W3i’s Erik Lundberg on Android games monetization, tablet dominance, closing the gap with iOS

Monetization and insights provider W3i is stepping up its game with Pocket Gems and other mobile game developers on Android going into 2013. This could be the year that Google’s platform finally catches up in revenues to Apple’s iOS.

Through its expanded partnership with Pocket Games, W3i now provides monetization solutions to Tap Paradise Cove and Campus Life. Far from being mere banner ads, the monetization service focuses instead on providing a native experience in these Android apps — tailoring ads, offers and video campaigns to the user experience.

Erik Lundberg, General Manager at W3i’s San Francisco office (pictured), explains that the shift toward native experiences comes from mobile advertising finally moving away from online advertising models. With 15 years in online ads before joining W3i just eight months ago, he’s had time to study the changing trends.

“In the early days of ads and mobile apps, people took online models and slapped them on a smartphone like small banner ads that are only 100 pixels wide,” says Lundberg. “Users have tuned those out. More native ads like a full screen interstitial or offer-based ads, we see a much higher CPM, like 10 times higher. We think that trend will continue toward native ads that are a part of the application instead of just throwing up a banner.”


Inside Network Research finds nearly half of Facebook games players are daily users — and so are their friends

Inside Network Research’s newest report, Facebook Games: Increasing Consumer Engagement, finds that almost half of Facebook’s games-playing audience are daily active users.

The study, on sale now, surveyed 1,418 adult Facebook users in the United States between August and September on their games habits. Of those, 31 percent played games several times per day while 18 percent played at least once per day. This highly engaged audience seems to be enjoying the games that bring their friends into the experience either in turn-based games (e.g. Words With Friends) or competitive games (e.g. War Commander).

Not surprisingly, Inside Network Research also found that niche games and those with coherent cross-platform experiences like Candy Crush Saga increased retention better than Facebook-only games aimed at a broader audience. At our Inside Social Apps conference in New York earlier this month, we heard developers on the monetization panel say that their philosophy toward game design has increasingly become a quality discussion, with platform coming at a much later point in a game’s development cycle.

You can find this report and others from Inside Network Research here.

Liveblogging from Inside Social Apps, New York: The Future of Mobile App Discovery & Marketing

We are in New York for the Inside Social Apps conference at the New Yorker Hotel. Inside Mobile Apps Staff Writer Kathleen De Vere  sat down with a panel on the topic of mobile app discovery and marketing. The panel consisted of GREE International Director of Developer Marketing David Chu, AdParlor CEO Hussain Fazal, Xyologic Co-Founder Matthaus Krzykowski and Tapjoy VP of Ad Sales Tom Sipple.

The Following is a paraphrased account of what was said on the panel.

De Vere: Hussein, what are your early thoughts on Facebook’s mobile news feed ads? Is providing social context enough of a “fix” for discoverability issues?

Fazal: Facebook launched mobile app mobile app install news feed ads about a month ago. Results have been interesting, it’s still relatively new. Conversion rates are 10-20 percent range. There are still lots of things that you can do with the social elements of the ads. I think once Facebook starts using more social elements, we will see how successful this ad type can be.

De Vere: The past year has seen the cost of user acquisition increase quite substantially. In your opinion, is this having a positive or negative impact on the industry?

Chu: I think that it’s a sign of the ecosystem as a whole. Developers of all sizes pay attention to how much they are willing to spend. I really do think that this evolution is a good thing for the industry. Some smaller developers can get blocked out of the system. GREE does the platform because it can bring more diversity to the ecosystem.

De Vere: Cross promotion networks are becoming more and more popular. Obviously they present a cheap alternative to more traditional user acquisition channels, but do they work? What has been your experience with them?

Chu: Cross promotion apps can see success for small developers. The GREE platform itself can be made social so that makes it easier to social.

Fazal: Facebook has the largest social context so it is in a way that a cross promotion network. You can target by precise interest which can be a really powerful tool.

Krzykowski: People can’t see if an app is good or not. The average app rating is 3.8 so all apps are around there. So it’s hard for users to discover.

De Vere: What improvements can you find for app ratings?

Krzykowski: 80 percent of people don’t know what they’re looking for. In terms of what are the big problems, app descriptions don’t work. There are tons of things that can be improved and this is why Facebook App installs can be successful. Google Play is making improvements too.

Fazal: Facebook has a great opportunity to app discovery because of how it brings social context and you can see how your friends are interacting with an app.

