IP-Based Mobile Games: Overcoming UA Challenges With Franchise Power
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1. Overview of IP -Based Mobile Games
2. Evaluating IP -Based Mobile Games
3. Stakeholder Spotlights
4. Appendix
© Newzoo 2022
The origin of (referred to in this report as
IP -based games) can be traced all the way back to the original Atari console .Compared to PC
and console, mobile gaming often has
Therefore, modern -day IP holders often choose mobile as their go -to –
platform for bringing beloved franchises to gaming .
The mobile game market continues to outperform PC and console as the biggest and fastest –
growing gaming segment .By 2022 ,more than half (53 %)of the global games market revenue
will come from the mobile platform .
For years, successful mobile developers relied on user tracking data to operate their live
games and acquire audiences for new games .However, both
policies, forcing publishers to find
alternative ways to market their games .By leveraging well -known entertainment franchises to
creat ean IP -based game ,publishers are aiming to .
To shed light on how IP -based games perform, we analyzed 650 IP -based mobile games based
on data from our partner Airnow ,of which 510 were active on the App Store and Google Play
as of 2021 .What’s more, we conducted a consumer survey across key mobile markets (i.e.,
U.S.,Germany, Japan, and China) to understand mobile gamers’ attitude toward IP -based
games on mobile .
This report contains the findings of our analysis and the survey .It also includes our analysts’
commentary on key success drivers for top games globally and locally in the West and the
East . Most excitingly, we feature stakeholder spotlights, based on interviews with key
companies that are bringing IP to mobile games .
Please note in the quantitative analysis of this report, we focus on entertainment franchises
originally from movies, TV, literature, manga, comics, toys, etc .Our data excludes franchises
that originated as games such as Pokémon, Call of Duty, and League of Legends .We believe
that adopting entertainment IP to (mobile) gaming is fundamentally different than developing
amobile game based on an existing gaming franchise .
4
Fo reword
,Market Lead –Mobile
,Market Analyst
,Jr .Market Analyst
,Jr .Market Analyst
© Newzoo 2022
Revenue, downloads, and growth analysis
© Newzoo 2022 6
Among top downloaded games launched in 2021, only 1 is not IP -based
Among Top 100 Downloaded iOS Games | *Games Released in 2021
1 Wild Rift Riot Games Riot Games League of Legends
2 Rocket League Sideswipe Psyonix Psyonix Rocket League
3 Crash Bandicoot: On the Run! King King Crash Bandicoot
4 Pokémon Unite Tencent The Pokémon Company Pokémon
5 Battle of Golden Spatula [CN] Riot Games Tencent League of Legends
6 Soccer Super Star Real Free Soccer Real Free Soccer N N/A
7 Mole’s World [CN] Game.61 Leiting Games Mole’s World
8 Cookie Run: Kingdom Devsisters Devsisters The Gingerbread Man
9 Harry Potter: Magic Awakened Warner Bros. & NetEase NetEase Harry Potter
Data is pivotal to success in mobile gaming, enabled through tracking and targeting
of players .However, the past year has seen further shifts around privacy and
tracking in the mobile space, creating challenges for mobile companies .Perhaps one
of the most influential changes is Apple’s ,which
was launched in late April 2021 .
As aresult, mobile game publishers are forced to find alternative ways to market
their games .One of those alternatives is IP-based games .Simply put,
Together with Airnow ,our mobile intelligence partner, we looked all the new iOS
games in 2021 that hit the top 100 download chart .We found that
(Soccer Super Star) ,proving that
.
Please note :our analysis excludes hypercasual games which naturally attract high
downloads .
Source: Airnow
© Newzoo 2022
22% 25% 22% 20%
21% 22% 20% 20%
14% 18% 18% 22%
18% 18% 18% 13%
11% 16% 16% 17%
20% 15% 12% 13%
11% 15% 16% 15%
14% 12% 14% 14%
8% 11% 18% 17%
12% 11% 13% 12%
8% 12% 14% 16%
6% 12% 15% 15%
9% 13% 12% 15%
9% 10% 11% 12%
3% 6%
3% 8% 10% 11%
4% 6% 10% 10%
2% 5% 9% 10%
4% 1% 0% 0%
Highlighted cells indicate significant differences versus the average. Green: statistically higher vs. average ; red: statistically lower vs. average
Other
Favorite celebrity was the spokesperson
It featured favorite voice actors/actresses
Likes the publisher/developer
It’s an IP or universe liked
Could make profits in real life
The art style
Recommendations from influencers
Being able to play against others
Reviews/ratings
Leading app store recommendations
Appealing advertisement
Likes other games in the same franchise
To see what all the fuss is about
Being able to play with others
Recommendations from friends or family
Good storyline/setting/theme
A new game in a genre Iiked
Gameplay
7
Base: Total mobile players (n=5,372)
In addition to its positive impact on a game’s user acquisition, strong IP plays a key role in
attracting high spenders, potentially leading to higher revenues for IP -based mobile games .
Our Consumer Insights in the U.S.,Germany, Japan, and China suggest big spenders (who
spend >$25 /month on mobile games) and average spenders ($5-$25 /month) are more likely
to download agame if it’s based on an existing franchise or IP/universe that they like .In fact,
(> $5/month)
,compared to low spenders (< $5/month) .This is the
between the two spender groups when it comes to motivations to download mobile games .
Clearly,
.
