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User Acquisition vs. User Retention: Balancing Your Game Marketing Strategy
12/09/2024 Written by The Game Marketer
In the competitive landscape of the gaming industry, one of the most debated topics among game developers and marketers is: Should the focus be on acquiring new players or retaining existing ones? This question is pivotal to a game’s overall marketing strategy, as both user acquisition (UA) and user retention (UR) are key components for the success of any game.
Now, balancing these two aspects is essential for a sustainable and profitable game marketing strategy. In this blog, we will explore what each term means, their respective importance, and how to strike a balance between them to optimise your game’s growth.
What is User Acquisition (UA)?
User acquisition refers to the process of attracting new players to your game. It is the initial phase of building a game’s player base, often involving advertising and marketing strategies designed to reach a broader audience and persuade them to try the game. Acquiring users is about introducing your game to potential players who may not have been aware of it otherwise.
Effective user acquisition typically involves several strategies, including:
Paid Advertising:
Advertising on platforms such as Facebook, Instagram, TikTok, and Google Ads can reach highly targeted audiences. The goal is to drive awareness and motivate potential users to download and engage with your game. Campaigns can be tailored to attract specific demographics or interest groups who are most likely to engage with the content your game offers.
App Store Optimisation (ASO):
Optimising your game’s listing on platforms like the Apple App Store and Google Play Store is essential for increasing organic discoverability. ASO involves optimising keywords, descriptions, visuals (such as screenshots and videos), and gathering positive reviews. A high ASO ranking can drastically improve the visibility of your game to new users searching for something similar.
Influencer Marketing:
Partnering with gaming influencers and streamers allows your game to be introduced to established communities. Influencers have a loyal following that trusts their opinions, and when they recommend your game, it brings a level of social proof and credibility that can drive significant downloads.
Referral Programs:
Referral programs encourage your current users to recommend the game to their friends and family by offering rewards for each successful referral. This is a great way to extend your reach by leveraging the existing user base to bring in new players.
Social Media Campaigns:
Social media platforms are excellent tools for building hype even after your game’s launch. Engaging content, teasers, countdowns, and interactive posts help build awareness and generate overall excitement. Platforms like Instagram, Twitter, TikTok, and Discord allow for constant interaction with potential users.
Cross-Promotions:
Cross-promoting your game with other non-competing games, especially those that share similar audiences, can help introduce your game to new players. This is a cost-effective strategy to increase visibility without needing to pay for ads.
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Why is User Acquisition Important?
User acquisition is essential for the growth of any mobile game. Here’s why:
Building a Solid Player Base: Without new users, your game will stand at a halt. A game without new players stagnates, resulting in limited opportunities for monetisation, engagement, and success.
Expanding Brand Awareness: User acquisition builds brand recognition. As more users download and play the game, word of mouth spreads, and the game becomes more recognised.
Revenue Generation: New users are the key to monetisation. More players create more opportunities for in-app purchases, ads, and other monetisation methods.
Social Proof: A higher number of downloads and positive reviews signal to others that your game is worth trying. It builds credibility and trust, which leads to further user acquisition.
What is User Retention (UR)?
User retention, on the other hand, focuses on keeping the players you’ve already acquired engaged and coming back to your game. While acquiring new users is vital for the initial growth of the game, retaining those users is critical for its long-term success.
User retention strategies are designed to provide value and encourage players to continue playing your game, rather than abandoning it after the first few sessions. In mobile gaming, where users have many options, retaining players is more challenging but equally important.
Common retention strategies include:
In-Game Rewards:
Offering players rewards for logging in daily or for reaching milestones creates an incentive to continue playing. These rewards could include in-game currency, skins, or exclusive content that encourage players to return.
Personalisation:
Allowing players to customise their gameplay (such as avatars, themes, levels, or challenges) makes the game feel unique to each player. Personalised content keeps users invested in the game, making them curious about the rest of the story.
Regular Updates and New Content:
Games that stagnate often see a drop in player retention. Regular content updates, new features, limited-time events, and seasonal content keep the game fresh and exciting for returning users.
Push Notifications:
Push notifications can be a useful tool for re-engaging users who haven’t played in a while. Notifying them about special events, new updates, or bonuses can encourage them to return to the game.
Community Engagement:
Building a strong community, whether through in-game chat, social media platforms, or forums, makes players feel like they’re part of something bigger than just playing a game. Having a loyal and engaged community can improve retention as players feel more connected to the game and its ongoing development.
