Does Tencent have problems monetizing mobile games?

Our colleagues from techinasia.com It is believed that Tencent's revenue is lower than it could be — and not only because the Asian mobile market is crowded, but also because the Chinese player has its own characteristics.

In the third fiscal quarter, Tencent showed a slowdown in growth and a decrease in revenue in the mobile gaming sector. 

According to statistics, a Chinese user deletes the game a couple of months after downloading. You have to create and/or license many projects at the same time and hope that at least one will "shoot". At the same time, if the title becomes popular, companies are forced to squeeze all the juices out of the paying audience until users get tired of the game and switch to another one.

In such circumstances, Tencent has chosen an "eco-friendly" approach: the company is going to increase its revenues by improving the quality of titles, and not by "burning out" the audience. Hence the deterioration of financial indicators, the resource believes techinasia.com .

Since, as we have already mentioned, Chinese players tend to lose interest quickly, the company will have to learn how to monetize its games in such a way as to generate high income, and quickly — and at the same time not scare away players. 

Other materials on the topic:

• Tencent's quarterly profit was $1 billion
  
• Tencent to publish Candy Crush Saga in China
  
• 88 % of Tencent's games have been in first place in the top of the Chinese App Store

Tencent is one of the largest Internet companies in China. It was founded in 1998. Among its developments are the messengers QQ and WeChat, whose total MAU is more than 1 billion. Tencent accounts for 30% of China's mobile market.