Source: ©Newzoo | Global Mobile Market Report | September 2021
© Newzoo 2022
game IP -based non -game IP -based
Roblox PUBG MOBILE Pokémon GO Cashman Casino
Candy Crush Saga Clash of Clans Call of Duty®: Mobile Candy Crush Soda Saga
DoubleDown ™ Casino Jackpot Party Garena Free Fire Clash Royale
Homescapes Slotomania ™ Gardenscapes Fishdom
Genshin Impact Bingo Blitz ™ State of Survival Coin Master
8
In the U.S., mobile adoptions of existing game franchises are prominent
Source: Airnow
U.S., Japan, and China | 2021
game IP -based
Uma Musume Pretty Derby Knives Out Ensemble Stars eFootball PES 2021
Monster Strike Pokémon GO Project Sekai : Colorful Stage feat. Hatsune Miku Dragen Quest Tact
Professional Baseball Spirits A Genshin Impact Idle Girl LINE: Disney Tsum Tsum
Fate/Grand Order Dragon Quest Walk Disney: Twisted Wonderland Romancing SaGa Re: Universe
Puzzle & Dragons Dragon Ball Z Dokkan Battle Mafia City Jikky ōPowerful Pro Yaky ū
Peacekeeper Elite Moonlight Blade Mobile Infinite Border QQ Speed Mobile
Honor of Kings Rise of Kingdoms Harry Potter: Magic Awakening JJ Doudizhu
Fantasy Westward Journey Immortal World Onmyoji Life After
Three Kingdoms Strategy Edition Westward Journey Shenwu 4 Doula Continent: Soul Master Duel
Genshin Impact CrossFire Mobile Naruto Mobile Wendao
game IP -based non -game IP -based
© Newzoo 2022 9
Due to the pandemic and China’s game license freeze, IP -based game
launches on mobile slowed down in 2021
2016 -2021 | Global |By Franchise Medium
2016 2017 2018 2019 2020 2021
Manga TV Literature Comics Film Other
Devel opers/publishers are increasingly
.Among all the IP-based
mobile games released from 2016 to 2021 ,
TV -based IP is the most common (33 %),
followed by manga (22 %)and literature (19%).
2020 saw abig jump from previous years in
the number of IP-based games released on
mobile . This jump could be
The
changes made acquiring users became more
difficult and IP was a viable solution .
However, there was a slowdown in
entertainment IP-based mobile games in
2021 . We believe there are four major
reasons that caused the slowdown .
in TV, film,
game productions, and other
entertainment industries led to delays in
IP-based mobile game releases.
, one of the leading markets in IP –
based mobile games by popularity and
revenue, since
July 2021 (resumed in April 2022) .
in line with increasingly complex
and immersive games (more akin to AAA
console and PC).
4. Mobile games increasingly moved (and
are still moving) toward ;
therefore, publishers of existing IP -based
games focused on live -ops of their
existing titles, especially after the market
boom of 2020 .
Source: ©Newzoo | Global Mobile Market Report | May 2022
Please note that games based on existing gaming franchises such as Pokémon, Call of Duty, and League of Legends are excluded in our data and analysis.
© Newzoo 2022
1 Umamusume : Pretty Derby Manga
2 Marvel Comics
3 Romance of the Three Kingdoms Literature
4 Dragon Ball Manga
5 Journey to the West Literature
6 Disney** File
7 Harry Potter Literature
8 Star Trek TV
9 Doula Continent Literature
10 A Song of Ice and Fire
(Game of Thrones) Literature
1 Marvel Comics
2 Cartoon Network TV
3 Disney** Film
4 Harry Potter Literature
5 Despicable Me Film
6 Miraculous: Tales of Ladybug & Cat
Noir TV
7 Strawberry Shortcake TV
8 SpongeBob SquarePants TV
9 PAW Patrol TV
10 Jurassic Park Literature
10
Eastern IPs outperform in revenue, driven by spending in China & Japan
Based on 650 entertainment IP -based games* | 2021 | Global
Source: Airnow
*Mobile games that are based on existing game franchises are excluded from the analysis.**For Disney, we have only included original Disney IP and not the extended Disney universe (including Marvel and Star Wars).
Overall,
, thanks to
their large fanbases
across the world. Five
out of the 10 most
downloaded franchises
in 2021 are originally
;
however, the downloads
don’t necessarily
translate to high revenue.
The target audiences of
these TV franchises are
young children and
therefore, adapted
games are usually
with basic
monetization .
Based on 650 entertainment IP -based games* | 2021 | Global
*Mobile games that are based on existing game franchises are excluded from the analysis.**For Disney, we have only included original Disney IP and not the extended Disney universe (including Marvel and Star Wars).
Five out of the top 10
grossing franchises in
2021 originated from
and ,
showing the popularity
of IP -based mobile
games in these two
Eastern markets. What’s
more, the biggest
revenue contributors for
two global IPs among
the top 10 — and
—are Japan
and China, respectively
(i.e., Disney: Twisted
Wonderland and LINE:
Disney Tsum Tsum in
Japan and Harry Potter:
Magic Awakened in
China).