Sipple: My friend was looking for a math app to help him with his math. Took five different downloads to find a good one. Combining Facebook and all these other discovery types are going to be telling of the future.

Chu: The search of the app store can really make improvements on how things can be made relevant to users.

De Vere: Speaking of relevancy, Xyo Mobile App Search is looking to provide a solution. Can you bring up what they are doing?

Krykowski: The first assumption is people don’t know what they’re looking for. We’re looking to provide a more directed way people are searching for apps depending on what they want.

Chu: I think it’s definitely helping. I wouldn’t call it a bandaid. No matter what the search results, there’s going to be tools out there to help a developer move up the ranks.

De Vere: As TapJoy’s in the business of getting developers’ mobile apps discovered, have you found anything helpful as costs go up.

Sipple: We work with a lot of branded apps. They have an 85 percentage retention rate in our system. They love getting their app in front of new people… it works for them in that capacity.

Krzykowski: It’s more of an art than a science.

De Vere: When it comes to App Store icons, what kind of impact does it make on performance?

Chu: Yes, but now all developers do a lot of iterations around that sort of thing. We’ve seen a lot of improvements as we’ve changed names and changed icons.

De Vere: You have a very short amount of time to make a first impression.

Krzykowski: Take for example racing games: You’ll see the same titles with the same logos. From a consumer perspective, there’s often not much difference.

De Vere: Results tend to homogenize from a consumer perspective. What do you see as a positive attribute for app discovery down the line?

Fazal: I’d like to see more suggestions. I don’t spend much time going to the app store just browsing, but if I could get more apps just pushed to me that’d be great.

Sipple: If you could just make the app as engaging and useful as possible.

Chu: I’d like to see more categorical relevancy. Take for example “steampunk”– you’ll only get results with that term in the name. I’d like to see people who aren’t sophisticated in the app store getting the better results based on their vague ideas they search for.

Krzykowski: I think we’re super early here right now.

De Vere: I’ve heard a lot of people ask for results to hide the apps they already have installed. What about charts in the app stores?

Sipple: Compare it to radio and music. How did people discover music? DJ’s played the songs on the charts.

Fazal: I think they can stay, but they aren’t the best representative.

Chu: Now that we’re entering phases where the market’s segmented, the idea of one chart to rule them all doesn’t make sense. Right now, the charts work great, you get a nice sorting of fairly high quality titles. Most people only see the top twenty apps.

De Vere: Speaking of games, they tend to crowd the discoverability of other apps. Do you guys feel that the chart system impacts lesser-known genres of apps?

Fazal: You need to find other ways around it, like making something location-based. If you walk into a store, get pushed for the store’s app.

Crowd question: What kind of privacy concerns are there when it comes to marketing apps?

Chu: I think it’s the same concern people had when Gmail first came out. People will get used to it.

Crowd question: Going back to the icon strategy- how often should companies consider updating their app icon and do they risk losing user impressions if they do so too often?

Chu: There’s probably some sort of a brand impact in the long term. Not many people aside from large companies have brand gravitas. I think it’s a pretty low risk right now. It’s not really an issue with Apple, but I’ve seen it happen on Android where developers are changing their logo as often as every few days to test out designs.

De Vere: We’ve spoken a lot about Facebook, Apple and Google, but there are a lot more methods of discovery. Where do you see potential coming for new mobile app discovery?

Krzykowski: The big trend I’m seeing is verticalization. App stores are still viable options, driving two-thirds of our discoverability.

Fazal: The app stores are so built into the OS that that’s where you go to download apps. It’s really difficult to foresee where else discoverability will come from right now.

Chu: I think I’m going to go back to what I said earlier: I think at the end of the day, there’s going to be a place within app stores to support outside marketing. No one place supports everybody. Marketing channels will exist everywhere for your particular product… it’s out there and it’s an option if we use it.

Rumble ready to roll out Nightmare Guardians to tablets, preps multiplatform publishing

KingsRoad developer Rumble Entertainment activates on its multiplatform strategy with a second game, Nightmare Guardians, launching on tablets in early 2013.

The company has an aggressive growth strategy aimed at being both developer and publisher right from the point of launch. Rumble secured a $15 million first round of funding nearly a year ago before any of its games had been released. But, as CEO Greg Richardson tells Inside Social Games, Rumble was already hard at work on developing a suite of titles to straddle mobile, social and open web platforms. By covering all the rapidly growing bases, the company is better set up to act as a publisher of third-party titles on any or all of these platforms.

