Sensor Tower: Mobile game revenue recovery in the US market is expected to break through US$6.4 billion in Q1 in 2024 and reach a record high

The Zhitong Finance App learned that Sensor Tower published an article stating that the US is one of the largest mobile game markets in the world, with mobile game revenue reaching US$23.3 billion in 2023, contributing 30% of the world's total mobile game revenue. With the end of the epidemic, US mobile game revenue declined somewhat in 2022. Until the third quarter of 2023, mobile game revenue increased 5.7% month-on-month, returning to an upward channel. In the first quarter of 2024, mobile game revenue in the US market continued to grow, up 15% from the same period in 2023, surpassing US$6.4 billion, surpassing the highest value during the pandemic (second quarter of 2021) and reaching a record high.

The growth in revenue from casual and mixed casual mobile games is the driving force behind the recovery of the US mobile game market

In terms of product models, casual games still occupy a leading position in the US market, contributing 60% of total mobile game revenue in 2023. Meanwhile, US players' spending on casual mobile games continued to rise. Q1 2024 increased 21% year-on-year to US$4 billion, becoming the main driving force behind the recovery in US mobile game revenue.

As user acquisition costs increase, medium to heavy mobile games are showing a trend of mixed leisure. Hybrid casual mobile games, such as “Last War: Survival Game,” have grown rapidly through the introduction of casual gameplay. In-house purchase revenue has been rising steadily in recent years. It is expected that Q1 2024 will rise 65% year-on-year to reach US$340 million.

Mobile chess and card game revenue increased significantly in the US market, “MONOPOLY GO!” Global revenue exceeds $2 billion

Scopely “MONOPOLY GO!” Incorporating competitive and social strategies into classic Monopoly mobile game gameplay, it became the biggest dark horse in the US and global mobile game market in 2023, driving the market's chess and card mobile game revenue to increase 26% in the past six months, making it the most profitable mobile game category in the US market.

The puzzle-solving mobile game represented by “Royal Match” is still loved by American players. Purchase revenue increased 10% month-on-month in the past six months, reaching US$2.9 billion.

According to Sensor Tower store intelligence data, as of March 20, 2024, “MONOPOLY GO!” The cumulative global revenue exceeded 2 billion US dollars, and also ranked first in the US mobile game revenue list and growth list. “Royal Match” ranked runner-up in the US mobile game revenue list and growth list, and continues to lead the global puzzle mobile game circuit.

Ads drive “Last War: Survival Game” revenue to rise rapidly

The 4x strategy mobile game “Last War: Survival Game” from publisher FirstFun hit the market in August 2023 and entered a rapid growth channel in November 2023. In February 2024, the in-game purchase revenue reached 23 times that of November 2023, with cumulative revenue exceeding US$180 million. South Korea and the US are the two highest-grossing markets, contributing 30% and 28% of total revenue, respectively.

The rapid rise in “Last War: Survival Game” data is closely linked to its effective advertising strategy. According to data from Sensor Tower digital advertising platform Pathmatics, advertising spending for “Last War: Survival Game” surged 12 times month-on-month in November 2023 and peaked in January 2024. Among them, TikTok and Facebook are the main marketing platforms in the US market, accounting for 38% and 30% of the cost.

“Last War: Survival Game” was also heavily advertised in the Korean market. Starting in December 2023, the SOV ranking of ads increased rapidly, and in January 2024, it also became the mobile app with the highest advertising SOV on various platforms such as TikTok, AdMob, and YouTube.

The introduction of casual gameplay helped “Last War: Survival Game” quickly gain the favor of players

“Last War: Survival Game” broke through the bottleneck of traditional SLG mobile game user acquisition by introducing casual arcade gameplay and releasing a large number of casual gameplay materials. The number of downloads grew rapidly, reaching 7 times that of November 2023 in January 2024. Similar to the popular 4X strategy mobile games “Whiteout Survival” and “Top War,” nearly 60% of “Last War: Survival Game” downloads come from paid downloads, but the user acquisition efficiency is significantly higher than that of top competitors.