Gameloft: In-app purchases, ads fuel 60% of mobile gaming revenues
Gameloft posted record second quarter revenues of $62 million, crediting the surge to the continued growth of its mobile gaming efforts.
Gameloft revenues increased 35 percent year-over-year and 12.5 percent quarter-over-quarter. In addition, second-quarter sales on smartphones and tablets jumped 119 percent compared to a year ago and now represent more than half of the publisher's total sales. (By comparison, Gameloft posted year-over-year smartphone and tablet sales increases of 59 percent in the first quarter of 2012, with mobile titles then accounting for 40 percent of its total sales.) The firm expects total 2012 sales to exceed $240 million.
Gameloft cited increasing consumer demand for freemium gaming experiences as the catalyst behind its upswing. The company now boasts 55 million monthly active users, with in-app purchases and mobile advertising driving more than 60 percent of its smartphone revenues.
In a recent interview with FierceMobileContent, Gameloft's VP of Publishing for the Americas, Baudouin Corman, said the publisher will continue supporting both premium and freemium pricing models in the future. "We believe the mix of free-to-play and premium games is really our way to grow our base inside this business," Corman said, noting that some premium Gameloft titles also include freemium elements: For example, racing title Asphalt 7: Heat delivers a "full experience" at its 99-cent download price, but consumers can further enhance gameplay via additional in-app purchasing options.
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