Mobile gaming focuses on high-value users & long-term growth

New research from Moloco highlights changing priorities and strategies among the world's top mobile gaming advertisers in response to evolving market conditions.

The study, entitled 2025 State of Mobile Gaming: In-App Purchase Trends of Leading Apps, finds that mobile gaming companies focus more on sustainable, long-term growth and less on immediate scale, with several trends emerging among the top 100 global gaming publishers.

According to Moloco, US gaming audiences are increasingly important to UK gaming publishers. US mobile gamers account for 47% of global revenue among the top 100 publishers. US iOS users represent nearly a third (29%) of global revenue, an 11% increase compared to the previous year.

Tier 1 markets, including the UK, France, Australia, Canada, Korea, Japan, and Taiwan, now generate 35% of global mobile gaming revenue. However, these markets are experiencing slower growth, which the research attributes to market saturation. In response, UK publishers are diversifying their user acquisition strategies to reduce reliance on highly competitive and costly markets such as the US, UK, Germany, Japan, and South Korea.

The study reveals that top mobile gaming apps have managed to lift customer lifetime value (LTV) by up to 6% for day 30 and day 90 user cohorts on a year-over-year basis. This improvement is attributed to targeted user acquisition, enhanced in-game experiences, and ongoing live operations featuring in-game events and promotions designed to engage players beyond their initial install.

Tom Shadbolt, Senior Insights Manager at Moloco, said, "These insights explore how top gaming advertisers are adapting, how in-game promotions and live events are taking centre stage, and other new ways to reach and retain mobile gaming audiences for continued growth. The industry is shifting towards long-term value over short-term volume, requiring a more strategic approach to user acquisition and engagement. Advertisers optimising for high-value users rather than chasing scale will be best positioned to drive sustainable revenue."

According to figures cited from Statista, the global mobile gaming market is estimated to generate more than USD $126 billion in revenue in 2025, with the player base expected to expand to 2.4 billion by 2029. Moloco's report illuminates several trends central to this continued expansion.

The research found that overall install volume remains unchanged, but top-tier apps are seeing improved conversion rates from new installs to paying users. High-value users are now central to the industry, with the top 5% of US iOS high-value users, representing only 0.02% of global installs, generating 20% of global gaming revenue across both iOS and Android platforms. Despite this, Android accounts for just under half of global revenue.

iOS has overtaken Android in generating in-app purchase (IAP) revenue and currently provides 55% of total IAP income globally. The US and smaller worldwide markets are cited as the primary sources of this growth.

The study also notes that costs associated with acquiring top-spending users are climbing. The leading 1% of iOS bid prices for user acquisition have increased by 140% compared to the previous year. However, overall median bid prices across the industry have remained stable, indicating strong competition for the most lucrative users.

While established regions such as the US remain the central revenue drivers, the research identifies emerging markets as areas of opportunity to access high-value users without the higher acquisition costs seen in saturated markets.

Moloco's study further shows that the five most successful gaming companies are using three principal growth tactics: emphasising user re-engagement, optimising creative content for advertising, and pursuing expansion into new international territories.

Corvin Ampleev, Director of User Acquisition at MobilityWare, said, "At MobilityWare, we've always believed that sustainable growth comes from delivering lasting joy to players who build long-term connections with our games. It's exciting to see the industry increasingly focus on long-term value—a mindset that's guided our approach to marketing, monetisation, and product design from the beginning. Moloco's insights highlight the critical role of engagement and market expansion in staying competitive in a rapidly evolving industry."

To produce its latest research, Moloco's data scientists analysed in-app purchase revenue and user activity for the period from January 2023 to December 2024, using a data set comprising 60 billion bid requests, 4 billion installs, 65 million in-app purchase events, and USD $2 billion in IAP revenue, drawn from 100 leading gaming publishers representing between 40 and 50% of global IAP revenue. The analysis encompassed organic and paid user sources, whether attributed to Moloco or unaffiliated.