An interesting use case comes from releasing Nightmare Guardians straight to tablet. Based on research collected by Rumble, tablet players spend an average of 25 to 35 minutes in a game session. In contrast, smartphone players only spend 3 to 5 minutes — which isn’t enough time for most games to do the matchmaking needed to create quality synchronous multiplayer. Additionally, smartphones run on a range of connection types — 3G, 4G, WiFi, etc. — while most tablets tend to run games on WiFi only.

“That doesn’t mean we don’t care about smartphones,” Richardson explains. “We definitely have ambitions for smartphones, but we wanted to hit [tablets first]. Our 3D graphics and production values are better suited to tablet screens.”

Read the rest of this story on our sister site, Inside Social Games.

Zynga goes for a “must have mobile” game development approach

Zynga is changing its game development approach to incorporate a mobile component at the concept stage, CEO Mark Pincus announced during the company’s third quarter earnings call.

Just yesterday, Zynga launched a dramatic “cost reduction program” that eliminated 150 jobs, shut down Zynga Boston and includes the sunsetting of 13 older games. This program is designed to save Zynga up to $80 million annually and also includes “more stringent” resource management and allocation for the development of new games. Part of those resources will go to adding a mobile component to all new games as they are developed and eventually launched. This means that Zynga’s game teams will now probably merge its mobile and web developers early on in the development cycle.

This “must have mobile” approach resembles Activision, Ubisoft and EA’s approach to handheld consoles in the last decade — where every new game launched to home console also had to have a handheld version, usually developed by a more junior team or an external development team. The danger here is that these games feel like afterthoughts and usually don’t tie in well with the “core” game on console. While Zynga may not experience this challenge with its casual or arcade games (which tend to translate to mobile), it could present challenges for more in-depth sim games like CityVille and for the upcoming midcore game from A Bit Lucky.

Introducing Inside Social Commerce

Inside Network has a new blog in its lineup of industry-facing publications. We’re pleased to introduce Inside Social Commerce, our site tracking the convergence of social media and e-commerce.

As our readers know, Inside Network — home of AppData, PageData and Inside Network Research — is dedicated to mapping the intersections between social media and various verticals. Our existing blogs Inside Facebook, Inside Social Games and Inside Mobile Apps have all faithfully covered the branching ecosystems of social, game and mobile applications. Inside Social Commerce adds to the diagram by examining apps and pages that drive e-commerce on a variety of platforms.

The concept of social commerce is hardly new; advertisers and product marketers have long understood the need to generate social activity around a product to create purchase intent and enduring appeal. With the rise of Facebook and smartphone applications, marketing and sales practices have evolved significantly beyond direct mailing campaigns and jingles in TV commercials. Now we have consumer product companies building and launching apps to drive audience engagement, micro-social networks emerging around specific demographics of consumer and increasing marketing dollars being dedicated to Facebook campaigns and promotions within social and mobile games. New ad networks have sprung up on Facebook, mobile and the open web to direct the eyeballs and clicks of the most engaged audiences to online storefronts. We even see Facebook itself becoming one of those online storefronts with Gifts and the new Collections feature for retailers.

The point of it all is to make someone somewhere buy something, to guide a user from the point of interaction with social media (e.g. pinning a picture of a baby covered in lipstick to their Pinterest board) to the point of sale (buying lipstick from a cosmetics website). The goal of Inside Social Commerce is to document this emerging area and all of the techniques various product sellers, social networks, ad networks and third-party service providers use to make the process better, faster or at least more interesting.

Using our PageData and AppData tools, we can identify and document the various pages and apps that are successful in attracting audiences and potentially converting them to paying customers. By following relevant news and analyzing the trends of the major players in the social commerce space, we can characterize the rapidly growing field and predict where investors and marketers are most likely to spend their money. Our goal is to keep our readers up to speed on social commerce and help them understand how it can improve their own businesses.

Whether you’re selling something or not, we invite you to check out Inside Social Commerce here where you’ll already find a number of articles tracking current events in social commerce — like ShopIgniter’s new engagement and promotion platform, Amazon’s credit lending to Amazon.com retailers or Yellowdog Media’s expansions beyond its Yardsellr app. Our blog is currently headed up by Damon Brown, author of The Complete Idiot’s Guide to Facebook Marketing among other social media publications. Be sure to follow both him and the blog on Twitter and Like the Inside Social Commerce page on Facebook. You can expect great things in the months to come.

Applifier launches game recording viral Everyplay

Game cross-promotion network Applifier is branching out even farther from banners with a new iOS game recording service called Everyplay.

