Episode 51: How to navigate the evolving advertising and revenue landscape
Nov 23, 2023
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Explore the constantly evolving dynamics of advertising and revenue in the mobile gaming industry, including the rise of influencer marketing, connected TV, contextual advertising, and AI. Discover the role of AI in creative production and the importance of human input in influencer marketing. Understand the challenges in driving revenue through targeted ads and the impact of industry consolidation. Learn about the changes and challenges in advertising and revenue in the mobile games industry, including the rise of hypercasual games and the struggle to balance user conversion with ads.
31:13
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Quick takeaways
The mobile gaming industry is experiencing shifts in user behavior and the advertising ecosystem, leading to the expansion of marketing channels and contextual advertising strategies.
Challenges in ad revenue and monetization in the mobile gaming industry include opt-out rates for data sharing, industry consolidation, and a shift in performance marketing budgets, highlighting the need for collaboration and better practices in privacy and data management.
Deep dives
The Evolving Landscape of User Acquisition and Advertising
The podcast discusses how the user acquisition (UA) landscape in the mobile gaming industry is constantly changing and adapting. It highlights two main shifts that impact UA strategies: changes in how people consume content and changes in the advertising ecosystem. The audience's shift towards consuming short-form videos and influencer content has led to the expansion of marketing channels, such as influencer marketing and connected TV. Additionally, the rise of data privacy regulations has resulted in the increase of contextual advertising strategies that rely on content and user behavior. The podcast emphasizes the need for performance marketing teams to stay on top of emerging trends and challenges.
Challenges in Ad Revenue and Monetization
The podcast delves into the challenges faced in ad revenue and monetization in the mobile gaming industry. It mentions factors like the opt-out rates for sharing user data and how it hampers performance bidding. The consolidation and M&A activities in the industry have also affected revenue generation. Additionally, there has been a shift in performance marketing budgets towards influencers and connected TV, impacting the revenue pie available for publishers. The podcast highlights the need for collaboration among industry stakeholders to establish better practices for user privacy and data management.
The Role of AI in Mobile User Acquisition
The podcast explores the role of AI (Artificial Intelligence) in mobile user acquisition. It predicts that AI will become more prevalent in creating advertising assets and in creating a unified user profile across different devices and platforms. AI is seen as a tool to deliver more relevant content and ads. The podcast also mentions the use of generative AI in creative production processes, but points out that human input and brand guidelines are crucial for creating a cohesive user experience. The speakers emphasize the need to stay adaptive and informed about the latest advancements in AI technology.
The Future of Mobile User Acquisition
The podcast discusses the future of mobile user acquisition and advertising. It mentions the potential of in-game advertising as a format that can provide a more integrated and enjoyable user experience. The speakers also highlight the importance of user education around personalized ads and the need for platforms to create better policies and regulations. They express optimism in the potential of AI, machine learning, and first-party data collection to drive better user experiences and revenue generation. Overall, the speakers acknowledge the dynamic nature of the industry and the need to keep evolving and adapting to new trends and technologies.
Join us as we explore the latest trends, challenges, and innovations in mobile game design, advertising, and revenue generation.
In this episode, we thoroughly examine the mobile gaming landscape, focusing on the constantly evolving dynamics of advertising and revenue with industry experts Kenneth Wong, Senior Director of Ads Revenue at Scopely, and Yimin Gu, Director of Performance Marketing at Scopely.
We'll discuss the constantly evolving dynamics of advertising and revenue, as well as the transformative impact of AI and user acquisition strategies.