© Newzoo 2022 11
In markets where entry barriers are high, localization is crucial
1 Marvel Strike Force 2018 FoxNext,Scopely FoxNext,Scopely RPG NAM, W -EU, Oceania (OCN)
2 Marvel Contest of Champions 2014 Kabam Kabam Fighting NAM, LATAM, OCN, W-EU, Central Southern Asia, Sub -Saharan Africa
3 Marvel Future Fight 2015 Netmarble Netmarble Fighting NAM, LATAM, SEA, Central Southern Asia
4 Marvel Future Revolution 2021 Netmarble Netmarble RPG NAM, W -EU, OCN, SEA
5 Marvel Puzzle Quest 2013 Demiurge Studios D3 Publisher Puzzle NAM, W -EU, Sub -Saharan Africa
Based on 20 Marvel mobile games | 2021
*The revenue of the game iscompared against the total mobile game revenue of the region in2021 ,creating aratio .Then, the difference between the RoW and the region’s ratio istaken to understand ifagame isrelatively over or underperforming in each region .
Source: Airnow
In both of Marvel’s top 2 titles, the core fans enjoy
.Marvel’s sheer depth, number of characters, and
various plotlines allow developers to
.Combat/fighting .
Marvel -based mobile games have found success in most regions globally .Naturally,
.
Publishers should have aglobal mindset when launching such an IP-based game .
However,
.Although Marvel
isone of the biggest international franchises in both markets, mobile players are not
used to the Western comic art style . is another key
factor to consider .For instance, in China and Japan, games such as Fate/Grand
Order and Onmyoji feature similar mechanics to Marvel Strike Force ,but they are
typically more tailored to the local market .
© Newzoo 2022 12
Finding the right market fit is vital in making a successful IP game
Based on 31 Disney mobile games | 2021
*The revenue of the game iscompared against the total mobile game revenue of the region in2021 ,creating aratio .Then, the difference between the RoW and the region’s ratio istaken to understand ifagame isrelatively over or underperforming in each region .
Source: Airnow
Please note: For Disney, we have only included original Disney IP and not the extended Disney universe (including Marvel and Star Wars).
1 Disney: Twisted Wonderland 2020 f4samurai Aniplex Adventure Japan
2 LINE: Disney Tsum Tsum 2014 LINE LINE Puzzle Japan
3 Disney Emoji Blitz 2016 Jam City Jam City, Disney Puzzle NAM, LATAM, OCN
4 Disney Magic Kingdoms 2016 Gameloft Gameloft Simulation NAM, W -EU, OCN
5 Disney Sorcerer’s Arena 2020 Glu Mobile Glu Mobile RPG NAM, LATM, W -EU
While Marvel games hardly hit the Japanese and Chinese market, Disney games are
extremely well received by Japanese mobile gamers .In fact,
.With two Disney theme parks near Tokyo,
.On the monetization front, Japanese
gamers are receptive to (paying to receive arandom in-game item)
which the top two Disney games have both adopted .The Disney IP, featuring alarge
character universe, isaperfect fit for gacha .
Notably, the top four Disney titles are all . is one of the
key success factors of IP games .According to Newzoo’s Consumer Insights
conducted in May 2021 ,
.Moreover, Disney is often perceived as
Despite being the #5Disney game (around 7% of Disney’s revenue
share in 2021 ), with its card -based combat mechanics, does
not completely fit with core Disney fans .This isdue to the violent nature behind the
gameplay .
© Newzoo 2022 13
Three K ingdoms is one of the most popular franchises in C hina
Based on 19 Romance of the Three Kingdoms mobile games | 2021
*The revenue of the game iscompared against the total mobile game revenue of the region in2021 ,creating aratio .Then, the difference between the RoW and the region’s ratio istaken to understand ifagame isrelatively over or underperforming in each region .
**Third -party Android app stores inChina &other markets are not included .
Source: Airnow
1 Three Kingdoms Strategy Edition 2019 LingxiGames LingxiGames Strategy China, Taiwan, SEA
2 Three Kingdoms Fantasy Land 2020 LingxiGames LingxiGames Card Battle China
3 Legends of Three Kingdoms 2011 Yoka Games Yoka Games Card Battle China
4 Junior Three Kingdom 2 2019 YoozooGames YoozooGames RPG China
5 The Legend of Three Kingdoms 2017 TeamTop Games Tencent Strategy China
More than 70 % of revenues from The Romance of The Three Kingdoms franchise
came from its top two titles in 2021 ,both by .The IP itself is
a historical literature, allowing for various interpretations and leading to several
games featuring different gameplay ,mechanics, and narrative styles .Therefore, the
IP’s core fans have more options to choose from based on their game preferences .
is by far the largest market by revenue for the Three Kingdoms IP, and that
extends beyond mobile .China was the biggest driving force behind Total War :
Three Kingdoms’ overwhelming success at launch on PC .Looking at the top 10
grossing IP-based mobile game franchises (see P10),
,the #1and the #3 biggest mobile games market in 2021 ,
respectively .
.
Moreover, due to shared cultural background, Chinese IP is appealing to mobile
gamers in other Asian markets as well .For instance, Three Kingdoms Strategy
Edition also overperformed in Taiwan and Southeast Asia in 2021 .
© Newzoo 2022
Case studies of successful IP games
© Newzoo 2022 15
Three key criteria to evaluate IP -based mobile games
To achieve high LTVs and long -term community support for any (mobile) games ,both
(a mix of market & game design fit )and (how to commercialize and operate the
game) play an important role .For IP-based games particularly, and
with the original IP are crucial .Therefore, we focus on market fit, game design fit, and business
when assessing an IP -based game .
In this session, we deep -dive into two successful IP -based mobile games —one focused on the
Western market and one on the Eastern market —using the three key criteria as defined below .
