Near $1 Billion Splashed Out On Mobile Games During Holidays

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The shopping period between Black Friday and Christmas are often vital for videogame companies but for mobile game developers, the best comes after the festivities are concluded.

Smartphone and tablet users splashed out a record $967.6 million on game apps for iOS and Android devices from Christmas leading up to New Year’s, a massive 53% increase from last year, research firm Sensor Tower Inc. claims it’s the biggest week of the year for mobile games.

There are two major reasons for the increase in expenditure on mobile game apps during the week: firstly a large number of mobile phones and tablets are given as gifts, while secondly a lot of people are on holiday from work or school giving them ample time to stock up on games and apps.

Developers usually offer some handsome discounts and special holiday-timed events during the week to maximize player involvement. Kabam Inc. releases new characters for its game “Marvel: Contest of Champions” throughout the year, timing them to holidays.

The strategy pays dividends following Christmas as for two years running “Marvel: Contest of Champions” has been one of the top 10 revenue-generating game apps in the U.S. during the last week of December. Kent Wakeord, operating chief of Kabam had this to say:

“People are playing more and they’re spending more.”

“We see a spike in all the key metrics for our games around the holidays.”

Of the roughly $100 billion jackpot the videogame industry generates, the mobile game industry has the largest slice of the pie. Games for smartphones and tablets raked in a $36.9 billion revenue across the globe in 2016, in comparison to the $31.9 billion and $30.8 billion for computer games and console games respectively.

How much did you end up forking out on mobile game apps during the holidays? What do you make of the massive spending on mobile app games? Be sure to let us know your thoughts in the comments section below.