Korea’s number one search engine, Naver Corp., is enhancing its current mobile game channeling service to start a gaming platform.
ThisisGame’s recent interview with Naver has revealed that the popular search engine company plans to enhance and upgrade its current mobile site’s (m.naver.com) game channeling service ‘Naver mobile game channeling’ and begin its official service. Just as KakaoTalk Corp. has previously used its pool of messenger users as its audience when it launched the ‘Kakao Games,’ Naver plans to utilize its current pool of 37 million users for the launch.
The Naver mobile game platform will allow its users to freely download mobile games onto their devices using their Naver account, regardless of the time and location. While the actual downloads will be done through the ‘Naver AppStore,’ they will also be able to use the Google Play Store depending on the situation.
Hence, this means that the games on the Naver platform will only support the Android OS. This will surely be a welcoming news for many developers out there that felt the pressure of having to abide to the rules of the KakaoTalk platform, which requires the developers to develop an iOS version of their games as well.
Naver is currently contacting numerous mobile game developers to propose the use of their channel, and games that have already made huge success on either the Google Play Store or the T Store are not of exceptions either.
Naver AppStore on Android OS
Developer portions 73%, more beneficial than the current platform
In the light of appealing to the developers, Naver has been emphasizing the higher portion of the profit that the developers will be receiving when using the Naver platform.
One of the main things that Naver has been emphasizing is that they have paid particular attention to the cries of the developers regarding the profit that they get in return. In the case of Naver Mobile, developers are able to reap profit from all revenue with the exception of 10% market fee, 7% channeling fee, and 10% user mileage. It has been said that even a part of the 7% channeling fee will be used in ways beneficial to the developers.
The numbers stated above are definitely in favor of the developers in comparison to those of Google Play Store. Google Play Store currently takes 30% of the revenue the game creates. On top of this, if the game is platformed on the popular KakaoTalk platform, another 30% of the rest (21% of the total revenue) is given to the KakaoTalk platform.
If one were to reiterate the numbers above, it ultimately boils down to 51% of the total revenue paid to the platforms, and the developer ends up receiving 49%. However, with the terms of the Naver Mobile, the developers would in fact receive 73% of the total revenue, standing out among Google Play and KakaoTalk platforms.
Another point that Naver emphasizes is that a large portion of the 10% user mileage is often spent back on the game itself, resulting in higher profit for the developers.
Easier user acquisition using promotions on Naver
Naver plans support the games on their mobile platform by using their own popular search engine website (www.naver.com) to run advertisements and promotions.
A large portion of these promotions will be done by running multiple versions of advertisements, such as banners and articles, in the entertainment and gaming sections of their website, aiding in the exposure of the game. Naver is confident that they will be able to attract at least 30,000 users through these means of promotions.
According to a personnel from the mobile gaming industry: “Acquisition of 10,000 users via pre-launch sign-ups was considered a tremendous achievement on the KakaoTalk platform. If the numbers can really be as high as Naver predicts, this new platform will be something that many developers will find difficult to refuse.”
Developers will be able to launch through the Naver mobile platform by requesting via the appropriate proposal procedure at least eight weeks prior to the game’s launch. After series of meetings and contract signings, the game will be ready to launch under the Naver mobile platform.
The lacking Naver AppStore
Many experts in the mobile gaming field understand and regard the new Naver mobile platform to be a very appealing platform. Many also have the opinion that the current popularity and recognition of Naver among the population does not fall behind that of KakaoTalk, and that this new change could bring seriously detrimental effects to the ‘for KakaoTalk’ trend.
However, the outlook of Naver mobile is not one that is completely fault-free. Naver AppStore, where all the app downloads will be done, loses out in influence, popularity, and inventory size in comparison to the other popular markets, such as Google Play and TStore.
According to a personnel from the mobile industry: “Google Play and TStore are often pre-installed onto the mobile devices when they are initially sold, and because of this, it is no wonder they have high numbers. On the other hand, Naver AppStore is a separate application that the users have to download on their own, and it will be interesting to see how the market will fare.
Naver plans to run several marketing campaigns for the user acquisition of the Naver AppStore, such as TV ads, search engine ads, and AppStore events.