The idea is to capture that word-of-mouth moment between mobile game players when one person shows another person a game on their phone. At its most basic level, Everyplay records live gameplay clips from within a game that can then be shared among friends — via Facebook, YouTube or Twitter. The service can also be used to generate replays of game moments, which could be used by players to create walkthroughs or by developers to display asynchronous game moments like when a rival attacks the player in-game. Everyplay also offers personalized messages sent with the videos, and can edit the video to remove bits or add voiceover commentary.

Videos are initially stored on the user’s device and later uploaded to Applifier’s servers when and if the user shares the clip. The developer sets when the recording starts and stops and the only hard limit is the device’s free disk space. Uploaded videos are tagged with the game’s name and any hashtags the user wants to add. Everyplay is enabled via an SDK that will support Unity 3D at launch with Cocos 2D to follow.

There’s an additional functionality that records users’ faces from the front camera — to really capture that sharing moment — but users must opt into this feature. After doing so, the user can choose to discard the video from the front camera while keeping the audio, which could make voiceover commentary very easy to add.

Applifier recently launched a Facebook-only video ad service called Impact. Everyplay follows on the same principles of Impact by granting games recognition with high quality trailers and game clips. By showcasing the best of what a game has to offer, Applifier’s services hope to drive both discovery and engagement among users on mobile, Facebook and the web. According to CEO Jussi Laakkonen, Impact has already paid out over six figures in revenue (USD) to one unnamed developer for the month of July.

Everyplay’s beta launches today. Interested developers can find out more or sign up here.

Tapjoy sees the gap between iOS and Android revenues closing in 2012

Mobile publisher Tapjoy has spent the last seven months porting iOS games to Android while also reaching out to Android developers to help them improve their monetization. In that time, Tapjoy’s director of developer partnerships Brian Sapp has seen Android revenues increase substantially, narrowing the earnings gap between the two platforms.

“You have to remember that Google didn’t get [in app purchasing] until March of 2011,” Sapp tells Inside Mobile Apps. “Android has grown considerably for Tapjoy, on the order of 10x in the last year.”

As we get closer to the holidays, Sapp explains, the gap will close as more established developers release Android games. If many of those games are licensed intellectual property, it will reduce user acquisition costs and increase revenues, which could mean Android revenues will catch up to iOS within the year.

That said, Sapp cautions, “each title is different. There are titles that monetize well on Android and [that are] only on Android. So there could be an equivalent to CSR Racing on Android. It’s not an either or.”

Tapjoy released a case study today detailing how its services can help Android developers monetize more effectively. The study focuses on the game Lane Splitter, a motorcycle racing game that was previously launched as a paid app. After Tapjoy synced up with developer fractiv, both virtual currency and in-game items were introduced as IAP options. Far from driving away Lane Splitter’s devoted user base, Tapjoy and fractiv saw a 203 percent overall increase in revenue and a 97 percent increase in average revenue per daily user. For reference, Android revenues are typically 30 percent of what an iOS game earns — an iOS title similar to Lane Splitter could be earning between 1 to 3 cents of average revenue per daily active user (ARPDAU) depending on how broad its user base is.

While the concept of converting a paid app to a freemium one supported by IAP is hardly new, Sapp says there are still a lot of developers out there who are late to the IAP party. “You’d be surprised how often we still run into it,” he says. “It comes more from traditional game publishers unwilling to embrace a model that’s scary to them. Think about console guys – we work with these guys and it can be scary to them to move away from a model they’ve worked on for 20 years even though all the data points the other way. On the smaller side, it comes from developers who don’t read Inside Mobile Apps or TechCrunch.”

While Android has taken up a large part of Tapjoy’s attention in the last 14 months — between establishing a $5 million fund for porting over iOS titles and ramping up to 40 million monthly active users on the platform as of August 2012 — the company continues to operate its ad business on iOS as well. In 2011, Apple changed its rules on incentivized installs, which were a large part of Tapjoy’s business model. But Sapp explains that it’s a misconception to think that Apple cracked down completely on the concept of offers.

“You can still reward [users] for watching videos and for Liking brands on Facebook,” he says. “And rewarded installs are within Google’s [rules]. So, we’re getting revenue from both.”

Ngmoco’s Neil Young on Rage of Bahamut ARPDAU, redefining No. 1 on top grossing charts

Ngmoco founder and CEO Neil Young says that the Mobage platform will redefine what No. 1 on the top grossing charts means with a range of new games married to proven data from Japan.