Fo rdetailed definition of each criteria, please read 4.Appendix .Newzoo has reached out to all
companies mentioned in this session for content approval .If there are any questions, please let
us know .
Umamusume : Pretty Derby
• IP scale
• IP relevance for target audience
• Demographic to genre fit
• Market saturation or competition
• Mechanics fit
• Theme fit
• Tone fit
• Monetization
• Launch
• Marketing & distribution
• Market dynamics
• Community management
• Retention / live -ops
© Newzoo 2022 16
It is not easy to succeed in mobile games as there are several aspects
which need to be “right,” but IP helps boost chances
• Franchises create opportunities for games to feature
,which leads to high engagement, retention, and monetization
chances .
• A leaves room for success .
• Understanding the IP’s core fans is crucial .IP games are more likely to succeed
if .
• To successfully launch agame in markets with like China and
Japan, . Simple localization of
existing foreign IP games usually doesn’t work .
• The best kind of IP games fulfill the of the franchise .Games that
do not align with IP values will feel “off” to fans, resulting in lower retention .
• .In most
IP games, fans are extremely critical to the game’s faithfulness to the original IP
and the understanding/respect to the IP’s lore .Although exceptions happen, it’s
alot harder to execute correctly .
• Many successful IP games feature such as character
collection & progression, which not only help increase the game depth but also
.In Japan and China, is common
and well -received among character -based IP games .
• It is becoming increasingly common for IP holders to develop a
. By doing so, IP
holders/publishers aim to get fans more devoted to and engaged with the IP .
These games often enjoy the right to add original characters to the universe .
• When
,publishers can expect organic traffic translating to a high
number of downloads and engagement .
© Newzoo 2021 17
© Newzoo 2022
Alliance War mode creates bonds among players, just like the Avengers
18
• Role Playing
• Tactical RPG, Collection RPG
• #37 grossing game globally
in 2021
•
Uniquely designed and animated abilities per character demonstrate the fantasy of the hero in fulfilling ways e.g.,Spider -Man &web shot moves .
is a role -playing game with
turn -based combat gameplay .Players build squads
of five ,each of
which has unique strengths which synergizes with
others .Players battle against other squads (PVE
and PVP) to gain resources to level up characters,
abilities, and gear to strengthen the squads .
Source: Airnow , Consumer Insights –Games & Esports | May 2021
Character selection and interaction in the game not only match the original story but are also original (the shared universe of heroes and villains) .
• Marvel movies and comics lay the groundwork for emotional attachment to heroes .Marvel
based RPG with turn -based action combat gameplay can have ,
who are the potential target audience of the game .Our Consumer Insight data shows that
of those who played any Marvel’s Avengers games in the past six months were men .
• The Marvel universe provides
maximize the element of player choice of that large character
universe .Certain character combinations unlock additional abilities, which adds unique
strategy elements and creates incentives to collect more characters .
• mode (team -based PVP) is close to Marvel’s lore .It encourages players to
gather (e .g.,via social media) to strategically defeat enemies together .This additional meta
layer also successfully creates social stickiness and areason to continue to play and invest .
• and have conducted multi -channel marketing activities powered by alarge
budget, including ads on TV and social media, influencer marketing, and
(e .g.,Deadpool 2movie release, Comic -Con) .
© Newzoo 2022
• There are currently
from its multi -media
franchises such as films and comics .
makes the best of the large
character universe .
as of June 2022 and its number
keeps increasing via updates .
• What makes the game unique is an
. The game initially
focused solely on existing heroes and villains
from the Marvel franchises . However, in
collaboration with the IP-holder,
and added
Malaysian heroin, in May 2021
•
,the same as in the films and comics .
Moreover,
Enormous
combinations of characters, powered by its
large character pool, encourages players to
constantly pursue the best synergy and make
itfun to collect more heroes/villains .
• For example, consists of defense
and attack,
(also depending on opponents)
having avariety of characters .
• There are
.Players gather and
discuss strategies and share success and
failures, just like the Avengers in Marvel’s lore .
The game also added a Strike Force original character to the universe
19 Source: marvel.com*
Characters have different “Best With” characters to team up with and have different types of battles they perform the best in.
Players can utilize their varied characters in a variety of game modes, such as Story, Events, Arena, Blitz, Raids, Alliance War (Raids), Dark Dimension, and Campaigns .
© Newzoo 2022
was the top -grossing game in 2021 among the Marvel -based mobile
games .Marvel hero collection RPG seems like asolid recipe for success .However,
.
was a similar hero collection RPG on mobile with combat
gameplay and social features (e .g.,PVP tournaments and co -op missions) .MAA 2was the sequel
of the original flash game on Facebook .While the original on Facebook succeeded, MAA 2 on
mobile was not aremarkable commercial success .One of the reasons for this is the
.Many of the outdated modules used for the original
flash game were ported into MAA 2 on mobile .This caused a buggy playing experience and
resulted in multiple fans of the original version sticking to the same platform, leading to the
player base split .
MAA 2’s service was eventually shut down in September 2016 (along with the original version), as
was closing down and shifted to licensing its IPs .
with
similar game mechanics, such as (launched in November 2015 )and
.
