Pokemon GO isn't hindered by its Free-to-Play price tag when it comes to making money – with the app's microtransactions proving to be incredibly popular.
If you've been paying attention over the last few weeks, you're sure to have noticed the explosive popularity of Niantic, Inc.'s new app Pokemon GO. With millions of downloads all across the world, there's little doubt that the Free-to-Play app is making the company plenty of revenue, despite the initial price tag.
According to a recent report from Slice Intelligence, Pokemon GO's in-app purchases are so popular that they made up 47% of the total mobile gaming market on July 10th. In other words, the Pokemon-themed app almost made more money than every other game on the app store combined – microtransactions included.
This shouldn't be too surprising, given that last week we reported that the app had made over $14 million already, but it's still a very impressive statistic nonetheless. What's more, the report suggests that about 53% of microtransaction users had bought one or less in-app purchases before, suggesting that the allure of Pokemon GO has many people rethinking their stance on paying for a Free-to-Play game.
Pokemon GO's most popular microtransaction is the 100 PokeCoin bundle, probably due to people being drawn in by the small price and desperately needing a small amount of coins to get their next Lure Module. Despite the 100 coin bundle's popularity, Nintendo has actually made the most money from the 1,200 PokeCoin pack, which costs $5.
From what we've seen, the microtransactions in Pokemon GO have been handled reasonably well, with trainers being able to earn the premium PokeCoins at a reasonable rate or buy them in bundles. The coins can also only be used to buy in-game items such as Lucky Eggs and Poke Balls, rather than candies that would allow players to level up their Pokemon with no effort.
Players also have the potential to make money while playing the app, courtesy of a recent campaign from Ripley's Believe It Or Not which has gamers tracking down rare Pokemon in return for cash.
It seems crazy to look back on the day where it was announced that Nintendo and Google put $30 million into Pokemon GO. At the time it seemed like such a huge amount of money, but now it's clear that that investment is just a drop in the bucket of what will be returned to the developers in the near future. And as Pokemon continues to make it's way around the world, Niantic is only going to see more and more success as time goes on.
What do you think about the microtransactions in Pokemon GO, Ranters? Have you bought anything yet?
Pokemon GO is available now on iOS and Android in specific regions.