The mobile games sector has developed rapidly over the past 8 years, fueled by the meteoric rise of smartphone penetration. The number of smartphone users quadrupled from 2014 to 2023, reaching an impressive 4.2 billion worldwide. Notably, 39% — i.e., 1.6 billion users — are mobile gamers, and this number will continue to grow, reaching 1.85 billion by 2027, including 221.5 million users in Europe. Rising acquisition and retention costs and evolving marketplace regulations have created a landscape in which developer expenses often outweigh revenue. This situation has spurred publishers and developers to seek innovative solutions to maintain profitability and drive growth. In this quest, web-based selling solutions facilitating virtual item purchases and currency top-ups have emerged as a transformative eCommerce trend. The tool inspires developers and publishers across diverse gaming genres to evolve monetization strategies. The surge of D2C shopping via web-based payment gateways satisfies the game development industry’s desire to retain a larger revenue share and optimize costs, particularly in a fluctuating mobile games market economy.

3 ways for players to pay

• Games with a D2C strategy may choose to take advantage of an eCommerce marketplace’s existing customer base. These online platforms — where multiple sellers can list and sell their products to consumers — often divert players to other games and eliminate the developer’s ability to control marketing.
• Standalone landing pages are a game-branded store with limited functionality where players can purchase in-game items or top up their accounts. Standalone web pages lack the robust features contributing to a diverse D2C strategy. Such pages can technically be seen as web stores as they enable web sales for mobile games, but they are less effective in terms and do not bring similar value compared to what we call a Web Shop.
• Web Shops are feature-rich, white-label, customizable digital stores where developers sell in-game items and exclusive virtual currencies, set up promotions, give rewards, and more to transition, engage, and retain gamers — all from a game-branded website.

The purpose of these transaction vehicles is to bring new revenue to games. However, the tools and player metrics — such as ARPPU and average checkout amounts — are very different.

Which partner is the best for you?

Given all the choices, which partner should you choose when launching web sales? The answer is... it depends. Make your choice based on your goals, as each partner serves a different purpose. If your primary goal is attracting new players, we suggest you partner with marketplaces. You'll get powerful marketing support and acquire new paying users. But if you're interested in long-term LTV and ARPPU growth, we recommend launching a web shop. Xsolla Web Shop increases revenue from existing players and contributes to increased engagement and retention. Finally, as you control your game's destiny, remember that there are no rules to your monetization strategy. You can combine marketplaces and Xsolla Web Shop to satisfy a broader set of objectives. Are you ready to quickly launch your own full-featured Web Shop? Build your Web Shop today to start monetizing and retaining players. If you want to learn more about how Xsolla can help you create a dynamic boutique store that maximizes revenue by adding value for players, encouraging repeat purchases, and converting non-paying users, book a meeting with one of our experts or sign up for an account today!