Shutdown of the Marvel Avengers Alliance games triggered the existing
players to look for a similar experience
20
Playdom & Disney
Interactive
Offbeat Creations
March 2012 (Facebook)
September 2016
FoxNext → Scopely
FoxNext → Scopely
March 2018
November 2021
Playdom & Disney
Interactive
Offbeat Creations
March 2016 (worldwide)
September 2016
Move animations were designed for each character but limited compared to MSF . Character moves and kill -animations, including fan favorite attack moves for familiar heroes, are uniquely designed .
© Newzoo 2021 21
© Newzoo 2022 22
Simulation game design increases sense of immersion in the IP universe
• Simulation
• Racing
• #1 grossing game in
Japan in 2021
•
is
multimedia entertainment franchise . The
game is an anime -style simulation/racing
game featuring
.Players can
train the characters to compete in races
(PvE /PvP), read through stories, and watch
victory live shows performed by characters .
Source: © Cygames, Inc., Airnow
Left :Complex mechanics of training characters with varied status/skills, sometimes having characters inherit abilities from others .Tactical decisions around these become the real focus for (advanced) players .
Right :Player choose one tactic out of four for arace, for example, running in the front group or staying last until the final spurt, which adds alayer of tactical aspect .
• actively develops the IP across multiple platforms and media .Umamusume :Pretty
Derby debuted in manga/anime format afew years before the game’s launch to build afan
base that looked forward to the universe being replicated as agame .
• developing the original work means that it can faithfully recreate the universe of
horse girls aspiring to win abig race and fame . and
maximize the potential of the universe .
• The game also offers (e .g.,main,
character -specific, and event stories), which encourages player retention .
• It takes afew hours to complete aloop of training acharacter, which then becomes playable
in other modes .This (characters support each other)
to efficiently train the
best ones .
• The game features in-game music and live clips of characters narrated by voice actresses .
also holds with the same voice actresses .This way, it
keeps providing fans with opportunities to engage with the IP.
© Newzoo 2022
Original content that fans can enjoy only in the game keep s expanding
23 Source: © Cygames, Inc.
• regularly adds new characters
along with ,
which can foster a bond with the character .
This incentivizes dedicated players to collect
their favorite characters by playing and/or
spending more on the game .
• Thematic/seasonal story events are held for
approximately two weeks almost every
month .Each event adds a .
• owning and developing the IP
makes it possible to keep adding
Left :72 playable characters are available as of November 9,2021 ,and each one has adifferent status and potential for growth .
Right :Players can read through character exclusive stories .Unlocking episodes requires obtaining the character and/or training the character .
In its universe, each character
Each is narrated by a
voice actress .This high capability of
representation also attracts
.Its originality, in part thanks
to development, provides
fans with opportunities to engage with
the IP beyond playing the game .
© Newzoo 2022 24
© Newzoo 2022
The major benefit is the non -organic and
organic acquisition the brand enables .On the
organic side, strong IP brings an already
established brand following the game with
people downloading based on their affinity with
the brand .Branded games might also receive
stronger featuring due to their awareness, and
popular branded keywords will increase search
traffic .Some fans of the brand can act as “free”
influencers promoting the game in various
community pages .All this is a lot harder to
achieve with an unknown game name .
On the UA side, the brand can lower CPI and
increase CTR of UA ads, overall allowing the UA
team to scale the spend .The creative execution
is very important :how appealing the ads are to
the target audience, keeping in mind that they
…
also need to pass licensor approvals .
The brand can also have a positive impact on
retention and monetization, but how it’s
implemented into the game’s progression, level
design, and monetization will ultimately show
to what extent it has an impact on game
metrics .The execution needs to be aligned with
the brand’s core values and audience
expectations .
The most important factor is the right IP and
game match .If the IP doesn’t fit with the game
and genre, we won’t reach the right target
groups . That’s why audience research and
testing early on are very important to gather
the necessary data . Games appealing to
Western and Eastern audiences can be very
different, but it’s possible to bring limited -time
…
25
Karolina Cooper
is a leading free -to -play publisher that powers up existing live games using deep
marketing and product expertise, cutting -edge technology, and a user acquisition war chest .
Recognized as one of the top mobile game makers in the world by PocketGamer .biz in 2021 ,Tilting
Point was founded in 2012 ,and has grown to astaff of over 400 people with offices in Barcelona,
Boston, Kyiv, New York & Seoul .Tilting Point’s most successful games include SpongeBob :Krusty
Cook -Off, Star Trek Timelines, and Warhammer :Chaos & Conquest .
Karolina Cooper
Senior Growth Director
© Newzoo 2022
integrations that appeal to different groups in
different countries .For example, in Astrokings ,
we successfully brought Legends of the
Galactic Heroes to the Eastern audience and
Stargate to the Western Audience, generating
over 1,000 % install peak and 400 % revenue
increase .
Other key success drivers are marketing and
execution quality, both mentioned above .The
brand needs to be well represented on
marketing collateral and A/B tested to use top –
performing creatives on the store .User journey
needs to be smooth and continuous, from what
they see on the marketing collateral, to the
store experience and FTUE when they launch
the game .
The three -way collaboration between the
publisher, licensor, and developer certainly
requires strong project management and
communication skills .It is important to have
one person in charge who manages the
relationship on both sides and can bring people
together to discuss plans and find solutions .
Having adifferent point of contact for different
stakeholder groups can quickly generate
communication challenges .
Strong project management capability (follow
up on action items, thorough meeting notes)
helps keep the project on track and ensures
everyone is on the same page and aligned on
plans .But even then, delays can happen on
either the development side or the licensor
side .For example, an asset might require three
revisions and take two weeks longer than
expected to approve .That’s why building a
buffer into the plan when working with licensed
games is always agood idea .