A a Mobage Media Day event in San Francisco, DeNA’s U.S. developer and Mobage platform operator walked an audience of reporters from business and video games media outlets through a presentation outlining the as-yet-untapped potential of the mobile-social games market outside of Japan. Young stated that Japan sees $4.5 billion in social-mobile game revenues coming from gamers in a population of just 120 million. Extrapolating those numbers against those of the developed Western world, Young estimates that the global social-mobile game market could be as high as $30 billion — with just $5 billion of that coming from Japan.

To tap that market, ngmoco and its parent company, DeNA, are aiming to bring a range of new games to the Mobage platform in its four regions (the U.S., Japan, South Korea and China). These games come in four flavors: first-party games out of DeNA’s owned and operated studios, hit Japanese games localized for new audiences, third-party originals ported to new audiences in other regions and proven game systems married to Western IP. Ngmoco will be announcing entries in that fourth category later this week and next, but already we know the most prominent example of a Japanese hit ported to Western audiences to be Rage of Bahamut, developed by third-party studio Cygames.

After the presentation, we spoke with Young to get more detail on just how well Rage of Bahamut is performing after 16 straight weeks in the No. 1 spot on iOS and Android charts — and for some more context on how Japan’s knowledge can feed social-mobile growth in the West.

Inside Mobile Apps: We know you won’t give us a specific number for the average revenue per daily active user, but does $7 sound too high…?

Neil Young: It would be awesome if ARPDAU was $7. We don’t actually talk about those numbers. What we’ve said before is that ARPDAU — for us, that’s average revenue per daily active unique — on Rage of Bahamut and a few of the games on our service are much higher than industry norms. There are three tiers in the mobile games industry right now. There’s scaled casual — that’s sort of in the 1-, 2-, 3-cent ARPDAU range. Then there’s mature social/mobile game companies — somewhere between 15- to 20-cent ARPDAU. And then there’s a very, very small group of companies of which DeNA are certainly one of that are able to drive ARPDAU that’s significantly higher than that, by like 3 to 6x.

We don’t talk specifics about Rage of Bahamut, but the range is very good. We really think about lifetime value. That’s the basis for all our calculations. The LTV on these games are well above the cost of acquisition, so that sort of monetization expertise is essential to succeeding in the market today. It’s just going to be increasingly difficult for developers, especially in mobile casual, to do any meaningful marketing. Their marketing is going to be partnership promotions with one of the platform holders, or with a viral channel they establish themselves, or word of mouth. I think it’s going to be more complicated for even mature social mobile game companies in the 15-cent range because the cost of acquiring customers is going up. You do have to focus on monetization so that you can get the scale of audience so that the marketing equation works.

IMA: What about conversion rates by game genre? Rage of Bahamut appeals a “hardcore” audience that we’ve heard other developers claim is more likely to convert to paying users than casual gamers.

Young: It’s grown for us. When we first switched to free-to-play as ngmoco, we were doing 0.8 percent paying, the average transaction was $2.79 for our first free to play games Eliminate or Touch Pets. Both games were in those range.

IMA: So genre didn’t matter?

Young: Not at that time. There were a couple of things that were going on. One is market maturity — Eliminate was the first game that had in-app purchasing. At the time we made the shift, the whole business was oriented around paid downloads and customers were trained [to spend] on paid downloads and not on virtual goods. At the peak of We Rule, it was doing 15- to 20-cent ARPDAU and the average revenue per paying user was around $10 and we would see on average 2 to 2.5 percent of the audience paying. Where we’re at today is significantly beyond that.

My sense is that a combination of one, the customer getting comfortable with it; two, us getting better at implementation; and [three], as we get better at implementation with the core audience of people that are [using in-app purchasing], you sort of broaden that audience and then game designs and genres actually matter. You can look at the market today and see that certain game types appeal to certain audiences that have a propensity to monetize. Certain game designs have a propensity to monetize. You can look across a range of games and see a variety of what they generate and how they generate that money. Our job is to make sure that the games that have the best monetization come to Mobage or are made by our studios. Then, for folks that are good but not great, work closely with those developers to help them get to great, help them improve ARPDAU.

IMA: Let’s talk about platform splits, then. Do you see better monetization for Rage of Bahamut on iOS or Android?

Young: The iOS version shipped a little bit after [the Android version]. In terms of revenue split today, it’s about fifty-fifty. Right now, there’s a few more [users] on Android, but they’re pretty comparable. I think that’s been a big surprise for people.

