Website Closers® presents a rare opportunity to acquire a business with a secure foothold in the Mobile Game App industry. The industry enjoyed phenomenal success in 2020 and 2021 as more consumers were spending time at home, thus cementing them as long term users. Mobile Gaming is projected to experience skyrocketing growth in the coming years thanks to the impact of faster networks, phones with gaming-centric tools and the emergence of cross platform cloud gaming services. This offering has nearly a decade of experience developing a customer base for their social/mobile game app that comes with an added twist: mature humor that’s been a big winner among their users.
Originally launched in March 2013, their original game enjoyed 25 million downloads while generating millions in revenue. This has enabled the company to add other social mobile games to their portfolio, and they also created a physical box set of this card game, which is sold on Amazon with strong reviews. The game comes with more than 6,900+ answer cards and 1,300 question cards, and users can play the game with friends anywhere by sharing game codes from their smart phones.
The vibrant nature of this industry has helped fuel this brand’s success. The global mobile apps market is projected to reach profits of $653 billion by 2025, a stunning 20% growth rate. It became one of the highest performing industries globally in 2020. Mobile gaming has surpassed both the console and PC gaming markets combined, now making up 57% of the $173 billion global video game industry revenue.
This company has certainly been riding that wave. The game now has more than 25,000+ daily active users, which includes more than 4,000 new users per day. The game acquired 316,000 new users in the first quarter of 2022 and had 3.4 million total users in 2021.
The success of the initial mature content game wildly exceeded the owners’ expectations, and it’s now clear this brand has enormous opportunities for growing their market share and securing a leading position in the mobile game app space.
Their app is basically a “freemium” or “free to play” mobile card game, which users can play for free in exchange for viewing ads that impression during the games, and at the end of the games. Players start with 500 free “base set” of cards to play with, but can purchase additional cards, since the company makes 5,000+ cards available for purchase. The game also requires players to first develop in-game currency before they can play with strangers, usually by watching “reward” video ads. Those In-App purchases bring in 95% of app revenue, which includes subscriptions, with make up 65% of sales from users.
Sales have continued to strengthen, with a peak during the holiday season around Black Friday and the Christmas shopping weeks, and sales have soared in January, when sales of new apps and new smartphones also tend to increase. Their game app was one of the first of its kind to be developed, which has given this company a massive authority in this lucrative space. As the first mover in this space, this brand has solidly established itself among users, and now ranks #26 on iOS Card and #28 on iOS Word in overall app downloads.
Their customer demographics are evenly divided between men (51%) and women (49%), while younger customers between the ages of 18 and 24 make up their largest customer base (56%), with those aged 25-34 making up an additional 26%.
The game is restricted by the App Stores to players 17 and older due to its mature content. Their customers tend to be more affluent, considering that 69% of their downloads in the first quarter of 2022 were done on iPhones while 31% were on Androids. While 67% of their sales are in the US, they also have customers in the UK (11%), Canada (5%) and Australia (2%).
The company has not invested in a marketing plan because they had a better alternative. They built viral loops into the product that allow users to invite their friends to play the game for free, or else pay to play with strangers who are available online. This has become a huge and constant source of referrals for the company, giving them a growth engine that works more effectively than traditional forms of marketing might have.
They do have an SEO program that targets app stores, optimizing their presence for keywords and preview screenshots that produce strong results for them. Based on data from Google Play, 90% of their users discover them through an app store search.
In addition to the game apps, the brand has two websites that describe the games and offer reviews and frequently asked questions, and the sites average 4,000 unique monthly visits. A robust social media presence is helping to grow those monthly visitors, including 10,400+ followers on Facebook and 1,500+ on Instagram.
Particularly appealing to a buyer is that this business does not require a heavy workload. The current ownership works just 3 hours per week running this operation, which has largely been running itself since 2017.
With their user base still highly engaged with the game, their viral loops keep bringing on new users without any marketing spend.
The owners employ three remote workers who handle customer support and app development. With so much of the company now operating on autopilot, a significant amount of the owners’ weekly efforts have been on designing and building new mobile games to diversify what they offer customers.
Those new products alone are helping to boost this company’s profitability, but there are plenty of other options for scaling rapidly, including translating their games into different languages to market them internationally, creating new content on their games and finding new ways to engage with users.
Since the public is now displaying an insatiable appetite for games that can be played on mobile apps, this brand has nowhere to go but up when it comes to increasing revenues.
Contact Website Closers today to get a sense of how this mature content game has become a smash hit in the game apps world and can be an equally big hit in your financial portfolio.
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