IP -based games can generate a much bigger
following right from the get -go .If the brand is
large, popular, and viral, developers can expect
alot of organic traffic, which also helps with UA
scaling .For example, we had 17 million pre –
registrations for SpongeBob :Krusty Cook Off,
which generated a huge organic install spike
when the game launched .
Another opportunity to leverage the power of
the brand is to piggyback off any interesting
activations the licensor is planning, and
leverage its web, social, and even above -the –
line TV channels to promote the game .
26
Karolina Cooper
© Newzoo 2022
In terms of non -IP games, if the developer has
multiple games in the portfolio, cross –
promoting the game to the existing network
(in -game and community) can bring a lot of
users in organically .ASO strategy is important :
selecting the right keywords, especially in the
game name, and creating assets that stand out
from the competition .Non -branded games also
tend to rely more heavily on paid UA channels .
Developers will be bringing more brand cross –
overs inside existing games to give games an
organic and non -organic boost as well as
engage existing users . Doing a limited -time
integration is faster, and also allows bringing
multiple brands into one game .
More and more traditionally non -gaming brands
see opportunity in gaming, which you can see
in integrations with brands such as Gucci and
Adidas . They want to reach their target
audiences where they spend most time :on their
mobile devices!
The cost of having a AAA brand integrated
inside a game will most likely increase over
time, as the demand increases to put brands in
more games and stand out from competition in
abusy, overcrowded mobile market .
A few words of advice :
• Make sure the brand is the right fit for your
game and your game target audience has
strong affinity for the brand .
• If your entire game is based on a brand, it
needs to be a strong A-tier brand with
significant following .Having a brand that is
too niche might have the opposite effect and
limit the reach .
• When developing a branded game, it’s
always good to think about the player
experience of someone who is a huge fan of
the brand, aware of the brand, and doesn’t
know the brand .Can the second and third
group still enjoy the game?
• Brands can be very beneficial to a game’s
growth but you also need to be prepared to
have less independence on how you want to
shape certain aspects of the game as the
licensor will provide feedback on how the
brand is integrated .
• Prepare for longer lead -times .Working with
IPs can be very beneficial, but licensors often
have strict guidelines on how they want their
brand represented, so approvals can take
time and sometimes multiple turnarounds
are needed to get the implementation or
specific assets fully approved .
27
Karolina Cooper
© Newzoo 2022
When considering which IP to make into a
game, we start by analyzing how many
customers accept the characters and the
worldview, what emotions they experience
through the IP, and where they feel emotion
and empathy .For established IP in particular,
we take apanoramic viewpoint of the IP and its
experiences .This means we consider not only
games in the franchise but also movies, TV
series, live performances, and toys from the IP’s
past, present, and even future .We only adapt
IP into games ifwe are confident that the game
will positively impact fan experiences with the
whole IP . Elements that make a certain
franchise successful differ greatly between
different IP .These elements include the number
of unique characters, character development
and relationships, depth of the story, pacing,
and a sense of urgency .Therefore, for each IP,
…..
we select a game system that can express
these elements continuously throughout the
service period of the mobile game and
incorporate them into the UI/UX .Further in the
process, we conduct thorough quantitative user
surveys, closed beta tests, and in-depth quality –
assurance testing to ensure there is no gap
between the game experience and the
experience fans expect from the IP .As aresult,
if certain criteria are not met, we make it arule
not to proceed with any further game
development .
We always strive to make our IP games amust –
play for fans of an IP .We understand that PC
and console games, movies, anime, and manga
often provide a different experience to mobile
games . Therefore, our smartphone game
adaptations do not aim to replace these
…………… ..
28
Koji Tezuka
delivers various products and services catering to aworldwide
audience in areas such as network content, home video game software, and life entertainment
based on its IP (Intellectual Property) Axis .BNE gives shape to “a new type of fun” with amazing
ideas and newer technology unavailable elsewhere .Furthermore, BNE makes ordinary everyday life
more enjoyable and aims to realize “more fun for everyone” that allows customers throughout the
world to keep smiling .
Koji Tezuka
Executive Officer
© Newzoo 2022
experiences .We aim to create game concepts
that are unmissable for fans of the IP .Mobile
games present many unique opportunities to
achieve this ;for example, mobile is a great
format for continuous play in short periods,
quickly updating operations, connecting many
users, crossing them with the aforementioned
IP -specific experienced values that IP fans are
looking for and defining new experiences for
fans .
For example, we designed “Dragon Ball Z
Dokkan Battle” with a focus on how quickly
players can experience the “Dokkan feeling”
(i.e.,the explosive and exhilarating sense of
destruction) that only Dragon Ball can provide .
We’re trying to figure out how quickly players
can experience this from the start of every
game .
User acquisition is naturally higher for IP-based
games, as they already have built -in fanbases
and recognizability .Furthermore, many users
are already familiar with an IP’s storyline and
characters before playing the game, so users
need less explanation about these elements .
This allows us to focus more on tutorializing the
game’s systems, making it easier to prevent
initial player churn .As a result, it is easier to
acquire and retain users via IP -based games .
Additionally, we feel that it is easy to provide a
variety of information of interest to the fans
more frequently because there are many fans
who enjoy the development of the entire IP,
including the game, and we also feel that the
user community is active .
