified mix of strategy, shooter, and casual titles. Across all regions, vertical video ads—especially 30–34 second formats with end‑card elements—outperform horizontal variants for mid‑ and hard‑core titles, achieving conversion rates around 0.15 %. Playable ads also deliver significant lift for mid‑core games.

Privacy changes from Apple and Google have accelerated a shift toward probabilistic attribution models such as SKAN, compelling advertisers to prioritize creative design over granular targeting. Hybrid monetization platforms that blend bidding and non‑bidding networks are gaining traction, while developers increasingly adopt innovative in‑app purchase mechanics (limited‑time offers, battle passes) and social features (chat, PvP, guilds) to enhance engagement and retention. These trends collectively underscore a mobile‑gaming ecosystem that is more video‑centric, privacy‑aware, and focused on long‑cycle strategy titles in high‑engagement markets.

This analysis examines the relationship between video ad length, end card formats, and campaign performance across five major mobile gaming genres: Hyper-Casual, RPG, Strategy, Puzzle, and Social Casino. By evaluating 3.7 billion in-app video ad impressions and subsequent installs via the Vungle platform, the study establishes creative benchmarks using a proprietary Power Index to measure efficacy. The findings suggest that as the industry moves toward a post-IDFA environment with limited user-level data, marketers must prioritize creative optimization and mass-appeal strategies to drive engagement.

The data reveals distinct audience preferences for each genre. Social Casino players favor efficiency, responding best to 10-second ads paired with standard static end cards. Puzzle and Strategy games both see peak performance when utilizing app store end cards that provide a direct path to download, though their optimal video lengths differ at 22 seconds and 33 seconds, respectively. Conversely, genres with deeper gameplay loops require more extensive creative storytelling. Hyper-Casual games perform best with 37-second ads and video end cards, while RPGs benefit from the longest engagement times, peaking at 46 seconds with looping video end cards to showcase aesthetic and narrative depth.

The scope of the research covers a global audience of over one billion unique devices, focusing on the structural elements of ad creatives rather than specific visual content. The methodology filters out low-performing impressions to ensure the Power Index accurately reflects the most successful format pairings. Ultimately, the findings conclude that aligning ad duration and post-roll interactive elements with genre-specific player expectations is essential for maximizing return on ad spend in an increasingly competitive mobile marketplace.

The analysis quantifies how Apple’s post‑IDFA privacy updates have reshaped user‑acquisition economics for mobile games, contrasting casual titles with core experiences. By aggregating 13.5 billion programmatic ad impressions from iOS and Android between January 1 2021 and September 30 2021, the study tracks cost‑per‑install (CPI) trends across three intervals—pre‑iOS 14.5, during the iOS 14.5‑14.6 rollout, and post‑iOS 14.6—using Moloco’s proprietary game taxonomy to separate titles into casual and core categories.

Casual games experienced a sharp decline in iOS CPI, falling 38 % after the iOS 14.6 release, while Android CPI for the same segment rose modestly by 16 %. In contrast, core games saw iOS CPI surge 78 % and Android CPI increase 36 % over the same period, reflecting intensified competition for a shrinking pool of high‑value, trackable users. The narrowing of the historical iOS‑Android CPI gap for casual titles indicates that Android installs now command comparable monetary value, whereas iOS remains the premium channel for core audiences due to higher in‑app‑purchase conversion rates.

Methodologically, the research averages weekly CPI data across the defined date ranges, applying a taxonomy that classifies games by genre and engagement depth, with subcategories overlapping between casual and core groups. Findings suggest that the divergent CPI trajectories are driven by user churn characteristics and lifetime‑value differentials rather than seasonal factors.

Strategic recommendations emphasize diversifying media spend, allocating budget to campaigns optimized for return‑on‑ad‑spend, and leveraging machine‑learning‑based bidding to mitigate volatility. These practices aim to preserve profitability amid the evolving privacy‑driven market dynamics for both casual and core mobile game publishers.

Strategic store asset optimization is a critical driver for increasing conversion rates and reducing user acquisition costs in the mobile gaming industry. Analysis of top-performing publishers reveals that the most successful entities treat app icons, screenshots, and product pages as dynamic marketing tools rather than static assets. This approach is particularly relevant following the release of iOS 15 in late 2021, which introduced Custom Product Pages and Product Page Optimization. These features allow developers to create up to 35 unique landing pages and conduct native A/B testing for up to 90 days, enabling highly targeted campaigns for specific audiences and influencers.

Data from major titles illustrates several dominant trends in asset management. Seasonal updates are a primary strategy; for instance, Golf Clash implemented 17 icon changes between 2017 and 2021 to reflect holidays like Halloween and St. Patrick’s Day. Other publishers, such as King and Garena, prioritize brand identity by integrating corporate logos across their entire portfolios to leverage existing brand equity. Furthermore, "forever franchises" like Animal Crossing: Pocket Camp use icon updates to signal anniversaries and live operations events, driving re-engagement among lapsed players.

A significant shift in the industry involves the alignment of store assets with high-performing ad creatives. Publishers like Playrix and Nexters successfully utilized "Pull the Pin" advertisements—which often differ from core gameplay—to lower costs per install. To minimize friction and improve conversion, these companies updated their App Store screenshots and icons to match the ad content. While such experimentation was historically more prevalent on Google Play due to its long-standing A/B testing tools, the new iOS 15 capabilities are expected to catalyze similar data-driven optimization strategies across the Apple ecosystem. This analysis utilizes Sensor Tower’s proprietary intelligence platforms to track these trends across global markets and major gaming segments.