Free to Play Model Trend is Expanding

Published in News and Game Development

According to the Parks Associates's whitepaper "Trends in Digital Gaming: Free-to-Play, Social, and Mobile Games" the game industry will soon see a notable shift into free-to-play monetization revenue models.

"In-app purchases greatly expand monetization of the free-to-play model, thanks to seamless payments," said Pietro Macchiarella, Research Analyst, Parks Associates. "Already, most of the top grossing games on iTunes and Android can be downloaded for free and generate the majority of their revenues via virtual purchases. While mobile players are often characterized as 'casual gamers,' they spend a comparable amount of money on free-to-play titles as their peers spend on console games."

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The report goes on to note that on average Facebook gamers already spend $29 per month, while free to play gamers spend $21 per month on virtual goods and upgrades.

"Games running on smartphones and tablets have a significant advantage in the free-to-play business model, compared to their counterparts on PCs," Macchiarella said.

Source: [A] List Daily