Since the popularity of an IP varies greatly from
country to country depending on that market’s
preferences and the IP’s presence in a given
market, we carefully select the regions where
we launch IP -based games . Furthermore,
expectations and popular character types can
differ significantly from region to region, even
within the same IP .Battle mechanics tend to be
more important for players in North America,
whereas character development tends to be a
significant part of the experience for our
players in Asia .Even within Asia, the preferred
game systems are different for Japan, South
Korea, and China .Depending on agame’s main
launch region, we try to optimize the main
elements of a game’s design and frequency of
in-game events .We create games while directly
observing the trends of our customers around
the world through user surveys and data
analysis conducted in various countries
worldwide .
29
Koji Tezuka
© Newzoo 2022
As third -party IP were made by creators
outside of our company, it is essential for us to
get approvals on the game development
process to ensure there are no discrepancies
between the original creator’s vision and the
ideas expressed in the game .Consistency and
quality within the IP are more important and
should be more prioritized than the individual
IP game, as cross -medium inconsistencies in
quality and style might give some fans a
negative experience . Game developers must
therefore have a deep understanding of the
world depicted by an IP .For a work that has
been around for a long time, we must have a
proper grasp of the whole story .Therefore, we
spend a lot of time on the research and
confirmation process to ensure that the game
based on the IP does not end up having an
unsuitable setting .There are also many cases
where characters have different names in
different countries and territories . Different
cultures also have different ways of expressing
themselves and conversing, so proper
translation is vital . We continue to make
localization efforts to ensure the content
matches the expectations of players in each
market .
Implementing the “The IP Axis Strategy”, rather
than putting focus on individual business,
allows us to holistically oversee the IP trends
and fan trends to boost the excitement of the
IP at the right time —all while offering products
with different value propositions . This is, of
course, a significant advantage for us . In
addition to this, we can increase the number of
contact points with IP fans —a key audience for
our business —throughout the entire IP
experience .As this experience is made up of
various products and promotions, we can
strengthen the connection .The starting point of
our product development is a deep
understanding of the IP source material and
fans of the franchise .This is where we put most
of our focus .In addition, in the future, we would
like to provide IP fans with new entertainment
products that merge the physical world and the
digital world by combining the business know –
how and value chains that have been cultivated
by every group company .
30
Koji Tezuka
© Newzoo 2022
From IP selection to the development and
launch of a game, we consistently focus on
creating an IP experience that can only be
provided in the games we develop .In terms of
IP selection, based on the knowledge GREE
Group company has gained over the past
decade working with anime IPs, we have
established IP selection criteria that consist of
multiple indicators . We believe that our IP
selection criteria are unique in that they not
only evaluate the anime work but also include
the evaluation axis centered around the
question of “whether we can provide an IP
experience that is unique to our game” .Further,
we do not necessarily consider the pursuit of
originality in game design as the most
important point during the development stage .
Rather than pursuing highly original game
design, we believe that the most important
……… .
thing for us is to be able to provide an IP
experience that is possible only with our games .
Examples of such experiences include world
premiere scenarios and video content that can
only be experienced in the games we develop,
as well as exclusive new developments of an IP
itself .To realize these strongly IP fan -oriented
initiatives, we have been building close
relationships with various IP holders, such as
publishers, original authors, and anime
production companies, mainly in Japan .
Based on the premise that IP -based games
respect their fans and are able to meet their
expectations, we can expect that an IP -based
game will have a positive impact in multiple
aspects, including user acquisition, retention,
and average customer spend .The enthusiasm
of IP fans is generally high, and we can sense
…… .
31
Yuta Maeda
With the mission of “Lighting up hearts around the world with Japanese IPs and games”,
has two core businesses :an IP production business that mainly engages in game
development with IP in which the company has been involved in the production of anime and the
original works, and agames business that develops games for global launch, both as publisher and
as developer .
Yuta Maeda
CEO
© Newzoo 2022
their expectations for agame from the comments
they send us .In terms of user acquisition, the CPI
during the release period is relatively low, and we
can build up an initial customer base by
conducting a solid promotion campaign . In
addition, since customers tend to interact with a
game through their interest and love for the IP,
they react well to the products sold in the game .
Further, by running campaigns in conjunction
with events outside a game, such as anime
distribution and merchandising, we can activate
customers and contribute to the long -term
operation of the games .
It’s a very big challenge for us to continuously
exceed the expectations of IP fans with our
games .We receive advice from the copyright
holders on how to express the IP in a game .
However, we find it quite difficult to keep
creating experiences in the gameplay that IP
fans cannot have in the original work or anime .
For example, if battles are the main attraction
of an underlying IP, then battle elements would
be incorporated into the game .However, if the
battle system, setting, and direction are wrong,
the game would be regarded as a degraded
version of the original work or anime, leading to
users leaving the game .It would not be an
exaggeration to say that the lifetime of agame
is determined by whether it can maximize the
appeal of the underlying IP .
Today, Japanese anime is watched around the
world more than ever . It has grown from
“content created in a distant island nation” to
“niche content with fans all over the world” and
is still in the process of growing .Currently,
mainly game companies located in East Asia
are creating games based on anime IPs, but we
believe that in the future, games that meet the
tastes and preferences of local fans will be
developed and distributed in other regions as
well .We believe that the next few years will be
the most suitable time to link the games
business with these global phenomena .