One of the errors in how we all think about grossing charts is that we think of them as static — that number one is a static position. But it’s really not. The daily revenue that Rage of Bahamut delivers on Android today is two times what it delivered when it first became number one 16 weeks ago. What we think the opportunity is to not just to get to number one, but to redefine what number one is. As we start to build more and more momentum as an industry and our company and other companies become more adept at delivering on the full potential of the business, we’re just going to change what it means. A year from now, number one on top grossing is going to be very different from what it is today. I think it’s going to look almost non-linear. [Like], “how could it jump from there to there?” And it’s going to be a function of games’ scale and games’ monetization.

IMA: What about where your competitors are at right now? GREE is going all-out on industry events and big promotions; EA is still recovering from a dramatic reorganization that slowed down its mobile business; and Zynga is trying to transition to mobile game publishing as its Facebook growth flags. What does that landscape look like from your perspective?

Young: Those are all formidable competitors. We enjoy sparring with them in the market, but we try not to spend too much time thinking about them. If we look at our competitors — like GREE going to E3 and saying “We’re going to make a big splash!” then we might’ve [gone to the show] too. But we know, because we’ve been in the business a long time, that going to a traditional console game venue and having a big giant footprint to tell the world that you’re here… One, you’re talking to an echo chamber. And two, right next to you there’s really, really big screens showing really, really great graphics that’s hard to compete with on a little tiny handheld. So we just want to march to our own drum.

IMA: Earlier this year talked with first-party studio VP Doug Scott about the marriage of East and West in ngmoco’s game design philosophy. To be fair, we’ve heard the East-meets-West story in other industries. What is it about the mobile-social video games industry that makes the marriage somehow new and different?

Young: I don’t know if it is necessarily new and different. I think that DeNA is unique. The culture of the company is very different from other Japanese companies I’ve interacted with before. It’s run essentially by five us — I’m one of them — and we’re all about the same age, not chain-smoking 80-year-old Japanese dudes. We’re all really focused on making something great and we have high hopes and aspirations for our games, our platform and for DeNA. I’m not sure that we would’ve agreed to be acquired by a Japanese company other than DeNA.

I think another factor is it’s so easy to dismiss Japan as a Galapagos Island. “Oh, they’re just different. I’m a Westerner and I can’t understand the language. I don’t know how they think or how they process entertainment…” But in our industry, there’s a huge component driven by data. When you strip away the cultural difference and you just look at the data — sessions per day, minutes per session, what motivates people to stick around, what the retention rates are — things that are measures of human behavior… they are basically the same. What’s different is that in Japan, the teams and companies have had an opportunity to live in this market for a while and get a whole bunch of learning and knowledge.

IMA: But the environment in which a Japanese gamer interacts with their game is different from what a Western gamer experiences, right? They tend to spend more time on trains commuting and have better, more reliable internet connections…

Young: I think that’s a factor, but we walk around with our heads in our phones. If you look at the minutes per user of customers in the West in 2010, 2011 and customers in Japan 2006, they’re pretty analogous. Environmental factors can matter, but human factors override those things. We enjoy these devices, we enjoy these games. Nothing’s going to stop us from playing them.

Consumers spend 20% more per transaction on iPad than other mobile devices – Adyen

The iPad is the most-used mobile device for payments, according to the results of an 8-month long study conducted by payment solution service Adyen.

The study, which analyzed the number of payments originating from mobile devices in a given month compared to the total number of transactions Adyen processed, shows that consumers spend 20 percent more on average via iPad compared to purchases made on other mobile devices. Out of all payments Adyen processed during the study, 3.6 percent came from mobile, 3 percent from iPhones and 1.5 percent from Android. Not surprisingly, Adyen sees the most growth in payments coming from iPad and Android.

As to the 20 percent bump on volume on iPad versus other devices, it’s worth noting that iPad-only apps tend to have a higher price point for paid downloads. Additionally, the iPad serves as a multi-person tool in many houses, meaning users are more likely to purchase a broader variety of apps than they would for a phone used by only one person.

Adyen also shared an overview of payment methods used in Europe with Inside Mobile Apps in addition to the results of its study. Cash-based methods and e-banking held far more influence in some countries (Sweden, Poland, Belgium) compared to Visa or Mastercard, which are the most-used credit cards fueling mobile payments in North America. Germany had the most diverse set of mobile payments with 21 percent using one of two internet banking methods, 20 percent using traditional bank transfers, 18 percent using Open Invoice, another 18 percent using ELV (Electronic Direct Debit), 12 percent using credit cards and just 11 percent going through Paypal.

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