Customer Support and Feedback:
Providing excellent customer support can make a huge difference in retention. Players who feel heard and valued are more likely to stay. Addressing bugs, implementing user feedback, and keeping communication open fosters trust with players.
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Why is User Retention Important?
While acquiring new players is essential, retention plays a more significant role in ensuring long-term success. Here's why:
Increased Lifetime Value (LTV):
Retained users are likely to spend more over time, increasing their lifetime value (LTV). A player who continues to engage with the game for months or even years is worth far more than a user who plays for a week and then churns.
Lower Costs:
It costs far less to keep an existing player engaged than to acquire a new one. Focusing on retention reduces overall marketing costs, helping to maximise profitability.
Organic Growth:
Retained players are more likely to recommend the game to others, leading to organic growth through word of mouth. Additionally, loyal players often leave positive reviews, improving your game's visibility in app stores.
Better Monetisation Opportunities:
Engaged players are more likely to make in-app purchases, watch ads, or spend money on premium content, leading to more consistent revenue streams.
Balancing User Acquisition and User Retention
The challenge for game marketers lies not in choosing between user acquisition or user retention, but in balancing the two. Both strategies complement each other, and a game’s marketing success relies on effectively managing both. Here’s how you can find the right balance between acquiring new players and retaining existing ones:
1. Set Clear Goals for Each Stage
User acquisition and retention are not mutually exclusive. In fact, they should work together throughout a game’s lifecycle. During the initial phase, the focus should be on user acquisition to build a solid player base. As the player base grows, the focus should shift towards retention, ensuring players remain engaged and invested in the game.
2. Optimise Your Marketing Funnel
Your marketing funnel should be designed to acquire users, engage them, and retain them. In the acquisition phase, you need to cast a wide net, capturing as many potential players as possible. Once users are on board, focus on conversion and engagement, making sure they understand the value of the game and the features that will keep them coming back.
3. Integrate Retention into Acquisition Campaigns
When running user acquisition campaigns, it’s crucial to not just focus on attracting players, but also to highlight elements of the game that will keep them engaged. You can incorporate retention messaging into your ads and campaigns by showcasing the long-term value of the game, such as new levels, daily rewards, or special events.
4. Leverage Analytics to Track Both
Data and analytics are your best tools for understanding both acquisition and retention. Tracking metrics such as Customer Acquisition Cost (CAC), Customer Lifetime Value (LTV), churn rate, and daily active users (DAU) will provide insights into the effectiveness of your strategies. Use this data to refine your approach to both acquisition and retention over time.
5. Segment Your Players
Not all players are the same. Some may come for the thrill of new content, while others may stay for the community and social interaction. Segment your players based on their behaviors, such as how often they play, how much they spend, and what features they use. Tailoring your retention strategies to different segments will allow you to maximise engagement with each group.
6. Create Engaging Content and Updates
Keep your content fresh by adding new game features, levels, and events. When you release updates, make sure to promote them to both new and existing players. This keeps the game interesting and provides incentives for players to continue playing, thus improving both acquisition and retention rates.
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The Role of Monetisation in Acquisition and Retention
Monetisation plays a significant role in balancing user acquisition and retention. A common challenge for game developers is designing a monetisation strategy that doesn’t push players away while ensuring the game is financially sustainable. This can be achieved through strategies such as:
In-App Purchases (IAPs): Offering in-game items, skins, and currency can generate revenue without hindering gameplay or player experience.
Freemium Models: Offering the game for free but with premium options can ensure that new players are encouraged to try the game, while existing players can spend money on additional content.
Ads: Integrating ads in a non-intrusive way can be a source of revenue for both new and retained users. Players who are deeply engaged in the game are more likely to tolerate ads.
Conclusion
Striking the right balance between user acquisition and user retention is the key to long-term success in game marketing. While user acquisition fuels the growth of your player base, retention strategies ensure that your game remains vibrant, engaging, and profitable over time. By using a combination of targeted strategies, optimising for both acquisition and retention metrics, and continuously refining your approach based on player feedback and data, your game will be positioned for success in the competitive gaming market.
With the right focus, tools, and strategies, your game can not only attract a steady stream of new players but also keep them coming back for more.
At The Game Marketer, we specialise in crafting customised strategies that help developers optimise both user acquisition and retention. Whether you’re launching a new game or looking to enhance engagement, our expertise ensures you’re always ahead in the competitive world of gaming.
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