Our company has a mission of “Lighting up
hearts around the world with Japanese IPs and
games ”.In terms of the number of original IP
works created, Japan stands out as a country
that produces an outstanding number of them
globally .Therefore, we believe that the richness
of Japan as an IP-producing country will give us
an overwhelming advantage in developing the
games business out of Japan to the world .We
have built agood relationship not only with our
partner companies who hold IP rights, but also
with the writers and artists who create the IPs .
…..
32
Yuta Maeda
© Newzoo 2022
This direct and constructive relationship with
our partners who create the IPs is one of our
strengths in realizing our strongly IP fan –
oriented initiatives .As for the synergy between
the IP production business and the games
business, our goal —both simple and powerful —
is to be asuccess story for creating our own IPs
and turning them into games in-house .
33
Yuta Maeda
© Newzoo 2022
Players are excited to see their favorite franchises coming to mobile,
and developers are increasingly leveraging established IPs to generate
organic traffic .
It is clear that for mobile games .
However,
yet .For that, developers need to focus on the right fit :
the franchise must fit the market the game is aimed for, and game
design must fulfill the “fan fantasy” of the franchise .
.Games
that do not align with IP values usually feel off to fans, resulting in
lower retention and monetization .Simply put, IP usage should be in
line with the world that it is created in.
On the business front, more and more IP holders are developing a
to launch their franchise across various
entertainment platforms where (mobile) gaming plays a key role .As
seen in the case of Marvel Strike Force in the West and Umamusume :
Pretty Derby in the East, IP -holders are willing to give developers the
freedom to add game -origin characters to the IP universe . This
freedom engages fans with the game and keeps them attached .
At the same time, as we concluded in our Global Games Market Report,
the universe for game -origin IP is also expanding into movies and TV
series .
At its launch, League of Legends -based series
Arcane reached the top spot on Netflix in 38 countries .In turn, Netflix
added a games library to its subscription service, two of which are
based on one of their most -prized series Stranger Things .In the future,
entertainment platforms will continue to integrate (mobile) games into
their strategy .
34
Looking ahead
Tianyi Gu Market Lead –Mobile
© Newzoo 2022 35
Market fit, game design fit, and
business for IP -based games
© Newzoo 2022 36
Scoring both market potential and game design viability
The IP demographic profile should share a
strong match with the game genre players .
An IP with good genre fit can enhance
players’ experience .
The IP should be well -known to the target
audience, creating interest based on
viewership, sales, and social media data .
The IP needs to be relevant enough to drive
people to engage more deeply through a
game format .
There is ahigh demand on the market ifthe
IP does not have any related game existing
or to be released in the future .
Mechanics relate to the core action that player s will engage with in the game .These are
essentially the rules and parameters set up to make the game fun .Some well -known IP
interactions or stories need to be translated well as core gameplay or other narrative elements
to guide IP fans to the game .
The theme gives the game context and sets expectations for the mechanics and progression .
The game needs to build up a combination of surroundings, atmosphere, world, and other
setups around the IP to further provide an immersive experience for IP fans .
The tone relates to the narrative and unique sequence of events that take place during a
session .There should be amatch between how the player experiences the consecutive actions
and how it is delivered .The audience should feel that the game is matched to the IP through
music, vocal, art style, and other flagship adaption sets .
© Newzoo 2022 37
Scoring the commercial strategy
An effective launch will build the right level
of momentum and hype .The anticipation of
a game can go a long way, and successful
games are more frequently enabling their
community through authentic content and
being present on the right channels well
before launch . Continuous support and
communication with the community post
launch drives avibrant and growing player –
base .
Filling aniche or gap in the games market is
one reason why some games find success .
Different themes, art styles, genre evolutions
that target different demographics but use
well -tested concepts can recreate similar or
better success .
Good marketing forms the basis of growth,
and the best games can get marketing for
free through viral growth and word of
mouth . Great examples are games that
understand where their audience is, what
content resonates, and how to create
culturally relevant campaigns that aren’t out
of place .Understanding what is possible on
all distribution platforms (discounts,
promotions) and partnerships (bundles,
branding) with other organizations can take
the game to the next level .
Arguably the most important factor for a
game’s ultimate success is how it monetizes .
The decision of whether to be premium or
free -to -play alone is very impactful . Hit
games will understand what model works
and will deeply understand pricing .Doing
this without missing or antagonizing
audiences ensures long -term success .Being
deliberate with each segment of the
audience and knowing the value they will
derive will shape the overall game and
required internal capabilities .
The community around games has become
a central pillar of many hits .Related to
marketing, being present on relevant social
media channels, forums, lifestyle content,
and creating astrong sense of feedback will
create a life for a game outside the game
itself . Enabling evangelists, creating a
community nexus on Discord, encouraging
discussions, and building in public are all
tools to drive community enthusiasm .
Successful games will aim to improve
retention over its lifetime .It’s not uncommon
for new players to join for one reason (e .g.,
exploring the world) but stay for aspects
that are entirely different (e .g.,socializing) .
The best games will dedicate resources to not
only fine tuning the product to improve
retention at every part of aplayer’s journey but
will also provide events, media, competitions,
and prizes .Esports is agreat example .
© Newzoo 2021 38
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engage with video games.
The Newzoo Platform boasts an array of best –
in -class games tracking data, consumer
research, global market sizing insights, and
trends that give an unparalleled view of the
games industry and audience.
© Newzoo 2022 39
Market Lead –Mobile
tianyi@newzoo.com
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